Because people like Communism and they don't understand it, so dictators lie and say they are communist to get in power.
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Lea Ypi's book Free is a phenomenal book describing the albanian communist period. Can't recommend it enough.
I grew up in DDR. It fails because it doesn't reflect reality. People are different, can do different things, and want different things. An ideology that simplifies people into classes, stands between people and their dreams. And will always need an ever increasing police force to force reality to look like the ideology.
3 explanations, in order from what I believe most likely to least:
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It could be selection bias. All communist nations originated from dictatorships, and as democracy isn't a key part of communism, any democratic ideas get kicked to the side. It may require a dictatorship in the first place for a communist revolution to occur, as democracy may lead to people feeling content enough with the system that they may not feel it needs fundamental change.
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The inevitable need for concentration of power in the hands of a few. Assume that the powerful will always try to concentrate power in their own hands one way or another. Capitalist societies use wealth (a.k.a. purchasing power) to replace the concentration of political power that a dictator would enjoy. As communist societies lack such a mechanism, the powers-that-be can only use political power to force their own superiority.
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The centralization of economics leads to concentration of economic power that can be used effectively to buy loyalty from would-be challengers to a dictator's power.