There are possibly two or more errors here.
First make sure you have installed the patch for webiopi as you are using Pi3
Also make sure you have installed python GPIO. You need to type:
sudo apt-get update
sudo apt-get install python3 python3-pip
sudo pip3 install RPi.GPIO
Next 127.0.0.1 is your localhost address, not the address of your Pi3.
127.0.0.1 will only work from the Raspberrry Pi itself.
You need to look at your router and find the raspberry pi address, then from
another commputer or device on your home network , start the browser on that
device and point it to your raspberry pi.
It may be something like
but you need to find the correct IP address