Should I pivot my startup?

In my previous post, I listed some of the main reasons for failed startups. On that list was ‘Pivot gone bad’.

I started to think about this, and I thought about the host of startups I have witnessed that have gone from one pivot to the next, without ever reaching their goal. I have been there myself, and when I reflect on my journey, there are times when I should have stayed the course and pushed on through.

Let’s take a step back. When I talk about a ‘pivot’, I am referring to a fundamental change in direction. While this can revive your business, it does mean you will likely start from the beginning and abandon all the previous investments you have put into your startup.

Sometimes when we are stuck, and we are struggling to find the next step, this seems the only way forward. We justify this decision by thinking of all those companies that have successfully pivoted their way to global adoption, like Slack and Instagram. It does however come at a high cost, abandoning all your previous investments, which include time, money, and knowledge.

It is not a decision that should be taken lightly. Here are my suggestions on what to consider when faced with this challenge.

The first step is to look at the foundations upon which your product is built. Start by looking at the problem you are trying to solve, and for whom. Have you got empirical evidence that the problem you are trying to solve exists for your target market? If not, go and get it through research and interviews.

This is the starting point, because if you are not solving a problem for your customers, then your idea is very unlikely to work, no matter how hard to try. You are a prime candidate for a pivot.

However, if you have proven there is a problem to be solved, then the next step is to prove that your solution is a good fit for the problem. Do you have any users who are willing to pay for your product, or have you tested your prototype with your intended audience? If you discover that your solution is not a good fit for the problem, then it needs to be reassessed and a pivot is likely.

However, if you have proven that you have a viable solution, then your business is sitting on a strong foundation. In this case, a pivot is not a good idea. Instead, look at other factors that could be blocking your progress. These could be the wrong pricing model or a poor marketing strategy. These can be fixed with relatively little effort, and it will save you the effort and investment starting all over again.

In conclusion, if you are currently at the point where you are unsure of your next steps and you are considering whether to pivot, start by looking at your foundations. If you have a genuine problem for your target market, and your solution is a good fit for that problem, then keep on going. However, if you find that either your problem doesn’t exist, or your solution is a poor fit for the problem, then a pivot is the advisable option.

Disclaimer: In some cases, you may have built a solution that is a great fit for an unintended problem, and hence you may pivot away from your original target market to a new one. Slack is a great example of this.

Should I pivot my startup?