How to Tell When You Need to Pivot
It’s quite hard for most entrepreneurs to admit that their original ideas and products were off or something went wrong down the road. However, change is a crucial part of operating a successful business, especially a startup. While most successful startups and business have pivoted, the whole process is not a walk in the park. Turns out, the hardest part is knowing when your business is due for a pivot.
Do you feel that your business is stuck in a rut? Are you wondering if pivoting is the right move? Here are 6 surefire ways to tell when to pivot.
1. Your loyal customers are no longer excited or Enthusiastic about your Products
In the startup era, most businesses are forced to enter the market early and fast. The trouble is that your products and campaigns might not get the right buzz before they hit the shelves. Often that happens when entrepreneurs focus more on the products than what the customer likes to purchase.
The truth is even established products can fall out of favor from customers. It can happens to even the most popular brands. When that happens, when the typical customer loses interest in you, it’s time for you to think seriously about pivoting.
2. Your target customer and market’s needs are changing
As the markets evolve, you need to pivot your startup or business to satisfy changing needs of your customers. This is especially important as disruptive technologies like Blockchain, Share Economy, and mobile technology continue to change the face of business. It’s best to pull double duty — keep a tab on both the evolving market and your customer needs. This way, you can pivot your business and meet your customers where they want you to be.
3. You’re no longer serving the best interests of your target market
Like technology, target market needs are continually changing. If your target market wants to be served in a different way, you should oblige. To adapt to these changes in the target market, you need to pivot to serve the desires of your audience.
4. You’re constantly handling complaints and problems
If you’re putting out more fires than ever, it might be time to pivot your business. Perhaps you are taking heat from all sides — complaints about your products, customer service, and whatnot.
5. You profits, process, and people are plummeting
If profits, process, and people are declining, it may be time to discuss the possibility of a pivot. Are you finding it hard to retain star employees? Is your workplace culture overly critical? Have your processes become too inefficient? If you’re behind on profits, market trends, processes, and so on, it’s time to take action.
6. Your business has stopped growing
Here’s a no-brainer indicator that you need to pivot. You see, consistent, year over year, growth is a good sign that what you are doing is working. If the reverse is happening, your business must pivot so you can pull out of a downhill slide.