When Pivoting Becomes a Pitfall
Whatever your problem was, a pivot done badly has big potential for making it worse.
To survive, we entrepreneurs have to be flexible. We have to respond to customer feedback, competitor movement, changing market conditions, new opportunities and so much more.
That's why a lot of people talk about the need for the “pivot.” This now-familiar term is centered on entrepreneurs recognizing the factors above and adjusting their business strategy to meet a shifting business landscape. When used correctly, pivoting keeps a business on course to navigate changing waters.
However, there can be drawbacks to pivoting and it has the potential to capsize a business if not done properly. Often it’s best to stay the original course and weather the storm. The tendency to overreact is where entrepreneurs can get into trouble.
Pivoting too hard, too fast.
Larger companies run the risk of becoming settled in their ways and not adjusting. Entrepreneurs, however, are all too happy to pivot and follow a shiny object.
Abrupt moves are only wise in an emergency. There are times when you have to pivot hard, but that’s only when you’re in a dire situation. I learned this lesson the hard way. At Infusionsoft we considered a change to our pricing model. We conducted some testing on what the effects would be, but in hindsight it was not nearly enough for such a major decision. Our eyes were wide open with excitement at the opportunity of what could happen if we made a shift. We were chasing the shiny object. Read more
Clate Mask - Entreprenuer - 4 June 2017