PIVOT YOUR STARTUP

How to pivot your startup

Beware the pivot

The universal wisdom is that all startups pivot.

The un-universal wisdom is that the pivot is the new devil (the old devil is what you are currently doing at your startup). So beware the new devil, the PIVOT. Some pointers from my experiences doing pivots:

1. The known devil is better than the unknown devil. Do not pivot unless your new pivot is absolutely and truly validated. E.g. How Instagram pivoted to a photo sharing app based on actual validation (http://money.cnn.com/2011/09/13/technology/startups/instagram_burbn/index.htm)
2. Do not pivot to differentiate yourself or to emulate a more successful competitor. Make your own rules, have your own vision. E.g. Gowalla got doomed chasing after Foursquare’s metrics (https://medium.com/startup-theories/6152adc41de9)
3. Measure the runway. Pivots are expensive, make sure you have enough runway to go the distance. Else just focus on making the best of what you already have, and exit to start afresh (with the new pivot idea).
4. Beware the greener pivot. All pivots seem greener on the other side of the fence. Once you do a pivot you will realise it is even bigger shit. Focus on solving current problems rather than being wishful that if only you pivot your troubles (e.g. not enough sales) will go away. It is not easier to sell a different product.
5. When you pivot your one foot is still where it was. You are just facing a different direction. Maybe you need to lift booth feet and take a leap onto something else. Something totally different. E.g. If the overall wireless semiconductor market is not doing well and is not conducive for startups, it does not matter if you make a wireless chipset for 3G, or for WiFi or for Bluetooth. You would be better of shifting away from wireless (despite your last decade working in wireless) to building audio chipsets or something not even in semiconductors or wireless.