What do you do when a market shifts? When a competitor switches gears or merges out of the blue? When something in your “Threats” column becomes a reality? That is the time to pivot.
A perfect example is the astonishing changes we’ve recently witnessed in the political arena. The President dropped his bid for re-election and a new candidate is being backed. What are they doing on both sides of the aisle? Pivoting.
We help companies pivot all the time. It happens when the economic landscape continues in uncertainty and when a plan just isn’t panning out. A well-executed pivot can not only help a business survive – but thrive – by adapting to new market realities and seizing emerging opportunities.
Types of Pivot Strategies
When a company pivots, they are altering course or shifting product/service offerings to adapt to market changes and achieve greater profitability. A sound pivot includes diving into the company’s fundamentals, which is: their values, target markets, differentiation, and offerings to creatively determine where they can shift to be successful.
Here are some ways we’ve helped B2B companies pivot:
1. Expand Product/Service Offerings
Expanding your product or service offerings might involve developing new products or enhancing existing ones to meet the changing needs of your customers. Although not our client, a good example of this is QuickBooks, originally an accounting software, which has expanded its suite of products to include payroll services, payment processing, and time tracking, thus catering to a broader range of business needs.
Closer to home, our agency has helped companies on the services side by first developing the potential “Opportunities” in their SWOT analysis (Strengths, Weaknesses, Opportunities and Threats) in their strategic marketing plan. We then keep a close eye on the solutions they offer in order to stay ahead of the curve and ready to respond to the ever-changing needs of their clients.
Products also have the capacity for expansion and modification. Read how we crafted a name, logo and website and brought a new product to market in just six weeks after the client developed it in order to expand into a new segment of their business.
2. Diversify Product Usage
Another pivot strategy is to find new uses for your existing products or services. This approach not only increases the value of your product, but also opens up new customer segments, enabling you to tap into markets that you hadn’t previously considered.
One of our clients specializes in concrete waterproofing and repair for parking garages and discovered another repair need that wasn’t being addressed by their competitors. To meet the need, they invested in expert training and certification for post-tension repair services for the customers they already serve. Coupled with a successful messaging campaign, they have secured new customers and have now become known as the Front Range leader for this service.
3. Re-Package or Re-Brand
Sometimes, a fresh look or a new message is needed to attract a broader audience. Re-packaging or re-branding can reinvigorate your company or product’s market presence and expand its appeal. This strategy can help modernize your company’s image and unify your messaging to better connect with your target market.
One of our clients in the healthcare space had been operating under an old, outdated brand even though they wanted to attract bigger clients and set themselves up for an attractive M&A. We worked with them on their brand and messaging, and they’ve since entered into talks that would fulfill their expansion goals.
Another company realized that throughout years of change, their company name no longer encompassed all they were offering. We helped them rebrand to elevate their position in the industry.
4. Enter New Markets
Expanding into new markets might involve geographic expansion, targeting a different industry, or appealing to a new demographic.
We helped one of our clients who had just purchased a 30-year-old company pivot from a strictly government target audience to working with private companies. This was accomplished by completing a competitive overview, a thorough SWOT analysis, and developing a marketing program to launch the company in the new space and reach the right target audience. Read more here.
In another instance, a non-profit called on us to revive their logo and website to attract high-level executives.
How to Approach a Pivot
Once you’ve decided that a pivot is what your company needs to get to the next level, it requires careful planning and execution. Based on our decades of experience, we have a few essential tools and strategies to help guide your pivot:
A Pivot Marketing Plan
A well-crafted marketing plan is crucial for a successful pivot. It outlines your target audience, marketing strategies, budget, and metrics. Your pivot marketing plan will help you get into alignment with your revised core messaging, how you are different from your competitors, and your SWOT so you can understand your current landscape and make informed decisions about the best direction moving forward.
Check out my recorded webinar recorded webinar from The Alternative Board’s Town Hall on how to conduct a here-and-now SWOT analysis and decide which way to pivot based on the results.
Tracking and Business Pacing
Tracking your progress is crucial for maintaining forward momentum. Just like Olympic athletes track their performance to focus on areas of improvement, businesses need to track their metrics to ensure they are on the right path. Regularly reviewing key performance indicators (KPIs) can help you adjust your strategies and stay on track. This is true throughout normal business growth initiatives and pivot strategies alike.
The concept of business pacing, as discussed in our blog The Tortoise & The Hare: How to Win the Business Race, emphasizes the value of intentional planning and execution combined with steady, sustainable growth.
Next Steps
In any economy, a pivot strategy can be a game-changer for B2B companies. By expanding or diversifying product offerings, re-packaging or re-branding, or entering new markets, businesses can adapt to changing competitive conditions and find new paths to success.
The team of experts at 5280 Accelerator provides guidance and direction to help ensure a smooth and effective pivot. Embrace the opportunity to pivot, and your business can not only weather the storms but emerge stronger and more resilient. Reach out if you’d like some guidance on your next pivot.