Launching a new business is extremely difficult and knowing when something is not working is even more difficult to navigate or to come to terms with.
Many people out there who end up getting stubborn and as a result of this try to convince themselves to believe that they have the right business idea and that the rest of the world is at fault.
Sometimes, you might have the best idea in the world but if it’s not gelling with what people want, then what is it worth? Nothing. What you need to do in this situation is pivot.
Pivoting your business doesn’t always mean making massive changes. A pivot can mean small, incremental, meaningful changes. But knowing when to do it is key.
Here are some major signs that it might be time for you to change the direction of your business to ensure that it becomes more successful in the future and even more importantly avoid closing its doors.
There Is Too Much Competition
If the space your business is competing in has reached the point of market saturation, then it would be appropriate to pivot. This could be accomplished by simply looking around at your competitors and working out what makes them all the same in order to work out what you can do to separate yourself from the pack.
In some cases, it will require more resilience and shifting the entire focus of your business.
For example, take the one thing that you know you do better than anyone else in your industry and sell that to your competitors as your product. Make your competition your new customers.
Your Customers Aren’t Responding
One of the most painful moments for any entrepreneur is when you go to market with a product and the world greets you with a resounding, “meh”.
If you find yourself experiencing this it is important to ask yourself whether this means your product is awful and you should pack up and go home? Maybe. But first, take a look at how your product is being marketed to your customers.
One issue could be that the messaging around your product isn’t hitting the mark. Whether this is the tone or wording or something else completely, you should check your marketing materials and see if you need to shift your angle before giving up on the idea completely.
Your Perspective of The Industry Has Changed
Getting your product to gain traction can take a lot of time and one situation you might run into is launching a product or service into a market that’s changed and your product is no longer necessary. This is especially common in emerging industries as they’re at the beginning of the innovation curve.
If this sounds familiar, then you need to think of your product as a means of education, pivoting into the role of teacher thus guiding your customers and teaching them the value your product provides to them and why they need it.
This isn’t the only pivot you can make in this particular situation.
As newer industries are evolving, you might see something on the horizon and just have a gut feeling about the future of your industry. It might not align with the direction your company is currently heading but it could be a great opportunity to test out your hunch.
If you’re facing some of these signs, it might be time to rip up that handbrake and change your course. Be brave and trust your gut. You know your business better than anyone in the world.
Calculate the risks and think about the worst possible scenarios. You should also keep in mind that the more mistakes you make, the less fear you will have to keep trying out new ideas.
The team at C&D Restructure and Taxation Advisory are here to help. As part of the Vault Group we can offer the full suite of financial products and advice to help you navigate the business landscape. Schedule a meeting here via Calendly or give us a call on 1300 1 VAULT (1300 182 858)
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