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Why?
A company pivot entails making substantial changes in your business plans and operations. For many small business owners, pivoting is necessary to improve their product or service or grow their client base. Other enterprises realise that their vision isn’t viable for the long term and are forced to adapt to current consumer behaviours.
Whatever the reason, a creative pivot could be a great way to get your business where it needs to be.
When?
SMEs should consider the strain on their resources before making any major alterations to their business model. It’s also important to determine whether you’re pivoting to get over a temporary issue or will permanently stick to these changes.
The pivoting process involves trial and error to see which business models will work best for your company. However, you need a robust plan in place before you go ahead—about 10% of startups fail because of a bad pivot.
How?
The first step to pivot your business is to recognise your client needs and align your goals to them. For instance, New Balance noticed the lack of protective equipment during the pandemic and now manufactures sturdy face masks.
Develop the plan of action of transforming your operations and take note of your existing resources to optimise them. Once all of this is decided, you can start delivering results.
Let’s see how Singaporean businesses have pivoted successfully in this time.
1. Alchemy Foods – The Food Tech Industry
Alchemy Foods made door-to-door meal deliveries from different restaurants to their customers. After COVID-19, they collaborated with different grocery stores to deliver essentials and water. By teaming up with departmental stores that are barely breaking even, they found an effective way to support the community.
2.SingLife – The Insurance Industry
SingLife curates life insurance policies for their clients. Post the outbreak, they recognised their customers’ insurance needs and pivoted their business to an online platform. They now consult people using channels like Zoom Video.
3. Peatix – The Ticketing PlatformDue to social distancing norms, Peatix saw a decline in the booking of events and shows. Therefore, they reached out to their artists and pivoted to doing live shows online. This way, the company not only kept their business going, but was also able to provide jobs for a vast majority of performers.
4. PropertyGuru- The Real Estate Sector
PropertyGuru mainly focused on scheduling visits and showing around properties to interested clients. With social distancing norms in place, the company now collaborates with homeowners to give a virtual tour of their properties using a video platform.
5. Good School – The Education Industry
Good School delivered quality education facilities and enrichment classes to students in physical classrooms. The company has now leveraged the coronavirus pandemic by providing digital online guides and learning resources.
6. Bar Cicheti – The Food and Beverage Industry
The creative folks at Bar Cicheti have pivoted their business online to provide their dining services to customers during the pandemic. Their delivery boys now bring ready-to-eat food deliveries and do-it-yourself wine and food kits right at your doorstep.
7. Evolve MMA – The Fitness Industry
Evolve MMA used to conduct fitness and mixed martial arts classes in their different students. They now use live streaming systems on Facebook, YouTube and Instagram so that they can deliver workout sessions to people stuck indoors.
8. Tombalek – The Recreation Industry
Tombalek organised wood carving and woodworking sessions all across the city. The company soon pivoted to an online business model to keep its operations running. Making this switch was a huge success, as their woodworking sessions have given people an exciting new hobby to take up during the pandemic.
9. Castlery- The Furniture Space
Castlery has a long history of providing bespoke furniture to clients via a traditional retail model. After COVID-19, they have made use of artificial intelligence to give consumers a virtual tour of their studio and pick up the furniture of their choice.
10. FairPrice – The Retail Industry
FairPrice pivoted from being a store shopping experience to a delivery service called FairPrice on wheels. They invested in vehicles to help customers access essential goods without leaving their houses.
Despite COVID-19, these companies have pivoted successfully in recent times. If you’re planning to pivot your existing business, use these real-world examples for some inspiration.
References:
https://www.alvinpoh.com/how-to-pivot-your-business-during-a-recession/?fbclid=IwAR2-74JRrVPJbtFuRiP7CX-n6CCqqsMLglJ7i6_i_S1xWfFVFUI3cNPg1fU
https://www.forbes.com/sites/jasonnazar/2013/10/08/14-famous-business-pivots/#46ed6af35797