In this interview segment, the host asks Sergio Smirnoff (and references Jason) to explain what a pivot means for a startup and how it can manifest. Sergio describes a pivot as a change or adaptation driven by new learning that reveals earlier assumptions were wrong. He emphasizes that pivots can be minor (e.g., adjusting marketing messaging, targeting a different customer segment) or more substantial (altering the product’s positioning or even the overall business plan), but they should still align with the founder’s long‑term vision. The conversation also touches on why pivots are essential—resource constraints, market fit, competition, or team dynamics—and notes that different parts of a company (like marketing) can pivot independently while the broader organization remains stable.
Chapters
Okay, so the companies you've had in the past, you've mentioned you've had several.
Correct.
At any time did you have to pivot with any of those companies, and what was the decision to pivot and why?
Definitely, um, pivot is really fundamental in terms of having a startup, especially within the learning curve and particularly the resources. So in terms of pivoting, it makes sense because in terms of team or for development or market research or even launching your own product into the market, and you have to see how it fits within the users and the clients, and you have to definitely have to pivot to make it work. Sometimes there might be some competitors, or maybe the team might not work. So pivoting is really, really fundamental, and a lot of people don't really realize how important it is.
Actually, let's go back. So I forgot to really even define what pivoting is. Jason or Sergio, do you have a good definition of, in your mind, what it is to pivot?
Well, I would say first of all, it's like change, adapt. So you learn, you understand what's going on because you have like certain kind of like assumptions, and then you realize that the things are not how you expect they're going to be. Okay, so you need to change. So let's say I go in that direction, that's my long-term vision. I'm probably— I'm going to keep going in that way, but in that way, in that path, maybe I need to change lane. So I pivot, I like move myself from the path I was going to. I may— might be like keep going in that way, but in a different way, but not so different. So I'm not changing entirely what I was doing or I was going to go, but it— let's say change. Yes, it's a good—
like, so would this change just be, okay, what we thought we were going to do for the next month or 3 months, we're going to do something completely different? Or could this change be, we were going in this direction, now we're changing the whole business plan and everything to do this? Are those both possibilities?
Well, I would say that maybe depends on what you learn. I think that pivot can be like anything. You can change the customer, you can change the target, you can change how you introduce your product because you realize that the way you are like showing it, you are introducing the product to the customers, is not the right way. Maybe you believe you have like a fit, a customer fit, and it's not. So maybe you just pivot how you say it to a different kind of like people, or maybe like a target. That's a very marketing-like concept. Um, so I would say that can be like mostly everything. Yeah, in a company, from a big, big point of view, or maybe some small pivots.
So you're saying maybe the marketing department alone could pivot, but the rest of the company stays the same?
Well, I believe that yes. You should have a clear vision of your business and where is this headed. The vision is very, very important. Of course, you want to focus within the present term, but you have to see the future vision. And once you see the future vision, that's why a lot of startups, even companies, they kind of, um, make that mistake and kind of tend to forget about the vision because they're too concentrated within the presence. So you want to make sure that you focus within the future terms of the vision, and then while you're pivoting, right, it can be in different perspective of the department. However, the vision is always clear. You could definitely pivot in terms of the market or even make additions to the product to fit in the niche of the, of the market. So once you pivot in that direction, then makes more sense in a lot more clientele or even users will be more entailed to use your product.
