A startup changing its business strategy after testing its original idea is making a pivot.
In startup terminology, a pivot is a significant change in product, market, business model, or another strategic element while the company continues pursuing a viable opportunity. The term became especially prominent through the lean-startup movement and Eric Ries’s writing.
A pivot is not simply every small feature update. It usually responds to evidence, such as customer behavior, weak demand, technical constraints, or a discovery that another use case is more promising. Slack’s shift from the game Glitch to workplace messaging is a well-known example.
The word is sometimes used interchangeably with “rebrand,” but the concepts differ. A rebrand changes identity or presentation; a pivot changes a core business direction. A startup may rebrand without pivoting, or pivot while keeping the same name.