Oct 18, 2024
By: Kapil Yadav
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Today, one of the world's highest-valued companies, Amazon, started as an online retailer of books. It even promoted itself as “Earth’s biggest bookstore.” Back in 1997, when Amazon went public, no one had the slightest idea that it would dominate the e-commerce industry in the future.
Credit: Amazon
American Express wasn’t always a financial services giant and initially, its focus was on express mail that transported valuable goods and currency throughout its home state of New York. It was in the mid-1900s that the company entered into the credit card business.
Credit: American Express
In 2020, Chipotle Mexican Grill reinvented its business by investing in high-margin drive-thru lanes called "Chipotlanes," enhancing service efficiency for mobile pickup orders and accommodating more customers quickly.
Credit: Chipotle
Corning, a leader in glass and ceramics, gained early success in the 1800s by mass-producing glass for Edison's light bulbs. It later developed Pyrex cookware and optical fibres for internet communication. Today, it supplies chemically strengthened glass to major electronics brands.
Credit: Corning
We all know IBM as a leading manufacturer of computing machines and equipment. However, in the early 1990s, due to intense competition and an $8 billion quarterly loss, it pivoted its focus from hardware to software, IT consulting and research. Today, it is one of the most reputed brands in this sector.
Credit: IBM
Netflix started in 1998 as a DVD rental company. In 1999, it introduced a subscription model for unlimited rentals. It was in 2007 that it pivoted to online streaming, abandoning physical media and the step proved to be immensely successful. Today, it is valued at over $210 billion.
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One of the most unique business pivot stories is that of Play-Doh. It was originally sold in the 1930s as a wallpaper cleaner. As demand dipped in the 1950s, the company pivoted to a colourful children's toy. By the end of the decade, it became widely available, and today, Hasbro owns Play-Doh, with over 3 billion cans sold.
Credit: Play-Doh
Slack started as a company called Tiny Speck, which developed the unsuccessful game Glitch. The game was shut down in 2012. However, inspired by the game's inbuilt chat feature, Slack was launched in 2013. It quickly grew, going public in 2019 and reaching 20 million daily active users in 2023.
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Starbucks began in the early 1970s, selling only coffee beans and equipment. Howard Schultz later acquired the company and transformed it into a coffeehouse chain. Today, Starbucks is among the leading coffeehouse chains and its app is a leading loyalty rewards app.
Credit: Starbucks
Founded in 2005 by three ex-PayPal employees as a dating site, YouTube transformed its model after initial setbacks. Google acquired it for $1.6 billion in 2006, and by June 2022, over 500 hours of video were uploaded every minute.
Credit: YouTube