I think it's an interesting way to consider stocks to buy. Not that it's a guarantee of success. There are certainly companies that make something totally addictive or so smooth that consumers don't want to go without it, but that doesn't mean the stock will be successful. Management could still be bad, or maybe there just isn't a business model to properly monetize the product.
Nevertheless, what are some products or brands that you fell in love with when first trying them? That made you say “I'm never going back to the old way of doing things”? Or which you don't think can be replaced by competitors?
Some of my examples (not all are publicly listed companies):
- Klarna, it makes checking out online so simple. This is one where you'll hear many people say that they are addicted to a product.
- Wise ($WISE.L), an example of “good product doesn't guarantee the success of the stock”, as they are down a huge amount since their direct listing. Nevertheless, I still love this company – the first time I used it for cross-currency payments I couldn't believe how easy they made everything.
- Etsy ($ETSY), it's really perfect for the specific type of gift that is their niche, and I've never found a platform with a similar selection
What are your examples?
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