Sugarman Trigger #11 - Current Fads
Sugarman says that keeping an eye on current fads can help you determine what category of product is popular.
It also helps you keep track of what trends will rise and fall (and can therefore be good business, or bad business).
He also says fads tend to come quickly, and go quickly. So it's wise to exploit a fad when you see it starting, but then get out quickly whilst on top. Of course hindsight is 20/20 (just like knowing when to exit a hot stock is hard to do in the moment), but you can see the rise and fall of some trends very clearly:
Glad I didn't go "all in" on fidget spinners 😂
Sugarman would keep a close track on fads, and noticed that a lot of hot products during a period were all fitness related. He noticed this meant a whole resurgence in the idea of fitness, and then successfully sold many different products in that category. He knew health was becoming a bigger thing because he kept a close track on fads.
Image Description
The image displays a Google Trends graph showing the search interest over time for "fidget spinners," illustrating a sharp spike followed by a rapid decline, highlighting the transient nature of fads.
Positive Aspects
The Google Trends graph perfectly complements the text by visually emphasizing the rapid rise and fall of fads, making the concept more tangible and immediate for readers. It's a clear example that reinforces Sugarman’s point about the fleeting nature of market trends.
Key Takeaways
- Monitoring current fads can reveal popular product categories and potential business opportunities.
- Fads emerge and vanish quickly; seizing the moment is key to capitalizing on these trends.
- Historical data, like Google Trends, can help identify and predict the lifecycle of fads.
Additional Insights
Keeping an eye on trends is like surfing—you have to catch the wave at the right moment. Joe Sugarman’s approach underscores the importance of timing in business. It's not just about spotting a fad but knowing when to ride the wave and when to paddle out before the crash.
