Phenomenal Success of a Local IP Boosts Pop Mart’s Market Value
The collectible toy market is currently experiencing an unprecedented surge, with Labubu, a character from Pop Mart’s “THE MONSTERS” series, at the center of the craze. “Labubu has become incredibly popular, especially the third-generation series—it’s nearly impossible to get one,” fans report as the trend sweeps across global markets.
Labubu’s explosive popularity has significantly impacted Pop Mart’s stock performance, propelling the company into the elite “HK$300 billion club.” Analysts attribute this success to star power and global marketing strategies, while the industry watches to see whether local collectible brands can transform “viral phenomena” into “enduring global classics.”
Retail Madness and Secondary Market Frenzy
With its fuzzy body, pointed ears, and mischievous “nine-toothed” grin, Labubu—a “ugly-cute” elf character said to inhabit Nordic forests—has become Pop Mart’s breakout star. The character’s design, described as “mischievous but kind-hearted,” has captured imaginations worldwide.
The intensity of Labubu mania becomes evident in physical store scenarios. Employees at Pop Mart’s Chengdu IFS location confirm that both the third-generation and Coca-Cola collaboration Labubu figures are currently out of stock. The secondary market reflects even more dramatic demand, with some new Labubu products commanding prices exceeding ¥1,000—more than ten times their original ¥99 retail value—while common variants typically sell for double or triple their initial price.
Financial Impact and Corporate Growth
This collector frenzy has translated directly to Pop Mart’s financial performance. On June 5, the company’s stock closed at HK$243.8, with a minor 0.89% dip, maintaining a total market capitalization approaching HK$330 billion. Statistical data reveals that Pop Mart’s share price has accumulated over 160% growth since the beginning of 2025.
Pop Mart’s 2024 financial report showcases remarkable achievements: annual revenue reached ¥13.04 billion, marking a 106.9% year-over-year increase, while adjusted net profit soared to ¥3.4 billion, representing 185.9% growth. Notably, the THE MONSTERS series, home to Labubu, generated ¥3.04 billion in revenue—a staggering 726.6% increase—surpassing the classic MOLLY IP to become the company’s most profitable franchise and a key driver of stock appreciation.
International Expansion and Cultural Penetration
The brand’s overseas performance has been equally impressive. In 2024, Pop Mart’s international operations (including Hong Kong, Macau, and Taiwan) achieved ¥5.07 billion in revenue, a 375.2% increase, accounting for 38.9% of total income. Labubu has achieved viral status across Southeast Asia and the United States, with the Pop Mart app topping the U.S. App Store shopping chart on April 25 following the Labubu 3.0 series launch. The hype reached such intensity in the UK that physical altercations among customers forced temporary suspensions of Labubu sales across all 16 British locations, a situation that trended on China’s Weibo platform.
Behind Labubu’s Meteoric Rise: Celebrity Influence and Strategic Marketing
Many observers question: “How did Pop Mart achieve such sudden prominence?” Industry analysts identify two critical factors driving Labubu’s global success.
The Star Power Effect
Celebrity endorsements have propelled Labubu from niche collectible to mainstream phenomenon. In Western markets, figures like Rihanna (spotted with Labubu during airport paparazzi shots) and Harper Beckham (daughter of David Beckham) have served as influential ambassadors. Asian markets have seen similar boosts from regional celebrities, creating a cross-cultural appeal that transcends geographic boundaries.
Global Marketing Mastery
Pop Mart’s sophisticated global marketing strategy has been equally instrumental. The company has implemented localized operations and international IP collaborations to adapt Labubu for diverse cultural markets. Notable initiatives include Labubu’s appointment as “Amazing Thailand Experience Ambassador” by Thailand’s tourism authority, limited-edition collaborations with Thai artists, and a Labubu-themed Vans sneaker line. These strategic partnerships have significantly amplified the character’s visibility and cultural relevance.
Industry insiders highlight Pop Mart’s effective “KOL tiered penetration system”: top-tier celebrities generate initial buzz and media coverage; mid-tier influencers within various subcultures deepen engagement; and grassroots recommendation channels ultimately deliver the product to mass consumers. This framework has successfully transformed Labubu from a collectible IP into a broader pop culture phenomenon.
The Psychology of Blind Boxes and Social Media Amplification
The inherent “mystery” and “scarcity” of blind box mechanics create powerful psychological drivers. Consumers experience anticipatory excitement when purchasing unopened boxes, with the reveal moment triggering dopamine releases that produce immediate gratification. Labubu’s hidden and limited-edition variants intensify this effect by manufacturing artificial scarcity.
Social media platforms exponentially amplify these psychological mechanisms. As users flood platforms with posts and videos showcasing rare finds, observers develop “that could be me” mentality, further stimulating collection urges and speculative investment behaviors among consumers.
The Booming Collectibles Industry: Market Anticipates Next Breakout IPs
China’s collectible toy sector has demonstrated explosive growth in recent years, with market scales expanding continuously. According to the “China Collectible Toys and Animation Industry Development Report (2024)” jointly released by the Chinese Academy of Social Sciences’ Finance and Strategy Institute and the China Animation Association, the domestic collectibles market is projected to reach ¥110.1 billion by 2026.
Evolving Consumer Preferences
This market expansion reflects shifting consumer priorities. As living standards improve, purchasing behaviors transition from material consumption toward experiential and emotional fulfillment. Collectible toys—positioned at the intersection of artistic value and investment potential—perfectly satisfy modern demands for personalized, sentiment-driven products.
Local IPs Reshaping the Landscape
Beyond market growth, the rise of domestic IPs is actively reshaping industry dynamics. Following Pop Mart’s lead, TOPTOY—the collectible brand under MINISO—has surpassed 3,000 international locations. Consumers increasingly expect more homegrown IPs to achieve lasting global influence.
Challenges and Future Considerations
Despite Labubu’s worldwide success, significant challenges persist. Scalper speculation, counterfeit proliferation, and quality control issues demand attention. Industry experts emphasize that sustainable growth requires balancing rapid expansion with product integrity, maintaining creative vitality while ensuring IP longevity, and separating genuine market enthusiasm from speculative bubbles. Overcoming these hurdles will determine whether local collectible brands can evolve from temporary sensations into enduring cultural icons.
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