MoonFox Analysis -- Ne Zha 2 Rages Across the Sea, Sparking the First Frenzy of the Year in the "Goods" Community

Box Office Performance - The animated film Ne Zha 2 grossed RMB 4.839 billion during the 2024 Chinese Spring Festival movie season and exceeded RMB 12 billion in total box office revenue, ranking among the top 9 highest-grossing films worldwide [1] - The 2025 Spring Festival movie season generated a total box office revenue of RMB 9.51 billion, an 18.6% increase compared to the 2024 season, with Ne Zha 2 contributing over 50% of the total revenue [5] - The total box office revenue in China for 2024 was RMB 425 billion, reflecting a decline from previous years [3][4] Industry Trends - The Chinese film industry is transitioning from a focus on box office revenue to nurturing intellectual properties (IPs) and building ecosystems around them [2][11] - The success of Ne Zha 2 illustrates a shift towards an ecosystem-based competition model, where derivative products play a crucial role in revenue generation [12][18] - The film industry is witnessing a trend where revenue from derivative products is expected to surpass box office earnings in mature markets [18] User Engagement and Market Dynamics - The Average Daily Active Users (DAU) of the Taopiaopiao app reached 1.968 million during the 2025 Spring Festival, reflecting a 15.2% increase from 2024 [5] - The DAU of Pop Mart's "Blind Box Machine" applet peaked at 770,000 on February 7, 2025, marking a more than fivefold year-on-year increase [13] - The popularity of derivative products is reshaping the profit model of the film industry, elevating the status of China's IP derivative product market to a core battlefield [12][18] IP Ecosystem Development - Ne Zha 2's success is attributed to its dual upgrades in technology and culture, along with a wide range of spin-off products [9] - The film's official team launched user-generated campaigns across multiple platforms, creating a full-cycle experience of "Watching Films - Consumption - Social Engagement" [9] - Building an IP ecosystem requires simultaneous development of technology, derivative product creation, and user engagement across multiple dimensions [10]