Zheng Quan Shi Bao Wang·2025-06-13 13:57Core Viewpoint - The scarcity of the Labubu product line from Pop Mart is a strategic advantage, enhancing its market appeal and profitability, rather than a result of artificial scarcity or "hunger marketing" [1][2][3] Group 1: Product Scarcity and Market Dynamics - The recent consumer frenzy for Labubu products has led to conflicts, indicating high demand and potential for increased sales if production is ramped up [1] - Maintaining a level of scarcity is a common practice in the industry, as it drives consumer desire and enhances the perceived value of products [2] - The success of Labubu is attributed to Pop Mart's strong operational capabilities in product design and sales, rather than merely increasing production [1][3] Group 2: Industry Practices and Consumer Behavior - The concept of scarcity is integral to the collectible toy industry, similar to how certain trading cards are designed to be hard to collect, thus stimulating consumer interest [2] - High prices and limited availability can create a buzz around products, making them more desirable, as seen in luxury goods and collectible markets [3] - The presence of counterfeit products, such as Lafufu, highlights the importance of maintaining brand integrity and the risks associated with increasing production [3] Group 3: Financial Performance and Strategic Outlook - Pop Mart is currently experiencing significant profitability, driven by the success of Labubu, but must continue to innovate and manage other IPs to sustain growth [4] - The company faces challenges in maintaining the momentum of its successful IPs, as the collectible toy market is competitive and requires ongoing consumer engagement [4]