Fever to fatigue? Pop Mart is actually happy that Labubu resale prices are dropping

Core Insights - The secondary market for the Labubu toy is experiencing a significant downturn, with resale prices dropping by half or more, leading to panic-selling among scalpers [2][3] - Pop Mart, the company behind Labubu, views the market crash as a positive development, emphasizing their focus on making art accessible rather than catering to profit-driven resellers [2][3] - The company aims to shift towards a more sustainable business model, moving away from promoting high resale prices that can alienate genuine customers [3][4] Company Strategy - Pop Mart's strategy includes fostering a connection between consumers and the art of their products, rather than encouraging speculative purchases [2][3] - The company acknowledges that a market driven solely by profit is unsustainable and detrimental to long-term customer relationships [3] - The shift in strategy is intended to prevent the company from becoming a "one-hit wonder" and to ensure lasting popularity and customer loyalty [4] Market Dynamics - The initial surge in resale prices significantly boosted the popularity of Labubu, but this model is deemed unhealthy for long-term growth [4] - The company is now focusing on creating a stable market environment that prioritizes genuine customer engagement over speculative trading [3][4]