Core Insights - The article highlights the significant rise of the collectible toy industry, particularly driven by the success of Pop Mart's LABUBU, which has become a global phenomenon since 2024, leading to increased market interest and investment in the sector [2][5][8]. Company Performance - Pop Mart's LABUBU has contributed to a remarkable financial performance, with its revenue from the THE MONSTERS series exceeding 30 billion yuan in 2024, and the company achieving a market capitalization of over 330 billion HKD [5][8]. - The stock price of Pop Mart surged from below 10 HKD in Q4 2022 to 252.6 HKD by June 2025, marking an increase of over 24 times [5][8]. - Other companies in the collectible toy space, such as Blokku, have also seen significant stock price increases, with Blokku's stock rising 40.85% on its debut and reaching new highs [6][8]. Market Trends - The collectible toy market has grown nearly tenfold from 63 billion yuan in 2015 to 600 billion yuan in 2023, with projections estimating it will reach 1,101 billion yuan by 2026 [8]. - The main consumer demographic for blind box toys consists of individuals born in the 1990s and 2000s, who represent 78% of the market and exhibit strong purchasing power [8]. IP Development and Competition - The success of LABUBU is attributed to its unique design and the influence of celebrities, which has helped it break into mainstream culture [4][6]. - Companies are increasingly focusing on IP development, with Pop Mart and others needing to continuously innovate to avoid becoming obsolete [9][10]. - The competitive landscape is shifting, with companies like 52TOYS and KAYOU also exploring overseas markets and developing their own IPs to enhance their market positions [12][15]. International Expansion - Pop Mart's overseas revenue reached 50.66 billion yuan in 2024, a 375.2% increase, with Southeast Asia being the most lucrative market [14][15]. - Other companies, such as KAYOU and 52TOYS, are also expanding internationally, with plans to open stores in Hong Kong and Macau, and to establish a presence in North America and Southeast Asia [15]

Core Viewpoint - The article discusses the rapid rise of Labubu, a character from the THE MONSTERS series, as a new cultural phenomenon and potential global IP, drawing comparisons to Hello Kitty and highlighting its success in various markets, particularly in North America and Europe [9][19][20]. Group 1: Market Performance - Labubu has gained immense popularity, with sales in the U.S. and Europe increasing approximately 8 times and 5 times year-over-year, respectively [18]. - The Labubu 3.0 series achieved a remarkable sales figure of $1.5 million (approximately 10.78 million yuan) in just 8 hours during a TikTok Shop live stream [14]. - In April 2024, the POPMART US SHOP reached monthly sales of $6-7 million (approximately 43-50 million yuan), becoming the top seller on TikTok Shop in the U.S. [15]. Group 2: Cultural Impact - Labubu has been embraced as a "social currency," with limited editions being resold at prices up to five times their original value [4]. - The character's unique design, which breaks traditional cute toy stereotypes, resonates with younger consumers, leading to a viral trend of customization and personal expression [22][31]. - Labubu's association with celebrities like Lisa from BLACKPINK and Rihanna has significantly boosted its visibility and desirability in the fashion world [25][27]. Group 3: Brand Strategy - The success of Labubu is attributed to effective marketing strategies, including localized approaches and collaborations with well-known IPs like Disney and Harry Potter [48][52]. - The character has been given a personality and backstory, enhancing its relatability and emotional connection with consumers [46]. - POPMART's global expansion strategy has led to a significant increase in overseas revenue, with a reported 379.6% growth in 2024 [54][57]. Group 4: Future Prospects - Morgan Stanley predicts that Labubu's sales could grow from 3 billion yuan in 2024 to 14 billion yuan by 2027, indicating its potential as a major global IP [19]. - The company aims to achieve 50% of its sales from overseas markets, with a target of surpassing 10 billion yuan in international sales by 2025 [57][58]. - The ongoing challenges in supply chain management and the presence of counterfeit products pose risks that the brand must navigate to maintain its market position [58].

Core Insights - Labubu 3.0 has sparked a global phenomenon, significantly enhancing its brand recognition and influence in the collectible toy market [1] - The popularity of Labubu 3.0 in overseas markets is driving accelerated growth in the domestic market, with expected revenue growth of 95%-100% in 2Q25 compared to 1Q25 [2] - The U.S. and European markets have become the primary engines for overseas expansion in 2025, with U.S. revenue growth projected at 895%-900% and European revenue growth at 600%-605% [3] - The company has raised its profit forecasts for 2025 and 2026, with a target price adjustment to 293.9 HKD based on a DCF valuation method [4] Group 1 - Labubu has become the most popular collectible toy IP globally, with significant social media presence and demand [1] - The limited sales strategy has led to long queues outside physical stores, further increasing Labubu's popularity [1] - Domestic same-store sales growth in April exceeded that of 1Q25, indicating strong market demand [2] Group 2 - The company has shifted most U.S. orders to Vietnam to mitigate potential supply chain risks from tariffs [3] - The strong brand and product power of Labubu allow the company to pass on potential tariff costs to consumers [3] - The revenue forecasts for 2025 and 2026 have been increased by 17% and 15%, respectively, reflecting a positive outlook [4]