Core Insights - LABUBU has become a global sensation, attracting attention from celebrities and consumers alike, symbolizing a significant breakthrough for Chinese cultural brands in the global market [1][5][7] - The rise of LABUBU can be categorized into three phases: initial popularity in Southeast Asia, expansion into the European and American markets, and a strong resurgence in the domestic market [5][10][11] Phase Summaries - **Initial Popularity**: LABUBU gained fame in Southeast Asia, particularly in Thailand, driven by influencer marketing from celebrities like Lisa, which led to a peak in Google search interest [5][7] - **Expansion into Western Markets**: In 2024, LABUBU's parent company, Pop Mart, focused on penetrating North America, achieving significant revenue growth of 726.6% year-on-year, with LABUBU becoming the top IP for the company [7][10] - **Resurgence in Domestic Market**: Following international success, LABUBU sparked a buying frenzy in China, with social media buzz driving consumer interest and sales [10][11] Key Events - April 24: LABUBU launched its third-generation plush product, leading to a surge in social media interest and app downloads [11][18] - May 2025: The product's popularity resulted in a secondary market where prices doubled, indicating high demand [11][18] - June 8: Pop Mart's founder became the richest person in Henan, highlighting the financial impact of LABUBU's success [17][18] Market Dynamics - LABUBU's success is attributed to effective IP management and marketing strategies, including leveraging social media and celebrity endorsements to enhance brand visibility [30][31] - The company is exploring new content projects and expanding its IP universe to maintain consumer engagement and brand longevity [27][33] Industry Context - The Chinese toy market is projected to grow significantly, with LABUBU representing a key player in this expanding sector [23][30] - The phenomenon of LABUBU illustrates the potential for Chinese cultural products to compete on a global scale, marking a shift in the international perception of Chinese brands [1][5][30]

据界面新闻报道， 泡泡玛特正在美国对便利店连锁品牌7-Eleven提起诉讼，指控其销售LABUBU玩 偶的假冒版本 。泡泡玛特公司对界面新闻证实了此事。 据此前报道，有美国女生在社交平台上发布短视频称，自己在美国的7-Eleven便利店买到了假 货"LAFUFU"，视频画面中成排的假冒LABUBU被摆在货架上，而每个售价为25美元——几乎与正 版原价相同，但无论是包装还是玩偶本身都粗制滥造。 ...

Investment Rating - Investment recommendation: Outperform the market (maintained) [8] Core Viewpoints - The report highlights the successful transition of the company from online education to the trendy toy market, with its brand WAKUKU gaining significant popularity, topping various sales charts [5][9] - The strategic acquisition of Letsvan for 235 million RMB has allowed the company to enter the high-growth trendy toy sector, which is expected to complement its existing education business [11][51] - The global IP toy market is projected to reach 525.1 billion RMB in 2024, with a CAGR of 9% from 2020 to 2024, indicating a robust growth opportunity for the company [11][46] Summary by Sections Transition from Online Education - The company faced challenges in its core online education business, with a revenue decline of 24.6% year-on-year, prompting a strategic shift [10][31] - As of March 31, 2025, the company had 1.45 billion registered users, but the growth momentum was weakening due to rising competition and marketing fatigue [10][28] - The company adopted a "quality over quantity" strategy, focusing on high-value users and improving product offerings, resulting in a 34.4% reduction in marketing expenses [35][36] Entry into Trendy Toys - The company recognized the potential of the trendy toy market, which is characterized by emotional consumption trends among younger consumers [47][48] - The acquisition of Letsvan has positioned the company to leverage its operational capabilities from the education sector in the toy market [52] - WAKUKU's pricing strategy, with products priced between 59-98 RMB, effectively targets entry-level consumers and fills market gaps [55] IP Economy and Opportunities for Traditional Companies - Traditional stationery companies are encouraged to enter the IP economy, utilizing their established supply chains and design capabilities to capture new growth [61] - Companies like Morning Glory and Guangbo have the potential to thrive in the IP derivative market due to their strong brand recognition and existing distribution channels [61][62] - The report suggests that the rapid growth of the trendy toy market presents significant opportunities for companies willing to innovate and adapt [62]

Core Insights - Pop Mart's market value has surged to over 300 billion RMB, with its stock price increasing up to 17 times in just over a year, indicating a phenomenon that resembles a consumption bubble rather than a straightforward business success [1] - The allure of Labubu lies in its ability to create an illusion of accessibility to a lifestyle associated with the top 20% income earners, driven by celebrity endorsements and social media [1][3] - The new consumerism trend allows ordinary individuals to feel a temporary blurring of class boundaries through ownership of celebrity-endorsed products, similar to past consumer behaviors where status was derived from brand logos [1][3] Consumer Behavior - 65% of female consumers purchase Labubu not for practicality but for the social status it confers, comparing themselves to celebrities rather than peers [3] - Labubu serves as a symbol of shared experiences for couples, representing memories and rituals rather than the physical product itself [3][4] - The emotional significance of Labubu is fleeting, akin to past trends where items once cherished lose their value over time [4][6] Marketing Strategy - Pop Mart effectively leverages scarcity and exclusivity through limited and collaborative releases, particularly appealing to female consumers who use these products as social currency [6][8] - The brand's strategy of making non-essential items into status symbols is a clever manipulation of consumer vanity, allowing access to a sense of luxury at a lower price point [8][9] - The company aims to transform Labubu into a long-lasting intellectual property, although this ambition conflicts with the fast-paced nature of fashion and consumer trends [11][12] Market Dynamics - The essence of fashion is conformity, and Labubu's value as a social currency is tied to immediate gratification, which can quickly shift with new trends [12] - Pop Mart's ability to maintain interest in Labubu through continuous product launches may only provide temporary relief from the inevitable decline in consumer interest [12]

Group 1 - Emotional value is driving consumer growth, with 99.9% of respondents willing to pay for emotional value, particularly for "emotional support" services [1] - The domestic healing economy market has reached 10 trillion yuan, growing at an annual rate of 10% globally, with healing home products seeing sales growth exceeding 40% [1][5] - The rise of emotional consumption is influencing retail business models, with shopping centers needing trendy brands to attract more foot traffic [1] Group 2 - Emotional consumption is becoming a necessity, with the proportion of spending on emotional consumption increasing by nearly 8 percentage points among those spending 21%-30% of their total [3] - The distribution of trendy toy brands is widespread, with over 350 stores operating in Shanghai, reflecting structural changes in the Chinese consumer market [3] - The healing economy is a significant segment of "new Chinese consumption," with a focus on cultural narratives and the aesthetics of slow living [5] Group 3 - The global healing economy is expected to reach $7 trillion by 2025, with the essential oil massage industry projected to reach $34.6 billion by 2030 [5] - The rise of the healing economy is driven by a shift from functional needs to emotional healing, particularly among Generation Z [5] - The market for aromatherapy is rapidly growing, with annual consumption growth rates of 20%-30%, and a "SPA + retail" model emerging [5]

Group 1 - Dongguan has become a significant hub for trendy toys, producing 85% of the country's trendy toy products and a quarter of the global anime derivatives, supporting a cultural consumption market worth hundreds of billions [1] - Wangbowang Industrial Co., Ltd. is a leading player in the industry, successfully capitalizing on popular IPs like the Beijing Winter Olympics mascot "Bing Dwen Dwen" and the upcoming film "Nezha: The Devil's Child" [1] - The company faced financing challenges due to a lack of collateral, prompting the People's Bank of China in Dongguan to innovate a "trendy toy copyright loan" product to support financing through intellectual property pledges [1] Group 2 - Dongguan Bank aims to establish a comprehensive credit mechanism for the trendy toy industry, focusing on empowering various segments of the industry chain [2] - The People's Bank of China in Dongguan has implemented several measures, including the "Eight Policies of Dongguan," to support the development of trendy toy enterprises [2] - As of June 2025, 84 out of 234 key trendy toy enterprises in Dongguan received financing support, with a loan balance of 1.434 billion yuan, reflecting a year-on-year growth of 15.4% [2] Group 3 - The People's Bank of China in Dongguan plans to promote specialized financial products tailored to the "light asset, heavy copyright" characteristics of the trendy toy industry, creating a full-chain financing support scheme [3]

Core Insights - The female-oriented gaming market, particularly with nurturing and otome games, is experiencing significant growth, evidenced by titles like "Shining Nikki" and "Love and Deep Space" surpassing established games like "Honor of Kings" in sales rankings [1][2] - The launch of the new brand DearNikki by the game company Paper Games, along with the successful release of the "Dream Weaving Prologue" blind boxes, indicates a strong market potential for female-oriented games in the collectible toy sector [1][2] - The collaboration with X11 for offline distribution has proven effective, with rapid sellouts and high consumer demand for the blind boxes, showcasing the popularity of the "Nikki" series [2][3] Market Performance - The initial online release of the "Nikki" blind boxes sold over 60,000 units within hours, with total sales exceeding 80,000 units shortly after [2] - The blind boxes are priced at 79 yuan each, with a height of approximately 13 cm, which is competitive compared to similar products in the market [2] - Offline sales through X11 stores have also been strong, with rapid sellouts and frequent restocking, indicating sustained consumer interest [3][5] Consumer Behavior - The blind boxes initially faced slow sales but quickly gained popularity, leading to frequent restocking due to high demand [5][6] - Players express a preference for purchasing blind boxes in-store, where they have a chance to find hidden variants, enhancing the shopping experience [5][10] - The quality of the blind boxes has received mixed reviews, with some consumers demanding refunds due to quality issues, while others are more forgiving given the price point [11] Industry Trends - The female gaming demographic is growing rapidly, with female players in Asia accounting for 37% of the total gaming population and showing an annual growth rate of 11% [12] - The market for female-oriented games in China reached 16.62 billion yuan in 2022, reflecting a year-on-year growth of 12.8% [12][14] - The success of the "Nikki" blind boxes suggests a potential for further expansion into the collectible toy market, which could provide additional revenue streams for female-oriented games [16]

机构：第一上海 研究员：李卓群 1H 业绩整体表现超预期：7 月15 日泡泡玛特发布1H 业绩预告，预计收入同比增长不低于200%（根据 测算对应收入不低于136.7 亿元，Q1/Q2 同比增速分别约为170%/230%，Q2 较Q1 增速进一步提升）， 净利润（不包括未完成统计的金融工具的公允价值变动损益）同比增长不低于350%（根据测算对应净 利润不低于43.4 亿元），超市场预期。公司业绩同比大幅增长主要由于：1）公司品牌及旗下IP 在全球 认可度进一步提升，多样化的产品品类促公司收入增长，各区域市场收入均实现持续高速增长；2）海 外收入占比持续提升，收入结构的变化对毛利、净利均产生积极影响。同时，规模效应使净利润显著增 加；3）持续优化产品成本，加强费用管控，提升盈利能力。 净利率创新高：基于1H 收入和净利润预期下限测算，公司上半年净利率约为32%，同比大幅提升约 10pct，创历史新高。公司盈利能力显着提升主要受益于同店业绩的快速增长优化了经营杠杆，也使规 模效应得到充分发挥。同时，高利润率的海外业务占比持续提升，其中北美市场表现尤为突出，在明星 效应和社交媒体传播的双重推动下实现爆发式增长。值得 ...

Group 1 - The company is expected to achieve a revenue growth rate of at least 200% in H1 2025, with corresponding revenue of approximately 13.67 billion yuan and a profit growth rate of at least 350%, leading to a profit of around 4.34 billion yuan, resulting in a profit margin of about 31.7%, an increase of 10.6 percentage points year-on-year [1] - The IP ecosystem is undergoing a comprehensive upgrade, with the Labubu 3.0 second-hand market prices stabilizing. The popularity of top IPs is driving sales for other IPs, such as Xingxingren and Crybaby, indicating potential for replicating Labubu's success [1] - The company has launched new products in the soft rubber category, with positive market feedback, including the HACIPUPU gummy bear and SP light-weaving plush accessories [1] Group 2 - The domestic market is expected to continue its strong performance, while the overseas market is expanding with new store openings. The company has received good sales feedback for new product lines, including Labubu, DIMOO, and PINOJELLY [2] - The brand's influence in the North American market is growing, aided by celebrity endorsements, and the sales momentum is still on the rise, with the Crybaby IP expected to replicate Labubu's overseas success [2] - The company has diversified its business model with various formats such as parks, jewelry, and pop-up stores, indicating significant potential for IP derivatives and a strong operational capability across the entire IP value chain [2]

Group 1 - The core viewpoint of the articles emphasizes that going global has become a collective choice for Chinese companies to break through growth boundaries, with various companies like Pop Mart and CAT Games leading the way in cultural expansion and product offerings [1] - A survey indicates that 86% of responding companies have plans to expand overseas in the next three years, highlighting the current favorable conditions for Chinese enterprises to venture abroad [2] - Zhang Huarong, Chairman of Huajian Group, shares his philosophy on how companies can survive and thrive in international markets, emphasizing the importance of internal management and cultural adaptation [2][4] Group 2 - Zhang Huarong's journey from a small shoe workshop in Jiangxi to becoming a major player in Ethiopia's shoe manufacturing industry illustrates the potential for success through strategic international expansion [5] - The Huajian Group has achieved significant milestones in Ethiopia, with a peak workforce of 12,000 employees and accounting for 65% of the local shoe industry's exports, demonstrating the impact of effective management and cultural integration [6] - Zhang identifies two key criteria for selecting overseas markets: low labor costs and favorable tariff conditions, which are essential for maintaining competitiveness [7] Group 3 - The current era is characterized by the rise of artificial intelligence and industrial expansion, with Southeast Asia and Africa being highlighted as promising regions for Chinese companies to explore [7] - Singapore is positioned as a strategic hub for Chinese enterprises, with a strong track record of attracting foreign direct investment and facilitating trade agreements, making it an ideal location for regional operations [8] - Zhang plans to establish a research institute in Singapore to support Chinese companies in their overseas endeavors, leveraging the country's resources to foster regional partnerships [8] Group 4 - Zhang Huarong expresses a desire to mentor the next generation of industrial leaders rather than starting a new venture himself, indicating a commitment to sharing his extensive experience in international business [9]