Investment Rating - The report indicates a positive outlook for the Chinese潮玩 (trendy toy) industry, with a projected compound annual growth rate (CAGR) of 20.9% from 2025 to 2030 [3][13]. Core Insights - The潮玩 industry in China is experiencing rapid growth, with retail sales increasing from 20.7 billion RMB in 2019 to 58.7 billion RMB in 2024, achieving a CAGR of 23.2% [13][18]. - The market is expected to grow from 82.5 billion RMB in 2025 to 213.3 billion RMB by 2030, driven by consumer demand for emotional and cultural connections through products [13][18]. - Key growth segments include搪胶毛绒 (rubber plush toys) and手办 (figurines), with market shares projected to rise significantly by 2030 [15][18]. Summary by Sections 1. Offline Exhibitions Enhance Brand Exposure - The Wonder Festival 2025 showcased over 400 exhibitors and attracted more than 120,000 attendees, highlighting the growing consumer interest in潮玩 [6][9]. - Upcoming exhibitions like the CTE China Toy and潮玩展 are expected to gather over 2,500 exhibitors and 5,400 brands, further promoting the潮玩 industry [9][10]. 2. Market Growth and Projections - The潮玩 industry is projected to reach a retail value of 58.7 billion RMB in 2024, with expectations of continued growth at a CAGR of 20.9% through 2030 [3][13]. - The market is characterized by a relatively fragmented structure, with the top five retailers holding a combined market share of 20.7% [18][19]. 3. Company Developments - The report highlights柏星龙's establishment of龙衍文创 to explore consumer-facing cultural products, with plans to launch innovative products like the second-generation "独眼星球" plush toy in late 2025 [25][26]. - The company is focusing on product-driven sales strategies rather than heavy marketing expenditures, indicating a shift towards leveraging product quality and consumer engagement [25][26]. 4. Market Valuation Trends - The median price-to-earnings (P/E) ratio for the broader consumer sector on the北交所 has decreased from 57.2X to 56.2X, reflecting market adjustments [40][41]. - The total market capitalization of consumer service companies on the北交所 has seen a decline, indicating potential volatility in the sector [34][37].