The character 'LabuBu' from China's Pop Mart has become the center of a global investment and consumption craze. In Hong Kong, rare dolls are traded for more than six times their original price, and at an auction in Beijing, an ultra-rare version sold for $150,000, establishing itself as an 'asset doll.' The emergence of customized clothing, meme coins, and lending services has raised discussions about the formation of an 'LabuBu economic zone.'
According to Bloomberg News on the 26th (local time), the popularity of LabuBu has grown thanks to the packaging method called 'blind box.' The mystery element of not knowing which doll is inside has stimulated consumers' repeat purchases, and influencers and celebrities have been quick to showcase the products, generating interest. With global celebrities like actor Brad Pitt and BLACKPINK's Lisa joining the trend, LabuBu has positioned itself not just as a simple toy but as a trend icon. Pop Mart has limited the supply by selling products only through its own stores, which has led to skyrocketing prices in the resale market.
The investment enthusiasm is intense. A Hong Kong insurance planner surnamed Wang provided money to university students to buy dolls and resell them for profit, while young programmers earned thousands of dollars from transactions on secondhand platforms. Mandy Hu, a professor at the Chinese University of Hong Kong, noted, 'Even teenagers perceive LabuBu as an investment product.' In fact, on eBay, LabuBu was searched hundreds of times every hour, and on the online resale platform StockX, it traded at an average premium of 23%.
This craze has elevated founder Wang Ning to the ranks of global wealth. According to the Bloomberg Billionaires Index, his assets have increased by 243% this year alone, reaching $26.2 billion. Starting from a small store in Beijing in 2010, Pop Mart has now grown to a market capitalization of $55 billion. However, some are warning about the possibility of a bubble, comparing this phenomenon to the 'Beanie Babies' boom of the 1990s, when the market collapsed after a short-lived surge.
Criticism also stems from the limitations of the brand itself. Unlike brands with powerful worldviews and media expansion capabilities like Pokémon or Disney, LabuBu is criticized for having a weak character story. Experts emphasize, 'To grow into a global intellectual property over the long term, it should not solely rely on scarcity marketing.'
Nevertheless, Pop Mart continues to pursue aggressive expansion. In the first half of the year, overseas sales increased by 440% compared to the previous year, and the company plans to open an additional 60 stores within the year to enter the mainstream markets in the United States and Europe. The announcement of the new product 'Mini LabuBu' pushed the stock price to record highs, and it was stated that production in China has been increased tenfold compared to the previous year.
Some analyses suggest that signs of overheating are already appearing. On Chinese online platforms, resale prices have dropped by as much as 50% after the supply increase, and sales at some retail stores have declined by nearly 70% compared to the previous month.
However, after the pandemic, the desire for communal enjoyment and scarcity consumption continues to resonate, and LabuBu still captivates the global MZ generation. A collector in New York, who auctions LabuBu blind boxes weekly, said, 'It's more about community and play culture than long-term investment.'
Experts also believe that the message LabuBu sends to the global toy industry is clear, apart from the short-term speculative frenzy. One expert stated, 'Even in the digital age, people still open their wallets for small, simple items that stimulate the desire to 'have.'