The Rise of Pop Mart to International Prominence through Labubu Dolls From Tiny China Store to $40B Toy Empire

Founded in 2010 by 23-year-old entrepreneur Wang Ning as a little toy shop in China, Pop Mart has expanded into a colossal enterprise with a market capitalization of US$40 billion, mostly due to the acclaim of its Labubu mascot.

Wang Ning

The Beijing-based toymaker is seeing significant global success driven by blind boxes, toys featuring Labubu—a Nordic, mischievous, monkey-like forest elf with a broad smile—and other designer collectibles. The brand is very popular in the U.S., with their Labubu toys attracting extensive queues of consumers and reselling for prices ranging from $40 to $200.

Emily Brough, the head of intellectual property licensing for the Americas, said Fortune magazine that in the U.S., families have been lining up at 6 a.m. for store openings, with novice collectors acquiring blind boxes alongside experienced enthusiasts.

"Pop Mart aims to open 50 stores in the U.S. this year, resulting in an expanding community."

As reported by Caixin Global, the corporation currently holds the position of the third-most-valuable intellectual property brand globally, following The Walt Disney corporation and Nintendo.

Despite Pop Mart's current operation of over 530 stores globally, management of an entertainment park in Beijing, and a membership base of 46 million shoppers in China, its success sprang from a little business established by a teenage entrepreneur.

Merely one year after completing his advertising degree at Zhengzhou University in 2009, he inaugurated Pop Mart’s inaugural shop in Beijing’s Zhongguancun district, a technological hotspot frequently referred to as China’s Silicon Valley.

Motivated by Hong Kong's Log-On retail chain, which offers a variety of stationery, cosmetics, and electronics, his store first specialized in toys, comics, and mobile accessories.

By 2014, Wang recognized further possibilities in the realm of collectibles. He initiated contact with artists to develop exclusive toys and achieved a significant breakthrough by collaborating with Kenny Wong, the Hong Kong-based inventor of "Molly"—a doll characterized by large turquoise eyes and a bob hairdo that had already garnered a dedicated fanbase. Wang proposed to elevate Molly to a more prominent platform inside the Pop Mart brand.

Wang said Forbes, "I advised Kenny that a larger stage is necessary," as Forbes recently ranked him the 10th richest billionaire in China, with a net worth of $22.7 billion, coinciding with Pop Mart's market capitalization exceeding $46 billion.

However, the product line featured a unique aspect: it was marketed in "blind boxes," indicating that purchasers would be unaware of the specific character they were acquiring. The element of surprise resonated with purchasers.

"Blind boxes differ significantly from my previous experiences," stated Nicole Song, 38, a dedicated enthusiast of Pop Mart. "I appreciate the design of the toys, and upon opening the boxes, the experience resembles a gamble."

Although observers credit a significant portion of the toymaker's success to this package format, founder Wang Ning contends that the allure is more profound.

"The designer toy, the intellectual property, and the narrative surrounding blind boxes are of paramount importance," Wang informed Xinhua News Agency.

"The allure lies not in the blind box itself, but in the characters contained within, which embody some of China's most appealing consumer intellectual properties."

Pop Mart launched its market presence in Hong Kong in late 2020, securing $676 million in an IPO that appraised the company at $12.5 billion, thereafter aiming for the global market.

Although Molly is Pop Mart's most prominent character domestically, Labubu has captivated the global market with its "ugly-cute" aesthetic. Conceived by Netherlands-based artist Kasing Lung, the mascot has emerged as the brand's top-selling intellectual property globally.

Image: joemari5

The figure attained worldwide prominence last year, somewhat aided by Lisa of Blackpink. In April, the K-pop diva uploaded an Instagram story with her 100 million fans, including her embracing a large Labubu cuddly and displaying a Labubu bag charm.

Prominent figures such as Dua Lipa and Rihanna have been captured in photographs featuring Labubu trinkets affixed to their fancy handbags.

The viral character has propelled Pop Mart's remarkable international expansion. In 2024, the company generated over 13 billion yuan (US$1.8 billion) in revenue, with international sales escalating roughly fivefold to 5 billion yuan, propelled by demand in Southeast Asia, Europe, and the United States, as reported by Nikkei Asia.

The MONSTERS blind-box series, featuring Labubu as the principal character, produced almost 3 billion yuan—approximately a fourth of total sales.

Despite a recent decline in the company's shares following a remark from Chinese official media advocating for stricter regulation of blind-box toys and trading cards, it continues to be the leading performer on the MSCI China Index this year, as reported by Bloomberg. It was also one of the index's most significant gainers in 2024.

By the conclusion of the previous year, the company had inaugurated 130 international stores, including in prominent places such London’s Oxford Street and the Louvre museum in Paris, where it became the inaugural Chinese toy brand to have a retail presence.

To some, Pop Mart appears to be riding a wave of growth. However, some may assert that it is the entity producing the waves.

Despite the deceleration of China's overall economy and the escalation of youth unemployment last year, the guzi market—encompassing items and collectibles associated with anime, games, idols, and other copyrighted properties—resisted the slump, with Pop Mart at the forefront.

The nation's designer toy industry is projected to exceed $15 billion in retail sales by 2026, a substantial increase from $890 million in 2015. The global market for figurines and toys is projected to increase from $26 billion last year to $49 billion by 2034.

Ashley Dudarenok, who runs a consumer research company in China and Hong Kong, informed TIME magazine that Pop Mart's competitive advantage over domestic and international competition lies in its capacity to gauge its audience's sentiments.

The company's items profoundly connect with fans, who frequently identify elements of their lives in the toys, whether it is their yearning for escapism, fatigue, or defiance.

Ashley Jane Leow, a 25-year-old filmmaker in Singapore, stated that she gathers characters such as Hirono, a brooding teenager with disheveled hair, and Nyota, a timid girl with large eyes and short bangs, as they resemble her and her boyfriend. Similarly, Carillo, a 24-year-old digital marketing strategist from the Philippines, identifies with the CryBaby statement, which elucidates her attraction to the character. "It brings me joy, akin to a personal indulgence," she stated.