A toy that looks like it crawled out of a nightmare just made more money than Disney's entire toy division.
If you think you understand what consumers want, you're about to get humbled by a creature with sharp teeth and dead eyes that people are literally fighting over.
Seriously, what we're about to dive into isn't just another business success story. It's a masterclass in how one little character with sharp teeth and a mischievous grin became an absolute juggernaut, rewriting the rules of what consumers want and how businesses can deliver it.
Meet Labubu – the quirky, elf-like character that's somehow both adorable and slightly unsettling. This isn't your typical cute mascot story.
This is about how understanding human psychology, scarcity, and community can transform a simple toy into a cultural phenomenon that celebrities carry as luxury accessories.
Ready to see how it happened? Let's break it down.
The Origin Story: From Art Project to Global Icon
Picture this: It's 2015, and Hong Kong artist Kasing Lung is creating characters for his picture books called "The Monsters." One of these characters – inspired by Nordic fairy tales – is a little creature with pointed ears, sharp teeth, and an expression that's equal parts cute and creepy.
For a few years, Labubu lived quietly in the art world. Lung would create limited-edition figures for collectors who appreciated the artistic vision. Nice, but not exactly world-changing stuff.
Then 2019 happened.
Enter Pop Mart, a Chinese company that had already figured out how to turn collectibles into gold. They saw something in Labubu that others missed – not just artistic merit, but massive mainstream potential.
The key? Their "blind box" strategy.
Instead of selling Labubu as a regular toy, they turned every purchase into a mini-lottery. You buy a box, but you don't know which version you'll get until you open it.
Suddenly, Labubu wasn't just for art lovers – it was for anyone who loves a good surprise.
The Secret Formula: Why Labubu Went Absolutely Viral
So how does a character that some people literally call "terrifying" become the must-have item of the decade?
It's actually a pretty brilliant mix of psychology and strategy.
The Thrill of the Unknown
The blind box model is pure genius when you think about it. Every purchase becomes a little gambling experience – will you get the common version, or will you score that ultra-rare "secret figure" with 1-in-72 odds?
This creates what behavioral economists call "variable reward schedules" – the same psychological trigger that makes slot machines addictive. People don't just buy one; they buy multiple boxes chasing that rare find.
And Pop Mart makes it even more exciting by keeping certain editions deliberately limited, creating that "Fear Of Missing Out" feeling that drives demand through the roof.
Celebrity Power Meets Social Media Magic
April 2024 was when things got really crazy. Blackpink's Lisa posted photos with her giant Labubu plushie and bag charm, and the internet basically exploded. Suddenly, everyone wanted to know what this weird little creature was and where they could get one.
But Lisa wasn't alone. Rihanna, Dua Lipa, Kim Kardashian, Lizzo, and even Cher started rocking Labubu as a chic bag accessory. When A-listers start treating your product as a fashion statement, you know you've hit something special.
(Btw, we're trying to make fashion statements too, but not for the A-listers. We make it for the Underdawgs, the next generation of A-listers, if you're interested, check us out and let us know your honest feedback. For now, let's get into our case study.)
TikTok became the perfect amplifier. Labubu unboxing videos started racking up millions of views, turning what could have been a simple purchase into shareable content. People weren't just buying toys; they were creating moments, sharing experiences, and building a whole lifestyle around these little characters.
Building a Community, Not Just Customers
Here's where Pop Mart really showed their smarts – they didn't just sell products, they built a tribe. They encouraged fans to share their collections online, designed their physical stores as immersive experiences, and created spaces where collectors could trade, swap, and show off their finds.
This tapped into something bigger: the "kidulting" trend. Adults, especially after the pandemic, were embracing toys and collectibles as a form of self-care and stress relief. Labubu became more than a product – it became a shared passion and a way for grown-ups to connect with their playful side.
Strategic Collaborations That Made Sense
Pop Mart didn't just randomly partner with brands – they were strategic about it. Collaborations with Coca-Cola, Ladurée, luxury eyewear brand Gentle Monster, and even Uniqlo helped elevate Labubu from "toy" to "lifestyle accessory."
These partnerships weren't just about slapping Labubu on different products. They were about positioning the character as something cool, fashionable, and worth talking about.
The Numbers Game: How Much Money Are We Talking About?
Okay, let's talk dollars and cents, because the financial impact is honestly mind-blowing.
In 2024, Pop Mart's total revenue more than doubled to $1.81 billion. And here's the kicker – Labubu's "The Monsters" series alone brought in nearly $400 million. That's a 726.6% increase from the year before, making it Pop Mart's biggest star by far.
The plush toy category, heavily driven by Labubu demand, saw a 1,289% growth. Yes, you read that right – over twelve times bigger than the previous year.
But it gets even crazier in 2025. Pop Mart's revenue surged by 165-170% year-on-year, with international sales skyrocketing by 475-480%.
North America saw an "eye-popping" 895-900% increase in Q1 2025 alone, with sales in that single quarter surpassing Pop Mart's entire global revenue from 2024.
To keep up with demand, Labubu's monthly production capacity jumped from 300,000 units to 10 million. That's the kind of scaling challenge most businesses can only dream of having.
The Resale Market Goes Wild
While Pop Mart sells Labubu blind boxes for $15-$30 and larger plushies up to $65, the secondary market is where things get absolutely bonkers.
Limited or secret editions can resell for $100-$500, and complete sets can go for $300-$1,000+. A human-sized Labubu even sold for over $200,000 at a Beijing auction. Let that sink in – $200,000 for a toy.
Individual resellers are making serious money. One reseller, Chalice, reported $240,000 in monthly revenue just from Labubu dolls. On platforms like Whatnot, Labubu sales jumped 300% month-over-month. On StockX, it's been the number one most traded brand in collectibles for eight months straight.
Even on Amazon, Labubu-inspired merchandise saw a 1,930% revenue surge in 12 months, mostly from third-party sellers trying to capitalize on the craze.
Company Valuation Reaches New Heights
By June 2025, Labubu's success pushed Pop Mart's valuation to an astonishing $44.43 billion. To put that in perspective, that's more than the combined value of toy giants like Hasbro, Sanrio, and Mattel – companies that have been around for decades.
Pop Mart's stock exploded over 1200% in the past year, and CEO Wang Ning's personal fortune grew by $1.6 billion in a single day thanks to Labubu's popularity. This isn't just about selling toys anymore – it's about mastering what they call "emotional commerce" and creating genuine cultural capital.
Beyond the Toy Box: Labubu as Lifestyle
What makes Labubu really interesting is how it's transcended its original category.
The Ultimate Fashion Accessory
You'll see Labubu dolls clipped onto designer bags, used as keychains, or styled as part of outfits. When celebrities started flaunting them on their luxury handbags, Labubu became more than a collectible – it became a status symbol.
Owning a rare Labubu isn't just about having a toy; it's about showing you're in the know, on-trend, and part of something bigger.
The "Kidulting" Connection
Labubu's rise perfectly aligns with the "kidulting" phenomenon – adults, especially Gen Z and Millennials, embracing toys and collectibles for fun, relaxation, and emotional connection.
It's a form of retail therapy that offers comfort and a playful escape from daily stress. Pop Mart specifically targets adult collectors, making Labubu a perfect fit for a generation that values self-expression and emotional connection in their purchases.
The Hall of Fame: Other Products That Mastered the Hype
Labubu isn't the first product to achieve viral fame and transform a business. Here are some other examples that show similar patterns:
Stanley Tumbler: Transformed from rugged outdoor gear to trendy lifestyle accessory, especially among women. Smart collaborations (like Starbucks) and viral social media moments helped Stanley's revenue explode from $73 million in 2019 to $750 million in 2023.
Prime Energy Drink: Fueled by YouTube stars Logan Paul and KSI, Prime created artificial scarcity and hit $1.2 billion in global sales by 2023. It shows the power of influencer marketing, though its later struggles highlight how challenging it is to sustain hype.
Crocs: Once seen as just utilitarian footwear, Crocs made a huge comeback as a Gen Z fashion staple. Strategic celebrity collaborations and smart marketing helped them achieve record annual revenue of $4.1 billion in 2024.
Squishmallows: These super soft plush toys became pandemic favorites, appealing to both kids and adults. Their unique characters and strong social media communities (billions of TikTok views!) drove over $100 million in sales without much traditional advertising.
Beanie Babies: The original collectible craze of the 1990s. By creating artificial scarcity and the perception of investment value, these plush toys sparked a massive secondary market where rare versions fetched thousands of dollars.
The Big Picture: What We Can Learn
Labubu's incredible journey teaches us something pretty important about today's market: a product doesn't have to be "perfect" or traditionally "cute" to become a massive success.
When you combine a unique artistic vision with smart marketing, a dash of scarcity, the right dose of community building, and a deep understanding of what makes people tick (and share!), you can create something truly transformative.
Labubu isn't just a toy success story – it's a masterclass in how a single product can ignite global hype, build genuine communities, and completely transform a business's trajectory.
The real lesson?
Sometimes the most unexpected products become the biggest juggernauts. You just need to understand your audience, create genuine scarcity, and give people something worth talking about.
And maybe, just maybe, having a character that's equal parts cute and creepy isn't such a bad strategy after all.
