China’s Pop Mart has turned the quirky, toothy monster Labubu into a global sensation, taking inspiration from Disney’s long-term approach to intellectual property (IP).
Unlike most products that gain popularity for affordability, Labubu succeeded through emotional appeal, design, and creativity.
Pop Mart aims to leverage this success beyond toys, developing content, entertainment, theme parks, and merchandise around Labubu, much like Disney does with Mickey Mouse.
Executive Director Si De explained that the goal is not only short-term sales but building long-term IP value, eventually expanding to five to ten characters with similar potential.
Labubu is part of Pop Mart’s “The Monsters” series, which accounted for nearly 35% of the company’s first-half revenue this year.
While Pop Mart does not release exact sales figures for Labubu, its popularity has helped boost other characters, such as Molly, Skullpanda, and Crybaby, each making over 1 billion yuan in sales during the first six months of 2025.
A key factor in Pop Mart’s success is its “blind box” retail strategy, where consumers buy a package without knowing which toy is inside. This approach creates excitement and encourages repeat purchases.
Targeting young women, a high-spending but previously overlooked demographic, also contributed to the brand’s rapid rise.
Si De noted that Pop Mart studied Disney’s model, which focuses on long-term development of IP, sometimes spanning decades. Pop Mart hopes to replicate this by creating experiences around Labubu, including themed stores, collaborations, and digital content.
Analysts caution that while Pop Mart has set a new benchmark for China’s art toy industry, it still faces execution risks and increasing competition from new firms entering the IP market.
Founder and CEO Wang Ning started Pop Mart in 2010 as a lifestyle store in Beijing. Recognizing the potential of collectible figurines, he shifted focus to art toys. Strategic collaborations with designers, including Kenny Wong (creator of Molly), helped Pop Mart secure original IP and control over its products.
Wang’s approach, combined with the blind-box model and smart marketing, allowed Pop Mart to become a global brand. Its shares have surged nearly 200% in 2025, and the company’s market value now surpasses that of Hasbro, Mattel, and Sanrio combined.
Labubu’s success has sparked growth in China’s art toy market, projected to reach over 120 billion yuan ($16.85 billion) in revenue this year. Pop Mart’s achievements have inspired other companies to develop their own IP and invest in original character design.
Runyu, winner of China’s first art toy design reality show, said:
“Because of Pop Mart’s success, more people with money are investing in this industry. Artists now see IP as a way to make a living.”
Pop Mart has thus become a trailblazer, shaping the art toy landscape in China while seeking to replicate Disney’s strategy of turning characters into enduring cultural icons.
