Labubu Dolls Drive Pop Mart's Profit Surge Amid Global Demand

Popularity of Labubu dolls has led to a remarkable profit surge for Pop Mart, the Chinese toy manufacturer, with revenue from international sales hitting nearly 40% as the brand achieves global celebrity status and ignites a resale market.

The Beijing-based toy company, Pop Mart, is witnessing a remarkable profit increase as its beloved Labubu dolls capture the hearts of consumers worldwide. The firm anticipates profits for the first half of this year to skyrocket by at least 350%, primarily driven by tripled revenues and enhanced brand recognition.

With a market value exceeding $40 billion, Pop Mart continues to thrive thanks to effective cost management and strategic marketing initiatives. The quirky Labubu dolls, known for their elf-like appearance and signature jagged teeth, have become a collector's sensation, frequently flying off store shelves and leading to long queues in various locations.

Best known for its "blind box" toy sales—packaging concealing items until opened—Pop Mart has faced criticism for fostering compulsive buying behaviors akin to gambling. Initially launched in 2019, Labubu has rapidly propelled the company’s growth, now boasting over 2,000 retail outlets worldwide.

Since making its debut on the Hong Kong Stock Exchange in 2020, Pop Mart's stock has skyrocketed nearly 600% within just one year. Data shows that international sales accounted for around 40% of total revenue in 2024, demonstrating how the brand has captivated audiences beyond mainland China.

The surge in Labubu's popularity has also been bolstered by endorsements from high-profile celebrities, including Kim Kardashian and Lisa of K-pop fame. Recent figures reveal that sales in the U.S. skyrocketed by an astonishing 5,000% year-on-year in June, marking an unprecedented trend in the toy industry, according to research by M Science.

With only about 40 retail stores across America compared to roughly 400 in China, Pop Mart's growth potential in the U.S. remains vast. However, the demand has sparked a vibrant resale market, where limited edition dolls that originally sold around $10 can now fetch prices in the hundreds. A human-sized Labubu doll even fetched a staggering $150,000 at an auction in Beijing last month.

While the success of Labubu is impressive, it has also led to a proliferation of counterfeit “Lafufu” dolls. Chinese authorities recently seized over 46,000 fakes, signaling a crackdown on the growing illicit market. Despite the challenges, Labubu's whimsical charm continues to dominate toy culture around the globe.