The Labubu fever finally seems to be cooling off. The furry dolls that once had collectors queuing up, spending big and hunting for rare editions are gradually losing their appeal. With sales falling and newer collectibles gaining popularity, Pop Mart's biggest hit is struggling to maintain its earlier excitement.
Collectors, young and old, once rushed to buy 'blind boxes,' sealed mystery packages containing the quirky dolls, often paying $15 (£11) or more. Those who failed to find their favourite characters were willing to spend considerably more in the resale market. The craze these devilish looking dolls had was nothing less than massive!
One North Carolina fan told BBC that he even quit his technology job in 2024 to become a full-time Labubu content creator. He travelled to Italy and Spain in search of new releases and spent more than $50,000 (£37,000) building a collection of over 400 dolls. He even got a dentist to make him customised jagged teeth resembling those of Labubus. However, his once-viral videos are no longer attracting the same attention. "Those videos used to be able to hit 10,000 really quickly but I'm struggling to do that now." Ensito has since shifted his focus to other collectibles, including Hello Kitty and squishies.
The slowdown reflects a wider challenge for Pop Mart, whose popularity had once pushed its valuation above that of US toy giants Hasbro and Mattel combined. The Beijing-based company recently reported that global sales in the three months to the end of September fell by as much as 50% year-on-year. US revenue dropped by at least 70%.
Although Pop Mart did not invent blind boxes, its Labubu dolls helped popularise the concept worldwide. The mystery of not knowing which character was inside each package added to the excitement, while the experience reminded collectors of opening gifts as children, says marketing professional Katelynn Carlson, who owns 36 Labubus. Launched in 2019, Labubu became Pop Mart's most successful toy line. The monsters soon turned into fashion accessories, sported by celebrities such as Kim Kardashian and Blackpink's Lisa. Their popularity led to long queues outside stores, and Pop Mart temporarily withdrew the dolls from its UK shops following reports of customers fighting over them. One collector even paid more than $150,000 for a human-sized Labubu.
According to Samer El Hajjar, a marketing lecturer at the National University of Singapore, cited by BBC the difficulty of finding certain editions was a major part of their appeal. Collectors repeatedly bought blind boxes in the hope of finding their preferred characters. Pop Mart now has more than 670 shops and at least 2,800 vending machines worldwide. Listed in Hong Kong in 2020, the company is valued at nearly $24 billion. However, its shares have fallen by more than 50% from last year's peak. Investors are concerned that its global success may have been driven by a viral moment rather than lasting customer loyalty, El Hajjar says. The loss of exclusivity has also affected the excitement, according to Ensito. "Now it doesn't feel that way. I walk into a Pop Mart and there's a whole series of Labubus sitting there," he says. Ashley Dudarenok of China research firm ChoZan says Pop Mart's decision to increase production to meet demand weakened the dolls' sense of exclusivity.
As the Labubu craze fades, other toys are attracting buyers. Sonny Angels, tiny unclothed cherub-like dolls, and miniature glow-in-the-dark Smiski figurines are gaining popularity. My Little Pony and KPop Demon Hunters characters have also entered the blind-box market. Miniso, which was founded in Guangzhou, China, sells Disney and Marvel blind-box collectibles across more than 8,000 stores globally. "Consumers aren't particularly concerned about where the brand comes from," Miniso executive Vincent Huang said earlier this year. "They're more focused on the shopping experience - the designs, value for money, and enjoyment."
Experts say Pop Mart's biggest challenge is creating characters that can maintain their popularity over time. Analyst Boustani points to Sanrio, the company behind Hello Kitty, which reported record earnings in the year to March, as having an advantage in this area. Pop Mart has been trying to expand its brand through investments such as a theme park in Beijing and an announced Labubu film. However, Dudarenok says the company is taking a different approach from Disney, which builds stories around characters before selling toys. "The real test for next year is whether Pop Mart can make people love a character without a celebrity holding it," BBC reported.
The fading excitement has also prompted collectors to rethink their spending habits. Ensito says he is questioning how much time and money people invest in collections whenever a new trend emerges. "There's always going to be a trend every year. There's always gonna be something that's gonna be really popular." Melbourne-based content creator Lawrence Yu, who owns around 50 dolls, says he plans to be "more selective" after spending two years chasing Labubus. His shopping and unboxing videos once attracted up to a million views, but he rarely creates such content now.
"I definitely think the trend has slowed down... People go crazy and then it fizzles." Canadian collector Clara Barbero considers Labubus a "dead trend" but continues to look for interesting releases. "I’m curating my collection more and only buying what I see myself liking for the next few years, and not just buying the newest series that’s out." However, the slowdown has not dampened everyone's enthusiasm. Hedy Khaled from Liverpool remains attached to her collection of 70 Pop Mart figurines and believes there is a difference between trend-followers and "real fans". Carlson also continues to enjoy collecting the dolls, particularly new releases such as the cat-themed Labubu series, which has become one of her favourites. "I think there's something special about embracing our inner child and enjoying things simply because they make us happy."
