Pop Mart soars as Labubu becomes a global Icon

The Chinese company Pop Mart International Group, which produces collectible toys, set a market record in July 2025. Its capitalization reached $44.2 billion, which is more than such giants as Hasbro, Mattel, and Sanrio combined.

According to CompaniesMarketCap, this surge is primarily due to the viral popularity of Labubu, a small fantasy creature with a predatory smile, that has become a favorite of both children and adults.

Pop Mart overtakes Mattel and Hasbro in market value

Pop Mart has overtaken its longtime competitors in a short time:

• Hasbro, which owns the My Little Pony and Transformers brands;
• Mattel, which created the legendary Barbie;
• Sanrio, the creators of the world-famous Hello Kitty.

Pop Mart's capitalization has grown not by percentage points, but many times over. According to experts, the toy industry has not seen such a dynamic breakthrough in decades.

"This is a unique case when a local hero with a non-standard design has become a global sensation. We are witnessing a cultural phenomenon of a new generation of consumers," said analyst Joshua Smith.

Labubu sales have grown by thousands of percent

Demand for Labubu is breaking all historical records. According to M Science, an analytical company, sales of this toy in the United States increased by 5,000% in June 2025 compared to the same period in 2024. And this is not the limit.

The Labubu phenomenon is explained by several factors:

• original, easily recognizable design;
• a well-thought-out marketing strategy;
• the effect of "blind packaging" — when the buyer does not know what kind of toy they are going to get;
• rapid spread among influencers and fashionistas.

These figures are no longer just toys, but part of the youth aesthetic: accessories to outfits, collectibles, and sometimes even investments.

Labubu toys became a hit not because of children

Unlike classic dolls or cars, Labubu appeals more to adults. Collectors, internet celebrities, bloggers, and stylists are the ones who made Pop Mart a global brand.

The rarest figures are resold at online auctions for much more than their original cost. In Asian and US markets, limited editions increase in price by 300-500% over the original cost.

Pop Mart is now actively opening flagship stores in world capitals, from Tokyo to Paris. Queues for new releases sometimes stretch for several blocks.

"Blind boxes" caused a flurry of criticism

One of the most controversial elements of Pop Mart's strategy is the blind box. Customers buy toys in closed packages without knowing exactly what they will get. This approach stimulates repeat purchases as customers try to complete their collections.

However, this strategy has sparked criticism. The company is accused of encouraging:

• gambling behavior;
• compulsive shopping;
• emotional dependence in teenagers.

In response, Pop Mart promised to add labels indicating the contents of each box and to restrict bulk purchases by minors in certain countries.

Labubu sparked a surge in counterfeiting, prompting government intervention

The popularity of Labubu has revealed another aspect of its success: a surge in counterfeit products. In China, these toys are mass-produced and sold under the name "Lafufu".

In June 2025, Chinese authorities seized over 46,000 counterfeit toys intended for domestic sale and export. This signals an intensification of the black market, making it increasingly difficult to control.

Nevertheless, Pop Mart remains profitable and has a clear anti-counterfeiting strategy that includes legal action, international patenting, and customer awareness campaigns.

Partnerships with Coca-Cola and One Piece gave additional impetus

Another growth factor is well-chosen brand collaborations. In 2024-2025, Pop Mart teamed up with the following giants:

• Coca-Cola, launching a limited edition of red and white Labubus;
• One Piece, integrating anime style into a new line of toys.

These partnerships expanded the audience and cemented Labubu's status as a cultural phenomenon that exists at the intersection of toys, fashion accessories, and art.

What awaits Pop Mart and Labubu in 2026

Analysts predict that 2026 will be even more successful for Pop Mart. It is expected to:

• entering new markets in Europe;
• launch of NFT collections with reference to physical figures;
• collaborations with fashion brands and the gaming industry.

If the company keeps up the pace and is able to respond competently to challenges, such as the fight against counterfeiting and regulatory pressure due to blind boxes, its capitalization could exceed $60 billion by the end of 2026.

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