Pop Mart’s Labubu Boom Cools as Sales and Fan Interest Fade

Pop Mart’s Labubu sales are losing momentum: the company reported that global sales fell by as much as 50% in the three months through September, compared with a year earlier. US revenue dropped by at least 70%.

The slowdown comes after the furry dolls became a global hit, drawing collectors to mystery “blind boxes” and resale markets. Pop Mart shares have fallen by more than 50% from last year’s peak, and the company is worth nearly $24bn, according to the BBC.

A fading sense of scarcity

Fans and analysts say the dolls’ limited availability helped drive interest. But as Pop Mart increased production, collector Ensito said, he began seeing whole series of Labubus in stores.

Pop Mart faces competition from other collectible figures, including Sonny Angels and Smiski. Miniso also sells blind-boxed Disney and Marvel characters across more than 8,000 shops globally.

Analysts say a larger challenge is creating characters that stay popular. Pop Mart has invested in a Beijing theme park and announced a Labubu film, while China research firm ChoZan’s Ashley Dudarenok said the company must make people love a character without a celebrity holding it.

Some fans keep collecting

The slump does not mean all buyers have lost interest. Some collectors told the BBC they are becoming more selective, while others say they remain attached to their collections and enjoy new releases.

Marketing professional Katelynn Carlson, who owns 36 Labubus, said the happiness the dolls bring keeps her collecting. Pop Mart shares traded at HKD 141.90 on Friday, down 1.8% from the previous close.