Labubu and the Rise of ‘Light IP’
Labubu has been around since 2015 and part of Pop Mart’s portfolio since 2019, but it’s recent stratospheric rise has made it one of the most notable business success stories of the past year. Fan devotion runs deep, with collectors willing to pay significant premiums for rare variants.
For example, the Macarons Chestnut Cocoa Vinyl Plush Pendant has seen a 741% markup on U.S. resale platform StockX, with an average sale price of $135. On a recent mission to London to collect local edition Labubu’s for Chinese friends, sales were on indefinite hold due to riots at the store.
Since Labubu was first spotted clipped onto luxury handbags from Louis Vuitton and Khaite by celebrities like Blackpink’s Lisa and Rihanna its influence has also moved far beyond the fashion world.
During interviews on fandom, Wenya in Shanghai told us about the dynamics of Labubu office collectors. Colleagues have a WeChat group to share stories, team up on purchases, and replicate the social personalities of the workplace through the characters:
“When everyone likes something, a hobby brings the different departments together, even if people are not that close to each other in day-to-day work.”
Behind this success is Pop Mart, the Chinese company behind Labubu that has reimagined how IP is developed and monetized.
Instead of relying on expansive storylines and world building that we’ve seen in the ‘franchise economy’ of Disney and Marvel; Pop Mart has pioneered a “light IP” model—centered on visually striking designs and instantly recognizable character personalities.
This is a distinctly Asian sensibility towards IP; one where projection onto characters – whether Hello Kitty or Lotso – holds higher emotional weighting than complex mythologies and backstories like Star Wars lore.
Moreover, this approach resonates with today’s hype-driven, compulsive-consumption landscape, where impulsive purchases offer quick emotional connections – something we wrote about previously at the start of this bag companions as totems trend.
From a branding standpoint, light IP signals a meaningful shift. Whereas traditional brands depend on long-term storytelling, heritage, and significant marketing investment, ‘light IP’ brands win over mass audiences through aesthetic appeal, accessible pricing, rapid product cycles, and direct consumer engagement,even without rich cultural backstories. With little cultural baggage, they are inherently adaptable and easy to localize across diverse global markets.
They also benefit from distribution advantages – with Pop Mart toy dispensers occupying subway platforms and transitional work-leisure spaces where people may seek an emotional boost; or through their many WeChat groups that both let people know which stores nationwide have inventory and drive a strong secondary market.
Pop Mart’s rise reflects a broader trend in consumer landscape. Other breakout emerging brands in China - such as Laopu Gold, a jewelry brand; and Mixue Bingcheng, a budget-friendly milk tea chain - have similarly captured public attention and are now recognized alongside Pop Mart as representatives of China’s “new consumption” movement.
Despite lacking deep-rooted brand heritage, these companies have achieved remarkable cultural traction: Laopu Gold attracts long queues with its bold designs and straightforward positioning, centered on the revival of traditional goldsmithing techniques—even in a market already saturated with luxury offerings; Mixue Bingcheng continues to expand across Southeast Asia, powered by its snowman mascot and catchy theme song.
It remains to be seen whether the buzz around Labubu or other breakout brands will endure, but their success underscores how light IPs are emerging as a viable approach to brand strategy for youth in our cultural moment.
What ‘Light IP’ may lack in endurance, it makes up for in emotional resonance. In our most recent wave of Youth Values and Behaviors tracking – mental health and emotional self-care remain a major focus of personal interests and self-gifting remains a primary driver for consumption within the current economic context.