Delulu for Labubus
Why people are obsessed with these semi-ugly, stuffed animal purse charms???
Helloooo my lovely Pollinatrs! Hope everyone had a great weekend. I wanted to give y’all the head’s up that I plan to turn on monetization next week for a few reasons:
-My mission is to help provide actionable insights and ideas for your job. Lots of marketers from iconic brands are subscribers. I take this seriously and spend a lot of time and effort on it.
-My insights are valuable! I have advised culture changing brands throughout my 15 year career, like Duolingo, Netflix, Fortnite, New Balance, and Ulta Beauty. I’ve also advised cutting edge B2B brands across game engine software, B2B healthcare SaaS, and circular fashion technology. I love connecting brands with culture in creative ways.
-I want this to be an integral part of my future. I love connecting with you all, hearing what problems you’re working on, and using my writing as a way to be your *most* helpful coworker.
-Don’t worry, I am not going to be paywalling all of the content or all of the time! I so appreciate your loyalty and will make sure you are still getting great content, paywall or not.
Delulu for Labubus
People are DELULU for Labubus, so naturally I had to figure out WHY people are buying these semi-ugly, stuffed animal creatures, sometimes for $500+!!!!
WHAT is a Labubu you might ask?
They are slightly sinister, cuddly stuffed animal charms that you hang off of your purse or backpack. They were developed in 2015 by Kasing Lung, a Hong-Kong artist raised in the Netherlands, based on The Monsters book he wrote. He collabed with Pop Mart in 2019 and since then, the toys have taken off. (They look like Where the Wild Things Are mixed with Teletubbies to me).
They were catapulted into the spotlight when Blackpink’s Lisa (who was also on the most recent season of White Lotus as Mook) donned them dripping off of her purse. [Side note, she’s probably an investor lol].
Their market cap is $41.5B, more than Mattel ($6.5B) and Hasbro ($9.62B) combined. Pop Mart drove $1.8B in revenue in 2024 (or $13B CNY), and ended December 2024 with 275.47% growth. 🤯
In the past year, search interest for Labubus have overtaken Hello Kitty, Marvel Comics, and even Fortnite. Dangggg!
How did they become so popular? A very smart release strategy mixed with celeb obsession.
Blind boxes: One redditor called it an “IRL lootbox”, a well known mechanic in games that makes them addicting, due to the nature of not knowing which Labubu you’ve purchased until you open the box.
Exclusive drops: Doing exclusive drops drives major hype, just like sneaker drops. A secondhand market has popped up on sites like StockX making them feel even more exclusive.
Collectibles: I mean this does feel very reminiscent to the beanie baby craze of my childhood. Don’t worry I still have boxes of them with tag protectors on, just waiting for that day to cash in. 😂 People want to collect all different types and colors and because they don’t know which one they’re going to get so they just keep buying!
It’s a worldwide craze: The top five countries for highest search interest are Hong Kong, Mexico, Singapore, UAE, and Australia. The U.S. ranks at number seven.
Celebs: They’re just like us! Lisa got hooked bc they are hard to get your hands on. Jing Daily shared it’s not just Gen Z who are obsessed, but celebs, politicians, and super models too.
The charms accessory market has seen a resurgence as of late, so this actually doesn’t come as a surprise at all.
Remember the fuzzy Fendi keychains that cost $700? This is just another version of that, but better (more on that in a second). Versace and Prada also have their own versions.
Fashion Beauty Runway shared that “global fashion shopping platform Lyst reported demand for bag charms has spiked 352% month-over-month, with embellished bags seeing a 129% increase.”
As Vogue Business puts it, “Bag charms and brooches are back as luxury’s new entry point. Momentum has built on embellishments, which offer a gateway to luxury ownership and a means for cultivating personal style.”
Business Insider reports that “Coach's bet on bag charms seems to be paying off — Crevoiserat (CEO of Coach’s parent company Tapestry) said nearly 70% of the Coach's 900,000 new customers in North America were Gen Z and millennials. Our bag charms and straps added to our success, providing consumers with further opportunities for self-expression, with the 'Cherry Bag Charm' remaining a Gen Z favorite."
It also reminds me of Jibbitz for Crocs. It’s another way to personalize and give signals about your style. CNBC reported that “Crocs leaned heavily into personalization through its decorative charms known as Jibbitz. The company told CNBC that Jibbitz revenue was $271 million in 2024, which accounts for just over 8% of the brand’s revenue.”
Why do people love them?
It’s fashun baby. It’s a way to make a fashion statement and turn some heads! It’s definitely a trend right now and will be interesting to see if these fade as fast as they were on fire. IMO, Pop Mart would be very smart to develop a YouTube TV or Netflix show about The Monsters characters to develop a narrative and create more brand lore and love.
More is more. Maximalism is in and minimalism is out like we talked about last week. The more charms the merrier! And the more it paints a picture of who you are by the mix you have on your bag.
It’s a way to splurge small, aka a recession indicator. During potential downturns people start spending money on “fancy” or exclusive things that come at lower price points to get the excitement of buying something but without breaking the bank. I talked more about this here regarding the rise in Caviar.
Childhood comfort. Kids are obsessed with their lovies or stuffies throughout their childhood and at some point they grow out of them. But do they? Labubus are slightly childish given their cuddly teddy bear-esque vibes, with some calling them “emotional support charms”. This is an adult version of a lovie IMO and a way to carry around some comfort with you, whether you’re on your way to middle school or to your full time job.
You can accessorize your accessories! People are making custom clothes for their Labubus and dressing them up, just like you would your Barbie dolls. This Labubu dropped some dimes on this fit!
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What does this mean for marketers? Labubus are a fashion accessory, a doll you can dress up, a security blanket, and a statement of self-expression. I’d ask yourself, what signal does your brand give (e.g. when someone says “I’m a [fill in the blank brand] girlie”), and how can you lean into that even more?
Here are a few ideas to ride this trend wave:
Turn your IP into a collectible! Most brands have some sort of IP, they just don’t always think about it as such, especially if they’re not an entertainment brand or are a digital product. Swag is a great starting point but take it a step further - what can people put on their desk, hang on their purse, wear to the store, or share on social that gives your brand that extra cool factor? Trader Joe’s does a great job with this and their mini tote bags that created a frenzy.
Use a drop strategy for any product. I think it’d be so fun if a surprising category like B2B did this to drive hype for a new product release. For example, what if Figma or Canva released a new tool set at a certain time and date and if you didn’t show up you didn’t get access until a few months later? There are a few reasons why this might not work, but when I worked on the Unreal Engine business we often had beta releases for our products like UEFN (Unreal Editor for Fortnite) to get feedback from early users before the full release. So this is essentially a way to make a beta release sexy and drive interest and sign-ups before the full release.
Make your product mini! You could collab with a toy brand or an artist on Etsy to create a miniature of your product. Miniatures of anything are so freaking cute. I’d love to see mini Air Maxes for Barbies or even mini Labubus for Labubus. 🤣
Take a humorous approach. Perhaps on social you could dress up your mascots as a Labubu with bunny ears (I’m thinking the Graza olive oil life size bottles), or hang it on a purse even if it is extremely oversized. If you’re a fashion influencer, do a “serious” GRWM but dress up as a Labubu yourself. Or, turn yourself into a Labubu with ChatGPT. I’m calling it now, I bet this will be a huge Halloween costume this year.
Dinner Party Fodder
Tasty tidbits to talk about at your next dinner party. 😋
🎧 Music of the week: Remember Girl Talk?! My car randomly turned on my Apple Music on shuffle the other day and Girl Talk came on to my pleasant surprise. Throwing it back for all my Millennials out there.
🦞 Fact of the week: Did you know Lobster, aka “poor man’s chicken”, used to be served to inmates? My friends Kat and Katharine told me this, so fascinating.
💳 Article of the week: A great read by Emily Oster about Microplastics. NO we do not actually eat a credit card worth of plastic a week.
🐟 Recipe of the week: I just made this Baked Fish with Summer Squash last night and it was super healthy and delish!
👀 Recap of the week: If you didn’t make it to Cannes, read this.
▶️ Ad of the week: Quality Meats Creative won a Grand Prix at Cannes for their Walton Goggins GoDaddy campaign. The timing just couldn’t have been more perfect with Walton being on White Lotus, and the insight and execution of the idea was just perfection. 👌
🫣 Concern of the week: ChatGPT is short circuiting our brains, especially for younger gen whose brains are still developing. I wonder, did people feel this way when the calculator was invented? Or when the Dewey Decimal system was decimated by computers in libraries?
Thank you to all of my readers - you guys are the best and I am excited for the future of The Pollinatr with y’all right by my side!
🐝 Michelle