Chinese artists and toy companies are scrambling to replicate the runaway success of Labubu, the ugly-cute doll that parent company Pop Mart says will help it hit over $4 billion in revenue this year. - REUTERS
00:0124-year-old Chinese artist Ronyu was initially planning to pursue a career in design in Thailand.
00:07But with the rise of the toy industry in China, he decided to return home,
00:12pinning his hopes on his first toy character, Akidu, which he describes as a shy introvert boy.
00:18So I want to do my own toy brand, my own video games.
00:22I want to travel the world. I want to do my own jewelry brands, everything related to design.
00:27And most of them need money. So I see R2 as my starting point to do all other future business there.
00:35Ronyu is one of the many artists and toy companies in a race to replicate the success of Popmart's toothy monster Labubu.
00:43They are part of a boom for so-called art toys or collectible figures created and designed for display.
00:49And the Hong Kong-listed company says the Ugly Cute doll will help it hit over $4 billion in revenue this year.
00:55Its global success has sent Popmart shares up almost 200 percent so far this year.
01:01And the firm is now worth more than big names Hasbro, Mattel, and Japan's Sanrio combined.
01:07I think it could definitely happen again, but with something else.
01:11Is it going to be you?
01:13Hopefully. I hope. I pray.
01:17Zhao Junyu is the co-founder and head of intellectual property, or IP, at art toy firm, SigiWorks.
01:24He says Popmart has blazed the trail for Chinese competitors.
01:27I think our goal is that at least at some IP level, we can surpass Popmart.
01:39Because back when we were playing with art toys, there was no Popmart.
01:43So in my opinion, even though our scale isn't as big as theirs, I think we can actually compete at the same level in terms of creativity and the quality of our IPs.
01:55Popmart says it's borrowed from Disney's playbook to create success for Labubu, and it's planning to build a whole range of other brands.
02:07Analysts say it's the first firm to create a global market for a Chinese product based on emotional appeal and not value for money.
02:15Louis Houdard is China-managing partner at consulting firm, MAD.
02:19He thinks the country has a chance to create the next global toy sensation.
02:23For many years, China had the supply chain.
02:26Now China has the supply chain, plus the creativity, plus the speed to market.
02:32On the top of this, we've got all the digital platforms who are getting all the data that the Chinese brands have been very good at masterizing.
02:44And I think for this reason, the next Labubu could definitely come from China.
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