Labubu - The rise (and fall) of scarcity marketing

If you work in the UK toys retail business – or you have children of the TikTok generation – you’re probably already familiar with Labubu, the mystery box collectible character toy that has soared in popularity over the past year or so.

The character actually celebrates its tenth anniversary in 2025[1], but gained international fame in the post-pandemic years after a string of celebrity and influencer endorsements.

As a result, the toy’s Chinese manufacturer Pop Mart saw year-on-year revenue growth of 375% between 2023 and 2024 outside of China, along with growth of around 53% in the domestic Chinese market.[2]

Let’s look at the popularity of Labubu in 2025 and what drives consumers to buy a collectible without knowing which figure they will receive. We’ll also look at some of the practicalities of selling this kind of collectible, including product repackaging and mystery box mail order fulfilment.

What is Labubu?

In case you’re not familiar with the toothy-grinned pocket monster, Labubu is a character in Kasing Lung’s ‘The Monsters’. The creature first appeared in the artist’s series of picture books, including ‘The Story of Puca’ and ‘Pato and the Girl’, starting in 2015.[3]

A line of collectible mystery box toys followed in 2019. While there are a few varieties of Labubu toys, the standard is a furry doll with a vinyl face and nine pointy teeth – like a demonic version of the 1980s Chic-A-Boo Monkey.[4]

Shoppers can choose a specific series of Labubu dolls, but have no control over exactly which figure they receive. There are also rare ‘secret’ Labubus with a 1 in 72 chance to find one of these.[5]

Why is Labubu popular?

That’s a big question. In practical terms, Labubu’s popularity stems from a steady rise in awareness over the past decade.

In China, sales soared post-pandemic. Ashley Dudarenok, founder of the China-focused research firm ChoZan, told the BBC: “A lot of people felt that they wanted to emotionally escape and Labubu was a very charming but chaotic character. It embodied that anti-perfectionism.”[6]

The Labubu brand has been boosted by celebrity endorsements, including Rihanna and Kim Kardashian, along with brand collaborations like the Pop Mart The Monsters Coca-Cola Series.[7]

It’s also a highly visible product. Vinyl face Labubus are attached to a key chain, allowing them to dangle from handbag and backpack straps. Displaying a Labubu in this way is all part of the trend and helps to keep the product in the public eye.

Why do mystery boxes work?

Mystery bags/boxes, also known as ‘blind boxes’, date back to Japan in the early 1990s.[8] They add a gamification element to collecting complete sets, usually of small toys or figures. They also randomise sales, ensuring that the least popular option is not left on the shelf.

A number of outcomes arise from this. There’s an initial sense of excitement when unwrapping or unboxing a new purchase, driven by the surprise and the randomness of the contents.[9]

There may also be a moment of disappointment when unwrapping a product identical to one the consumer has already collected – and this feeds into the desire to purchase more. Repeat purchases help to dilute the disappointment, add to the customer’s collection, and increase the likelihood to find a rare or ‘special’ edition.

The higher monetary value associated with special Labubus has also led to them being viewed as an investment, similarly to Ty’s Beanie Babies in the 1990s. In June 2025, a human-sized mint green Labubu figure sold at auction in Beijing for about £112,000.[10]

Are Labubus still popular?

Labubu’s recent popularity has seen Pop Mart’s sales and social media statistics surge in a short space of time.

In May 2025, Pop Mart had around a million Facebook followers, 1.2 million Instagram followers and 2.4 million TikTok subscribers.[11]

As of October, those numbers have risen to a million on Facebook[12], 1.6 million on Instagram[13] and 2.6 million on TikTok[14] – proof that interest in the brand is still increasing in the run-up to Christmas 2025.

However, the hype cycle surrounding this kind of ‘trend marketing’ product is typically short-lived, lasting for just a couple of years at most.[15]

Part of the appeal of Labubus is their scarcity, with new releases selling out quickly as fans scramble to get their hands on a potentially rare Labubu. As the popularity peaks, the first few series that fail to sell out immediately are likely to have a chilling effect on future demand.

Ultimately, Labubus are likely to be another ‘supernova’ product, which come from nowhere, go viral, achieve huge commercial success, and then fade back into obscurity.

How to capitalise on a supernova sales cycle

If you’re lucky enough to see your products go supernova, it’s important to be ready to service stratospheric levels of demand while balancing that desirable scarcity of supply.

Mystery boxes help to do this, by spreading the demand from your most popular and rare items, and redistributing it across your entire product range by disguising which edition the customer is buying.

You also need to consider whether to give your customers genuine choice over what they receive. Research suggests that providing a choice mechanism can help to encourage online sales to shoppers who already own most of the editions in a specific series.[16]

In essence, it can be beneficial to have a way to continue selling to shoppers in the late stage of collecting, when the odds of finding a ‘new’ edition at random are very small.

Either way, attractive mystery bag packaging supported by eye-catching online advertising, influencer marketing and ‘unboxing’ videos on social media platforms can all help to build the buzz surrounding a viral scarcity marketing product – and you need to be ready to flip the switch when demand arrives at your warehouse door.

How MRM can help with mystery marketing

MRM are well placed to provide the services you need to cater to this sudden surge in supply chain demand, to capitalise on the maximum potential sales you can achieve, without flooding the market for your ‘scarcity’ product.

Our product repackaging service can take care of the mystery box packaging, ensuring that individual editions cannot be identified before the point of purchase. Our handling and fulfilment service can ensure that new product launches are shipped quickly, to keep the hype level high.

All of this is supported by our software platforms, including Newton for warehouse management, and Lodestone to track your sales promotions.

To find out more about how we can help you to cope with sudden surges in demand for viral marketing products, contact MRM and talk to our team today.