Labubu Mania Is Over. Pop Mart Bets It Can Survive with New Toys

Why It Matters

The shift determines whether Pop Mart can transition from a single‑hit phenomenon to a durable IP platform, influencing its valuation and competitive stance against Disney and Sanrio. Success would also reshape the collectible‑toy market and licensing landscape worldwide.

Key Takeaways

• Twinkle Twinkle generated 390 million yuan in 2025.
• Crybaby and Twinkle Twinkle now 79% of top TikTok sales.
• Labubu still 25% of global sales, but share falling.
• Skullpanda partnership with My Little Pony boosts engagement.
• Shares down 40% from peak, investors wary of reliance.

Pulse Analysis

The Labubu craze that propelled Pop Mart to global prominence in 2025 is now receding, leaving the company at a crossroads. Collectible‑toy enthusiasts who once queued for the snaggle‑toothed dolls are shifting their attention to fresh IPs, prompting Pop Mart to re‑engineer its product pipeline. This transition mirrors broader trends in the designer‑toy sector, where brands must continuously innovate to avoid the pitfalls of a single‑character dependency that can erode long‑term brand equity.

New characters are already delivering measurable traction. Twinkle Twinkle alone generated 390 million yuan in the first six months of 2025, a pace that analysts project could reach half of Labubu’s Chinese sales by 2026. Crybaby and Twinkle Twinkle together accounted for 79% of the top‑20 TikTok shop items in Thailand and Indonesia, underscoring the power of social‑commerce channels. Strategic collaborations, such as Skullpanda’s tie‑in with Hasbro’s My Little Pony, amplify reach and create cross‑brand buzz, while limited‑edition drops sustain scarcity‑driven demand.

For investors, the diversification effort is a litmus test of Pop Mart’s ability to evolve into a multi‑IP powerhouse comparable to Disney or Sanrio. The company’s stock has slipped roughly 40% from its August peak, reflecting skepticism about over‑reliance on Labubu. If the newer IPs can collectively shoulder a larger share of revenue, Pop Mart could stabilize earnings, justify higher valuations, and set a new benchmark for the global collectible‑toy market. Conversely, a failure to sustain momentum may relegate the firm to a one‑hit wonder, limiting its growth ceiling.