For a few hundred RMB, Thai consumers can now get their hands on a Labubu doll. This toothy, rabbit-like figure has a quirky, almost rebellious charm that young people in Thailand have been finding hard to resist—the moment Labubu hits the shelves, it’s gone, snapped up in a frenzy. Originally priced at THB 550 (USD 16.3), Labubu’s price has surged to THB 10,000 (USD 296.3) in resale markets. In response, savvy traders have turned into resellers, shuttling between China and Thailand, profiting from the booming demand.
In an unexpected twist, it’s Southeast Asia’s youth who are breathing new life into China’s once-struggling trendy toy industry.
Pop Mart, the giant in the trendy toy scene, released its financials for the first half of 2024. The numbers are staggering—revenue in Southeast Asia surged over 400% year-on-year, accounting for more than 40% of its total overseas earnings.
Southeast Asia’s success was no accident. In July, Pop Mart’s Labubu-themed store in Thailand saw foot traffic so intense that the single-day sales smashed records, raking in over RMB 10 million (USD 1.4 million). The store’s success reflects a broader regional trend. A Pop Mart overseas business representative told 36Kr that Southeast Asia, with its young, massive population, holds enormous potential for trendy toys.
But Pop Mart isn’t the only one cashing in. 52Toys, another Chinese brand steeped in cultural elements, also reported explosive growth, expecting its revenue in Southeast Asia to triple this year.
These brands are making calculated moves. They have introduced a range of products—IP blind boxes, collectible figurines, and plush toys—targeting local consumers through platforms like Shopee and Lazada, while expanding their brick-and-mortar presence with pop-up stores, retail shops, and automated kiosks in markets such as Thailand and Malaysia.
Other brands, like 1983 Toys, Finding Unicorn, and Heyone, have entered the fray. Even Miniso’s subsidiary, Top Toy, plans to expand its chain stores across the region.
This trend started around 2017–2018, when Japan and South Korea were the first to welcome Chinese brands. But now, with a renewed focus on Southeast Asia’s surging demand, these brands are stepping up their investments.
Breaking sales records
Success in Southeast Asia didn’t come overnight. Chinese toy brands have gone through several stages—testing waters with distributors, launching online first, and preparing for offline pop-ups.
52Toys began its international journey by entering Japan in 2017, gradually expanding into Southeast Asia through partnerships with local distributors. At first, Southeast Asia wasn’t on its radar, but offline sales surged in the past two years, turning the region into an unexpectedly lucrative market.
52Toys told 36Kr that its Thai partner, an operator of a store selling collector toys, saw 52Toys’ products skyrocket in sales, eventually accounting for over 70% of the store’s revenue by 2023. This success spurred the brand to double down on the market.
In 2023, the floodgates opened. 52Toys opened its Thailand store, where its Prosperity Panghu Plus and BeastBox series sold out within a day. First-month sales exceeded RMB 2.6 million (USD 365,148). The brand also expanded its online presence, with platforms like Lazada, Shopee, TikTok, AliExpress, and Amazon.
Pop Mart didn’t sit idle either. In Thailand, it engaged local influencers on social media, crafting products tailored to local culture. When Pop Mart opened its first store in Thailand in September 2023, it was greeted by thousands of eager fans, generating over RMB 2 million (USD 280,883) in sales on the first day. That momentum continued with a third store opening in Bangkok in February, setting a new single-day sales record of over RMB 5 million (USD 702,208).
Chinese toy brands are now well-entrenched in Southeast Asia, with stores popping up in Singapore, Malaysia, Thailand, and Indonesia. Thanks to the combined push from celebrities and royalty, Thailand has become a particularly hot market.
In April, Lisa from Blackpink posted a photo of herself with a Labubu figure on her social media, which boasts over 100 million followers. The effect was immediate, drawing massive attention to the brand. In August, Thai princess Sirivannavari Nariratana was photographed at a Vogue event with a Labubu doll attached to her designer handbag, reigniting the craze.
Trendy toys aren’t exactly new to Thailand. Blind boxes and figurines tied to existing IP collaborations or designed by well-known artists constitute part of the broader toy category. According to Xinhua, the Thai toy and gaming industry is valued at USD 420 million, ranking eighth in the Asia Pacific, ahead of Hong Kong and Singapore.
Thailand has long provided fertile ground for toys. The Thailand Toy Expo, one of Asia’s biggest toy events, has been held in Bangkok since 2013, giving brands the perfect opportunity to gauge market interest and collaborate with global toy designers. Enthusiasts attending the expo have become a crucial consumer base.
Pop Mart’s Thailand regional manager noted that more than 90% of the customers in the brand’s Thai stores are local, further reinforcing the depth of the market.
Localizing for success
Southeast Asia’s passion for trendy toys proves that the region’s consumers are no strangers to IP-driven models. In the 1990s, Mattel brought Barbie to Southeast Asia, setting up factories in Indonesia and Malaysia. Soon after, Hasbro, Lego, and Bandai Namco followed, introducing IPs like My Little Pony, Transformers, Peppa Pig, and Dragon Ball to the region.
BridgeSEA Capital’s 2023 report on Southeast Asia’s toy and game industry estimates that the Southeast Asian market is now worth over RMB 10 billion (USD 1.4 billion), with Vietnam, the Philippines, and Indonesia making up nearly 70% of the total. Mattel, Hasbro, and Lego dominate the market in Indonesia, the Philippines, Malaysia, Thailand, and Singapore.
The success of legacy IPs shows that Southeast Asia is full of consumers willing to pay for products tied to emotional value. And Chinese toy brands have proven more agile in catering to local tastes.
Brands like Pop Mart are collaborating with local artists or launching Chinese IPs tailored specifically for the region. For instance, Pop Mart signed Thai artist Molly to release the Crybaby series. When Pop Mart opened its third store in Thailand, limited edition Crybaby products were launched, and Molly held an in-store signing event, attracting fans from as far as Malaysia.
Since signing with Pop Mart in 2021, Crybaby has brought in RMB 350 million (USD 49.2 million) in revenue during the first half of this year alone.
52Toys is also incorporating Thai cultural elements into its products. At its Thailand store, Panda Roll, a popular Chinese IP, was dressed in traditional Thai attire. The Prosperity Panghu Plus figurines sold out in a single day.
With such inventive designs and collaborations with classic IPs, trendy toys often carry higher price tags than traditional toys. In China, individual blind boxes typically sell for around RMB 69 (USD 9.7), while full sets can range from RMB 400–800 (USD 56.2–112.4).
Wen Deyi, president of Pop Mart’s international business, said that the company’s products in Thailand are priced about 5–10% higher than in China.
Despite the higher price, Pop Mart and other trendy toy brands continue to thrive, bucking the perception that Southeast Asia’s consumer power is weak.
In fact, Southeast Asia’s youth are the driving force, showing a strong inclination to spend, with little focus on saving.
Judy Qiu, Pop Mart’s head of overseas e-commerce, noted that toy consumers in Southeast Asia are typically aged 20–35, with women making up around 65% of buyers.
While Thailand has been a beacon of success for Chinese toys, the broader Southeast Asian market holds even greater potential.
For one, Thailand’s population is aging—in 2022, over 20% of the population was aged 60 and above, making it a fully aging society with a sluggish birth rate.
Meanwhile, Vietnam and Indonesia, both with populations exceeding 100 million, boast a younger demographic structure, with young people serving as the backbone of their economies. These markets are primed for scale and growth, offering significant opportunities for trendy toy brands.
Thailand’s success may have signaled Southeast Asia’s viability, but it’s just the beginning. A Pop Mart overseas representative told 36Kr that the brand has already opened several stores in Singapore, Malaysia, Thailand, Vietnam, and Indonesia, and has plans to expand into the Philippines soon.
However, major multinational toy companies already hold a strong foothold in countries like Indonesia, Vietnam, and the Philippines. Competing against these giants, while expanding beyond the blind box category, will test the resilience and innovation of Chinese toy brands.
KrASIA Connection features translated and adapted content that was originally published by 36Kr. This article was written by Hu Yiting for 36Kr.