Inside Pop Mart: How Gen Z in China Turned Blind Boxes into an Emotional Retail Empire

Pop Mart, China’s leading designer toy company, has become a cultural and commercial sensation, especially among Gen Z consumers. With a business model built on mystery boxes (also known as “blind boxes”), strong IP development, and immersive brand experiences, Pop Mart is transforming how young Chinese consumers engage with art, emotion, and identity through collectable toys.

Subramania Bhatt (Subbu), CEO of China Trading Desk, recently appeared on CGTN’s Chat Lounge to decode the global craze around Pop Mart’s Labubu. He pointed to its emotional design, playful yet rebellious, as key to resonating with young people facing societal pressures. Beyond design, Subbu emphasised Pop Mart’s sharp execution: global retail rollout, storytelling-driven marketing, and agile digital strategies. He sees the brand as a blueprint for China’s evolution from OEM to OBM, urging others to build emotionally rich, globally relevant IPs.

Who Are Pop Mart's Core Consumers?

Age & Gender: The Reign of Gen Z Women

Pop Mart's fanbase is dominated by young consumers aged between 18 and 30, roughly 70% of its total base, with women making up 60–70%. This group, raised in an era of material abundance and digital immersion, values personal expression, novelty, and emotionally resonant experiences.

Geography: Tier 1 and Rising Cities

Consumers are primarily located in China’s first-tier cities such as Beijing, Shanghai, Guangzhou, and Shenzhen, where exposure to global trends and spending power are high. However, with Pop Mart’s expansion strategy, there is growing penetration in second- and third-tier cities, indicating the democratisation of niche cultural consumption.

Occupation & Income: White-Collar Meets Student Enthusiasm

Pop Mart appeals to a wide mix of people—students, young professionals, creatives, and freelancers. Students, though often on a tight budget, tend to buy regularly, driven by emotional connection and social influence. Office workers value good design and quality and are willing to spend more on limited-edition pieces. Creatives and freelancers are drawn to the brand’s unique artistic style, seeing it to express their personality. With products ranging from affordable blind boxes to high-end collectables, Pop Mart’s flexible pricing makes it easy for people with different incomes to enjoy the brand.

How Do They Shop?

Omnichannel Strategy: Online Convenience Meets Offline Immersion

Online channels such as Tmall, JD.com, and Pop Mart’s website are highly popular for their convenience, range of offerings, and frequent promotional campaigns. Pop Mart’s digital platforms also integrate social interaction, user-generated content, and IP storytelling, enhancing stickiness and conversion.

Offline channels include flagship stores and “robot” vending machines across major cities. These are more than retail spaces—they’re experiential playgrounds. Fans queue up for new launches, attend fan events, and connect with fellow collectors. The physicality of in-store blind box openings enhances the sensory and social thrill of the brand.

Purchase Frequency & Spending Patterns

Pop Mart enjoys high-frequency repeat purchases thanks to its fast product cycle and IP expansion. Limited editions, hidden figurines, and surprise elements drive collectability. A single blind box typically retails at 59–99 RMB, but when purchasing full sets or rare items, consumers often spend hundreds of RMB in one go. While individual purchase values remain relatively low, cumulative spend can be significant due to habitual buying.

What Drives Their Desire?

Emotional Needs: Escapism, Identity, and Expression

• Emotional Compensation: In fast-paced urban life, Pop Mart’s soft pastel characters like Molly and Dimoo offer psychological comfort and relief from academic or workplace stress. The moment of unboxing carries a burst of joy, akin to a mini dopamine hit.

• Belonging and Identity: Limited editions and hidden figures confer a sense of in-group membership within niche communities. Collectors engage actively in online fan groups and forums, where shared enthusiasm for a particular IP fosters strong peer bond.

• Self-Expression: For a generation often constrained by societal expectations, collectable toys offer an alternative medium of self-expression. Displaying one’s favourite figurines communicates personal taste, values, and identity, especially in visually driven spaces like Xiaohongshu (RedNotes).

  
  

Social Needs: Sharing, Flexing, and Clout

• Social Currency: Pulling a rare “hidden” figure can instantly elevate one’s status online. Consumers post their unboxing moments on Xiaohongshu or Weibo, triggering engagement and envy. This “Ouyi” (lucky) culture fuels content creation and word-of-mouth marketing.

• Status Signalling: High-end collections like the MEGA series have become symbols of both taste and financial capacity. Owning rare or large-format figures signals a collector’s elite standing within the fanbase.

  
  

Collecting & Investment

Pop Mart’s wide IP matrix includes healing, gothic, and kawaii aesthetics, ensuring appeal across taste profiles. Fans often aspire to complete entire series, driven by design detail, thematic coherence, and rarity. Some approach collecting strategically, investing in limited editions expected to appreciate. Certain figurines—like rare Labubu models—have fetched high resale prices on platforms like Xianyu, attracting speculative buyers.

The Psychology Behind the Purchase

The Thrill of Uncertainty

A big part of Pop Mart’s appeal comes from the excitement of the unknown. The blind box model plays on intermittent reinforcement—a psychological trigger even more powerful than fixed rewards. Shoppers never know which figure they’ll get, turning each purchase into a gamble. The chance of uncovering a rare or hidden edition adds to the rush, creating a loop of anticipation and emotional reward that keeps them coming back for more.

Social Influence and FOMO

Fear of missing out is another major driver. When friends, influencers, or celebrities post their latest Pop Mart finds, it encourages others to join the trend. One standout example was when BLACKPINK’s Lisa shared her Labubu figure, sending demand for the series soaring. In China’s social media-driven market, celebrity endorsements can supercharge product visibility overnight.

Value-Conscious, But Willing to Spend

Pop Mart may be seen as a mid-to-premium brand, but most buyers still watch their spending. Time-limited discounts, bundle deals, and events like Double 11 help boost sales. Still, pricing has its limits—if costs go too high, even loyal fans may hesitate. Striking a balance between exclusivity and affordability is key to maintaining strong demand across income levels.

Satisfaction and Loyalty in the Pop Mart Ecosystem

Consumer satisfaction with Pop Mart tends to be high, supported by a combination of product quality, immersive retail experiences, and a strong brand aesthetic. The toys themselves are made with durable materials and intricate designs, ensuring that the tactile experience matches the visual appeal. In both physical stores and online platforms, Pop Mart creates an enjoyable, often gamified shopping environment that encourages exploration and repeat visits.

Loyalty is reinforced through structured membership programmes that offer exclusive access, discounts, and early purchase rights. Additionally, the brand nurtures vibrant online communities where fans share collections, tips, and experiences, deepening emotional connection and brand attachment. The continuous rollout of new IPs keeps the experience fresh and re-engages even long-time consumers.

Final Thoughts

Pop Mart’s success shows how Chinese Gen Z is reshaping consumer culture, prioritising emotional connection, personal storytelling, and social capital. As Subbu noted in the CGTN Chat Lounge episode, brands that master emotional branding, cultural fluency, and global agility are poised to thrive in this landscape. Listen to the full episode HERE .

Want to unlock the power of Gen Z engagement in China? Speak with our experts at China Trading Desk to tailor strategies grounded in collectable culture, IP development, and cross-border digital marketing.