Alberto Rodriguez/Variety via Getty Images; Jakub Porzycki/NurPhoto via Getty Images
- Labubus have a new fan: Tim Cook.The Apple CEO visited an exhibition on the toy, sending manufacturer Pop Mart's stock ticking up.Speculation is swirling about a potential collaboration between the tech giant and viral ugly-cute dolls.
The Labubu bubble hasn't burst — yet.
The costly and creepy plushies, made popular by Gen Z celebrities and used as bag charms by rich teens, got a much-needed boost from a sexagenarian man.
Apple CEO Tim Cook visited a Labubu exhibition in China on Monday, sending the stock of Pop Mart, Labubu's manufacturer, up as much as 6% on Tuesday.
Cook's appearance at the Shanghai Pop Mart event, where he was seen meeting with Pop Mart CEO Wang Ning and Labubu designer Kasing Lung, inspired rumors of a potential collaboration.
A tie-up could come in the form of an Apple TV show, Labubu-adorned Apple products, or mobile games, Gadjo Sevilla, senior tech analyst at EMARKETER, told Business Insider.
"Apple could be the right partner to sustain virality through various content and software partnerships," Sevilla said.
Last month, Pop Mart's COO Si De said he wanted to emulate Disney in using the company's IP.
Spokespeople for Apple and Pop Mart did not respond to a request for comment from Business Insider on future partnerships.
Over the past year, Pop Mart's share price has soared by more than 165% as Labubus gained popularity, first in China and then globally. EMARKETER, Business Insider's sister company, estimated that the company would sell $1 billion worth of the ugly-cute toys this year, up from the $420 million Pop Mart reported last year. And bootleg Labubus — Lafufus — formed a thriving market of their own.
The frenzy has since cooled down, though. Pop Mart's share price fell 20% in the month following its August peak this year. On the resale market — where run-of-the-mill Labubus could cost four figures and a "life-size" one sold for $170,000 — prices have fallen, according to an HSBC report from last month.
But the gains haven't been completely undone, and Labubus aren't going anywhere yet.
"We expect new series of Labubu, Twinkle Twinkle, and other key IPs to drive revenue growth in the second half," Jeff Zhang, an analyst at Morningstar, told Business Insider.
Any potential Apple deal could be additional fuel, he said, but too many uncertainties remain to speculate on concrete growth.
The CEO's drop-in, during a longer trip to China to promote the iPhone Air, is more than a win for Pop Mart.
While a collaboration with the toy brand likely wouldn't significantly improve the tech giant's fortunes, it'd create goodwill.
"A viral brand like Pop Mart, which has seen a surge in popularity because of the Labubu phenomenon, is a vital connection for Apple, especially for their Chinese audience and market," Sevilla said.
Basically, don't ever count out a weird, furry, little monster.
