British-designed plush toy brand Jellycat has reported significant market growth in China and globally, driven by an increasing appeal to young adults, a demographic often referred to as "kidults," who state they use the toys for comfort and emotional expression. The brand's strategic product development, localized marketing efforts, and engagement on social media platforms have contributed to its financial growth and cultural impact, coinciding with a broader expansion in the global collectible toy market.
Market Entry and Consumer Engagement
Jellycat entered the Chinese market in 2015. The brand's presence allowed it to benefit from consumer sentiment during the COVID-19 pandemic, a period marked by heightened uncertainty, according to business consultant Kathryn Read. Young adults, including Gen-Z and millennials, have become a key demographic for the brand, with some consumers, like 32-year-old sales manager Stella Huang, accumulating extensive collections. Huang reports owning 120 items, valued at approximately 36,000 yuan ($5,145; £3,815), stating the plushies assist her in regulating emotions during adulthood.
The brand's "Amuseable" line, launched in 2018 and featuring tiny faces on inanimate objects, has achieved market penetration globally, according to Kasia Davies of Statista. Isabel Galleymore of the University of Birmingham suggests the toys' popularity may relate to a desire for companionship. This product development occurred as toy manufacturers were exploring new markets due to declining birth rates worldwide.
Jellycat's popularity is also supported by pop-up experiences offering limited-edition items, which many consumers share on social media. Localization has been a core strategy, with examples including teapot and teacup plushies sold at special outlets in Beijing and Shanghai, and temporary shops in London offering items like fish, chips, and mushy peas plush toys.
Financial Performance and Market Trends
In 2024, Jellycat's revenue increased by two-thirds to £333 million ($459 million). Estimates by Beijing-based Moojing Market Intelligence indicate approximately $117 million worth of toys were sold to Chinese consumers on major e-commerce platforms during the same period.
This growth coincides with a broader expansion in China's collectible toy market, which is attributed to young adults seeking emotional comfort. Overall sales for collectible toys in China are projected to exceed 110 billion yuan in 2024, according to a report by the Chinese Academy of Social Sciences and the China Animation Association. The success of Labubu dolls by Chinese toy maker Pop Mart is cited as another example within this market. Globally, collectible toy sales rose by almost 5% in 2024, reaching a record high, despite an overall decline in global toy sales of less than 1%, as reported by Circana. Cultural expert Prof. Erica Kanesaka of Emory University notes this global "kidult" trend involves young adults re-evaluating traditional perceptions of adulthood.
Cultural Impact and Economic Context
The Amuseables, particularly the aubergine plushie known by Chinese fans as "the boss," have been incorporated into memes on social media platforms like RedNote. These memes often depict the aubergine in various expressions, used by individuals to convey frustrations related to adult life or work. For example, marketing professional Wendy Hui modified her aubergine Amuseable to represent worker exhaustion, posting it online to express fatigue from working at home.
Jellycat products are used by young Chinese individuals to express concerns regarding a slowing economy, where employment rewards may not consistently align with effort. The internet serves as a platform for such discussions, despite censorship.
The brand's strategy of launching limited-edition products and retiring designs, termed "hunger marketing" in China, is cited as contributing to its social media popularity. Collectors describe the search for Jellycat toys as a "treasure hunt," sometimes involving overseas travel or the use of "daigou" (overseas shopping agents). Rare Jellycats are reported to be perceived as status symbols and can be resold for over $1,400.
However, for many, Jellycats are described as relatively affordable consumer items within a challenging economic environment characterized by a property crisis and high local government debt. China's youth unemployment rate, while having slightly eased from its August record high, officially remains above 17%. Jessie Chen, a 34-year-old medical sales representative, notes that Jellycat purchases do not require the extensive consideration associated with luxury bags. Jellycat also offers bags priced at a few hundred yuan.