Furry Labubus are ugly but cute, expensive and kept in short supply

What has big googly eyes, rabbit ears, a wicked grin, and sharp teeth? The compellingly ugly-but-cute Labubu toys that people seem to want worldwide.

They have long been a hit in China, but now seemingly everyone wants one of these miniature monsters - partly thanks to the many social media videos that influencers post, showing themselves opening the surprise boxes.

In July, Germans are rushing to a mall in Berlin where Chinese manufacturer and retailer Pop Mart is opening its first store. As the mall braces for the onslaught, market observers are divided over the furry toy's future prospects.

Not really for kids

These are not the first toys designed to appeal to adults as well as youngsters - just think of Tamagotchis, the handheld digital pets players had to care for, in the late 1990s.

Or the Fidget Spinner, a toy with a central ball bearing and weighted lobes that rotate around the central axis, which you can use to do tricks when bored.

But Labubus are primarily marketed to women, says Christian Ulrich, spokesman for the world's largest toy fair held annually in Nuremberg, Germany. "This is not a product for children. Labubus are a fashion accessory, a statement."

They are often worn visibly on handbags - and cost from about $22 on the official Pop Mart site. In China, the price range in stores is from 66 yuan (around $9.20) to 1,299 yuan.

The hype in the US and Europe was sparked by stars like Rihanna, Madonna and Dua Lipa, who appeared in public with Labubus, says Ulrich.

That kind of viral moment is precisely what the toys are designed for, in the view of trend researcher Axel Dammler. "I want to show them," he says, as a way of conveying to your friends and followers that you are a trendsetter who has managed to get hold of one of the coveted specimens.

Labubus under the hammer

People in China particularly are eager to show off their toys. A buyer in Beijing bid more than the equivalent of about $139,270 for a particularly rare, approximately 1.30-metre Labubu single edition at an auction.

In China, the hype began a while ago for the elf-like creature created by Hong Kong artist Kasing Lung in 2015 as part of a series called "The Monsters" and which was given a brief backstory.

Labubus are often sold out at Pop Mart vending machines. In stores, collectors frequently gather, carefully shaking the surprise boxes to guess which figure might be inside.

For anyone wanting certainty, you can try to snag one online. But even new Labubu series have been selling out online within seconds lately. That has driven up the prices for the toys significantly on second-hand platforms.

"One reason I bought Labubus is because I believe they will hold their value," a collector in Beijing told dpa. She likes the fact that the figures are now mostly sold as pendants, so you can carry them around with you.

Labubus so ugly they're cute, say fans

German influencer Jean - known in social media as datestsofa - is also a big Labubu fan, she tells dpa. She discovered the plush toys last spring and now has some 60 to 70 of them.

Labubus remind her of toys she had in the past, making her feel happy, she says. "It's such a love-hate relationship: They're actually deeply ugly, but so ugly that they're cute again."

How to spot a fake

For toy seller Pop Mart, founded in 2010, business is booming. In the first quarter of this year, the toy retailer's revenue increased by 165% to 170% compared to the same quarter last year, according to a statement to the Hong Kong Stock Exchange. Pop Mart did not respond to dpa's request about its strategy.

The toys' popularity has already sparked counterfeits with some found by Chinese customs officers. They say the way to spot a fake is to count the Labubus' teeth. Real ones always have nine.

Meanwhile regulators in parts of China intervened when a bank advertised new accounts with Labubu boxes.

What makes the creatures so desirable?

That Labubus are often quickly sold out is part of Pop Mart's strategy, says Ulrich. "It creates additional desirability when you can't get the products immediately."

That keen sense of wanting is further fuelled by the fact that Labubus are often sold in a blind box, where you don't know which monster is inside. A blind box is a sealed package containing a random toy from a series, so buyers do not know which figure they will receive.

Instagram and TikTok followers are going wild at the many videos of people opening the boxes then responding with sheer delight or bitter disappointment.

The quirky toys are the latest items to surge thanks also to the unboxing trend, around a while, but which had briefly run out of steam, says Dammler.

Labubus in the West are also benefitting from people's interest in Asia fuelled also by K-pop bands, anime films, and manga comics.

Will the wave last?

Will Labubus be a long-term hit? "The hype wave is built up. I think they can be sold well at the moment," says Dammler, of Munich market research company Iconkids & Youth. But, he says, the furry figures would need to become significantly cheaper and more readily available to have a broader, mass appeal. "Otherwise, they will stay among trendsetters and collectors."

So what is next? Will new products trigger a new wave? Only then will they stay appealing in social media, says Dammler. "No influencer who takes themselves seriously will be doing anything about Labubu in a month."

But Ulrich says "if the products are really widely introduced, then that will make them a bit less special." Labubus could also contribute to Pop Mart gaining a kind of cult status abroad, as it is in Asia, where it regularly launches new products onto the market, he says.

Shops popular for selfies

Pop Mart says it has 500 stores in more than 30 countries. People flock to them for selfies, says Ulrich. "Customers photograph themselves there with the products and post it on social media. That is the best form of free advertising, of course."

People are likely to flock to the new Berlin store just as they do to the retailer's other European city outlets including London, Milan, and Paris.

Tourists and locals alike stream to the stores for unusual souvenirs and to take selfies - fearing, as Ulrich says, that the Labubus will only be available in the store for a short time. After all, a concept is a concept.