Labubu. What can this cute ugly toy teach us about modern consumerism in a lipstick economy?

When the economy is uncertain and consumer priorities shift, the rise of unlikely cultural icons can tell us more than any trend report. Enter Labubu; a mischievous, wide-grinned, overpriced designer toy character – and I recently bought three.

Labubu isn’t your standard mainstream character. Created by Hong Kong artist Kasing Lung and available through collectible art toy shop POP MART (and some black-market street vendors) for around AUD $80, with its oddball proportions, expressive features and cult following, it’s part of the booming designer toy scene – a niche world of vinyl collectibles. 

Labubu’s runaway success offers a window into deeper insights about consumer psychology and emotional spending, in fact, Labubu may be one of the most powerful – if unassuming, examples of the lipstick economy in action. 

 Labubu - the newest designer toy.

Labubu – the newest designer toy.

The lipstick economy: a quick primer

The lipstick effect refers to a well-documented economic phenomenon where consumers, during times of financial stress, still purchase small and affordable luxuries rather than big-ticket items. Coined during the early 2000s and revisited during the 2008 global financial crisis (and again during COVID-19), it explains why lipstick sales often rise during recessions. People still seek emotional rewards during hard times, but at a lower cost. Plus, lipstick brightens your face and makes everyone feel better.

Today, this idea has broadened beyond cosmetics to include anything that delivers small joy or self-expression without breaking the bank. Think $60 candles, niche skincare, indie clothing brands made from 100% merino wool and yes, designer vinyl figures like Labubu.

Why Labubu hits the sweet spot

So why has Labubu captured hearts and wallets in such a big way? 

It’s a low-stakes but luxury item. Most Labubu toys retail between $80-$100, making them affordable splurges. In economic downturns, consumers may avoid large discretionary spending but still want a “treat” for themselves or their kids – a concept central to the lipstick effect. Labubu isn’t a functional necessity, but it provides emotional value, and that’s the currency that matters right now, especially when holidays are out of reach.

It’s personal and emotional. Each version of Labubu tells a story; from forest-dwelling elf to pirate to glow-in-the-dark ghost. Fans connect emotionally with the character’s charm, often seeing parts of themselves reflected in its quirky persona. This personalisation and storytelling turns a toy into a meaningful purchase.

In PR and branding, this highlights the power of emotional storytelling. The brands winning today aren’t selling products, they’re selling identity and belonging.

It fuels anticipation and community. Labubu drops are often limited-edition, blind-boxed, and released via exclusive channels to create FOMO. Social media buzz, trade groups, and fan content fuel the community. The brand really became mainstream when Rihanna was spotted with one on her bag – no brand endorsement, just a candid moment with a bag charm she thought was cute.

This is critical for PR professionals. In a crowded media landscape, products that build anticipation and community engagement outperform those that rely solely on traditional push marketing.

From toys to trends: broader lessons for brands and PR

This is why I spent four hours on a city adventure, chasing down a Labubu at every POP MART store in Sydney with my two girls. Because Labubu is more than just a cute face, it’s also a case study in emotional marketing and modern consumer dynamics. I don’t normally buy into toy trends, my kids certainly didn’t suggest it, but in this instance the fun was well worth the price tag.

Here are my five key takeaways for anyone interested in marketing, brand, and PR and how to navigate promotion in a conservative economy:

1. Emotional value = functional value

In uncertain times, people spend on what makes them feel good, not necessarily what’s most logical. Emotional comfort is a currency. Brands should lean into campaigns that speak to resilience, comfort, nostalgia, and joy. My purchase is a classic example of this. I would never normally spend that kind of money on a toy, but we aren’t going away on holidays, we are all working hard and I wanted my kids to be rewarded and feel cool. That’s how I got my reward. 

Think: “How does your product help people feel better – not just do more?”

2. Create collectibility

Whether you sell coffee, jewellery, or financial advice, consider how your brand can deliver joy in bite-sized moments. Micro-luxuries are thriving, and consumers are willing to invest in them if they feel exclusive and special.

3. Visual identity is power

Labubu’s visual appeal is central to its success. In an era of infinite scroll, a distinct and instantly recognisable aesthetic breaks through the noise. Every business should invest in bold, consistent branding that photographs well, is relatable and tells a story.

4. Nurture community, not just customers

Labubu thrives because of its community and fandom, not just buyers. People share photos, swap toys, and attend fan meetups. That level of engagement builds brand equity faster than any ad campaign.

PR pros should look at ways to turn consumers into advocates: think co-created content, UGC campaigns, fan shoutouts, and community-led storytelling and endorsement. 

5. Own the narrative, not just the product

Labubu has been able to supersede its status as a toy, into a full-blown universe. The character has a backstory and a mythology. Brands that succeed in good and bad economies tap into myth-making. They make people feel like they’re part of something.

Amanda Lacey

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How Great Northern’s ‘Outdoors for a Cause’ campaign brewed up a storm of backlash

If the importance of knowing your audience and communicating clearly was ever in question, look to the Great Northern Brewing Company for some confirmation.

Just weeks after Carlton & United Breweries (CUB) launched Great Northern’s ‘Outdoors for a Cause’ campaign, CEO of CUB, Danny Celoni stepped down after intense backlash. 

Outdoors for a Cause was an initiative where Great Northern partnered with the Foundation for National Parks & Wildlife. This partnership aimed to raise $200,000 to buy land to add to national parks, to support the growth and protection of Aussie flora and fauna.

How did we get here?

Starting at the very beginning, at the end of the 2000’s, CUB was associated strongly with Victoria. Not only is Carlton in the name of Asahi Beverages’ division, its flagship products consisted of Victoria Bitter, Carlton Dry, and Carlton Draught. Very Victorian. 

Thinking nationally, the Great Northern Brewery Co. was launched by CUB in 2010, located very far away from Carlton in the town of Yatala, Queensland, aiming to penetrate the stronghold that competitor Lion Nathan had established in Queensland with XXXX Gold and its associated products. 

Great Northern, with the tagline of “The Beer From Up Here”, experienced incredible growth since its inception, with strong branding that reflected the enjoyment of the great outdoors. The perfect complementary alcoholic beverage to fishing, camping, hiking, four-wheel driving (4WD), and other activities in the unpredictable Australian landscape was how Great Northern positioned itself as. 

It clearly worked. Not only did they unseat XXXX as the top drop in the sunshine state, over time, they outperformed basically every beer product on the market. 2022 and 2023 saw Great Northern take the crown for the top-selling beer in Australia, with 2024 only seeing them just fall behind to CUB’s Carlton Dry. 

Being the top-selling beer in Australia, Great Northern had a broad consumer base, but their most important demographic consisted of the people that accurately and truthfully reflected these branding efforts. Think rural Australia, people that take on the tough 4WD trails, spend their time on the boat battling crocs for the perfect catch, head deep into bushland to camp and hunt. 

In retrospect, it doesn’t seem far-fetched that a disconnect could emerge between Great Northern’s marketing team and this key consumer group without consistent communication and feedback on the initiatives the brand puts into place.

That’s exactly where the Outdoors for a Cause campaign failed upon its launch in late 2024. City slickers that drink Great Northern solely for the refreshing taste and agreeable price point didn’t care as much as the rural market, and Great Northern certainly didn’t expect the backlash. 

What went wrong?

Great Northern didn’t do anywhere near enough due diligence with the rural demographic Immediately after launching Outdoors for a Cause, the passionate hikers, fishers, 4WD drivers, and campsite enjoyers responded by boycotting Great Northern, many calling the brand and its campaign “woke”.

This comes down to the difference between national parks and state parks and forests. Put simply, national parks conserve natural ecosystems, placing restrictions on what visitors can do there as part of this conservation. Basically look, don’t touch. People can visit national parks and appreciate their beauty and biodiversity, but rarely allow people to participate in the range of outdoor activities that Great Northern drinkers enjoy doing. 

State parks and forests on the other hand have lower environmental protection. If you’re in a state park or state forest, you can camp, caravan, trail bike, drive a 4WD, fish, hunt, essentially all the outdoor activities that Great Northern aligned itself with.

The problem wasn’t necessarily that those participating in the boycott didn’t want to see national parks expanded. It was more that they saw the Outdoors for a Cause campaign as a direct threat to state parks and forests. Part of the backlash included claims that the $200,000 would go to removing sections of state parks and forests, turning them into national park areas that are not legally viable for people to enjoy with recreational freedom.

Videos were uploaded to social media by long-time Great Northern consumers explaining this, garnering anger and confusion at the campaign. Cans and bottles across the nation were opened, turned upside down and emptied in protest. Great Northern had inadvertently made themselves an enemy of their foundational demographic.

The backflip had to happen. On 29 January 2025, Zac Gelman, Head of Great Northern Marketing released a statement saying:

“Great Northern’s Outdoors for a Cause campaign was yesterday reassessed following feedback from our passionate drinkers. Our donation to the Foundation for National Parks & Wildlife will now not be used to buy land to add to national parks. Our donation will instead be used for the preservation of endangered species.

Whether it’s hiking, fishing, 4-wheel driving or just relaxing, Great Northern drinkers use and preserve their precious spots in the great outdoors and we support them.

There has been some speculation on social media that the campaign’s original intention was to raise funds to turn state park land into national parks. For clarity, the campaign’s original purpose was to help transform private land – not state park land – into national parks.”

Then on 3 February 2025, Asahi Beverages announced that CUB CEO Danny Celoni had decided to leave the business to pursue other opportunities at the CEO level.

Could this all have been avoided?

Yes. There are plenty of ifs in this one. 

If the campaign had been articulated clearly, that the goal was to transform private land instead of state park land into national parks, the backlash would never have occurred.

If the campaign had focused on expanding state park land from the outset, the backlash would never have occurred. 

If Great Northern had put more thought into how the iconic aspects of its brand could be extended through expanding state parks and forests rather than national parks, it would have been a successful campaign. 

If more research had gone into finding out what the company’s most authentic and loyal consumers wanted to see in its brand initiatives, it could have created a successful campaign.

Unfortunately, Great Northern did almost everything right in launching a campaign that related to its brand image, but fell short with the finer details – especially how it communicated the campaign’s outcomes.

Fortunately, it definitely seems like the damage can be repaired with a series of intuitive and well-researched campaigns to rebuild trust. If Great Northern didn’t know what its customers wanted before, it certainly does now. One setback creating plenty of opportunities perhaps. Cheers to that. 

Freddie Fletcher, Account Executive

freddie@popcom.com.au

The Power of Connection: How Women Forge Relationships with Brands

In today’s competitive marketplace, building a strong and loyal customer base is crucial for the success of any brand. While targeting a diverse audience is essential, it is important to acknowledge the unique connection that women have with brands. 

 

Harvard Business Review reported in 2009 that women accounted for $20 trillion in annual consumer expenditure, which made us a larger potential market expansion than China and India combined. Fast forward a decade 2020, and it is reported that women spending power is closer to $31 trillion. Nielsen predicts that in another five years (2028), women will control 75% of discretionary spending. That’s a lot of power. 

 

Women, as consumers, possess a remarkable ability to form deep and lasting bonds with the brands they choose to support; as management guru Tucker said, “women don’t buy brands, they join them.”

 

The question begs, how do we build connections with women consumers? It mostly comes down to creating campaigns driven by passion and authenticity; here are my quick thoughts on strategies that brands can employ to connect with female consumers on a profound level.

 

Understanding Emotional Intelligence:

One of the key factors in women’s connection with brands lies in their emotional intelligence. Women tend to make purchasing decisions based on how a brand makes them feel. They seek out brands that align with their values, resonate with their aspirations, and contribute to their overall well-being. By understanding the emotional landscape of women, brands can tailor their messaging, imagery, and storytelling to evoke the desired emotional response.

 

Authenticity and Trust:

Building trust is essential in any relationship, including the one between women and brands. Authenticity plays a vital role in fostering trust and loyalty. Women appreciate brands that are transparent, genuine, and consistent in their communications and actions. By being true to their values, delivering on promises, and actively engaging with their female consumers, brands can establish a sense of trust that strengthens the bond over time.

 

Representation and Inclusivity:

Women, more than ever, seek brands that embrace diversity and inclusivity. They want to see themselves represented in advertising, marketing campaigns, and product offerings.

Brands that prioritise inclusivity and showcase the diverse experiences, body types, ages, and backgrounds of women foster a strong connection with their audience.

By creating spaces that make women feel seen, heard, and valued, brands can cultivate an unwavering sense of belonging.

 

Empowerment and Purpose:

Empowerment is a driving force behind the connection women forge with brands. Women appreciate brands that inspire and uplift them, helping them overcome challenges and achieve their goals. Brands that align themselves with a larger purpose and advocate for social causes women care about demonstrate their commitment to making a positive impact. By supporting and championing women’s causes, brands can tap into a deep sense of purpose that resonates with their female consumers.

 

Engaging in Meaningful Conversations:

Building a strong connection with female consumers in the digital age goes beyond traditional advertising. Brands that actively engage in meaningful conversations with their audience, both online and offline, stand out from the crowd. By leveraging social media platforms, hosting events, and creating opportunities for women to share their stories and experiences, brands can foster a sense of community, sparking conversations and building lasting relationships. This is why social media has found itself firmly in the digital pr tool kit!

  

As I have said, women have an unparalleled ability to connect with brands on a deep and emotional level. A very good reason to have more women in senior management and board positions – this is another article all together.

 

By understanding the factors that drive this connection, brands can tailor their strategies to resonate with female consumers. Embracing authenticity, inclusivity, empowerment, and purpose, while actively engaging in meaningful conversations allows brands to build trust and loyalty with women. In a world where female consumers hold significant influence, establishing a genuine connection with them is not only good business but also a powerful way to foster lasting brand advocacy.

 

Amanda Lacey, Founder and Director POPCOM