Sports and cultural festivals in China give birth to extensive licensing programs, often centered on a cute mascot, with the design of the mascots and the products often highlighting elements of traditional Chinese culture. These initiatives typically inspire hundreds and sometimes thousands of products sold through official shops near the venue and online through sites such as Tmall and Taobao. Many recent examples have led to quick sell-outs and shortages of merchandise, long lines at official shops, and limits on purchase quantities due to the products’ popularity.
This phenomenon is no different from sports and other events around the world, which typically are associated with big licensing programs. But the huge population of China and its affinity for cute characters, especially with cultural ties to the country’s heritage, often contribute to strong efforts, not just for global events held in China, but also for occasions geared to local, regional, and national audiences.
Some recent examples, according to reports in a variety of English-language publications out of China:
- The 2023 edition of the Hangzhou Asian Games, an annual event, is coming up in September and October and features three robot mascots, Chen Chen, Cong Cong, and Lian Lian, inspired by the Archaeological Ruins of Liangzhu Culture, the Grand Canal, and the West Lake, the three World Heritage sites in Hangzhou. Forty licensees are signed to produce merchandise including plush toys, sweatshirts, tea sets, thermal cups, fans, postage stamps, money boxes, sweaters, jade seals, and more. They have reportedly generated excitement among sports fans, tourists, and locals.
- In July, the Chengdu FISU World University Games 2023 offered merchandise based on a torch-holding panda mascot, Rongbao. With flame-shaped ears, eyes, and tail and facial features that recall Sichuan opera, Rongbao was inspired by the giant pandas that originate in the Sichuan region of which Chengdu is the capital. The mascot lent its likeness to more than 1,000 licensed items from 80 licensees, across 18 major categories, with products including toys, badges, figurines, fans, ice cream, books, teacups, textiles in traditional Chinese knitting and embroidery styles, and hotpot seasoning, as well as digital content and collectibles. There were 400 licensed shops in and around Chengdu, at tourist attractions, subway stations, and shopping areas.
- In early 2023, the Chinese Media Group-managed Spring Festival, which marks the Lunar New Year, introduced the mascots Yuan Yuan (a white rabbit) and Tuan Tuan (a red rabbit) in honor of the Year of the Rabbit. Plastic figurines, plush toys, jump ropes, ceramic figurines, and dinnerware were among the many products available. The characters were inspired by a combination of traditional cultural and historical artifacts, with the organizers noting that the concept and design were influenced by big-data consumer research. CMG has been developing cultural merchandise since 2021, with almost 300 products released, and reportedly now commands a strong share of the market for this type of item. Licensees for the Spring Festival mascots included Huaguang Ceramics, theme park operator Happy Valley Group, Pingding Yingyu Porcelain Co., and the Yuetu high-speed railway.
- The mascot for the 2022 Beijing Winter Olympics, a panda encased in ice named Bing Dwen Dwen, was a one of the most popular mascots in China in recent memory. Part of the reason for product sell-outs and shortages included supply chain issues in early 2022, factory shutdowns for Lunar New Year coinciding with peak production times for the event, and a crackdown on counterfeiting. But it is likely organizers also underestimated the popularity of the character. Manufacturers increased their production runs during the Games to try to accommodate demand and sales of the products continued for months after the Games were over. All told, the Games resulted in more than 5,000 products in 16 major categories, produced by 45 licensees and sold in more than 190 official merchandise stores. At the time, Shanxi Securities predicted total sales from Beijing 2022 licensed products would hit $395 million to $400 million at retail.
- Just after the Beijing Olympics came the 2022 Paralympic Games in Beijing, with its mascot Shuey Rhon Rhon, a snow-topped Chinese lantern. Shops featuring products tied to this character also experienced long lines and sellouts as customers sought out toys, medallions, keychains, and many other merchandise categories. As is typical for popular mascots in China, Shuey Rhon Rhon had received 100s of millions of views on the social media site Sina Weibo before the start of the Games.
The phenomenon of event licensing is not new in China, with other popular mascots of the past including Pan Pan from the 1990 and Jing Jing from the 2008 Beijing Olympic Games, to name just two of many. But both the frequency of event-based licensing programs and the depth and breadth of the merchandise arrays are on the rise. And consumer demand seems to be keeping pace.
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