U.S. Plush Toy Market Flourishes in 2025 Driven by Adult Demand and IP Collaborations

New York, Dec. 16 (Xinhua) — The U.S. plush toy market is witnessing robust growth in 2025, fueled by the booming “Kidult” economy, surging demand for licensed IP products, and innovative retail strategies, according to recent industry reports and market data. Key players across the sector are reaping the benefits of shifting consumer preferences, with both established brands and emerging players capturing significant market share.

Circana’s latest industry performance report reveals that the U.S. toy industry achieved a 6% year-on-year increase in dollar sales in the first half of 2025, with licensed toys – a core segment of plush products – leading the growth with an 18% sales surge. Notably, sales of toys for recipients aged 18 and above jumped by 18%, split nearly evenly between men and women, highlighting adults’ growing role as a key driver of the plush toy market. This trend aligns with findings that 43% of U.S. adults purchased toys for themselves over the past year, with plush products being a top choice for emotional comfort and collection purposes.

Major brands are capitalizing on this trend through strategic IP collaborations and expanded target demographics. Build-A-Bear Workshop, a leading player in the U.S. plush market, reported an 11% year-on-year revenue growth in the third quarter of 2024, on track to achieve record revenue for the fourth consecutive year.


The brand has successfully expanded its customer base to include teenagers and adults, who now account for 40% of its clientele, by launching collaborations with popular IPs such as Pokémon, Stranger Things, and Star Wars, and leveraging social media platforms like Instagram and TikTok to engage younger audiences. Its “THE STUFF YOU LOVE” marketing campaign, launched in May 2025, further emphasized the brand’s appeal to both children and adults, positioning plush toys as symbols of comfort and joy.

Licensed plush products dominated top-selling lists across e-commerce platforms. On Amazon, Disney’s Nala plush led with 18,357 monthly sales, followed by Squishmallows’ Ludwig teal frog and Minecraft plush dolls, all boasting a 4.8+ rating. Squishmallows, known for its oversized, soft designs, continued to fuel the “softcore” collectibles trend, with limited-edition releases driving repeat purchases and a thriving secondary market.

Additionally, Basic Fun!’s Care Bears × Wicked collaboration plush saw strong sales momentum following the release of the Wicked sequel in mid-November 2025, with the rebellious Wicked Witch version outperforming its counterpart among fans.

International brands are also making inroads into the U.S. market. Pop Mart, a Chinese trendy toy giant, marked a significant milestone by becoming the first Chinese brand to feature its original IPs on a float at the 2025 Macy’s Thanksgiving Day Parade. Its 16-foot-tall LABUBU and MOKOKO plush air models, alongside other IPs like SKULLPANDA and MOLLY, received enthusiastic responses from on-site audiences and social media users. Pop Mart’s U.S. revenue surged by 1142.3% year-on-year in the first half of 2025, with its LABUBU third-generation vinyl plush accessories causing a global buying frenzy earlier this year.

Sustainability has emerged as another key trend shaping the market. Brands using organic materials or recycled fabrics are gaining traction, with Melissa Doug’s organic cotton-filled doll series recording a 210% year-on-year sales growth in the first quarter of 2025. Industry forecasts suggest that biodegradable fillings will see their penetration rate in high-end plush toys rise from 15% to 35% by 2028, reflecting growing consumer demand for eco-friendly products.


Juli Lennett, Vice President and Toy Industry Advisor at Circana, noted that the toy industry’s resilience in 2025 is particularly crucial ahead of the holiday season. “Consumers are seeking joy through meaningful gifts, and plush toys – with their emotional appeal and cross-generational charm – are well-positioned to benefit from this trend,” she said. With the holiday shopping season in full swing, industry experts anticipate further growth in plush toy sales, driven by continued IP excitement and the enduring appeal of collectible and personalized products.

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