In recent years, a fresh and vibrant consumer trend has emerged, captivating the attention of the market with its unique flairEnter the world of "Guzi," pronounced like "Goods," which stands as a cultural phenomenon deeply rooted in the vibrant two-dimensional universeOriginating from aspects of anime, manga, and gaming, Guzi denotes a wide range of merchandise that young fans passionately collectThis includes everything from badges, posters, and cards to figurines and plush toysEnthusiastically referred to as "Baji" in circles of fandom, these items are much more than mere collectibles; they represent a chic way to embody one’s devotion to beloved characters and narratives.

With the rise of Guzi culture, it's no wonder that it has become a hotbed for investment in the capital marketsAccording to iResearch, the market for secondary dimensions and its derivatives reached a staggering 221.9 billion yuan in China by 2023. Out of this, the peripheral and derivative market alone accounted for 102.4 billion yuan

Additionally, more than half a billion users have engaged in this expansive universe, comprising young adults and the even younger generation born post-2000, who are driving growth with their pure enthusiasm and ardor.

Among all the listed Guzi products, badges or "Baji" reign supreme as favorites among collectorsWhen you look closer, these small metal badges, usually priced at several dozen yuan, can soar in value depending on demand, especially for limited editions or popular IPsFor instance, Mihayou's "Genshin Impact" is so popular that single stores on online platforms have sold over 500,000 Baji piecesAlthough the average customer purchases for personal collections, the enthusiasm surrounding these items has sparked significant social engagement and friendships within the community.

A second-year student at Beijing University, Liu Qian, embodies the archetype of a new Guzi enthusiast

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Having initially been influenced by her friends, she began watching an anime and subsequently started to explore and collect related merchandiseFor Liu, "eating Gu" symbolizes a personal ritual, reminiscent of the joy and inspiration animated content brings herThanks to this shared interest, she has built friendships with people from diverse backgrounds, making the experience all the more enriching.

Professor Fang Yingying from the School of Economics at Beijing Technology and Business University stresses that the intrinsic value of IP characters lies in the emotional connection they build with young audiencesNotably, the act of "eating Gu" resonates with notable social dynamics, contributing to a shared culture among fans.

As the Guzi trend surges, physical storefronts have begun to emerge across major cities, transforming the traditional landscape of shopping centersThis phenomenon introduces an exciting narrative of offline stores entering older commercial centers, ushering in innovative marketing strategies aimed directly at the young demographic

Searching for "Guzi shops" on social media reveals an array of shopping tips and recommendations from users, highlighting the grassroots enthusiasm for these spaces.

On weekends, throngs of young collectors roam these newfound Guzi stores, hoping to uncover items that resonate with their fandomZhao Yisun, a seasoned Guzi enthusiast born post-1995, recalls a time when such merchandise was exclusive to anime conventionsWith the rise of Guzi shops penetrating urban markets, their accessibility has dramatically improved.

The Huawai Mansion shopping center in Beijing, for instance, regularly hosts events focused on two-dimensional space market exhibitions, showcasing merchandise and fostering community interactionShi Changzheng, the manager of the venue, notes that many of the thriving Guzi shops originally started as online enterprises but have transitioned to physical locations, aligning with broader retail developments

Indeed, sales in shopping centers concentrated on the two-dimensional business model have reportedly doubled in the initial months of 2023.

Shanghai's Bailian ZX Creative Field, recognized as the country's pioneering commercial venue dedicated to dimension culture, opened its doors in January 2023. It swiftly attracted a multitude of fans and boasted an impressive 84% increase in sales year-on-yearSimilarly, the "Zhenggu" shop in Zhengzhou successfully introduced this thriving trend, generating over 200,000 yuan in sales on peak daysSuch booming businesses speak to the tantalizing potential of Guzi consumption.

To maintain excitement in the evolving market, all Guzi stores must stay ahead and adapt by consistently refreshing their inventoryYet, many small shops face significant challenges, including market saturation and the difficulty of obtaining sought-after rare itemsLiu expresses her frustrations that many coveted pieces are scarce, leading to disappointment in acquiring them.

Nonetheless, optimism persists among businesses eyeing the GTZ trend as a ripe market opportunity

Some retail outlets are experimenting with hybrid online and offline models to meet evolving customer needsHowever, to build lasting relationships with a younger audience, they must focus on unique products and personalized experiences that stand out in a crowded marketplace.

For investors, the Guzi craze isn't just an emerging shopping trend; it's a litmus test for market awareness and grasp of risks in this evolving consumer landscapeVarious brokerage firms have released research indicating promising future avenues for Guzi consumptionAs analysts like Ma Li from Zheshang Securities suggest, companies that align closely with the IP industry and offer distinctive experiences are likely to find leverage in a competitive sphere.

Yet, as the Guzi phenomenon takes flight, it must be acknowledged that protecting intellectual property is paramount for sustainable growth in this sector

There remains a significant disparity in prices for genuine versus counterfeit merchandiseThe financial incentive for low-quality imitation products poses challenges, as consumers struggle to differentiate between the twoThus, industry stakeholders are urged to push for comprehensive regulatory measures to safeguard creative works while nurturing the growth of quality domestic IP.

As more minors join the Guzi craze, vigilance against consumer pitfalls is necessaryThe Chinese Consumers Association recently appealed to parents to reinforce educational dialogues around safeguarding against online scamsIt is crucial to instill a culture of responsible consumption within young enthusiasts while simultaneously urging businesses to uphold ethical practices and respond to consumer rights effectively.

The evolving landscape of Guzi consumption represents more than mere trends; it embodies a wave of cultural engagement among youthful generations