How “guzi economy” may change the game for Guangdong’s cultural industry丨CBN Perspective

摘要：As the 21st China International Cultural Industries Fair (ICIF) opened in Shenzhen on Thursday, Guangdong—China’s top cultural exp

Hello! Welcome to this edition of CBN Perspective. I’m Stephanie Li.

As the 21st China International Cultural Industries Fair (ICIF) opened in Shenzhen on Thursday, Guangdong—China’s top cultural export province—stepped into the spotlight, unveiling an 87-measure policy blueprint to turbocharge six core areas including film and TV, live performances, animation, online games, esports, and digital streaming.

At the heart of this cultural surge: the red-hot “guzi economy”, a phenomenon driven by Gen Z and Gen Alpha’s passion for anime merchandise and the rise of “guochao anime”, which blends Chinese cultural narratives with modern creativity following the sensational debut of Black Myth: Wukong and the history-making box office of the Ne Zha franchise.

Derived from the phonetic English word “goods”,“guzi” refers to ACG (animation, comics, games) collectibles—badges, figurines, posters—that have evolved into a symbolic language for young consumers.

It’s also a play on “gu,” the Chinese word for grain, comparing the joy of collecting small merch to harvesting tiny, satisfying rewards.

Within that world, fans navigate limited editions, blind boxes, resale markups, and algorithm-driven livestreams, blurring the line between passion and product.

For fans, “guzi” is more than materialistic; it’s an experience resonating on a deeper, emotional level, and the so-called “guzi” economy allows them to express their passion for specific cultures and characters through purchases.

And in this year’s edition of ICIF, the organizers for the first time introduced Shenzhen’s Bit City, dubbed the city’s “guzi haven”, as a new venue, hosting anime carnivals, ancient-style IP pop-ups, and ACG concerts—signaling the subculture’s ascension to mainstream commerce.

The move mirrors a broader shift: China’s ACG audience swelled to 503 million in 2024 — a number projected to reach 570 million by 2029, according to research firm iiMedia.

Last year alone, China’s “guzi economy" was worth 168.9 billion yuan ($23.5 billion). By 2029, it’s projected to nearly double (US$42 billion), a scale reshaping how China consumes.

ACG consumers are highly loyal to their favorite characters and are willing to pay a premium for products that hold cultural and emotional significance. These small trinkets, often bought in bulk, provide emotional value and a way to purchase “happiness.”

On social media, the fandom moves fast. In recent months, photos and videos of young collectors showing off gu hauls or filming unboxings have flooded feeds. On Xiaohongshu, known globally as RedNote, a related hashtag has drawn more than 4.7 billion views, while on Douyin, China’s version of TikTok, “eating gu” has racked up 6.6 billion.

The sense of belonging is the beating heart of this economy. According to a McKinsey survey, 64% of Chinese consumers place greater importance on emotional consumption than purely functional consumption. This connection is also reflected in the preference for offline purchases, with physical stores becoming true shrines for enthusiasts.

Similar to the popularity of an IP like Jellycat, characters from Labubu, Chiikawa, and Molly, to the latest cinematic sensation Ne Zha and Ao Bing, are making their presence known through dedicated “guzi” shops, subtly reshaping China’s retail landscape.

Shopping malls are retooling around character merchandise and immersive fan experiences to build loyalty and draw foot traffic. Pop-ups, specialty stores, and anime-themed events now fill spaces once dominated by fast fashion and food courts.

In Jinan, eight specialty stores have quietly sprung up in major shopping areas, with outlets reporting daily sales exceeding 10,000 yuan.

Just before New Year, Bailian Group, the largest retailer in Shanghai, launched its second Bailian ZX mall, a brand wholly dedicated to otaku, a Japanese word that describes people with consuming interests in the pop cultures of anime, manga, video games and computers.

Data from corporate data provider Tianyancha show that over 10,000 new businesses related to the “guzi economy" were established between January and November 2024, up 14 percent year-on-year, bringing the existing total number to over 64,000.

It’s no surprise that the first to recognize the potential of this phenomenon were the giants of the food and beverage industry. Chains like Heytea, Good Me and Luckin, China’s tea and coffee chains, have launched special collections dedicated to “guzi,” while Starbucks even introduced a Christmas line inspired by anime.

The economic impact of the “guzi” phenomenon is also visible in financial markets: the stock value of MINISO, specializing in pop-culture merchandising, has risen so far by over 300% since its Hong Kong IPO in 2022, while retailer Pop Mart eclipsed HKD300 billion in market cap, putting it in elite company on the Hong Kong stock market on Thursday. In the first quarter of 2024, Pop Mart has recorded a 165% to 170% year-on-year growth in revenue.

As the birthplace of one-third of China’s animation output that exceeded 60 billion yuan in 2024, Guangdong is leveraging its manufacturing might and proximity to Hong Kong and Macao with a 15-point policy plan. The initiative released yesterday targets tech integration with AI and virtual production, talent cultivation, and cross-industry collaboration, aiming to transform the Greater Bay Area into a global hub for anime IP creation—think Journey to the West reimagined through humanoid robots or digital collectibles.

As “guochao” anime conquers domestic screens and “guzi” stores pop up in Southeast Asia and beyond, Guangdong isn’t just riding a trend—it’s rewriting the playbook for how nations monetize their cultural heritage in the digital age.

In an era where global cultural exports are dominated by Hollywood and Japanese anime, Guangdong’s rise as a “guzi economy” trailblazer signals a seismic shift. This isn’t merely about selling merchandise; it’s about weaponizing nostalgia, technology, and youth culture to craft a new form of “Made in China” storytelling—one that travels beyond borders, turns myths into markets, and proves that the most powerful economic engines are fueled by the heart.

As the world shops for a piece of China’s animated soul, Guangdong’s vision might just set the standard for how cultures monetize their magic in the 21st century.