Forget everything you know about shopping. In China, the real action is no longer in the permanent flagship, but in the fleeting pop-up and the blockbuster crossover. This is the FOMO Economy in action—a landscape where scarcity, storytelling and social currency are the new drivers of desire. Layla Zhang, the newest Temper Tasty, and Elsbeth van Paridon break down the craze.

A collection of November’s most hotly anticipated pop-up adventures in Beijng as promoted on lifestyle bible and e-commerce app RedNote
Let’s talk about the new rules of retail in China. Forget loyalty programs and endless flagship stores. The real action, the kind that sends threads of Gen Z shoppers snaking through malls and crashes coffee apps, is happening in the temporary, the exclusive and the wildly unexpected.
This is the FOMO Economy. It’s a landscape where a British plush toy becomes a must-have piece of Beijing civic pride for precisely three weeks. Where your morning coffee order is reimagined as a powerful in-game artifact from video game Honor of Kings. Where a museum’s historical robe and a fast-food burger joint are equally potent fuel for social media buzz.
Oh, and for anyone reading this in the 2030s, here’s to hoping, “FOMO” is a 2020s acronym for “fear of missing out.” Now you know.
Driven by a profound shift in consumer psychology and backed by proactive government policy, two powerful forces—the ephemeral pop-up store (快闪店| kuàishǎn diàn in Chinese) and the strategic intellectual property (IP) crossover (联名| liánmíng, “joint branding”)—are fundamentally rewriting the playbook. They are transforming shopping from a simple transaction into a collectible experience, a piece of social currency, and a laboratory for market innovation. This isn’t just a trend; it’s a full-blown blueprint for the future of Chinese consumption.
High Temper time to break down how it all works.
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Jellycaaat, Jeeellycat
A long line of young Chinese shoppers snakes its way past luxury boutiques and coffee shops in Beijing’s China World Mall, clutching their phones and chatting excitedly. At the head of the queue, nestled in a prime corner, is the reason for their patience: a pastel-colored pop-up store for Jellycat, the British plush toy brand. Among them is Liu Zhaoyuan, a 24-year-old graphic designer, who took an afternoon off work specifically for this visit.
“I’ve become a big fan of Jellycat since I graduated from college,” Liu tells us, detailing her collection of eight different toys. “I just can’t turn down the combination of a cute toy and the joy of owning something that is limited and exclusive.”
Her prize for an hour’s wait was a special edition rabbit, its ear delicately embroidered with Chinese roses, Beijing’s official flower. “It feels like a little piece of the city. And knowing it’s only here for a few weeks makes it more special,” she adds.
Liu’s experience is a microcosm of a macro shift. Across China, two powerful, often intertwined, retail phenomena are reshaping the consumer landscape: the explosive growth of pop-up stores and the relentless craze for crossover IP collaborations. Driven by a young generation seeking not just products but emotional connection, storytelling and social currency, these strategies are turning shopping from a transaction into a transient, must-capture event.

British plush toy brand Jellycat pops up in Shanghai. Image: RedNote
The Pop-Up’s Powerful Pull
A pop-up store is, at its core, a temporary, short-term retail space—a “guerrilla” tactic in marketing. It’s designed to create a sense of urgency and exclusivity, “popping up” for a limited time before disappearing. Its primary goals are to generate buzz, foster direct brand engagement and test new markets without the long-term commitment of a traditional lease.
The most powerful pop-ups are those that tap into a city’s distinct local narrative. This strategy of leveraging civic pride extends well beyond botanical motifs. A case in point is “Garlic Bird” (蒜鸟| Suàn Niǎo), an IP from the Hubei Provincial Museum featuring a small bird with a garlic clove on its head. The character’s name is a playful nod to a high-frequency expression in the daily life of Wuhan locals—”suàn le” (算了| basically “let it be”), which, in the local dialect, sounds like “Suan Niao,” encouraging a relaxed attitude. This local resonance, encapsulated in a cute design, has earned the character the affectionate title of “Wuhan’s Dove of Peace” among netizens.
The “Take Me Home” pop-up, a collaboration between “Garlic Bird” and the Wuhan Animal Protection Association, masterfully combined people’s love for the IP with their sense of compassion. The space featured photography documenting the harsh reality and hopeful recovery of stray animals, alongside the launch of a black “Hug Cat” plush. Seven percent of the revenue from each Suan Niao product sold was directed toward animal rescue efforts.

During Chinese pop star Jay Chou’s “Carnival” world tour stop in Shanghai, “Finding Zhou Tongxue” pop-ups erupted in four major shopping malls. Zhou Tongxue is Chou’s anime alter ego. Image: screenshot taken from a livestream exploring one such pop-up on RedNote
In contrast, Shanghai’s pop-ups have become an extension of the event experience and fan economy. During Chinese pop star Jay Chou’s “Carnival” world tour stop in the city, “Finding Zhou Tongxue” pop-ups erupted in four major shopping malls. Zhou Tongxue, meaning “Classmate Chou,” is the anime version of the superstar. These stores were wildly popular, with a variety of co-branded products and Shanghai-exclusive items selling out instantly. The co-branded apparel collaboration between Zhou Tongxue and streetwear brand BONELESS was snapped up on the first day.
“I bought T-shirts from the pop-up not only for myself but for lots of other fans who couldn’t make it to the concert,” Li Shengrui, a fan who attended the October 9 concert, explains. “It feels so great to have some souvenirs that are tied to this precious experience. Even if I can attend another Jay Chou concert in the future, the pop-up products will be different.”
But what explains the magnetic pull of these here-today, gone-tomorrow retail experiences?
“Unlike previous generations who prioritized functional utility, today’s young consumers, especially Gen Z, place greater emphasis on emotional satisfaction,” Wei Feng, a professor at Tongji University’s School of Economics and Management, tells newspaper Shanghai Observer. “They aren’t just buying a product; they’re buying an experience, a story and a piece of social currency.”
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The Crossover Universe: Beyond the Product
This craving for emotional engagement finds a parallel expression in the booming crossover economy. When Li Lingyue placed her order for wildly popular Chinese coffee chain Luckin Coffee’s collaboration package with Honor of Kings, she wasn’t just buying a warm beverage… She was securing a piece of a cleverly constructed crossover universe, one that translated the game’s iconic equipment system into a creative liquid lineup.
“Aside from the cup bearing the image of my favorite game character, I also got a hot-stamped badge,” Li says. “I originally wanted the set with the keychain… but it sold out almost instantly. You can imagine how popular a collab between a popular game and a trendy coffee brand can be.” She admits, “To be honest, I’m not even really a coffee person… I bought it more for the collectibles.”
Luckin’s success is no accident; it’s the latest proof of a well-honed crossover strategy. In September 2023, the chain made national headlines with its collaboration with Chinese liquor giant Moutai, launching the controversial yet insanely hot “Sauce-Flavored Latte.” Priced at RMB 38 (USD 5.32) per cup, the drink sold 5.42 million cups on its first day alone, generating over RMB 100 million (USD 14 million) in sales. The co-branding demonstrated the powerful market pull of an unexpected brand alliance.

Game on. Image: Douyin (the Chinese version of TikTok)
Policy Push and the New Consumer Psyche
This sales model is getting intensified promotion against a backdrop of proactive government policy. In September, China’s Central Government issued an Action Plan for Boosting Consumption, advocating for the deeper integration of commercial, tourism, cultural, and sports consumption, as well as the innovation of diverse consumption scenarios.
Most notably, on September 30, the Ministry of Finance and the Ministry of Commerce announced pilot programs for new consumption formats, supported by central fiscal subsidies. According to the document, one explicit focus is “supporting the crossover collaboration of high-quality consumption resources with famous IPs,” encouraging themed stores and immersive spaces that leverage local culture and historical IPs.
“Young people’s consumption psychology is undergoing a profound shift, from functional satisfaction to emotional resonance, from mass conformity to personal expression,” Xiong Xing, an associate professor at Chongqing Technology and Business University, mentions to Xinhua. “The crossover economy accurately captures this trend, endowing products with diverse value through scarcity, personalization and storytelling, thereby giving rise to new consumption paradigms.”
Wan Zhe, a professor at Beijing Normal University, tells newspaper National Business Daily that this policy will stimulate innovation and create new business formats and jobs. “For instance, when sports brands collaborate with intangible cultural heritage skills to launch distinctive products, this can drive coordinated development across the entire industrial chain… forming a complete closed loop for the transformation of cultural and economic value.”
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Strategic Tools and Operational Laboratories
For retailers, both pop-ups and crossovers offer more than just buzz; they provide valuable market intelligence and strategic advantages.
“The limited-time nature of pop-ups creates a sense of urgency, and their immersive environments transform shopping from pure transaction to experience,” Xu Anxin, a professor of digital economy at Fujian Agriculture and Forestry University, states in newspaper Fuzhou Evening News. “Consumers come mainly to participate in something special, and the spaces, decor, product design, staff clothing and even background music should be able to resonate with customer feelings.”

A Golden Arches pop-up by the seaside in the glitzy tech hub of Shenzhen, south China’s Guangdong Province, this summer. Image: “Shenzhen Look” on RedNote
Pan Ruyi, general manager of a McDonald’s in Fuzhou, describes pop-ups as strategic “traffic engines.” In August, her restaurant was transformed into Fujian’s first “McDonald’s Pop-up Island” flagship, redecorated with island-themed installations and limited-time milkshakes. “Through innovative marketing and immersive experiences, pop-ups allow us to test new concepts and engage directly with consumers,” Pan says. “The pop-up generated unprecedented social media engagement while providing crucial consumer feedback this summer.”
Professor Xu emphasized the operational advantages: “Pop-ups enable brands to maintain freshness and relevance without the long-term commitment of traditional retail. They’re laboratories for innovation, allowing companies to validate concepts before scaling.”

The China Three Gorges Museum’s collection of Lego-style figurines named “MASK Xizai,” based on Ming Dynasty (1368-1644) painter Tang Yin’s masterpiece Night Revels of Han Xizai, have become instant collector’s items. Image: the museum’s official RedNote account
This laboratory function is evident in the crossover wave, which has permeated broad-ranging sectors, with cultural and museum IPs becoming particularly hot assets. In Chongqing, the China Three Gorges Museum partnered with commercial brands to create derivative products. One collaboration, based on Ming Dynasty (1368-1644) painter Tang Yin’s masterpiece Night Revels of Han Xizai, resulted in a Lego-style figurine named “MASK Xizai” that became an instant collector’s item.
“Cultural elements can empower commercial brands, making their IPs more exciting and meaningful,” says Chi Lin, director of the museum’s Cultural Creation and Cooperation Department. He notes a subsequent collaboration with tea brand CHAGEE, based on a historical robe, boosted museum footfall by 20 percent. “The popularity of ‘museum co-branding’ is a vivid reflection of the consumer’s cultural confidence.”
The film industry is also leveraging this trend. Movie theater titan Wanda Film has figured out a winning formula by partnering with other brands for promotions that directly lead to ticket sales. Their data showed a 30-percent movie-viewing conversion rate from some past activities, 85.5 percent of which came from users under 25.
“We found that young people are highly interested in innovative experiential cinema activities,” Li Jinlei, general manager of a Wanda Movie subsidiary, told newspaper China Youth Daily. “They not only check in and buy merchandise but also get to socialize. The whole process provides a rich entertainment experience, effectively drawing them back to cinemas.”
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Despite their roaring popularity, these models face growing pains. On lifestyle bible RedNote, some consumers have complained of premium prices for mediocre quality at pop-ups. Others note repetitive concepts as the format becomes mainstream.
“Some products from pop-up stores are overpriced,” Liu admitted. “And because the store’s already closed when I find out about the quality problems, I cannot return the products or file complaints… Sometimes these problems give ordinary customers, who are not so crazy about pop-ups in the first place, second thoughts.”
Professor Wei adds that long-term success requires a deeper understanding of consumer psychology: “As the novelty wears off, pop-ups and crossovers must deliver genuine value, whether through unique products, meaningful experiences or authentic storytelling. The emotional connection must be more than superficial.”
As young consumers continue to seek out products that offer both a tangible item and an intangible connection, the dual engines of pop-up retail and the crossover economy, supercharged by policy support and relentless brand innovation, are poised to remain the defining feature of China’s ongoing consumption paradigm. They are not just selling products…
They are selling moments, memories and a powerful sense of belonging in an increasingly ephemeral world.
FEATURED IMAGE: In Chongqing, the China Three Gorges Museum this year partnered with commercial brands to create derivative products. One collaboration, based on Ming Dynasty (1368-1644) painter Tang Yin’s masterpiece Night Revels of Han Xizai, resulted in a Lego-style figurine named “MASK Xizai” that became an instant collector’s item. Image: the museum’s official RedNote account
Contact Layla Zhang at yz7048@nyu.edu
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