In recent years, the IP (intellectual property) industry has become hugely popular. Pop Mart's hottest items, Labubu and Molly series figurines, have become global bestsellers, with the company's latest market value reaching HK$336.8 billion.
The IP industry can create billionaires."The growth of this industry relies heavily on national policy support!" Lily Leung, the founder of a Hong Kong-based company specializing in IP design and animation production for over a decade, noted.
In April this year, the annual IP industry event, HKTDC Hong Kong International Licensing Show & Asian Licensing Conference, was held at the Convention and Exhibition Centre, bringing together 600 IPs for a feast of creativity and business opportunities. Leung, who participated in the exhibition, said she met many potential partners there who supported her products.
Last month, the China (Shenzhen) International Cultural Industries Fair proposed 87 policies covering six major sectors: film and television, performing arts, animation, online gaming, esports, and online audiovisual content. Guangdong Province also proposed promoting copyright trading and building a "Global Animation and Film Innovation Corridor."
Leung said, "Hong Kong is fortunate to be backed by the Greater Bay Area, as integrating into its development brings tremendous benefits."
Leung's company, Nikopicto, focuses on IP design and animation production. Once an IP concept is born from a designer's idea, it goes through computer animation before becoming a physical product. She explained that after completing an IP design, sending it to Dongguan for prototyping takes only 5 to 10 days. The finished product can be shipped back to the company in less than a day.
"The benefits of the Greater Bay Area's (GBA) one-hour living circle are fully evident." She noted that when partners see her company's efficient IP production, it significantly boosts their investment confidence, leading to faster deal closures. "By integrating into the GBA's development and leveraging supportive policies, our business volume has surged by 40%."
Quality control and mature logistics
Leung added that efficient IP production allows her team to exhibit in different cities, such as Dongguan, Shenzhen, and Guangzhou, in a shorter time, which not only creates more collaboration opportunities but also boosts sales. Some limited-edition trendy IP collectibles, priced as high as over RMB 1,000 each, have been particularly popular, exceeding sales expectations.
Beyond speed, quality is equally critical. Leung mentioned that her company previously handled OEM production for many major brands, which demanded extremely high IP quality. Now, their IPs are manufactured by Dongguan suppliers and have similarly won partners' favor.
"Manufacturers in the GBA have mature printing technologies, an increasingly robust logistics system, and stringent quality control. With these advantages, plus the region's supportive policies, our creative IP brands can more easily break into international markets."
Government AI funding boosts industry growth
With a decade of experience in the IP and animation industry, Leung credited the SAR government's policies for helping creative businesses thrive.
"The government has kept pace with the times."
Now in its second year, the AI-assisted Animation Production Support Scheme provides selected companies with funding to create animations using AI. The program explores AI's potential in animation production, offering up to HK$600,000 in production grants and up to HK$250,000 in technical resource support (including software and hardware rental costs) to produce a 15-20 minute animation.
Leung's AI-assisted project, Planet Foodies, was selected for the Hong Kong Digital Entertainment Association's "Future Animation" program. It also earned a spot at the Annecy International Animation Film Festival, where Hong Kong-style dim sum like shrimp dumplings, siu mai, and chicken feet made a dazzling appearance, showcasing local creativity on the global stage.
Leung concluded, "Hong Kong people have boundless creativity and a global perspective. With the right business policies in place—and collaboration with major enterprises in the GBA—the opportunities for international expansion are limitless!"
(Source: Ta Kung Pao; Journalists: Li, Yu, Kevin Zhang; English Editor: Darius)
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