Chongqing - On May 2, the "Link Click" Southwest China launch event drew a packed crowd to Zizhuan Yinli, a 7,500-square-foot (approx. 700-square-meter) anime merchandise store nestled inside the Fangyuan LIVE complex in Guanyinqiao. Limited-edition items sold out within minutes, and checkout lines snaked through the aisles as fans clamored for character pins, keychains, and acrylic stands.

Among the sea of Gen Z shoppers, 47-year-old owner Wang Yunfeng stood out. A former small-scale stationery wholesaler at Chaotianmen, Wang now runs one of Chongqing's most popular anime hubs, drawing over 1 million visitors annually with yearly revenue exceeding 10 million yuan (about $1.38 million).

Wang Yunfeng, owner of Zizhuan Yinli, arranges merchandise inside the store. (Photo/ Zhou Ying)

"Everyone thought I was crazy when I shut down my stable stationery business to sell 'guzi,'" Wang said with a smile. In global fan circles, "guzi" - a Chinese homophone for the English word "goods" - refers specifically to officially licensed merchandise derived from anime, games, comics and novels: badges, acrylic stands, keychains and high-end figurines.

A Risky Business Pivot Driven by Young Tastes

Wang's career turn came in 2022 after years of running a wholesale stall where his main customers were local students. "Back then, they cared about cute stationery and cheap toys," he recalled. "But suddenly they started asking for things I'd never heard of: 'guzi,' 'baji' (badges), 'yifanshang' (official merchandise). They were willing to spend 50 to 100 yuan (roughly $7 to $14) on a tiny pin printed with an anime character."

Cosplayers browse for anime merchandise inside the store. (Photo provided by the interviewee)

He realized the market was shifting. At first, Wang knew nothing about modern anime - he was only familiar with "Astro Boy" and "Transformers." So he started learning this culture from scratch: he downloaded Bilibili, a Chinese video-sharing platform popular among anime fans, joined fan forums, and asked his young employees to explain terms like "OC" (original character) and "CP" (coupling).

To secure official IP licenses, he traveled repeatedly to Beijing and Shanghai, bringing detailed data on Chongqing's young consumer demand to convince skeptical rights holders. Within two years, he locked partnerships with major platforms including Bilibili and NetEase, and obtained licenses for hit titles such as Genshin Impact, Light and Night, and After School.

When Zizhuan Yinli opened inside Fangyuan LIVE in 2024, it was mobbed from day one. For regulars like Xu Yuxi, a junior college student who spends over 800 yuan (about $110) a month on merchandise, the appeal goes far beyond the items themselves. "Getting a rare piece I've wanted for months feels like a little reward after a stressful week of classes," she said. "It's my small certainty in a busy life." Wenwen, a recent graduate shopping with friends, added: "Online shopping is convenient, but picking things out together, sharing what we love - that's what makes it fun."

How an Underground Mall Became a Youth "Safe Haven"

Zizhuan Yinli is no isolated success story. Its home, Fangyuan LIVE, was once Jinyuan Underground Street - a quiet row of clothing shops, accessory stalls and nail salons that struggled to compete with the bustling above-ground Guanyinqiao business district. Previously known as Jinyuan Nightless City, the entertainment hub of Guanyinqiao, the complex underwent a major transformation to adapt to changing consumer habits.

In 2022, the new management team spotted an unexpected advantage: underground spaces offer young people a sense of privacy and belonging, away from mainstream crowds. They rebranded the complex with a cyberpunk silver-and-purple color scheme, swapped big-name chain stores for niche, fan-loved independent shops, and built dedicated spaces for cosplay meetups, dance battles and merch swap events.

Regular anime dance competitions​ at Fangyuan LIVE draw huge crowds of young participants. (Photo provided by the interviewee)

"We didn't just renovate a mall - we built a community base for young fans," said Xu Li, the project lead. The strategy worked. Since opening on May 20, 2023, the complex has averaged 50,000 daily visitors on weekdays and 70,000 on weekends, peaking at 100,000 on a single day. Its online exposure has surpassed 1 billion views across social platforms, and the venue now hosts more than 500 youth-oriented events annually, ranging from cosplay competitions to voice actor meet-and-greets. It is now one of Southwest China's most visited anime-themed destinations.

Why "Emotional Spending" Is Reshaping Consumption

What drives young people to spend hundreds, even thousands, of yuan on small collectibles? According to industry data from QuestMobile Research, China's "guzi" economy was valued at 168.9 billion yuan (approximately $23.5 billion) in 2024, and is projected to top 300 billion yuan  (approximately $44.3 billion)  by 2027.

"It's not about the physical object - it's about emotional connection," Xu explained. "For young people facing academic, job and workplace pressure, buying merchandise tied to a favorite story or character is a direct way to express identity, find belonging and seek comfort." She noted that these items also act as "social currency": fans bond over shared favorites, trade duplicates, and post their collections in online communities to gain recognition from peers.

Offline fan meetings for anime IPs. (Photo provided by the interviewee)

This trend fits into a broader rise in China's "emotional consumption" market - spending driven by feelings rather than pure utility - which grew from 1.63 trillion yuan (approximately $226 billion) in 2022 to 2.31 trillion yuan (approximately $321 billion) in 2024. It is expected to exceed 4.5 trillion yuan (approximately $625 billion) by 2029.

Standing in the crowded halls of Fangyuan LIVE, watching young shoppers light up as they hold their latest finds, it's clear this shift is here to stay. As Wang put it: "I used to sell things people needed. Now I sell things people love - and that's the future of business."

(Dong Baoxu, as an intern, also contributed to this article.)