Discussion keeps the world turning.
This is Roundtable.
They used to say watching anime, reading manga, or gaming were just hobbies for kids and nerds.
But now that fantasy world has blown up big time.
ACG is making real world money moves.
How is it affecting the way we shop, socialize, and spend?
so is your wallet ready for your inner Ootaku?
Coming to you live from Beijing, this is Roundtable.
I'm Ho Young. For today's program, I'm joined by Steve Hatherly and Yixian in the studio.
First on today's show!
From billion yuan game launches to anime -inspired fashion lines and epic street cosplay, ACG, shorthand for anime, comics, and gaming is bursting out of the screen and into real life.
And it's not just the diehard fans fueling this trend.
Wallets are opening wide, from nerds to normies alike.
Take Da Xiu Road, for example.
Once a quiet street near college campuses and stadiums is now Shanghai's playground for ACG fans.
Pop -up installations, cosplay parades and IP collaborations have transformed it into a real life anime set, where cafe culture meets fantasy worlds, and Gen Z simply can't get enough.
So what's buzzing on Da Xiu Road?
Just a quick background, in case you don't know what Da Xiu Road or University Road is.
It's actually a street located in Yangpu district in Shanghai, and it's a place that connects at several universities, like you said, Ho -Jang, it connects to Fudan University, the Shanghai University of Finance and Economics.
That's like a young people's hub, let's say.
And in 2024, a string of successful themed events turned Da -shui Road into a paying street.
Wait! I know, right?
That's, I think it falls into their own subcultural terminology, Which is something to be coined from the ACGN culture.
The animation comics games and novel culture that's referring to heavily decorated spaces that display someone's passion for fictional IPs.
So one very lovely example would be The Lying Friends.
I'm not sure if our listeners are familiar with this franchise.
I used to see a lot of animations and just cute little stuff from line friends is featured characters series designed by a, I think it's a South Korean artist that features cute animals and also just very interesting figures like a disapproving bear, my favorite guy.
Disapproving bear. Yeah, he looks always disapproving and grumpy of sword and then a happy rabbit, tiny chickens like very funny looking features.
And now as we talk about Dashua Road They are introducing features like that like lying friends to Join their say street decoration and turning the street to a bright yellow Sally zone featuring the tiny chicken named Sally I think with all kinds of themed banners Installations and themed pop -ups and this is only one corner and there are more examples such as Sen Miller show the Kings Avatar which is huge yeah and online literature themed IP I would assume I'm not really a fan into it this franchise but here in Da Xiu Road it's celebrating its anniversary on site with an immersive festival attracting
over 300 ,000 visitors in just two days so that's just some of the examples of how big this whole themed street is turning out in recent years.
Yep, there's also love in deep space.
This is a romance game, recreated in real world encounters through themed installations and scavenger hunts, so it's just all meant to be fun, fun and more fun, isn't it?
And also, let me just offer you a little bit more background for Chun -Chi, Gou -Shou, The King's Avatar, and also Liayu Shenkong, that's love and deep space because they're so big in this country.
The King's Avatar, it's been crowned the most popular esports themed online novel or online literature of all time, and it's homegrown.
So big. It's been then made into animation and even A movie and even a - what do you call the TV series that's got real people playing those characters?
Oh, live action? Live action movie.
Although you know, the the reactions to that is questionable.
That happens a lot with live -action recreations.
So it's huge and also it's the eSports theme.
And that's obviously something that a lot of young people really enjoy growing up watching and reading in this country.
And with the romance assimilation games, there are a few in China so big, I think that's the gaming world.
The first time that they realized the female fans are like a goldmine, and we're talking about hundreds of, okay, I'm trying to, okay, hundreds of millions of users every day.
So they're huge. And to turn that into real life for somehow to bring that virtual world into real life and have people to participate, I can see this as huge money -making potential.
Yeah, 100%, because you just nailed it when you said when fantasy becomes real life and people can start to experience their favorite characters, albeit from a novel or a game or a movie or whatever it is in their own actual lives.
and that's what makes this road such a unique place to hang out because each time they have an IP event it blends into the urban texture the urban culture it makes it a safe and fun space for people who have shared interests right to interact with each other and kind of just let their hair down so to speak right and have a bit of fun and the fact that it's in the university area where it was heavily populated by young people anyway, well that's just win -win.
And I think that's the reason why people love places or amusement parks like Disneyland or Universal Resource.
Just that immersive experience itself is very attractive, especially to young people nowadays.
We've been talking about this Daxue Road in Shanghai, and facilities like this.
Other examples would include in Southeast China's Jiangxi province in the city of Nunchang, where this Gudel Gu Ziyuan block that's becoming a comprehensive ACG themed street in the city of Nunchang as well and it features six major brands and facilities like cosplay rooms and dance spaces.
I would imagine that would be like a very popular place for local young people to just gather and play around a little bit.
Other examples would be in southeast China's Jiangsu province in Suzhou.
Well, Suzhou is traditionally known for its typical Southern China's traditional historical views, but here in Suzhou they also have Suzhou Center Shenyuehui, which is the place which is actually the city's first trendy anime culture center with over 40 planned ACG brands just like how it's done in the universal resource.
They also have themed restrooms, I don't know maybe toilets that look like how it's shown in the anime perhaps, and also photo zone.
That's really lovely.
And last but not least We have Hunan provinces in middle China and that's in the city of Changsha where there is this Qigumi dimensional street that focuses on Guzi.
I think we've talked about Guzi on previous shows as well.
That's derived from ACG merchandise and that this place is also hosting many IP stores and pop -ups for ACG fans.
So young people all over China, they're having this festive celebration here in these streets and this hotspots to enjoy the ACG culture.
I think you made a good point when you were talking about, you know, Disneyland, Disney World, or those types of theme parks, but those, and they're great and people have fun when they go there, but it's a place unto its own.
It's really expensive to get to go there.
Comic cons, comic conventions, is another example.
It's a big event and tickets sell out immediately, but it's an expensive venture, right?
If you're lucky enough to get a ticket, this is taking those types of things and putting them on the street so that people can enjoy them whenever they want to.
And the popularity of theme parks and the popularity of conventions like Comic -Cons, they prove that people do want to experience these types of things.
You said 300 ,000 visitors to The King's Avatar in two days.
Well, there's just more proof.
No more proof needed that this is really successful and popular.
Yes, and could you guys break it down for us?
How exactly do these events bring ACG from the virtual world to real life in streets?
Is it just posting stuff, having these installations on the street?
I mean, the way I say it certainly does not sell it well, but I wonder if you guys can do a better job.
Well, let's go back to the Dasher World example.
How they do it is that they really cater to the details, such as the scenarios, designing as well.
Take Sally's Zone, for example.
I would totally head to that part if I am to be in Doshoe Road right now, because they just place the location, like each corners, and their Metro station, their cafe, and other stores, fully immersed with the IP's iconic scenes, where they just simply transformed it into an IP related setting.
That's still the street, a street corner, a real facility, a cafe in Shanghai, in China.
It's a functioning business.
Yeah, yeah, indeed, that's a functioning business.
Only that it's themed after certain franchise and IP.
Sally is the chik chicken?
I think so, I always thought it was a duck.
I was gonna say, I always thought it was a duck too.
I was - Oh, it's a duck, I don't know.
No, I think it is a chicken, it doesn't matter.
It's 2025. What are you, Sally?
And I was watching a video of Dajiraud and right at the entrance of one area was a giant Sally.
It's basically a massive welcoming sign saying come and have fun here.
So they do that. They also do a narrative and integration where they'll take props or they'll take signage and what they'll do is they'll include lines from the game or they'll include character quotes and this allows fans to kind of relive a story arc in real time I think they did that for for Love in Deep Spaces events and there's also the social engagement that's added to these scenes like the there's a community wall featuring the Heartopias events and they allowed that user -generated contents just all over that place bridging digital communities with physical space So, that's bringing immersive
experience one step further, even without VR glasses, let's say.
This real world spillover of ACG, anime, comics, and gaming, and also Chinese people sometimes add novels at the end to that, this culture is booming.
And tell us why people not only enjoy it, but are totally down to spending on it?
Okay, here's my just quick thought.
I used to think that these folks are satisfied enough to do all that stuff at home, to read it online or read it on your, play it on your council or something like that, but apparently people are not satisfied with just that.
They're, okay, maybe that's a little bit of a stereotype.
You think that nerds just stay in the basement of their parents, but that's completely untrue.
and they want to spend more, and this is also affecting normies, so to speak, as well.
So, could you break it down for us a little bit?
I think one of the driving factors is that it's so community -driven, right?
I'm thinking back to when I lived in Seoul and had the chance to meet, for a short time, a couple of cosplayers.
And at the time, I thought, this is weird. You know, like, you're dressed up like a character from...
And I was very judgmental, honestly, because I didn't get it I didn't get it but the more I learned about it it's not my thing but the more I learned about it I thought this is a really healthy outlet with a great way to meet people so when I say community driven I think that's one of the one of the big reasons because the fan density is so high these are Gen Z these are Millennials a lot of the time not all the time by the way there are older folks who get involved as well they're in their university years or maybe in their mid -twenties, and these are the core users of ACG content.
And when you host events and you have a location for them to go, then the community gets involved, right?
The people who are interested, they get out there, they create the buzz, and there's almost like a natural virality to it, and that's the result.
And now that we have this community based on each franchise or each different groups of young people, they just naturally want to gather offline because we know that most of China's ACG life actually starts from online chats or online IPs, say discussions.
That's all in the Cloud.
But we also notice that the payoff peaks offline when there's real events, face to face events hosted offline.
and these are the casual, open, walkable vibe that allows fans or just passerbys to physically manifest their identities through cosplays, pop -ups, and in all the interactions with other people that's falling into the same hobby or same passion that who gets it.
I don't think an apples to apples comparison but I'm thinking of Takashita Street in Harajuku in Tokyo.
That would be you and Sue in Chinese where you have that very youthful vibe there's a lot it's a it's a hangout place basically for four young people it's totally different from other streets I mean that area of Harajuku has you know it's luxury shopping area too but that particular Street I mean the fashion shops on there are a little out there right like it's it's Lady Gaga shops there she's known to shop there but that's what makes it itself that's the character of that neighborhood in that street right and it's a place where young people can go and feel comfortable being themselves there i
think there's an element of that here too because it's not the same as your traditional marketplace it's not a shopping mall right right there are functioning businesses there but it feels more grassroots, is that the word to use?
Or more community driven than a shopping mall does?
Which feels very commercial and very transactional.
You said there's a huge Sally, say, statue at the - It's not a statue. It looks like a blow up rubber thing or something.
You know what this reminds me?
Back in the days around a decade ago, when I was in university and visiting Shanghai for the first time with my dorm mates, I first learned about the Line France that disapproving bear from one shop that's not even just a shop.
It's probably very common to be found on Dasher road nowadays but that shop back then was not that common. It has a huge if not two to three meter high of that bear from that franchise just sitting at the entrance.
That entire shop features this IP and people just wait in line to hug it.
It's a huge plushie of two meters high and people just waiting in line to hug it, to take pictures, even though not everyone is a fan of that Lying Friends franchise.
I guess what I'm trying to say is it's very engaging for people to just physically get becoming part of this whole vibe and yeah, in the meantime, shop for it, buy a kitchen or anything.
Yeah, exactly, because you have fashion, you have street food there, you have cafes where you can get a coffee or a juice or whatever.
You have music. You have the themes of what's going on all mixed together, right?
So that's this IP plus strategy in motion.
It's when a virtual idol or a brand collaborates with tea shops in the area or fashion vendors or whatever type of business.
And then it just becomes this kind of experimental lab retoria of sorts for a new kind of economy.
And this kind of model actually has been so mature I think, and almost like imported from Japan.
Because they've been doing this for many decades, and a lot of the really cute anime characters might used to be from Japan, maybe let's say a few decades ago, but now a lot of this stuff is homegrown and sometimes even with the South Korean imports as well, so it's really interesting to see what's popular now and how that's changed.
Also, just to give you an example of how these brands collaborate, Junji Gou Show, the King's a one day license of collaboration.
So King's Avatar gave the license of its characters, et cetera, to like 30 different shops, including drinks, stores, et cetera, in that area for just that one day.
And then of course it's gonna create the buzz and it's also good to note that proper IP protection is in place.
And also another thing really interesting about this vibrant culture of ACG is that the fans are not, I think, the same people, let's say, as, let's say, regular luxury products shopping fans.
Yeah. Because they actually want to be co -creators.
They are not happy or satisfied of just being targeted.
I was looking at a public relations and marketing website on this topic, and they talked about this.
They said there's been a notable social change in the rise of fandom.
It's communities of fans who bond over a shared interest. Yes, of course, that's been around a long time.
Sports would be an example, right?
Fans of a sports team or a sports franchise.
But what they said, and I found this to be quite quite apt for what's going on these days, is that fans don't just consume source material anymore.
Nowadays, real fans engage with the original material with self -made content.
They look to share their own creative works with other members of the fandom.
They draw their favorite characters, they put these images all over social media, they'll create and impersonate their favorite characters, and it's becoming a part of the world as opposed to just viewing the world from almost a third party point of view.
Yeah, and can I just put on my economist hat or local economy planners hat or whatever you call it, how does this contribute to the real economy?
I mean, what's the commercial impact of ACG?
Well, one thing you mentioned earlier, Ho Young, is absolutely correct, which is that this trend is on the rise because the scene -based consumption, like the ones happening in Dashua road, has become a major industry trend.
And that's not from me, that's from the Chinese ACG trendy consumption report.
So this popularity of such events underscores a broader shift. The IPs are no longer just content, they're becoming revenues for local economies, they're going through cross -platform consumption as well fans used to say watch content from Websets like billy billy or try to Shop for products from online means are also participating and co -creating as a way of designing their preferred items to be sold in the offline Market as well such as there are many fans that are nowadays voting on new merchandise designs and participating in character art contests stuff like that so nowadays it's transforming
into real economy as well so I would say it's it's on the rise indeed it's very trendy for a good reason yeah and it's not niche anymore right it used to be niche it now it's becoming mainstream an example would be a makeup line right where you'll see characters as a part of the promotion for the makeup line And these are more inclusive, they're more varied, and it's shifting from something that wouldn't get a lot of attention to something that's just part of normal, quote -unquote normal life and quote -unquote normal products that people buy.
They're spreading out into different industries.
Yes, for sure. And ECG culture in China has evolved.
Like you said, from a niche subculture to a growing mainstream force over, let's say, the past two decades in China.
I remember when I was in middle school, you kind of get the side eye, or you're like, when somebody says, when they're out of school they do cosplay, and then they're like ooh, a rebel, or ooh, not gonna let the teachers know.
But as it grows so big, what obstacles do still stand in the way of the industry's future growth as you see today?
Well, from my perspective, I think it's really worth noticing on how they can actually protect the IP's copyright, because now we see the market booming, they are destined to be copycats emerging as well.
There will be fast trends following these, leading to similar products flooding into the market just so that it might try to lower the price, but the product is not genuine.
Seeing that there's a market out there, there are merchandises trying to encourage fans to shop from their side, even though they are not the ones with the copyright.
So that's something to be notified too.
And I think I read about how some local tourism sites and say city attractions, they're trying to work in line with some of the IPs as well.
But that also could cause issues like blindly chasing trains because while developing such a street, such a corner, it's very successful in Dashua Road.
because of its geographical advantages of gathering young people.
But when other places are trying to follow the similar strategy, it's worth considering who are you targeting too before just following it.
Yeah, a makeup shop on that road might be very popular with the customers there, but if you put that in a luxury department store or something, then it might not work because the customer base might not be the same.
So it might not just work everywhere.
Yeah for sure and it seems like local governments are really trying to jump on this bandwagon and that's why you see a lot of these zones that are popping up all over China.
But like you guys said can you attract the right people?
Well see sometimes didn't Steve Jobs say something along the lines of if the ultimate company kind of creates the product that consumers didn't know that they want.
Uh -huh. But you know, if you don't have enough people who are into this stuff, then could it attract the kind of traffic they want just anywhere?
And maybe that's not necessarily the case.
Yeah, exactly. It's a fine line they walk for sure.
Yeah. The real -world spillover of ACG, anime, comics, and gaming culture is about joy, meaning and identity wrapped up in an immersive, stylish and collectible experience.
Want to build loyalty?
Let fans step into the world they already love.
And when normies see fans lining up, cosplaying or obsessing over something, they get curious, that FOMO and intrigue often leads them to Baidu or even deep seek the IP, check out an episode or just dive into that vibe.
Once everyday folks start buying in, literally the ripple turns into a wave. And more foot traffic, more spending, and suddenly fandom becomes fuel for the local economy.
