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AI toy sales surge while investment cools and product return rates stay high
Figures cited by Tech 星球 put China’s AI toy market at 29 billion yuan in 2025, with 34.2 billion yuan forecast for 2026. Taobao reported that AI toy transaction value rose more than 1,600% year over year in 2025. However, sector investment has cooled sharply amid widespread product similarity, while industry reports put return rates persistently above 50%.
Source published: Brief prepared:
What to know
- 01
Gift-giving has become a main purchasing occasion for AI toys.
- 02
Some toy companies do not accept returns after a product has been activated online.
Why it matters
The report highlights a gap between rapid AI toy sales growth and repeat purchasing and user experience that have not kept pace.
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