Words from Yaling: The issues this industry faces mirror those in many emerging sectors in China. Additionally, there's the cultural factor that either drives or hinders industry development, making it particularly interesting. Now, how are the hopeful sex toy makers going to weather the economic downturn?
About the author: Caini Yang is a Chinese journalist who’s focused on gender issues, her writings can be seen on Foreign Policy, Sixth Tone, SCMP, and the Initium. Currently based in Hong Kong, she wrote the piece before joining the BBC this summer.
When Sun, a Chinese adult product manufacturer, first entered the business in 2018, visitors at sex toy exhibitions in China largely avoided the anal plug booths. They would walk by in shock when he approached them.
Six years later, manufacturers say demand for anal plugs has increased significantly, indicating a growing appetite and shifting attitude toward the adult product once considered scandalous.
At this year’s Shanghai API Adult Expo in April, crowds were also captivated by butt plugs and masturbation cups equipped with cooling or heating features, in addition to discreet-looking vibrators resembling lipsticks or starfish-shaped toys.
“We can see a clear change in recent years — anal plugs are popular,” Shenzhen-based Sun, who requested to use only his first name for privacy reasons, told Following the Yuan. “I would attribute it to the fact that more people are acknowledging their sexuality these days. We are now competing to design them better.”
The rising demand for adult products at home and abroad has made China the world’s largest sex toy manufacturer. According to research firm iiMedia, China’s online market for sex-related products is likely to exceed 208 billion yuan ($28.5 billion) by 2025 compared with about 10.21 billion yuan in 2016.
Consumers are also spending more on sex toys, from an average of 100-300 yuan in 2020 to 300-1,000 yuan by 2023, according to iiMedia.
Nine entrepreneurs and sex toy designers who started their brands around 2017 told Following the Yuan that business is booming. They said even when China’s “zero-COVID” policies pounded many companies, the sex toy industry remained largely unaffected — data shows sales topped 168 billion yuan in 2022 versus 118 billion in 2019.
“Sales have increased by more than 50% annually since the pandemic swept the country,” said Maomao, founder of the sex toy brand Renwaiwu, who wished to be identified by her nickname.
Plugging the gap
Sex toy designers and entrepreneurs told Following the Yuan that while some entered the business to capitalize on the emerging market, others aimed to create products largely missing from the shelves.
Maomao, who previously reviewed sex toys on her blog, said most adult toys were poorly designed and offered little satisfaction for women. Her brand now offers a variety of clit-stimulating vibrators, and she calls herself “the master of fake penises.”
Realizing the growing opportunity and vacuum for women-centric toys, Nie Ming took a break from university in the United States and founded the adult product brand YY Horse — YY sounds similar to a slang in Mandarin used to describe pleasing oneself — in 2018. He has since designed various toys, including G-spot vibrators and dildos, catering to women’s sexual needs.
“There were many adult products on Taobao, but there were limited items for women, and the needs of young people were not considered,” he said.
Today, manufacturers are going a step further, incorporating technology into the play. Some toy makers are offering items with interactive features, including remote-controlled vibrators for long-distance couples and masturbation cups that simulate sexual intercourse with a virtual partner. Such products are, however, still mostly targeted toward men.
Industry insiders say that a growing number of people exploring and experimenting with their sexual desires has also led manufacturers to design new toys and expand their consumer demographics.
Liu Weiqi, a 29-year-old online influencer in the queer community, said that anal plugs, chastity locks, and larger dildos have become popular among many gay men. He said there is a “growing acceptance of using sex toys in the queer community” as stigma around such products gradually diminishes and more manufacturers begin to market them freely.
“People are now more comfortable with their bodies and sexual orientation, and they have learned to accept themselves and their sexual needs,” Liu said.
All eyes on women
Despite having limited choices, women have significantly contributed to the expansion of China’s sex toy market. Sales of sex toys for women surged by approximately 114% and 67% in 2018 and 2019, respectively, according to consulting firm Zhiyan. Meanwhile, business for such products saw an 11-time year-on-year increase on the e-commerce platform Tmall in 2021.
While sex toys targeted toward men mainly focus on penetration, those for women have developed clitoral stimulation features. A 2017 study published in the Journal of Sex and Marital Therapy found that 36.6% of the 1,055 women surveyed in the U.S. said clitoral stimulation was necessary for orgasm during intercourse, though China lacks similar research and data.
However, a 2017 research by leading Chinese sexologist Pan Suiming found that about 20% of married women in China had never experienced an orgasm in their lifetime.
To tap into that market, Chinese sexual wellness brand Osuga launched its first clit-stimulation toy in 2019, inspiring other brands. When Osuga debuted in the “Double 11” mega shopping festival that year, it became the top sex toy in that category on Tmall.
Meanwhile, companies like Svakom, an American brand founded by Chinese businessman Zeng Haiping, focus on discretion by introducing sex toys resembling pens, cameras, and cacti to “dispel the sense of shame.” One of the pioneers in the industry, Zeng entered the sex toy business as early as 2012 after learning they were “a daily necessity abroad” and realizing business potential at home, according to media reports.
Similar unsuspecting sex toys also caught the attention of many consumers during this year’s adult expo in Shanghai. A banana-like vibrator from YY Horse emerged as one of the hottest sex toys among young consumers — it is said to stimulate the female G-spot and clitoris while providing more pleasure than a dildo.
“One of my favorite toys looks just like lipstick — I can put it in my purse that I can take anywhere,” said Chu Xun, a 22-year-old student, adding such discreet designs are helpful while living in a university dormitory. “No one would be suspicious.”
Today, some companies are, however, doing more than selling sex toys — they are leveraging their popularity to promote awareness of sexual wellbeing.
While Chinese schools are incorporating sex education, the curriculum is often restrictive, lacks clarity, and mostly involves lessons on menstruation and involuntary seminal discharge. Online censorship of sex-related content has also prohibited many from accessing information on sexual health and wellbeing.
But during last year’s exhibition in Shanghai, Osuga used a large screen to showcase sex education videos on female sexual anatomy and ways to pleasure oneself.
Eileen Chen, who launched her Master4Fancy sex toy brand with dragon tail-shaped dildos
in 2020, said that young people are more curious about exploring sexual pleasure than before. She also makes sure to discuss the female genitalia while promoting her toys online, though social media posts — on Weibo, Xiaohongshu, and Douyin — are often censored as they are deemed “inappropriate.”
“It’s nice to see many sex toy brands are taking up the responsibility to promote sex education, too,” Chen said. “If you don’t know your body, you can’t healthily please yourself.”
What’s next?
It may be a multi-billion dollar burgeoning industry now, but China’s sex toy industry still faces several problems, including an endless price war accelerated by the economic slowdown and the challenge of navigating retail channels amid societal taboos.
When YY Horse founder Nie debuted his first self-designed product in Guangzhou’s largest sex toy market in 2018, he struggled to navigate the regulatory landscape. Official information on operating such a business was scant, and he obtained the necessary certifications required to sell his products legally from fellow sellers.
China still lacks a comprehensive national regulation to oversee the quality of sex toys, including production standards for materials and unified industrial specifications. Though some online retail platforms have rolled out their guidelines, not all manufacturers follow them.
“Without proper regulation, overseeing industry practices, pricing, and copyright protection becomes exceedingly challenging,” said Chen, adding the quality of products depends on the producers’ ethical standards. “Merchants engage in cutthroat competition, driving down prices and compromising product quality due to the absence of clear production standards.”
That has impacted user experience and innovation, with many users complaining about inferior products on social media. Three sex toy designers told Following the Yuan about the innovation bottleneck as their peers emphasize on appearance and trends over functionality.
Another challenge many sex toy sellers face is the prospect of moving offline. While online delivery with discreet packaging grants consumers a sense of privacy, they may be hesitant to visit a retail store due to taboos associated with sex.
Svakom closed its flagship store in Guangzhou in 2015, just a year after opening, due to disappointing foot traffic. Zeng attributed the closure to the “private nature of the industry” and the “traditional mindset” regarding sex that has existed for centuries.
But some brands are gradually taking the risk. Cachito, founded in 2016, opened its first store in Chengdu this year, aiming to defy stereotypes associated with adult shops. The store has white-washed walls with artsy decor and features a Greek sculpture with bondage items.
Meanwhile, online sellers are not immune to risks, too — one of the major challenges they face is censorship. Stringent social media restrictions on sex-related content in China compel sellers to go the extra mile to reach potential customers.
On the lifestyle platform Xiaohongshu, users are coining euphemisms to evade censorship. While “stir fry” refers to sex, “cooking utensils” allude to the penis or sex toys — they liken the sexual act to cooking by comparing it to mixing various ingredients.
Such unwanted restrictions and competition, along with weak consumer spending lately, have made business owners wary. Although the sex toy industry has witnessed overall growth, a few independent entrepreneurs are recognizing the slowdown.
Maomao, who has been selling sex toys since 2019, said while her overall turnover has been steadily growing, sales plummeted by one-third during this summer’s “618 Shopping Festival” compared with last year.
However, other designers and manufacturers told Following the Yuan that they view such setbacks as an inherent part of the business. They believe consumer demand is still strong and the industry needs to navigate the challenges collectively.
“No matter how restricted we are online, we have to admit that young Chinese have a more open attitude toward sex,” Nie said. “The sexual awakening of people across the country is the main force behind this industry. It’s what people want, and it’s unstoppable.”
Editor: Bibek Bhandari
Would've imagined someone had commented on the title by now. Good one.