Pudgy Penguins analysis Walmart launch

On September 26, 2023, Pudgy Penguins announced that its line of Pudgy Toys was available in 2,000 Walmart stores across the United States. This marked a significant milestone for the brand, which had already achieved $400M in digital collectible sales. Each Pudgy Toy serves as a gateway into Pudgy World, an open-world digital social experience powered by zkSync Era, a Layer 2 blockchain. Every toy comes with a unique birth certificate that allows the user to claim unique traits for their digital Forever Pudgy character inside Pudgy World by scanning a QR code. The toy designs feature traits based on IP from some of the world’s largest and most popular non-fungible token (NFT) collections including Meebits, DeGods, and more. Walmart carries 26 different Pudgy Toys and this launch represented a transformative shift in IP development, leveraging a mix of community engagement, social media influence, and innovative blockchain-backed experiences. This is an analysis of their sales across different platforms and the market performance before and after the merchandise launch to help us better understand the impact of the merchandise launch on the sales of the NFTs. Prior to the launch on September 26 2023, in February 2023 there was a 126% increase from the previous month’s volume of $250 million within the industry. As for the reason for the jump, the report points to a correlation with the overall recovery of NFT marketplace trading volume, which hit $1.89 billion in February. You can find the analysis attached at the bottom.