iQIYI, China’s premier online entertainment platform, reported robust growth in its Experience Business during its Q2 2025 earnings, underscoring the success of its strategy to extend intellectual property (IP) beyond streaming. By transforming hit shows like Love in Pavilion, Feud, and Mysterious Lotus Casebook into collectible trading cards, merchandise, immersive theaters, and iQIYI Land theme parks, iQIYI is capitalizing on China’s booming IP derivatives market, projected to reach RMB202.5 billion (US$28.5 billion) in 2025, up from RMB99.4 billion (US$14.0 billion) in 2020, per Frost & Sullivan. Leveraging proprietary DRM and AI technologies, iQIYI ensures content protection while creating engaging fan experiences, positioning itself as a leader in immersive entertainment.
Expanding Fan Favorites into Consumer Products
iQIYI now oversees the entire product lifecycle in-house, from ideation to direct-to-consumer sales, maximizing control and profitability. Its self-operated collectible trading cards, featuring characters from Love in Pavilion and Feud, generated over RMB100 million (US$14.1 million) in gross merchandise value (GMV) in the first half of 2025, with limited-edition sets selling out in hours, as noted on Weibo. Merchandise for Mysterious Lotus Casebook—including phone cases, apparel, and model toys—has driven a total GMV exceeding RMB200 million (US$28.1 million) through direct sales and collaborations with brands like Xiaomi and Pop Mart. iQIYI’s e-commerce platform, integrated with its streaming app, enhances accessibility, while AI-driven personalization recommends products based on viewing habits. The company plans to expand into film, Japanese anime (e.g., Demon Slayer partnerships), and kids’ content like Peppa Pig merchandise, targeting younger demographics by Q4 2025.
Bringing Stories to Life with Offline Experiences
iQIYI’s offline strategy redefines fan engagement through over 50 immersive theaters across 30 Chinese cities, blending virtual reality (VR) and augmented reality (AR) to recreate show worlds like The Knockout. These theaters attracted 1.2 million visitors in 2024, per iQIYI’s internal data. The upcoming iQIYI Land theme parks in Yangzhou and Kaifeng, set to open in late 2025, feature seven zones: immersive theaters, holographic light shows, interactive performance spaces, film set replicas, NPC-driven quests, mixed reality (MR) games, and IP-themed retail. Yangzhou’s park, near the Grand Canal, and Kaifeng’s, by Longting Lake, leverage cultural heritage and AI-driven game engines for cost-efficient, scalable attractions. Additional locations in Chengdu and Xi’an are slated for announcement in December 2025. These parks aim to draw 5 million annual visitors, competing with giants like Shanghai Disneyland.
By bridging on-screen stories with tangible experiences, iQIYI creates new revenue streams and fosters deeper fan connections. CEO Yu Gong emphasized on Sina Weibo that iQIYI Land transforms viewers into “co-creators,” with interactive elements like fan-voted story outcomes in MR games. This aligns with China’s theme park market, projected to hit RMB110 billion by 2028 (Statista). As iQIYI expands globally, targeting Southeast Asia with pop-up theaters in Singapore and Bangkok by 2026, it’s redefining entertainment, blending technology and storytelling to make fans active participants in their favorite worlds.
With a lifelong passion for storytelling and a particular focus on the diverse cultures of Asia and the ASEAN region, Monica delves beyond the surface of films and music. She seeks out the productions that spark conversations, challenge perspectives, and offer profound insights into the human condition. She’ll guide you through the societal commentaries and the sheer brilliance of performances that make the Asian and ASEAN landscape so compelling.