Ethereum NFT project Pudgy penguins announced Tuesday that it will launch a second line of toys inspired by its colorful profile photo (PFP) characters, in an expanded partnership with Walmart, including a presence in 1,100 additional stores.
The Pudgy Toys line, which includes stuffed animals, action figures and mysterious “blind box” style igloo collectibles, will be offered at a total of 3,100 Walmart locations. Last year the first line of Pudgy Penguins toys was released debuted in 2,000 Walmart stores in a milestone towards mainstream adoption of Web3 intellectual property.
This is what a Pudgy Penguins spokesperson said Declutter that the Pudgy Toys line has already achieved $10 million in sales in less than a year, with more than 750,000 toys sold.
“Our strategic partnership with Walmart has enabled Pudgy Penguins to reach new heights in the consumer market,” said Pudgy Penguins CEO Luca Netz in a press release. “The expansion to additional Walmart locations, in addition to the exclusive toy offering, underscores the enduring appeal of Pudgy Penguins characters.”
Had to run it back – uhhh waddle – for Pudgy Penguins. https://t.co/XOGKKU7mqA
— Walmart (@Walmart) February 20, 2024
The toys are also available through other stores such as Five Below, but are most prominently featured in Walmart stores, some of which have standalone display units in the aisles. They are also sold online through Amazon.
Each Pudgy Penguins toy has a QR code that can unlock NFT items and unique customizations in the near future Pudgy World game on Ethereum scaling network zkSync.
Today is one of the most historic days in Web3.
The Pudgy Penguins recast at Walmart is a defining moment for the NFT industry, signaling that NFTs are here to stay and the door is now open to the masses. https://t.co/2yM2KndhkS pic.twitter.com/SGHdGkMO94
— Luca Netz 🐧 (@LucaNetz) February 20, 2024
Netz earlier told Declutter in December, they saw a conversion rate of around 20% among buyers who scanned the QR codes and claimed their free NFT items, but that the team aimed to bring this to 50% through brand refinements.
Pudgy Penguins has been one of the biggest success stories in the NFT world this past year. Amid a gradually declining market for tokenized collectibles, Pudgy Penguins has found ways to bring its products to a wider audience while returning value to holders – the Ethereum NFTs have a 5x price spike the past three months alone.
And the Pudgy Toys can also directly benefit holders. Pudgy Penguins launched an IP licensing program through his company ViaductIP platform, which allows the company to use the artwork from submitted NFTs in exchange for royalties on toys sold. According to the website, that royalty share can be as high as 20%, depending on the type of toy.
Declutter called Pudgy Penguins NFT Project of the Year 2023 thanks in part to its regular expansion efforts and success amid the brutal bear market. Read more about the Pudgy trail and what’s next for the collection here our December interview with Luca Netz.
Edited by Ryan Ozawa.