How Squishmallows became Warren Buffett's fave plushies

Would you take marketing advice from a plushy?

Of course you wouldn’t. It’s an inanimate object and you’d probably end up at the funny farm.

But would you take marketing advice from a plushy that joined Warren Buffett’s conglomerate?

That might change your mind.

What about the fact that Lady Gaga collects them? Or that the company made $1 billion in sales last year?

Or just the fact that they’re so fricken cute (my bed may or may not be home to at least 4 of them.)

Squishmallows, the ultra-soft, ultra round, limbless plushies have taken over the world one squish at a time, with adults driving sales. Think, the Beanie Baby craze of the 90s – but with social media.

With over 3,000 different characters to discover, some rarer than others, Squishmallows are not just a toy, they’re a phenomenon.

So, how does a toy brand become part of the world's largest holding company?

Let’s look at 3 marketing strategies Squishmallows used to become so wildly successful.

1. Scarcity sells.

You know how there’s an innate human desire for what we can’t have (or what we worry we might not get?). Well, the scarcity principle is a marketing technique that feeds off that feeling, capitalising on our fear of missing out. And it’s a strategy's that’s stood the test of time, because it’s so damn effective.

When you create limited availability for a product or service, customers will be scrambling to buy it before they miss out. And, if demand is high enough, you can charge whatever you want.

Squishmallows uses scarcity by releasing limited edition and exclusive products often. They even have a 'rarity scale' that buyers can refer to, which reminds fans that there are only so many of each one.

2. The power of UGC.

I think we all know what UGC is, but just in case you're new here, UGC is original content related to a product or service that is created by individuals, not the brand itself. This is why it's called ‘user generated content.’

UGC is super effective because it gives customers an opportunity to participate in a brand’s growth instead of merely being a spectator. It’s also huge for brand loyalty and affinity because people love to feel part of a community.

UGC is authentic, social proof that organically influences the buyer’s journey. And Squishmallow initially rose to prominence through this kind of content.

The #squishmallow hashtag has over 250,000 unique posts from toy fanatics, resulting in over 9 billion views. Because of the collectability of the product, of course people want to share their growing family of plushies. But these numbers were also aided by famous devotees such as Kim Kardashian and Lady Gaga.

3. A strong community means a strong brand.

A brand community exists to serve the people within it. And having one is crucial to your brand’s success. Now more than ever, our society is so individualistic and many people feel quite alone. Our desire for community is stronger than ever.

However, creating a community is bigger than accumulating social media followers. Brands must find the common thread that unites people through their product or service. This will drive brand loyalty to new levels and encourage organic interaction.

The Squishmallow fanbase exists on social media. This is where collectors trade plushies and discuss new releases. Because there’s always a new one coming out, there’s always something for the community to discuss. This ties in with the brand's rarity scale, which keeps consumers excited to share new finds with one another.

These three strategies work in symbiosis with one another.

The product scarcity pushes the UGC, which forms the community. And that’s what makes Squishmallow such a powerful brand with such a soft face.

If you haven’t purchased one of these, please, I beg of you, order one right now. I recommend the 14” because it doubles as the best pillow. I promise, it will change your life. Also, yes, I am 27 years old.

-Sophie, Writer