Tukiki is a small Eskimo boy who sets out to discover the meaning of Christmas along with a magical character known as North Wind. He visits different places and learns about their customs of Christmas which brings about a turn of events when he arrives home.

A boy receives a Velveteen Rabbit for Christmas. The Velveteen Rabbit is snubbed by other more expensive or mechanical toys, the latter of which fancy themselves real. One day while talking with the Skin Horse, the Rabbit learns that a toy becomes real if its owner really and truly loves it. The Skin Horse makes the Velveteen Rabbit aware that "...once you are Real you can't become unreal again. It lasts for always."