- Nana is the lady in charge of the nursery and the toys aren't super fond of her. She tends to toss things into the toy box when tidying up. Ouch!
- One night, the Boy can't find the toy he usually sleeps with, so Nana hands him the Velveteen Rabbit. Problem solved.
- The Boy starts sleeping with the little Rabbit every night. At first the Rabbit really hates it because the Boy snuggles him super tight and it feels like he is suffocating. Plus, the Rabbit misses his nighttime chats with the Skin Horse.
- But then, he gets to know the Boy better and ends up enjoying their time together. The two of them tell secrets and burrow under the covers and play games.
- Eventually, the Rabbit is so happy that he doesn't notice when his velveteen fur starts to wear and his tail comes unsown. Oops.
- In spring, the Rabbit and the Boy play out in the garden.
- One night, the Boy realizes he left the Rabbit outside and Nana has to go back out with a candle and get him.
- Nana isn't super thrilled about it but she does it. She can't imagine why the Boy is freaking out over a silly toy.
- He's not a toy, the Boy tells her, he's real.
- The Rabbit is totally elated when he hears this. The Boy thinks he's Real? Then he must be; he's not just a toy anymore.