THE ENGINE thread on the new Fantagraphics stroefront i Seattle craw more shocking revelations from Eric Reynolds, in response to questions from retailer Brian Hibbs:
“If you’re talking initial orders here, how does that work out after returns are factored in?”
That’s a good question that I haven’t done the math on recently. I did mispeak a bit in saying “the direct market accounts for about one-fourth of our initial sales.” What I should have said was, “Diamond accounts for about one-fourth of our initial sales,” which is much different and I should re-read my posts before I post them. But it’s still interesting, no?
I came to this by looking at a few recent or about-to-ship titles, including THE COMICS JOURNAL LIBRARY VOL. 7: HARVEY KURTZMAN, which I would consider a strong direct market title. Initial Diamond sales accounted for about 27% of the total initial orders. Other “direct market” avenues (direct accounts, Gasp, Bud Plant, etc.) accounted for another 4-5%. The remaining sales — almost 70% — went to Norton.
Our book trade returns hover around 20%, on average (which is pretty much optimal). So, you might see the direct market’s share go up a bit over time, but not necessarily — it really depends on reorder activity between Diamond and Norton, and Norton’s reorder activity is much stronger — and reliable — across the board than Diamond’s, as well.
Anyway, to answer your last point, I wasn’t referring to PEANUTS — I think the Kurtzman book is a pretty solid example in the other direction; unlike many of our books, this book is probably better-suited for direct market sales than book trade sales, given that it’s positioned to people well-versed in comics history.
The return rate in particular is very interesting. When the graphic novel boom began, he return rate was 8-10% which was ridiculously low. 20% is indeed a healthy number, meaning enough books are being ordered in.
Read the entire thread for more frank talk on the new reality.
I’ll bet some Diamond execs are shitting their pants, that stuff like this is being discussed publicly. Attaboy Eric!