For almost 30 years, Diamond Distributors has been the primary source of single-issue comics to retailers. Many business analysts saw this as a negative aspect of the industry, with many calls for the company to evolve with the changing market. But Diamond’s reign continued unabated, until COVID accelerated what might have been inevitable.
During the pandemic, DC, the second-largest publisher in the industry, broke away from Diamond and made deals with two alternative distributors. Last month, the floodgates broke when AHOY Comics, AWA Studios, Behemoth, BOOM! Studios, Humanoids, Insight, Legendary, Oni Press, Red 5 Comics, Scout Comics, Source Point Press, Vault Comics, VIZ Media, Z2 Comics, and Heavy Metal moved their distribution to the venerable bookseller Simon and Schuster. As everyone was trying to digest this move, Marvel, the largest publisher in comics, announced their move away from Diamond and towards Penguin Random House. In the span of 18 months, Diamond went from the primary distributor of comics to a business in peril. And the damage might not be over. IDW, another major player in the market is working off an expired deal with Diamond, so that publisher might leave in the next few weeks.
Why are all these publishers leaving? Most of it boils down to cost and exposure. Both S&S and PRH offer better financial terms and wider reach than Diamond.
What will be the overall impact on the market? That remains to be seen. It’s unclear if either company can adapt to shipping single-issue comics in the mint condition that comic shop customers expect. Another open question is how easy or hard it will be for independent publishers to secure distribution through these larger companies. And no one knows whether Diamond can survive or what it will look like if it does. But the lesson is as clear as it is cliché.
Adapt or die.
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