Direct market in the comic book industry is the dominant distribution and retail network in North America and elsewhere in the market for English-language comics. It consists of a small number of distributors and the majority of comics specialty stores, as well as other retailers of comic book series and related merchandise. The name is no longer a fully accurate of the model by which it operates, but derives from its original implementation: retailers bypassing existing distributors to make "direct" purchases from publishers. A comic book is a magazine or book containing the art form of comics. ...

History

The Direct Market was created in the early 1980s in response to the declining market for comic books on newsstands. Fan convention organizer Phil Seuling approached publishers to purchase comics directly from them, rather than going through traditional periodical distribution companies. Unlike the newsstand market (which included drugstores, groceries, toy stores, and other magazine vendors), in which unsold units could be returned for credit, these purchases were non-returnable. In return, comics specialty retailers received larger discounts on the books they ordered, since the publisher did not carry the risk of giving credit for unsold units. A typical newsstand in New York City. ... A fan convention, or con, is an event in which the fans of a particular TV show, comic book, or actor, or an entire style of entertainment such as science fiction or anime, gather together to meet famous personalities (and each other) face-to-face. ... Phil Seuling was the founder of the Comic Art Convention and developer of the Direct Market system for comic book distribution. ...

As Direct Market comics shops proliferated, a variety of regional and national distributors developed, essentially replacing the order-taking and -fulfillment functions of newsstand distributors. Publishers began to produce material specifically for this market, series that would probably not sell well enough on the newsstand, but sold well enough on a non-returnable basis to the more dedicated readers of the Direct Market to be profitable. As newsstand sales continued to decline, the Direct Market became the primary market of the two major comics publishers (DC Comics and Marvel Comics). In the late 1980s and early 1990s, as the popularity of comics collecting grew, many new comics shops opened, and existing retailers joined the Direct Market, carrying comics as an ancillary business. DC Comics is one of the largest American companies in comic book and related media publishing. ... It has been suggested that Felicia (pseudonym) be merged into this article or section. ...

However, the market contracted in the mid 1990s, leading to the closure of many Direct Market shops. Marvel Comics purchased Heroes World, a regional distributor, with the intention of self-distributing their products; Heroes World also stopped carrying other publishers' books. Other distributors sought exclusive deals with other major publishers to compensate for the substantial loss of Marvel's business. DC Comics, Image Comics, Dark Horse Comics, and several smaller publishers made exclusive deals with Diamond Comic Distributors. Most other distributors, including Capitol City Distribution, Diamond's main competitor at the time, either went out of business or were acquired by Diamond. Others established niches - such as re-orders - in which they could compete. When self-distribution failed to meet Marvel's objectives, they also signed an exclusive distribution deal with Diamond, which had by then become the primary supplier for the Direct Market. In microeconomics and strategic management, the term vertical integration describes a style of ownership and control. ... Image Comics is the third or fourth largest comic book publisher in the United States. ... Dark Horse Comics is an American comic book publisher, one of the largest independent publishers behind dominant publishers Marvel Comics and DC Comics. ... Diamond Comic Distributors, Inc. ...

In the early 2000s, the bookstore market began to challenge the Direct Market as a channel for sales of increasingly popular graphic novels. A bookstore. ... A graphic novel (GN) is a long-form comic book, usually with lengthy and complex storylines, and often aimed at more mature audiences. ...

Impact

The development of the Direct Market is commonly credited with restoring the North American comic book publishing industry to profitability after the 90's infamous crash. The emergence of this lower-risk distribution system is also credited with providing an opportunity for new comics publishers to enter the business, despite the two bigger publishers Marvel and DC Comics still having the largest share and it having shown signs of continual growth against independents and small publishers. Marvel or marvel can refer to: Marvel Comics, a comic book publishing company based in the United States of America. ... DC Comics is one of the largest American companies in comic book and related media publishing. ...

The Direct Market has been criticized for fostering a closed "ghetto" or elite for comics, arguing that most Direct Market retailers are specialty shops patronized primarily by existing readers and highly motivated fans, without the broader exposure of the merchandise that newsstands and other retailers once provided. Some claim that the current incapability of Direct Market to reach new readers and costumers, might be cannibalizing the existing market into unexistence. A Ghetto is a area where people from a specific racial or ethnic background or united in a given culture or religion live as a group, voluntarily or involuntarily, in milder or stricter seclusion. ... Look up élite and elite in Wiktionary, the free dictionary. ... A newsstand, known as a newsagents in countries using British English, is a small business that sells newspapers, magazines, snacks and often items of local interest such as postcards and clothing emblazoned with sports team mascots. ... In commerce, a retailer buys goods or products in large quantities from manufacturers or importers, either directly or through a wholesaler, and then sells individual items or small quantities to the general public or end user customers, usually in a shop, also called store. ... Cannibalism is the act or practice of eating members of the same species, e. ...

Direct Market distributors

Current

• Diamond Comic Distributors
• Cold Cut
• Last Gasp

Last Gasp is a comics publisher and book distributor based in San Francisco, California. ...

Former

• Capitol City Distribution
• Heroes World
• Friendly Frank's
• FM International

References

• "Evolution of the Direct Market"
• "A Brief History of the American Comic Book Industry"