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Concept
Direct market
Summary
The direct market is the dominant distribution and retail network for American comic books. The concept of the direct market was created in the 1970s by Phil Seuling. The network currently consists of:
three major comic distributors:
Lunar Distribution (which distributes DC Comics since 2020 and since 2023);
Penguin Random House Publisher Services (the distribution arm of the publishing company), which since 1 October 2021 distributes Marvel Comics, since 1 June 2022 distributes IDW Publishing, and since 1 June 2023 distributes Dark Horse Comics; and
Diamond Comic Distributors, which distributes most, if not all, non-DC/Marvel/Image/IDW/Dark Horse comics (having exclusive deals with those publishers) and wholesales Marvel Comics, Image Comics, IDW Publishing, and Dark Horse Comics.
the majority of comics specialty stores, and
other retailers of comic books and related merchandise.
The name is no longer a fully accurate description of the model by which it operates, but derives from its original implementation: retailers bypassing existing distributors to make "direct" purchases from publishers. The defining characteristic of the direct market however is non-returnability: unlike book store and news stand distribution, which operate on a sale-or-return model, direct market distribution prohibits distributors and retailers from returning their unsold merchandise for refunds. In exchange for more favorable ordering terms, retailers and distributors must gamble that they can accurately predict their customers' demand for products. Each month's surplus inventory, meanwhile, could be archived and sold later, driving the development of an organized market for "back issues."
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.
Official source
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