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Old 03-23-2020, 08:12 PM   #1
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Default Diamond Comics to Stop Receiving Shipments of New Comics

Diamond Comics to Stop Receiving Shipments of New Comics Amid Coronavirus Concerns
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In a move similar to one announced by Amazon last week, Diamond Comic Distributors is no longer taking in new comics at its warehouse. ComicBook.com can confirm Diamond has asked printers to not send them any more new products. The hold, the result of a slowdown in the economy due to the COVID-19 pandemic, will remain in place until further notice. Diamond will continue to ship out products that are already in its warehouse for the time being. This is a significant signal towards the future for comics shops around the country. Diamond is the exclusive distributor of new releases from all of the comics direct market's biggest publishers, including DC Comics, Marvel Comics, Dark Horse Comics, Image Comics, Dynamite Entertainment, BOOM! Studios, and IDW Publishing, as well as many of the smaller publishers. Diamond controls such a significant portion of the direct market that the system cannot function as is without the distributor.

We're still awaiting more specifics, but Diamond typically doesn't keep a large backstock of new comics in its warehouses. That's to say that it shouldn't be long before its stock of new issues is depleted and the flow of new products to comic shops come to an end.

What comes next remains an open question. Will publishers continue to put out products if the direct market grinds to halt? Could the market pivot towards focusing more on the digital side of things during this pandemic? Comixology is in place and other systems could pop up, but will readers make the jump? Or will the industry's biggest publishers simply go on pause for the duration of the crisis? These questions remain unanswered, but more news is sure to be forthcoming.

This news comes after publishers began rolling out plans to help ease the stress the pandemic will put on the direct market. Some, like Image Comics, announced it would make new comics returnable. Marvel announced a discount to books being sold to retailers. This also follows news that the annual industry event Free Comic Book Day has been delayed from its usual place at the beginning of the year until later in the year.

It is also worth noting that Diamond owns Alliance Game Distributors, a significant presence in the games market but not to the extent of what Diamond means to comics. No word yet on Alliance's coronavirus plans.

The news was first reported by Bleeding Cool.
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Old 03-23-2020, 08:48 PM   #2
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Yeah, I'm in NJ so my LCS said they're getting this week's books in, but they can't open to sell them. I was kind of expecting DC and others to soon announce they're halting printing. It's going to be nuts if I have to keep track of and buy months and months of books when I can get back to my LCS.
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Old 03-23-2020, 08:53 PM   #3
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DIAMOND COMICS DISTRIBUTORS Ceases Receiving Products for Distribution Due to Coronavirus
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Distribution/shipments to stores will continue through Wednesday, April 8, according to a source at Diamond.

Diamond will reportedly continue distributing existing product from its warehouses.
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Old 03-23-2020, 08:56 PM   #4
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So, this week's orders are still going out? Even if they're going to closed stores (like in CA, NJ, PA) etc? That's how I read that.
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Old 03-23-2020, 09:31 PM   #5
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DIAMOND HALTING DISTRIBUTION OF NEW PRODUCT, ALLIANCE SHUTTING DOWN COMPLETELY
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Geppi Family Enterprises CEO Steve Geppi has announced that Diamond Comic Distributors will halt distribution of new product, and that Alliance Game Distributors will shut down until further notice.
The move comes after some distribution centers for both companies were required to close by state-level lockdown orders in the past few days.

The effective dates are slightly different for the two companies. Diamond Comic Distributors U.S. will not distribute new product with street dates of April 1 or after, which means that the current week’s products are the last new products that will be distributed by Diamond until further notice. Earlier today, Diamond announced that product that comic retailers are receiving this week could go on sale immediately rather than waiting for the official on-sale day of Wednesday. Diamond's Olive Branch, Mississippi warehouse will continue to ship orders from inventory for retailers that are able to operate for now. Diamond UK has an earlier effective date; this week’s products will not be distributed in the UK.

Alliance Game Distributors, which has been operating from Fort Wayne, Indiana and Austin, Texas, will shut down at the end of the day tomorrow, March 24. Orders not shipped by the end of the day tomorrow will not be filled. Sales teams are currently taking orders.

Geppi also laid out the company’s plans for the future. “With these changes in our distribution strategy, we will work with our publishing partners to develop programs that will address product already in the pipeline and what will happen when we resume distribution,” he said. “We know that during this time you will face many challenges, and we will direct our energies toward addressing them, rather than fighting on increasingly numerous fronts to get product out.”

Geppi's full statement follows.

A Message from Steve Geppi, Chairman & CEO, Geppi Family Enterprises, Founder, Diamond Comic Distributors

CORONAVIRUS EFFECTS ON DISTRIBUTION
As everyone knows, the world faces ever-increasing challenges related to the COVID-19 pandemic. Its effects on the comics & collectibles and tabletop gaming industries have been felt far and wide. We are hearing from thousands of retailers that they can no longer service their customers as they have in the past, many of them forced to close by government action or resort to in-person or curbside delivery. Even those still open are seeing reduced foot traffic in most cases, a situation that seems likely to worsen with time.

Our publishing partners are also faced with numerous issues in their supply chain, working with creators, printers, and increasing uncertainty when it comes to the production and delivery of products for us to distribute. Our freight networks are feeling the strain and are already experiencing delays, while our distribution centers in New York, California, and Pennsylvania were all closed late last week. Our own home office in Maryland instituted a work from home policy, and experts say that we can expect further closures. Therefore, my only logical conclusion is to cease the distribution of new weekly product until there is greater clarity on the progress made toward stemming the spread of this disease.

EFFECTS ON DIAMOND COMIC DISTRIBUTORS
Product distributed by Diamond and slated for an on-sale date of April 1st or later will not be shipped to retailers until further notice. For the time being, however, we have been able to develop procedures with our teams at the distribution center in Olive Branch, MS to safely continue fulfillment of direct ship reorders for the retailers who are able to receive new product and need it to service their customers. It’s unlikely that orders will be filled on the same day they are placed, and these plans are subject to change if at any point we no longer feel that we can safeguard our teams while fulfilling orders.

Product distributed by Diamond UK and slated for an on-sale date of March 25th or later will not be shipped to retailers until further notice. Further updates with regard to reorders and other Diamond UK-specific information will be communicated directly to their customers as information becomes available.

EFFECTS ON ALLIANCE GAME DISTRIBUTORS
Product distributed by Alliance has been shipping from our Fort Wayne, IN and Austin, TX warehouses. Both are closing at the end of the day on Tuesday, March 23rd, in the interest of employee safety and to comply with direction from local governments. Any orders not shipped by that time will not be processed until further notice. Your dedicated sales team will still be working remotely and will help you with any orders you’d like to place today or questions you may have.

OUR SHARED PATH FORWARD
With these changes in our distribution strategy, we will work with our publishing partners to develop programs that will address product already in the pipeline and what will happen when we resume distribution. We know that during this time you will face many challenges, and we will direct our energies toward addressing them, rather than fighting on increasingly numerous fronts to get product out.

For those retailers who remain open in various forms, I encourage you let loose your own creativity. For the time being, you will be able to replenish your perennials from Diamond and/or Alliance, but you should also remember the stock you already have in your stores. If your doors remain open, it’s likely you will have customers who will continue to seek diversion from events of the world. Special sales, promotions, and even eBay can help you bring in cash during this trying time. Product for which you’ve already paid may well hold some of your answers. There have been many solid suggestions offered about how to help our retailers, and we will bring many of them together in future communications.

Besides the industry’s most immediate needs, we have been and will continue looking toward the future, when we see stores reopening, bringing staff back onboard, and getting customers in the door. We are looking at issues like debt accrued due to this crisis, what reduced ordering means for your discount tiers, and the availability of credit to help stores through and after this difficult time. We don’t have all those answers today, but we understand the many issues you are facing and look forward to addressing them as partners who all have an interest in the long-term health of the industry we love so much.

As I mentioned in my last update, this industry has been one of the greatest joys of my life, from my days as a collector to a retailer to today. I and my Leadership Team have made these decisions knowing full-well the effect they will have on all of you, as well as our publishing partners and our own team members around the world. At the end of the day, the safety and security of our teams and yours, along with the many customers we all serve, is paramount. I again thank you for your ongoing patience and support.

Thank You, Steve Geppi, Chairman & CEO, Geppi Family Enterprises
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Old 03-23-2020, 11:23 PM   #6
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So, we have to expect announcements soon from the majors that they're halting production, right? What else can they do?
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Old 03-23-2020, 11:44 PM   #7
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My LCS in Delaware is following the mandate to stay home, so they're allowing curbside pickup, shipping, or hold/cancellation. I'm contacting them to let them know to total my box so I can support the owners (and keep things from overflowing too badly later).
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Old 03-24-2020, 12:53 AM   #8
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Originally Posted by Agent Purple View Post
My LCS in Delaware is following the mandate to stay home, so they're allowing curbside pickup, shipping, or hold/cancellation. I'm contacting them to let them know to total my box so I can support the owners (and keep things from overflowing too badly later).
I’d do the same if they were open, but NJ has closed all non-essential business. Now, personally, I’d place comics over liquor stores in essential qualities, but apparently I’m in the minority.
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Old 03-24-2020, 11:00 AM   #9
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So, we have to expect announcements soon from the majors that they're halting production, right? What else can they do?
I'm not sure what the alternative would be. Could they decide that new comics go exclusively on Marvel Unlimited, the DCU streaming service, comiXology, etc? That's the only scenario that comes to mind, and I don't profess to know enough about the digital business models to state that those could possibly compensate for the lost print revenue.
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Old 03-24-2020, 01:17 PM   #10
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Obviously this probably the best decision Diamond could make in an impossible situation but I'm not sure if this is good or bad for the industry. On one hand it prevents shops that aren't open or are seeing a severe drop off in foot traffic from being charged for a product they can't really sell.

On the other hand this is obviously going to affect shops that maybe weren't so hard hit and if they were depending on that income to pay rent/mortgages/bills...well the situation is fucked. Not to mention the impact on publishers and creators.
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Old 03-25-2020, 04:31 PM   #11
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Today doesn't feel like a Wednesday for me without hitting the LCS.
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Old 03-25-2020, 06:03 PM   #12
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Bleeding Cool: The State of the Comics Industry Under Coronavirus – On Tuesday
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I have been writing this article for almost twenty-four hours. Been talking to senior comic book industry figure after another. The problem is, the second I get a hold of what might actually be going on, the situation changes from under me. But everyone is agreeing that this current coronavirus pandemic, and the reaction to it, will change the American comic book industry for good.

I understand that there is industry bailout funds being put together, which will seek to help retailers, creators, publishers and distributors under stress. There could be a little more co-ordination about everyone's efforts though. However, it is expected that a number of publishers and retailers will have to close as a result of this stress. There is a talent buying spree – creators who were told to stop working on their comics by their publisher, have been picked up already by Marvel, DC, AWA and Bad Idea, with a mission to keep on pumping out their pages in readiness for when everyone's had a cup of tea and all this has blown over. All Marvel and DC creators I have spoken to are still working on their projects.

The problem is that right now, Diamond has closed, distribution to the comic shops is shut down. Books that are printed now have nowhere to land. Away from comic stores and Diamond distribution, sixty traditional independent bookstores closed last week as it is, all with unpaid debts. And the big comics printer for DC, Dark Horse and more has just shut down.

There has been much-rumoured proposal at DC Comics to put the comics they are creating all on the streaming app DC Universe rather than just sell them as individual digital comics, as a way to make that service essential and give it a killer app. But a) it is still geolocked to the USA, b) would be seen as a death blow to US comic shops, undermining the physical sales that are most at threat and c) if it was meant to happen, it wasn't meant to happen yet. This would be just bringing it all forward and no one is ready yet.

There has been concern amongst creators who work on back-end payment only on creator-owned comic books, that a publisher making their comic book returnable especially without asking their permission first, may have broken contract with them, and may harm the individual creator who hadn't factored the costs to them of returnability, more than anyone. There are also alternative distribution plans being worked on by notable comic book industry figures, trying to work around the current restrictions and get new printed comics content to stores and to readers, but the obstacles, currently, are huge. Ingrams, which deals with graphic novels is still operating, for now, but for the comics industry it is a relatively small fraction.
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Old 03-25-2020, 10:12 PM   #13
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Yeah the streaming service would kill a lot of brick-and-mortar shops and if I have a gap in my collection that can't be had physically, it would be a real motive to step away from the fandom.
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Old 03-25-2020, 10:49 PM   #14
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Either way they're fucked I think, allowing things to be released digitally would be a huge middle finger to brick and mortar stores but on the flipside I wouldn't be surprised to see a large number of readers decide to cut the cord after going a month or more without new books every week.
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Old 03-25-2020, 11:05 PM   #15
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I just dont see how the comic industry can bounce back from this. What will even be left? Who will be left to sell to? And from where? I think the creators in the best position to survive for a while longer are creator owned guys who do online crowd funding and mail comics out directly to their customers.
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Old 03-26-2020, 12:11 AM   #16
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Cleared out virtually everything from my box and grabbed some hard sleeves to protect my variants (but I still need more, and the regular clam shells aren't what I want for a couple of very particular collectibles so I grabbed a $15 case sleeve, but I should get a second one so I don't have both issues in a single case). Only thing left in my box was the $75 Ghost Rider hardcover Marvel released four or so months back.

Total was $272 and change, but the family that owns the store was very grateful I came in (most members have cleared their boxes, thankfully). Now I need to sort the issues into my various stacks so I can grind through them in time.

Owner, manager (his daughter) and her husband were there, and we wished each other well. I promised to grab a couple classic issues of their wall when better days come.
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Old 03-26-2020, 12:15 AM   #17
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Maybe if this goes for months and months it'll totally kill the industry, but I think the big two will make it through (not without a hard hit). The indies will suffer, a lot of creators, and many stores.
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Old 03-26-2020, 07:19 AM   #18
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If comics go to digital as their main medium, I would expect that trades would still be printed, collecting all the digital issues into a physical book. Why? Because I'm pretty sure trades are the best selling part of the industry, so even if physical issues go away, physical collections won't. That said, seeing as I'm primarily an issue collector, I'd be kind of annoyed.
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Old 03-26-2020, 11:56 AM   #19
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It wont matter how many trades they print if there arent enough comic stores left open to make it a viable option. All this hinges on enough comic shops not closing permanently in the next few months. A good many of them I would imagine are already hanging on by a thread.
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Old 03-26-2020, 01:11 PM   #20
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Bleeding Cool: A Band-Aid For The Direct Comics Market, Under Coronavirus Pandemic
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Yesterday, Bleeding Cool put forward a modest proposal on how to deal with the coronavirus pandemic's effect on the direct market of the comic book industry in a world where printers have closed, distributors have closed and shopfronts have closed – and this could be the way of things for the next three months.

We proposed comic stores being able to sell digital download codes for their comic books, which can be read weekly as they are now, but can be redeemed against print comics when the current restrictions are lifted and the books are finally printed. As a way to keep cashflow, maintaining the collectors' mindset, and the general thrust of the comics market, albeit in a muted fashion. A sticking plaster, a band aid, a temporary solution, but a way to keep the lights on for publisher, creator and retailer alike. I also spoke to publisher, creator and retailers to get their response.

Retailer response was fairly negative, seeing such an idea as a way to shift print readers to digital. I disagreed, I saw this as a stopgap measure maintaining the print market, and similar to when Marvel adds digital codes to their print product — this would be adding print codes to their digital comics. But there was clear resistance. Publishers saw the bureaucracy of the process as overwhelming – and one asked what would happen to someone who bought the codes but whose store then went out of business? I had no answer. But what I also learned is that publishers had already been pursuing such a possibility, but met with retailer resistance. This, it seems, is not the way. And that it would be preferable for all publishers to put all published product on hold, print or digital, until the situation is sorted out. Which I get but… how many stores would be able to survive for three months? How many publishers? How many creators? Let's keep talking…
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Old 03-26-2020, 01:24 PM   #21
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^I'd be open to that if I felt clearly that it was linking to my shop. I think my LCS can make it because the owner actually has two shops and if he had to close, I think mine is considered the primary (although he lives closer to the secondary). It'd be slightly annoying since I usually read comics in the bathroom and I'm not taking my iPad in there, but a backlog of 100 comics to read would also be annoying.
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Old 03-26-2020, 01:43 PM   #22
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DC Entertainment breaks silence to reach out to freelancers
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Old 03-26-2020, 05:33 PM   #23
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Bleeding Cool: What Marvel And DC Are Saying During The Coronavirus Pandemic
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Yesterday both DC and Marvel Comics freelancers received e-mails from their respective editors-in-chief, Bob Harras and C.B. Cebulski telling them that it was, basically business as usual. Reassuring them that they should keep creating comics, they would keep getting paid and basically not to worry what other people are saying, but to keep their heads down, during the coronavirus pandemic, unlike some publishers.

But unlike most other comics publishers, Marvel and DC have not talked about reducing their planned publication schedule, or making their titles returnable for comic books stores, or even how they might be distributing their books. Marvel has increased retailer discounts across their line, and DC Comics has lined up some events for kids and livestreams but that's about it. I understand that senior figures at DC Comics have been looking for a printer to replace the now-closed Transcontinental Publishing in Canada, and Marvel's printers remain unaffected by the coronavirus pandemic shutdown. However, Diamond Comic Distributors remains closed to new products, with no sign of fully reopening in the current coronavirus pandemic, and have been making staffers redundant, though their Olive Branch warehouse is still shipping out backlist product.

Marvel, it seems, did make some initial enquiries to stores that are still open enquiring about the possibilities of direct shipping comic books, during the Diamond shutdown, that has now switched to just expressions of being supportive of stores that are still able to open. As we said before, things are changing day to day, and no one really seems to be sure what, if anything, will be happening on the next traditional New Comics Day, April 1st. The significance of that date lost on nobody. As for some kind of Marvel/DC project to help lift folk out of the doldrums? All I can say is… the right people are talking. We'll see.
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Old 03-26-2020, 07:42 PM   #24
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If they produce content like usual and Diamond keeps their shutdown for another two or three months, if not longer, are DC and Marvel expecting Diamond to ship everything all at once as soon as they resume business? Are they expecting readers to buy it all at once?
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Old 03-26-2020, 08:40 PM   #25
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It wont matter how many trades they print if there arent enough comic stores left open to make it a viable option. All this hinges on enough comic shops not closing permanently in the next few months. A good many of them I would imagine are already hanging on by a thread.
I'd actually imagine that since most comic shops are also game shops, that around 80-90% of their profitable business is in the gaming side of their stores, with most of that being tied to Magic The Gathering. After all, a single booster pack is the same price as a single issue, and many (if not most) MTG players buy boosters by the box, which typically come with 36 packs and only saves them like $10 compared to an equivalent single pack purchase. And then there's Warhammer, which is a truly expensive game to buy into, and D&D, which is all about full book campaigns now, instead of little modules. So yeah. I don't think the end of physical monthly issues would harm most of these shops all that much.
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