Let’s Talk About the Diamond Comic Distributors Bankruptcy News by Answering Ten Questions About It
If you pay attention to the world of comics, then you’ve already heard: Diamond Comic Distributors — the company that was the only way for shops to get single-issue comics for decades — has filed for Chapter 11 bankruptcy. It was a stunning revelation that quickly led to concern levels and heart rates spiking throughout the direct market. 17 That was true even if the company has been struggling for a while, both because it had lost all its biggest publishing partners and because it had to unexpectedly close its second warehouse earlier than it hoped, a sudden change that resulted in disastrous delays.
And people were stunned for a reason. As creative as the folks in this space are, it’s always been hard to imagine a direct market without Diamond. As I put it recently, the distributor “has long proven to be the comic equivalent of Friday the 13th’s Jason in that nothing seems to be able to kill it.” It may be hard to kill, but as recent events have proven, Diamond can be wounded — and it has been in a substantial way.
While Chapter 11 may not be the type of bankruptcy that brings its immediate end, and even though the distributor promised that it’s “committed to continuing business as usual throughout this process” — including the planned execution of Free Comic Book Day this year — Diamond’s still in bad shape. It has a stunning list of creditors and few options available to it.
The news naturally created concern, and it’s not unwarranted. This is a major moment in the history of the direct market, one that could lead to significant change. But it’s also one that’s fueled hot takes, many of which would be generously labeled as “conjecture.” The last thing I wanted to do was join that chorus, which is why for the past couple weeks, I’ve been talking to publishers, retailers, creators, and beyond 18 to try and get a better sense for what this all might mean, and what a realistic outcome might be beyond “the sky is falling.”
And today, we’re going to channel those efforts into a good old-fashioned listicle, one where I answer ten questions about Diamond’s bankruptcy.
Is Diamond‘s bankruptcy the thing that will finally bring the end of the direct market?
Nah.
Are you sure?
I’d say I’m 94.5% sure.
That’s the theoretical maximum for this subject. Anyone that says with 100% certainty that this is or is not the end is either a) mistaking opinion for fact or b) a time traveler. The truth is, we don’t really know. We don’t know what’s going to happen with Diamond’s bankruptcy, how other distributors will respond, how this will impact publishers and creators, or any number of other things. Diamond might survive in some form and business as usual will continue onwards. The distributor could collapse, leading to cascading problems that tear down the system as we know it. Time will tell.
But most believe the direct market will be just fine.
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Or the side of the market comprised of comic shops.↩
As a note, most preferred speaking on background/off the record for obvious reasons, so all quotes are handled in that way for consistency’s sake.↩
Or the side of the market comprised of comic shops.↩
As a note, most preferred speaking on background/off the record for obvious reasons, so all quotes are handled in that way for consistency’s sake.↩
We’ll focus on those two here in a bit.↩
Which we’ll get to later.↩
We’ll call them PRH going forward.↩
That’s the side of Diamond’s business that focuses on board games, card games, miniatures, role playing games, and beyond.↩
As in bookstores, online book sellers, and libraries.↩
This number was determined by going through Diamond’s catalog and comparing it to Lunar and PRH’s lists. It could be slightly off, but it’s in range. A retailer did fact-check the list and say it looked right, though.↩
One other metric: I personally had never heard of 42.86% of them. Not that that’s meaningful, but I’m pretty tuned in, and some of these names were completely foreign to me.↩
We’ll get to why in a bit.↩
Again, with one being the lowest possible number.↩
Lunar is owned by the same people that own Discount Comic Book Service, or DCBS, and In-Stock Trades, two of the biggest retailers in the direct market.↩
Two other benefits: This would make it easier on customers as well, and it possibly could make marketing dollars and efforts more effective.↩
One thought on that. In an ideal world, the average comic fan doesn’t know who Diamond is. The fact that they are so well-known is probably not a good thing!↩
Or the side of the market comprised of comic shops.↩
As a note, most preferred speaking on background/off the record for obvious reasons, so all quotes are handled in that way for consistency’s sake.↩