There isn’t enough room for all of us

Missed it… ComicSnob’s 2007 US retail bookstore number crunching overload.

My brain doesn’t get along with numbers as well as it once did, and if you’re like me, just skip to the analysis at the end.  The major theme to take away from here is the lack of room for any further substantial growth for manga in traditional retail sectors.  Either online commerce is exploited in a big way, a new kind of graphic novel-only bookstore arises, or manga publishers will have to resort to cannabalizing each other for bookstore shelf space already stretched to its limits.  We already know who’d win if it came down to that.

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And related to the above, Deb Aoki provides coverage of BEA where manga pubs talk about exploring new sales channels while strengthening presence in existing but somewhat overlooked markets, such as the DM.  Meanwhile, Journalista picks up on the undercurrent of very small, but rapidly growing e-book sales seemingly experienced by most publishers in attendance at BEA.

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Canned Dogs has translated a rather informative blog post from Fanta-G dispelling myths surrounding doujinshi, or self-published coterie magazines in Japan, and Comiket, the largest convention devoted to doujinshi.

But a couple points of contention…

  • Adult (ero, yaoi) doujinshi circles may only be 30% of Comiket, but adult doujinshi have a far more significant presence in the second hand doujinshi market.
  • Doujinshi is a hobby first and foremost, and circles who are profitable remain in the minority.  But Comiket is not the end all, be all for doujinshi sales… with hundreds of other doujinshi conventions and the rising number of specialty stores that carry new doujinshi on consignment, popular creators can have doujinshi with print runs that approach those of professional publications.  Doujinshi is very much an industry unto itself, and those who have a regular, consistent offering of doujinshi every year (particularly small/individually-run circles who may be professionals already) can and do make money.

If you missed it, the Comiket Committee recently released a mountain of information on its history and circle participation.

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Homeless manga man does a live reading of ero manga.  Yes, this is as good as it sounds.

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Finally, MangaBlog has more on the off again, on again, then off again fortunes of DramaQueen.  This newest round of speculation began with this entry on the Boys Next Door blog, a reposting of a DQ forum message from translator Taisa Toluchanian that paints a not-so-rosy financial picture of the company.  In short, DQ may have run out of money, investors, and options… and this is all told through an honest account of Toluchanian’s own hardships as a direct result of DQ’s inability to pay salaries it promised to Toluchanian and others.

As quickly as yaoi rose in the bookstores and was ordained the hot new thing, misfortune has befallen several of its publishers.  Was the yaoi boom simply overblown?  I don’t think that’s quite the case.  But the surge in yaoi publishers may have lead to an arms race that snowballed into the problems we see right now with DQ.  One possible scenario is that with sudden competition, DQ may have been inclined to snatch up more licenses than they could handle, and set release schedules they couldn’t possibly keep.  The demand also surely drove up the expectations of Japanese licensors, along with the asking price.  Now mix this together with bookstore distribution, where returnability and long lead times between shipping and payment mean higher upfront costs for new publishers, and a well-planned, promising yaoi upstart can suddenly become severely underfunded as investors grow skittish at the unexpected rise in outlay.

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  1. I think the sad part is that Drama Queen certainly licensed a lot of strong titles (which is why a lot of yaoi fans are so testy because they believe other companies would have been working on those books and published them by now), but your notion makes sense that they licensed too many of them and put too much money there when it was needed elsewhere.

    Most of the strong start up manga publishers have a great deal of financial backing from larger publishing companies (it appears to me). Yen Press, Aurora, etc. The problem is DramaQueen looks too much like a fan enterprise instead of a business one, so it is hard to be surprised they have having such difficulties.

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  2. Hee hee… I didn’t want to be the one to say it, so Im very glad you did. ;)

    Yes, fans don’t necessarily operate with efficiency, use best practices, or keep their optimism in check… though I’d like to think that’s balanced out by genuine enthusiasm.

    That said, small, fan-operated publishers must either secure angel funding, or have the discipline to operate within its own means (I would like to consider myself in the latter category). It’s unfortunate that DQ is caught in the current economic and social climate where it’s difficult for a publisher of adult material to secure traditional loans. With so much demonstrable demand, investors ought to be tripping over each other throwing money at them.

    Hopefully they can find the credit they need before their relationship with Japanese licensors become irrevocably damaged.

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  3. I was wondering would it hurt for manga publishers to start doing manga print on demand so that shelf space wouldn’t be lossed but direct market might get most manga anyway with their sales sometimes lower than b&m could offer.

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  4. edit for above post
    sales are higher but price is cut down 20-40% depending on sales and if it is clearancing out backlogged books

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  5. Two problems with that…

    1. Print on Demand is not as cost effective as traditional offset printing.

    2. POD cannot replicate manga art at the same quality as offset.

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  6. To my mind, the important thing that all the failed yaoi publishers have in common isn’t yaoi, it’s that they’re run by amateurs without heads for business.

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  7. DQ’s financial trouble is nothing new to those who have dealt with them in the past. There are people who still haven’t received payments as far back as 2006 to my knowledge. I was one of the few people lucky enough to get paid, though.

    In just a few weeks into my employment I was concerned by DQ’s business conduct and I became more disturbed as I learned more about the company. I have seen firsthand how companies go under and DQ had all the signs.

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  8. Sorry to hear about your bad experience.

    If only every start-up publisher followed the golden rule for determining the amount of initial capital required… estimate all the expenses necessary to get things off the ground, double it, then add a one in front.

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  9. Hey Simon,

    Great article as usual. :-)

    So following this saga (and, of course, the one at Iris Print as well), I’m curious to hear about the yaoi publisher success stories.

    Are the bigger publishers doing well? DMP/June/801 for example? Any of the smaller ones doing OK as far as you know?

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  10. I don’t have direct info, but just compare the DMP’s regular catalog with their June/801 releases. The yaoi books regularly outnumber their mainstream ones!

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