Diamond Comics Amends Initial Order Cancellation Policy

In response to retailer feedback, Diamond is modifying its guidelines for canceling retailers’ initial orders for underperforming products and merchandise in PREVIEWS.



In the first quarter of 2009, in an effort to reduce the number of underperforming products in PREVIEWS, Diamond implemented higher minimums for purchase orders. At that time, Diamond also began canceling retailers’ initial orders for affected products.



Now, however, having had almost a year to fine-tune the processes for choosing catalog offerings, Diamond will place a purchase order with a publisher or vendor to fill retailers’ initial orders for any products offered in PREVIEWS, even if those orders fall below Diamond’s minimum purchase order levels. This policy takes effect with product solicited in the January, 2010 PREVIEWS.



via pwbeat.publishersweekly.com

This is a pretty interesting unexpected and interesting turn of events, but does make a certain amount of sense. Retailer and consumer confidence likely fell when they weren't certain that initial orders would be filled and low independent publisher numbers become a sort of self-fulfilling prophecy. Additionally many smaller to mid-sized retailers likely had difficulty budgeting purchase with no idea if orders would be shipped. The new policy amendment shows support for smaller publishers, provides a better service for Diamond's customers (the retailers), but still makes solid business sense.

Kudos to Diamond on this change in policy.