Some small notes RE: DC (& Digital) from this year's ComicsPRO meeting

I'm just back from Dallas and the 2012 ComicsPRO meeting. I forgot that the laptop didn't have any of the log-in info for the Savage Critic site, and I forgot to write it all down, so, gr to that! I have an entire Tilting column that I'm going to write which is sort of kind of "about" the meeting (but not really, since that won't be for three more weeks, and then we're talking about the past, which no one ever likes!), but I don't think I'll have any room there for any of this stuff.

I wrote these all down on scraps of paper, but I did ask that I can report them... but I might have made a transcription error somewhere here. If so, I trust someone from DC will send me an email!

• DC's John Rood, on digital: "We were surprised to find out that the conversation we're having about digital is about aiding physical (format) growth, NOT managing physical decline; this is utterly different than any other media's results" (Actually, that clause after the semi-colon might be my own thought, and not a quote, I can't quite tell from how I wrote it down. A reporter I am not!)

This is important stuff, and I think it changes the conversation completely.

 

• The redemption rate on the combo pack for the digital codes in JUSTICE LEAGUE? It was just 20% on issue #1, and it has dropped to just 10% (on #4 or #5, I don't think was 100% clear) -- it appears that DM consumers bought those AS COLLECTIBLE VARIANT COVERS, rather than because they wanted a digital copy!!!

I also have a note here that there were 15k combo packs for #1, and it's down to 5k now (so, actually, those might be semi-legitimately rare covers)

 

• The single best sales day for day-and-date DC digital comics has been and continues to be the first Wednesday of release; when the price drops by a dollar there's a teeny spike in velocity  -- evidently it is the 10th best sales day (Is that "on average" or for a specific title? I don't think that was clarified) -- but not any kind of a huge surge; this would seem to indicate that digital buyers are just fine paying the full print price, so that they can be "part of the conversation" at initial release.

I, for one, think that IF the "99 cents!" crowd were even CLOSE to correct, that $1.99 day would be the strongest day of release. It isn't. It's #10. You get what your behavior indicates.

"New" comics will never been 99 cents on an ongoing basis, ever, if you ask me -- it would just be leaving money on the table; and it means you can never do anything to stimulate sales by putting material ON SALE!

 

• It was indicated that New 52 digital books were remarkably consistent and in parity with their print brethren -- drops in sales of print were mirrored in similar proportions in digital. They gave us an average percentage-of-print for digital, but I lost the piece of paper I wrote that on (I told you I suck!), so I can't remember if it was average across the board or on a specific title, or, really what the exact number was. It was very low, however -- I want to say somewhere between 10 and 15 %.

 

• DC is actually going to release the full results of the Nielsen data, generally. Next week or something -- they showed us slides, and some of that has been reported anecdotally, but we were assured of a FULL release of ALL data to ALL retailers, not just ComicsPRO.

Which means everyone in the world is going to see it soon.

This is AWESOME on DC's part; and when it happens, all you internet pundits should try really hard to NOT be assholes about the data points, and, y'know, maybe THANK THEM for sharing something very very expensive, instead of complaining about things you don't like about it.

(I know, I know: "good luck with that")

FURTHERMORE, DC has every plan to continue to FOLLOW UP on the surveys with more surveys -- this is NOT a one-shot thing. DC flew two Nielsen employees to the ComicsPRO meeting to help gather opinions about what the next questions should include; that should indicate that they were pretty serious.

 

 

Outside of DC, most of the digital points were seconded by every other publisher in attendance

 

That's what I have for you today; time to try and stuff my leaking brain back into my ears...

 

-B

Wait, What? Ep. 68.1: Grist for the Mill(ar)

Photobucket This one had the best of intentions but somehow ended up being more of the accident-at-the-mousetrap-factory variety. Graeme and I started with the idea of doing a year in review podcast and it morphed, as our conversations usually do, into a verbal catalogue of compulsion and fixation.

Oh sure, we start covering events from 2011 like DC's New 52, day and date digital, but ends up being more about the paintings of Sharon Moody (erroneously called Shannon Moody by me for the whole damn podcast!), Christmas with the Swamp Thing and a long analysis of the year's crossover events through the only lens that matters--that of Mark Millar.

But my system crashes partway through the conversation (which you'll be lucky enough to hear), Audacity stripped all the sound out of the exported file (which I only found out after I spent an hour uploading) and we still have Part 2 for you to come--which I look forward to all but stabbing me in my fucking throat, Chucky-style, while I work on it--so, you know. Happy Holidays! And like that.

[NOTE: Turns out the music that plays us out didn't convert into the final mix for some reason?  So even though the episode ends very abruptly, you're not missing anything, we swear.]

In any event, maybe you can find this on iTunes (or iTunes has turned that soundless file into an unstoppable murdering sonic sound file...in which case, I apologize and ask you don't count it as a typical recording should you decide to leave us a review there) or you can listen to our friendly, non-murderous version here:

Wait, What? Ep. 68.1: Grist for the Mill(ar)

Thank you for listening, and for putting up with our sad sonic shenanigans!

Wait, What? Ep. 65.2: A Podcast--With A Gun!

Photobucket Yup, we came out of nowhere and rang your doorbell. We are a podcast--with a gun!

Oh, and Mallomars. God yes, Mallomars.

In this 90+ minute finale to ep. 65, Graeme McMillan and I talk a teeny-tiny bit more about Gerber's Defenders, then go on to more of our standard W,W? stuff: Matt Fraction on Word Balloon, getting stalked on Twitter, the pros and cons of interviewing pros (sadly, not at cons because that would make a terrific little phrase, being trolled on Twitter, the required-by-Internet-law discussion of Watchmen 2, the price of satisfaction, and, you know, lots more.

Statistically speaking, it is likely this fine installment is already available to you on iTunes. But, should you wish, it is also available for your chewing satisfaction on this very fine purveyor of Internet whimsy:

Wait, What? Ep. 65.2: A Podcast--With A Gun!

Thanks for listening, and--as always--we hope you enjoy!

Questions I have about digital

I really like the general level of commentary over at the Beat, and there's some very interesting stuff being said in the latest thread about Brian Wood's new missive (which is, in itself a valuable read), but if one thing absolutely slays me about the Beat it is how fast stories scroll off the front page, and the commentary scroll with them. There's no notification system there, so we're kind of stuck with a day, or maybe two, of conversation before it scrolls off away into the ether.  

This page is a little more forgiving in that regard, so let me try to put some thoughts here, and see if it sparks any kind of substantive conversation.

Right, so, first off, a little "old business" first -- first off, Heidi is clearly wrong that the DM has not grown. Here's your chart to establish that. Chris Hero points out that that units on periodicals has shrunk, and that is true, but that's pretty directly a result of dollars shifting from one format (periodicals) to another (books), but each and every person anywhere who says "print is dead" or "goodbye to physical objects" or any of that other stuff is clearly not arguing with actual real facts.

In fact, even in the music industry, an art form which I would argue EVERYone knows and loves and consumes, and which digital has had an immensely long penetration (relatively speaking, natch), PHYSICAL CDS STILL OUTSELL DIGITAL DOWNLOADS today! So, yeah, print isn't going anywhere for some time to come.

So, here is question one: is "digital", in your opinion, equally portable and interchangeable between various media? Do people consume those media in the same ways? There appears to be an advantage to the consumer to be able to store every song you own on a device the size of a deck of cards -- does that same advantage naturally and inexorably extend to other media? I'm willing to be convinced either way, but I think that each individual media will have it's own strengths and weaknesses in individual formats and devices, and I very much think that "well, that's how it works for music" will NOT play out the same for other media.

One thing about music that few seem willing to discuss is that the music industry went from (in the modern era, at least) selling collections of songs, to selling singles, as a most visible driver of sales. What THIS means is that the music companies & music creators went from an "average ticket" of $15 (for the album) to an average ticket of (let's say) $2 for the two 99 cent singles that are most popular. Totally pulling a random selection that I happened to listen on my way home on the bus today, Prince's AROUND THE WORLD IN A DAY (great album, BTW!), this album has just 9 songs on it. 7 of the 9 songs sell for $0.99, the other 2 for $1.29, it is on iTunes as a package for $9.51, but I'd be willing to guess that they mostly sell a lot of copies of "Raspberry Beret" for $1.29, and far fewer copies of the full album. Is that good for Prince? Is that good for Paisley Park (the producing studio) or Warner Brother's (the record company) or, frankly, even for iTunes? Is that good for the consumer? I guess if you only like what you like, and you JUST want to hear "Raspberry Beret", then awesome for you, you've just saved $8.22 if you're pricing the digital thang, or maybe you've saved $13.66 compared to "list price" of the CD/Vinyl, but does your desire trump the need of the Talent to actually, y'know, make money off all the music they produce, not just the thing that's most zeitgeisty?

Don't get me wrong, that $15 versus $2 also created a lot of corruption and evil around it ("By the way, which one's Pink?"), but most of the musicians I know today tell me that can not survive on the sales of music alone.

There's also the Spinach argument. I mean RasBeret is probably the most hit-driven of the songs on ATWIAD, but I think I might argue that "Temptation" or "Tambourine" are actually ultimately better songs with something more to say? See, because I actually think that most of the music that I ended up liking the best, at the end of the day, wasn't the poppest hits, but were the deeper tracks that probably no one really even hears any more.

COULD an artist produce THE WALL or TOMMY, or, fuck, even PET SOUNDS today? Or is everyone jonesing for that one three minute hit that they can sell 3 million copies of, individually? Is that good for culture?

It appears to be inescapable that the shift of the market to the TP has sparked some consumers to change their buying habits in the world of comics -- we even have a phrase for it, "waiting for the trade" and we can see how it has not only changed HOW comics stories are made, but WHAT comics the audience is willing to buy and how they do so; why is anyone questioning that the move towards digital will also change buying habits to SOME degree? But, can't we recognize that the truth of things is that most characters/creators/concepts can't actually make a living doing what they do as things stand today, and that cutting off even a small percentage of potential customers through switching primary mechanisms-to-buy will make those works UNPROFITIBLE.

The concern of the comics retailer isn't that there IS digital -- fuck, I'm totally all for a mechanism to drive a potentially wide segment of customers to the medium of comics itself. How can that NOT help me? But, rather, that enough customers will "change channels" (of purchase), so as to make segments of work unprofitible to carry. I've been pretty straight with you -- most periodicals are but marginally profitible; most books are largely unprofitible. That we have stellar, break out, oh-my-god-it's-like-printing-money successes like WALKING DEAD or BONE or SANDMAN doesn't mean that this is the way all books can follow. Quite the opposite in fact!

So what this means is that even losing a TINY portion of the readership through Channel Migration could potentially have dire effects. Seriously, if I lost just 10% of my customers, I'm done. And what we also know is that when physical stores close, most of that readership for comics UTTERLY VANISHES. The gist of this is that losing 10% of sales to migration could mean that the other 80% of that stores' sales are COMPLETELY LOST.

To put this in a more specific way, in the last 90 days we've lost/are losing THREE comic stores in SF (out of what were at a dozen); I've spoken to at least half of the remaining stores, and while we've all picked up a couple of customers, there are logically 3-500 comic readers who have not seemed to showed up in any of the remaining nine stores. They disappeared, into the wind.

Why do you assume that current print readership WOULD switch to digital? Dude, I can assure you that 60% or more of the exciting print audience will NOT switch to digital if they stop making print comics tomorrow. Most of those cats have 10-40 years invested in their mechanism, and the mechanism of delivery is AT LEAST AS IMPORTANT to that audience as the content itself.

I remember, god, do I remember, the strident voices that used to scream "Yeah, motherfucker, let's get comics into book stores, and the whole game changes!!!!", and so I really cringe at the concept that the existence, the very fucking existence of a tablet computer changes shit. IT DIDN'T WHEN WE WENT INTO THE BOOKSTORES.

At the end of the day, the issue is, has been, and always will be content, dumbass. Do you seriously think that a readership that has rejected the print comics is going to magically swarm back to digital version, even if they are a third cheaper? Because I don't think the problem is actually the price -- I think it is the content. Most mainstream comics are ineffably shitty. And I totally get you have nostalgic love of a, b, or c, and that keeps you buying ineffably shitty comics, but the general public isn't going to do that.

The majority of what is sold in comic stores is not going to sell to a wider audience, even if you literally tied people to chairs and MADE them read it. Seriously, charge $1.99 for most of the content we offer, charge 99 cents for it, you're not going to move the needle as much as so many people seem to think it will -- look, that same content is already available to everyone, everywhere via Amazon, and it's not selling better proportionate to its current reach. You really think digital is going to be the "magic bullet" here? That trick never works!

Because we HAVE been through this before.. multiple times. I mentioned the book market, because these are the SAME things that were being said back then -- "now we can truly expand and rise not tied down by the Direct Market!", and, huh, pretty much not. And, instead, we've gutted our own periodical delivery system trying to chase the sure fire book market. Like.... when EIGHTBALL was coming out as a once-or-twice-a-year periodical, we'd sell 150+ copies in the first 90-120 days. Now Dan Clowes only puts out GNs, and his last original package, WILSON, was a huge hit for me (#5 best selling book in 2010). But... I sold less than 70 copies of WILSON in the 20 months since it has been released. BOOKS DON'T SELL AS MANY COPIES AS PERIODICALS. We chased the wrong thing, for maybe the right reasons, but maybe not, and it left us, in my opinion, considerably weaker for it.

Digital is, at best, a mechanism. I totally laugh at Heidi's suggestion that because the "hot product" of the moment is a Tablet that this means all that much. The "hot product" of 2001 was an Audrey. No one talks about those any more. Maybe the tablet DOES have real staying power, I don't fucking know, but I think to construct a syllogistic argument that because it is hot today it's therefore culture changing... well, I don't buy that, and history would tend to argue against that. Consumer electronics change with the wind.

Or let's talk about distribution. Many commentators say things like "Yay, we can break the Diamond stranglehold on the market!" to which I ask, do you really want Apple to take over that monopoly position? Really? Because I really think the concept of Amazon and Apple being the two gatekeepers of entertainment to be pretty insanely terrifying.

I really really wonder about the motivation about some of the loudest pro-digital commentators -- because some of the things they scream for (like day and date) are really not attractive or necessary for the huge massive untapped "civilian" audience out there that digital could reach. Johnny I-have-never-read-a-comic-before isn't especially likely to start reading SPIDER-MAN cold at #674 and decide that he absolutely has to start reading the comic monthly from there on out. I sell comics to Johnny and others like him EVERY DAY OF THE YEAR, and I can tell you 98% of the Johnnies out there want a complete story in a book, and, more than that, they want a specific recommendation for a specific great Spider-Man story.

(Yes, you CAN get Johnny to read periodicals, but it takes epic efforts like New52, and, guess what folks? That's a once-a-decade at most tool)

See, what I actually think is that the majority (like the OVERWHELMING majority) of the pro day-and-date voices are people who are trying to fulfill their own desires, instead of what's best for comics. And, right on, you do get to express those desires, but the people making actual decisions in this business need to take a longer view.

I personally believe there has to be price parity between ALL FORMATS because otherwise you're cutting the legs out from underneath one or another. Let's not even make this "digital" versus "print", it's just as true for "periodical" versus "collection", and I suspect will be as true when we can project comics directly onto our corneas in the future.

I think it is moronic, literally moronic, to ever sell a copy of WATCHMEN for less than it's $19.99 price. Why? Because it sells fab at that price, and it's not going to sell better, in any kind of a sustained fashion, by cutting its price in half, that's not how pricing works. I also think that by having that $9.99 Kindle version, there's some amount of pressure that that is the "real" value of the work.

I can (just barely) see the wisdom of offering HELLBOY v1 (an $18 book) for a measly $5 IF it were being used as a gateway to selling the ENTIRE SERIES of HELLBOY. But... it's not. Fuck, type "hellboy" into the search box over there, and the v1 "bundle" ISN'T EVEN LISTED ON THE FRONT PAGE.

What's the sense of that?

I mean, if it was "Hey, we priced our books at half price, and we sold TWICE AS MANY as print, without impacting print sales negatively!" then I could see the wonder and joy in dropping prices down radically, but I see digital comics pricing as doing certain things "because that's how it is done", rather than "does this make sense as a part of an entire HOLISTIC pricing strategy?"

Urgh.

Anyway, no sensible retailer is "against" digital -- they're against dumb and anti-competitive moves that appear likely to cause channel migration by their lonesome. Go ahead and do day and date, I'll put my real world comic book store up against any existing digital portal any day of the week -- physical stores are more conducive to browsing, to discovering something new, to having someone help guide you through the experience, and so on.... but once we start getting away from price parity, I think we have some pretty significant problems.

I'm of the opinion that you should be paying for content, not format, because if you were actually paying for content on it's own, your consumption price would dramatically increase on digital alone, not decrease. It is the very existence of print that even allow any content provider to even consider reducing the price in the first place.

The notion that any content on the internet should be inherently cheaper than the "physical" item is very skewed, and while I TOTALLY respect the consumer WANTING a lower price (because I, too, would be VERY happy if print comics went back to $1.99, thanks), let's not set up an economic system which will preclude the comics being created in the first place because no one at all (including the creators) can make any money doing them.

Anyway, I've been typing for like 3 hours now, time for me to shut up and actually get some work done, I think. Chime in, if you dare.

 

-B

Jim Lee's Digital visual analogy

I'm just back from Dallas, and the 2011 ComicsPRO meeting. It was a very very very good meeting -- there is literally not a more productive weekend in comics on the calendar, though a lot of what happened and was discussed won't, necessarily, interest you the consumer. I will, I think, have a much fuller report in a few weeks in  the next TILTING, but in the meantime I want to share one bit while its still fresh in my mind.

A lot of time was spent on discussing Digital, as you might expect, but early on on the first day, DC co-Publisher Jim Lee made a visual analogy that sort of guided my thinking for the rest of the weekend.

Jim held up two hands. In one hand he had a regular 8 1/2 x 11 piece of paper, and in the other, he had a piece of dental floss. The former, he said, represented the revenues from print comics. The latter? Revenue from digital.

Now, clearly, digital will continue to grow -- heck, maybe with a lot of effort and brain cycles, it might even grow to be the size, say, of an index card, but the actual real on-the-ground reality of digital comics sales are that they are a virtually (heh) insignificant way of making money for the publishers.

This same idea was echoed again and again and again by each and every publisher at the meeting, and even the very providers of digital services: this is not a significant revenue generator as of yet, and certainly NOWHERE NEAR able to match, let alone surpass, the sales from physical print comics.

We're a niche market. A successful niche, to be sure, but a niche nonetheless, and not one that simply putting comics content in front of civilians will INHERENTLY and effortlessly drive sales of any huge value to the overwhelming majority of the market participants. As near as I can tell, most to the evidence says that digital is selling primarily to the lapsed or geographically-unable-to-participate markets (40%, I kept hearing over and over again, of sales are coming from Europe) (40% of a piece of dental floss, remember!)

If you're a rah-rah digital booster, that's perfectly fine. But I'd ask you not to make the same mistakes of the previous generations of fans-but-not-business-people who have said things like "If only we had comics related movies, that will fix all of our problems!" or "Manga sales are going to solve all of our problems!" or "If only we were in bookstores, we'd solve all our problems!" or any of that. All of these theories have turned out to.... well, not be reality-based is the kindest way to put it.

Digital isn't a magic bullet, and virtually every person with an actual business involvement in the production and sales of comics understands this. Digital is magic dental floss.

-B

About Digital Comics

I've got a lot of stuff to catch up on today (and a misbehaving child who is making it harder to do so then I would like), and a phone interview with ComicGeekSpeak tonight, so I may not finish the reviews tonight. Still, trying the daily thing here, so must Feed the Beast. Veneta Rogers has one of her Talking Shop pieces for Newsarama up at http://forum.newsarama.com/showthread.php?t=103822, on the topic of Digital Comics. I was one of the people she emailed on the topic, but I wrote a statement, rathering than answering her bulleted questions, so I ended up mostly on the cutting room floor. Here's the entirety of what I wrote:

I'm fairly non-plussed, at this stage, about digital comics.

There are a couple of reasons for this:

1) Music, our primary source for "how will this impact us" analysis, is very different than reading. Music tends to be either something that is either a social function/lubricant or an activity that is done while doing something else (like, say, taking the bus, or studying or surfing the web). "Listening to music", I believe, in most cases for most people, most of the time, is a relatively "passive" activity -- most of the time you're not putting 100% of your focus ON the music, if you understand what I mean? This is not the case for "reading" (be it comics or prose) -- that's an "active" activity all of the time, and can really only be done alone. It makes sense for you to be able to carry 10k songs in your pocket. It makes less sense to have 10k comic books there.

2) Excluding a few audio-philes, the difference between an song playing on a MP3 over your computer's crappy speakers, or listening to a "tape" on your "Walkman", or playing a CD on your stereo is pretty much nil -- there's a portability between formats and the listening device, and so, naturally whichever format takes up the least space and costs the least will win.

The experience of "reading" is very different, and we're nowhere near the "portability" of music (or video, for that matter, though even that has a while to go) -- until there's a ubiquitous low-cost universal portable reader, I don't see the one we currently have (paper) being especially harmed. And even then I have my doubts.

(the corollary of that point is there's every reason to believe that digital "sampling" can lead to increased sales of physical objects)

3) Unlike prose, the physical presentation of content matters very much -- a comics page is usually designed as a unit, and the "timing" of the story depends on its physical space. Reading comics formatted for a comic's dimension is a wholly different experience on a computer screen. How successful would digital music have proven if you had to fiddle with the balance controls for each and every song?

I think digital comics are inevitable, but I don't think, at this stage, they should be feared by the quality DM retailer, because the disadvantages of the experience, portability, and presentation don't prove much of a "threat" to the physically printed object.

'cuz, y'see, right now this very second, you can get this week's comics, for 100% free, from the net, yet comic sales are on their 6th straight year of rise. Yes, there are some percentage of people who would like to switch to digital, but haven't done so for ethical reasons (yay, them!) or technology know-how ones, but I don't think they'll be statistically significant; and I think they'll be outnumbered by the new people we expose to the art form.

At least for stores that are "civilian-friendly", diversely stocked and focused, and are taste-makers rather than trend-followers.

-B