The effects of one independent bookstore closing are felt throughout the delicate ecosystem of publishing, and independent reps are bellwethers for what’s in store for the rest of the industry. When Publishing Trends checked in with commission reps three years ago (see PT Nov 04), the prevailing mood could be called reservedly optimistic. Since then, even with the recent spate of legendary independent store closings across the country, consolidation across the board, and an aging rep demographic, the mood, style, and MO haven’t changed all that much. By and large, the publishing industry and independent reps themselves are both eager to discuss the recent changes afoot, but not ready to succumb to them. “I’m not at all negative about the business; it’s changing all the time and you must adapt,” said Eric Miller, a 20 year veteran who, with his brother, Bruce, runs Miller Trade Book Marketing in the Midwest. “Reps are great whiners.” Others, like Dan Fallon who’s been with the Rovers Group for 15 years, is jovially incredulous at the staying power of indy reps. “It’s hard to believe we’re still here,” he commented. “I’m completely mystified. It’s great to even have a future to peer into at this point.”
Passing on What Torch? To Whom?
In what used to be a business where reps handed down an account relationship carefully cultivated over decades to an appointed heir, these days, the heirs aren’t quite apparent. “It’s harder to find younger people who want to go into the business. I don’t see that happening as much. The commission population is aging,” said Fallon who thinks most reps seem to be at least 45. Angie Smits of Southern Territory Associates thinks she’s the youngest of the breed at 42 and if she had to replace a rep in her group, she’d be at a loss to know where to find one, but probably from the bookselling side. For the rep on the brink of retirement, doling out a few lines to another group is turning out to be a viable way of selling off an intangible business. “Dedicated New England reps are an endangered species,” said Michael Watson of Watson and Woodward in New England. “I’ve been approached by Mid Atlantic reps [to share the territory]. Whether it’s formalized with a subcontract or informal, it’s happening more and more.”
Indeed, the Rovers Group took on a few publishers from Frank Moster (Melman-Moster Associates) and Steve Williamson (New England Book Reps) in New England this year, but consolidation, such as the merger of Fuji and Heinecken, two major Midwest groups, and the consolidation at Tony Proe’s Empire Group is a new phenomenon. “I think consolidation will happen a lot more in the future. It follows from the consolidation in the publishing and distribution industries,” commented Fallon. “It’s good for people like us as it gives more access to publishers. Though it also makes some companies viable and some not at all. For us, it’s important.”
However, not everyone is thrilled about consolidation, especially booksellers who have developed longstanding relationships with their commission reps, and quiet protests pop up across the country. “There are some booksellers who, of course, buy from whoever is selling what they need, but who grumble about the groups being from outside the territory,” said Nanci McCrackin of McCrackin & Friends in New England. “One prominent bookseller claims he restricts his buys to a few lines from those fellows to make his point.” But it looks like booksellers will have to get used to being pitched to in a different accent.
Weeds of the Northeast
What else can be done to stay afloat? The Parson Weems Group in New England/ Mid Atlantic has developed a robust client list of university presses. Their regional SKUs, such as the perennial bestseller Weeds of the Northeast from Cornell University Press, backlist strongly, commented Chris Kerr. Children’s picture books that need an in person presentation also work to the commission rep’s advantage. And Parson Weems isn’t the only group to go academic, regional, and juvenile. Smits, of Southern Territory Associates, along with just about everyone else, reported a ramping up of these categories too. She reps the University of North Carolina Press and one of her accounts, Quail Ridge in Raleigh said their Encyclopedia of North Carolina “saved their year.”
Before (and if) merging becomes inevitable, some independent reps are finding other strategies to cope with changes. “Our approach is to stay the right size and increase our business by working closely with our clients and to help them grow with their publishing and distributing,” commented Stu Abraham of Abraham Associates, Inc. in the Midwest who’s been in the business for almost 30 years. Miller Trade has taken on a more active role in marketing, setting up “mini-trade shows” in key cities in its territory. In Traverse City and Lansing, Miller invited regional authors they rep to give readings and sign books. He and his brother also started a blog (www.millertrade.blogspot.com) where they feature “picks of the lists” and comment on the industry. “It’s a good way to expand our customer base,” said Miller. “One rep group can’t have all the lines or there will be fall-out. Different groups fit differently with accounts.”
Out West, the thriving museum store market just might save the commission rep. “We couldn’t survive without them,” reported Howard Karel of the San Francisco-based Karel/Dutton Group who makes the rounds to the Seattle Asian Museum, De Jonge, and San Francisco MoMA. Karel also partially reps Globe Pequot, sharing territory with GP house reps who peddle their books from vans to all manner of accounts.
Publishers Respond
At the end of 2005, Simon & Schuster’s response to the shrinking retail market was to reorganize their field sales rep force and combine adult and juvenile teams. Claimed as a way of avoiding similar layoffs at other publishers (such as Random House), the shake-up resulted in replacing commission groups with all in-house field reps to handle non-traditional accounts. The newly re-trained S&S group sells only books, a novelty to specialty store buyers used to picking up ashtrays, tchochkes, and picture books from the same rep. “Expanding past traditional markets gave reps more to do,” said Frank Fochetta, VP, Director of Field and Special Sales. “We might be missing opportunities at very small specialty stores, but we’re growing in the middle area. We’re opening fewer accounts, but the average dollar is higher.” He reported S&S is up 15-20% in non-traditional, non-bookstore accounts.
Compare with Globe Pequot which has also been moving toward a multi-focused in-house team over the past few years, calling on various accounts with their camping, travel, and outdoor lines. However, Chris Grimm, Director of Field and Specialty Sales, said he would not dream of disbanding his network of commission sales groups which have proven invaluable.
Shuffling the rep deck isn’t the best way to a healthy bottom line for every publisher. Matty Goldberg, Group VP and Director of Sales at Perseus, doesn’t think a multi-tasking in-house force alone could work for their list, saying it wouldn’t provide enough coverage to satisfy their distribution clients. With the recent mélange at Perseus Distribution Services (which now, of course, includes the varied lists of PGW, CDS, and Consortium), careful attention had to be paid to what kinds of reps would work best for which lines. Sabrina Bracco, VP Client Services at PDS, tried to bring on as many of the PGW sales force as possible which meant commission reps lost out again.
But Julie Schaper, President and COO at sister company Consortium responded to her publisher clients who begged not to be deprived of the commission reps who’d spent years selling their literary fiction and poetry collections in face-to-face meetings. “We still think [independent reps] are the best bang for the buck,” she commented. “Obviously you get more control with house reps, but the Consortium list can be a challenge. It’s very eclectic and you can’t explain these titles in one line. Independent reps have the ability to put in more time and effort.” She’s not ready to change at the moment, but the bottom line will always be how to best benefit their publisher clients.
For independent reps, and not just those who work with Consortium, Schaper’s dedication even after the PGW/Perseus merger is a welcome vote of confidence.