Bankrupt Distributor Seeks to Liquidate Inventory Without Compensating Publishers
Gaming Industry

Bankrupt Distributor Seeks to Liquidate Inventory Without Compensating Publishers

A major disruption in the tabletop role-playing game (TTRPG) industry unfolds as Diamond Comic Distributors, now insolvent, requests authorization to sell its inventory, creating concern among publishers who may not receive payments.

A significant upheaval is shaking the physical print segment of the TTRPG sector, which was already facing troubles. Diamond Comic Distributors, a notable distributor, has declared bankruptcy, affecting its ability to service several major clients including DC Comics and Marvel.

After previously getting dropped by DC in 2020 and Marvel soon after, now Diamond intends to auction off its remaining stock, including products from Dungeons & Dragons and Pathfinder 2e. A motion filed earlier this week seeks permission for what it describes as the ‘sale of consigned inventory,’ effectively signaling that while those books may be sold at discounted rates to satisfy its debts, the publishers will not see any returns.

In a recent video update, the owner of Roll for Combat, Stephen Glicker, lamented about a potential loss, stating, “I spoke to my attorney, he looked it over, and his exact quote to me was ‘It’s not as bad as you think it is, it’s much worse.’” Additionally, he mentioned having $120,000 worth of products held by Diamond.

Mark Seifter of Roll for Initiative commented on the situation, affirming that while most of their products were not with Diamond, they could still feel the impact of this bankruptcy. Erik Mona, CCO of Paizo, stated succinctly, “We’ll be ok, but it’s a giant pain in the ass and blows our annual budget to sh*t.”

The TTRPG market seems to continue facing harsh realities with evolving business practices; many publishers are looking increasingly toward digital solutions to navigate economic challenges.

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