Bookspan Adds Packaged Goods to Its Mix

by Jim Milliot -- Publishers Weekly, 4/4/2005

Bookspan, looking to fill excess capacity in its distribution facilities and generate incremental revenue, will provide direct-to-consumer fulfillment services to third-party clients in and out of book publishing. To facilitate its move into third-party work, Bookspan has formed a wholly-owned subsidiary, York Enterprise Services. Barry MacMullen, a v-p with Bookspan who will be involved with York, said York now has about nine clients, most in the packaged goods field. He noted, "We expect to grow over time. We have quite a bit of capacity at our disposal."

In a deal struck last December, Bookspan, in conjunction with the data processing firm BMI Fulfillment Services, took over the shipments to book club members for Dorchester Publishing.

Before the deal with Bookspan, Dorchester, which has five book clubs, had been having its printer, Offset Paperback Manufacturers, ship books to members. The move to Bookspan, said Diane Stacy, director of book clubs for Dorchester, has reduced costs by about 15%, and cut delivery time from more than three weeks to four to five days. OPM, which, like Bookspan is owned by Bertelsmann, is still handling shipments to Dorchester's trade accounts and to non-book club direct-to-consumer customers.