The Canadian market can provide publishers large and small with a significant outlet for books. But before entering the marketplace, there are a range of issues to consider. Executives from two of Canada's best known distributors—Kevin Williams, president of Publishers Group Canada, and Wilf Clarke, v-p of sales for H.B. Fenn—provide some advice on what publishers need to ask themselves before trying to crack the Canadian marketplace.
Are You Big Enough? Financial strength is key. American publishers need to budget the cost of inventory shipped to Canada, the cost of freight to Canada, the distribution charge and appropriate expenditure for co-op advertising, Williams said, noting that the largest charge will be for inventory. Small publishers also must have an ongoing publishing program that produces some titles with Canadian appeal.
How Big Is the Market? A reasonable approximation is that the Canadian market for English-language books is 7%—8% the size of the U.S. market. In addition, publishers need to know that the breadth of titles in Canadian bookstores may be greater than that of a U.S. store since Canada receives English-language books from all over the British Commonwealth.
What Type of Distributor? Although some distributors claim to be able to sell books in all categories, publishers should check with retailers in the sales channels they want to penetrate to find out who are the strongest distributors for their type of books. The size of the book list a publisher is looking to distribute is also an important factor in selecting a distributor. According to Clarke, a publisher with a list of 8 to 10 strong potential sellers may be better suited to a distributor that makes use of independent sales agents, while a publisher with an extensive backlist would be better off finding a distributor with an in-house sales force. The difference between the two approaches comes down to how the sales forces are compensated for selling books.
Publishers that sell books combined with nonbook products need to find a distributor who knows how to handle cross-border customs brokerage.
What Are Some Common Mistakes? Going direct to booksellers is usually not practical. Clarke noted that while selling direct may work in some cases, most buyers will direct the U.S. publishers to Canadian book distributors.
Just as in the U.S., a lack of marketing support will kill sales in Canada. Williams stresses that publishers need to prepare advertising and publicity programs geared to Canadian readers for titles sold in Canada.
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