The Microcosm Publishing 2018 Money Report (with pictures!)
Happy new year!
This is the week! After eight years with a trade distributor we have returned to distributing our books independently in the U.S. We hear from people almost every week that our books are saving their lives, and we feel that we have an obligation to extend that as far and wide as possible. Few events in the history of Microcosm have improved our morale and brought our staff together like this has.
The stress relief as we counted down the days until we were free was worth it alone! And the proof is in the pudding—we’ve had to lay the groundwork for this for the past 18 months. Sales were up 24% in 2018 over 2017, making this, once again, Microcosm’s best year ever. Advance shipments for 2019 are already up 600% by doing it ourselves. It’s been a wild ride.
We constantly get really wonderful feedback on Microcosm’s reborn independence and it seems to be really inspiring to other independent publishers and bookstores. Speaking of, there are 38% more indie bookstores than there were ten years ago! They are also each selling an average of 34% more books!
We took our staff from 12 to 14 in 2018 and experienced many growing pains. We expanded both our warehouse and our offices so everyone has a bit more space and we added several additional storage buildings. Nate Beaty (who will have been with Microcosm for 18 years this July) finished our new software so that we can use our existing database to send our book data to everyone who wants it. This has been a ton of fun and a ton of work to do. Our big surprise for next year is that we hope to be ready to package the software that we have made and hopefully revolutionize our fellow publishers and help give other independents a fighting chance in our industry.
In the past year, we’ve published 29 new books and 52 new zines as well as adding over 1,000 titles to our distribution catalog (which we were intending to completely dismantle in 2016 in favor of publishing). The sharp increase in witchcraft books continues and we are continuing to focus primarily on gift and specialty accounts.
Instead of our previous Dinner & Bikes tours, we now focus on attending conferences and events in other cities and having more time at home. Which is a good thing, because our publishing schedule is filling up through 2025 and we finalize Fall 2019 covers this week.
We sold about 218,500 books last year; that’s about 600 per day!
Here’s a breakdown of some math about our year, with handy charts created by our WorkingLit software:
Our total income for the year was $947,142.77 Here’s what we’re selling:
Here are our bestsellers, by profitability:
And here’s our distributed bestsellers, by net income:
And here are our expenses, totaling $946.292.41. We are again able to afford to finance our own growth and have increased employee wages, with four more people receiving raises this month.
Here’s each month in 2018 compared to 2017:
And a friendly reminder: While we’re legally a “for-profit” organization, we choose to operate on a break-even basis. This means that when we have profits (which isn’t all the time, but we try), they don’t go into our owners’ yacht fund; they go into staff wages and taking a chance on publishing new books we believe in. Getting to do work we care about every day and put books out there that help people change their lives is way better than a yacht. Which is an important attitude to have in the publishing industry!