Comic and Game Store Franchises
by Wayne Cole

In this day and age it seems like there is a franchise for everything.  Coffee, food, and even crafts have their own franchises.  The small business seems to be getting pushed out of the spotlight by larger chains that are able to buy merchandise at a much larger volume for discounts.  Regardless of whether this is a good thing or a bad thing, it does allow people to know what to expect when walking into a store.  If someone is looking for food while traveling they know that they can find a McDonalds, and it will have food of a certain quality.  So why is it then that Comic book and Role-playing Game stores don’t seem to be franchising?

There are a few franchises out there, but they seem to be the exception that proves the rule.  In each case the franchise is a regional store, and the region rarely extends past the county or city.  These are not true franchises, because they are typically owned by the same individual.  Everywhere this occurs, these stores seem to do better and last longer than the stand alone competition.  I’m not entirely convinced this is due solely to name recognition though.

Comic Book and Game stores are typically opened by fans that have a passion for the hobby.  They want to make their hobby their career, so they take out loans or use their own collection to help fill their shelves.  This is the passion that drives the business forward, and in many cases that alone keeps the shop open.  The problem is that passion is not business sense.  The typical shop owner has motivation and many of the qualities needed to run a business.  That doesn’t necessarily mean that they know how to set up displays, advertise, or handle the finances of a business.

Comic and game stores typically look horrible.  They typically look like a college dorm room exploded inside a strip mall.  Posters wallpaper the room and cover the windows.  Displays typically are poorly lit and there is little to no striping.  This is partially due to the small order sizes, but also due to a lack of experience.  Expensive collectible items that likely will never sell are hung all over the store.  The general atmosphere just does not look like a serious business and thus people outside of the hobby are less likely to feel comfortable coming into the store.

Comic shop owners eventually need to hire employees.  The shop owners typically look to friends or customers for this role.  They think that others with a passion for the subject will be able to talk intelligently about it and won’t mind the slow periods because they can read.  The problem there is that these are not salesmen.  They don’t have any form of training to teach them how to treat costumers with respect or to try and upsell without being pushy.  More often than not they simply ignore the customer or drive them from the store with high pressure sales techniques.  At worst they are paid in merchandise that would have been bought by customers but they held aside for themselves.

There is a very small markup to this merchandise and a market that is gradually shrinking.   This leads to even someone with a strong business sense and a good crew not making much profit.  Successful shop owners can make a good living, but that isn’t enough to be able to afford opening a second or third shop, let alone building a franchise.  The few franchises that do exist I strongly feel do so due to their owners having a better business sense than many others.  That is not to say that some owners don’t have an excellent business sense and are just satisfied with a single shop.

There is a great potential for a comic\game store franchise, but the steps needed to create mass appeal are the very things that could drive away existing customers.  These are niche markets and part of the appeal of going into shops is their atmosphere.  While that atmosphere may prevent new customers it also provides the money needed to keep a shop running.  It doesn’t matter how many customers you pull into your store if they are not going to spend money.

What I do know is that I have searched out a comic shop in almost every town I have visited, and they are typically difficult to find.  You never know what you are going to get until you get there.  Some shops have custom made fixtures and work on providing a very professional appearance.  Others I wouldn’t want to touch the counter without disinfectant.   It would be nice to know, but since I already have a pull list it is this mystery of what I could find that drives me to the stores.  I have seen a number of stores over the years that have not fallen prey to these common business shortcomings.  Only time will tell though if these shops last longer than their more typical counterparts.