Weldon Owen Reinvents Itself

News
Weldon Owen Reinvents Itself Roxane Farmanfarmaian -- 10/9/00 San Francisco-based packager Weldon Owen Publishing, known best for the glossy, richly illustrated books it produces for such retailers as Williams-Sonoma and the Nature Company, is in the process of expanding radically in several new directions. Last fall, under the leadership of Weldon Owen's new president, Terry Newell, who was hired in early 1999 from Time/Life Books, the publisher launched its own imprint, Fog City Books, with 28 titles. At the same time, it began providing content for Williams-Sonoma's Web site and for Cookies.com. This fall, it is launching an upscale lifestyle magazine, Williams-Sonoma Taste. Explained company co-founder John Owen, "We started off in 1984 as a co-edition packager in the U.S. and Europe. Ten years ago, we turned into a branded publisher, with our biggest customer being Williams-Sonoma. Now we've moved into a third phase--becoming a content provider. There simply are things you can't do in books, and I thought, why lose that section of the business?" The sea change at Weldon Owen began when Australia-based cofounder Kevin Weldon retired two years ago. To help buy out Weldon, Owen turned to Wells Fargo Equity Partners, which invested in a third of the company and encouraged him to think more aggressively. Owen now owns 50% of the company, and his four senior officers own the remainder. The bank's optimistic assessment of Weldon Owen proved well founded. Last year it had $20 million in revenues, and expects to grow 15%-20% this year. "We think we can double our business in the next three to four years based on both our book and magazine businesses," said Owen. Fueling the growth is the company's unwavering focus on merchandising, or "nailing the brand," as he put it. "We're as much about retailing as we are about publishing," he said. Fog City Press, Newell's brainchild, epitomizes this thinking. The 40 titles on its list are all pre-sold to mass merchants such as Borders, B&N, TJ Maxx and AMS, and none are returnable. "If a title in our catalogue is not ordered--or reordered--it d sn't get printed," said Newell. The titles are produced by two editors in the Sydney, Australia, office using content that Weldon Owen acquired for earlier branded publications. The material is drawn from a database that can search every reference, photo and subject source in the Weldon Owen backlist--which numbers 400 titles, many still in print--and the 100 new titles that come on line each year. Minimum print runs for Fog City titles are 20,000. "We have three criteria we look at when developing Fog City titles," said Newell. "What's marketable, what format works and what price point will sell." One series, The Little Guides, which includes among its 16 titles Cats, Sharks, Cookies and Dogs, already has 600,000 copies in print. All The Little Guides have also been produced as a co-editions for Time/Life U.K., and several titles have been released as co-editions for 5 Mile Press in Australia. Other bestsellers include a gardening encyclopedia series and (particularly popular in Europe) a large-format cooking series. Already Fog City acc0unts for 20% of company revenues, and is expected to reach 30% in the future. In tandem with publishing its own imprint, Weldon Owen has expanded its branded publishing, striking several strategic new partnerships this year. Branching out beyond Williams-Sonoma in the cooking area, it made a deal six months ago to do a Joy of Cookingseries (to be distributed by publishing partner S&S) with Ethan Becker (grandson of the books' original author, Irma Rombauer) . "We've taken content from the old editions, as well as from chapters in the Scribner archives that never made it to print," said Newell. The first four titles, each focusing on a specific culinary subject, such as All About Pasta, were released October 1. Six more books are in the works for 2001. Another high-profile partnership was inked last month with Anita Roddick of the Body Shop. "She was looking for a publishing partner that could extend the brand globally," said Owen. Already in production are two series to launch in fall 2001: palm-size body care guides with simple titles such as Face and Body, and a hip spiral-bound set with gatefold pages entitled, for example, Makeup and Massage. Eight titles are being published in the first two seasons, to coincide with the Body Shop's 25th anniversary, and will be sold throughout the 1,800-store network. Also debuting in the third quarter of 2001 will be the Pottery Barn Design Library, a collection of eight titles in the first two seasons. Owned by Williams-Sonoma, Pottery Barn will now start carrying its own books in its stores. To undertake its various new projects, Weldon Owen has expanded its staff by 20 over the last 16 months, to more than 60, including 45 in the San Francisco office and 15 in Sydney. More than 150 freelancers also contribute. A European sales office opened in London this month, headed by Vanessa Mori, previously of Bertelsmann Spain and Dorling Kindersley. International sales now account for 40% of Weldon Owen's business. The company is planning to launch a new Williams-Sonoma series in fall 2001 to replace the bestselling Kitchen Library, which has sold more than 7.5 million copies since '92. It is also seeking a new publishing partner. "We've sold over 12 million Williams-Sonoma books," said Owen. "We're looking for a publishing partner focused on getting this line out to the widest possible market." Launching Williams-Sonoma Taste magazine has also been a leap. Aided by veteran magazine publisher John Brown Publishing in London, which came in as a 50% partner in the U.K., Owen took on the role of publisher and ad sales director, having handed over much of Weldon Owen's book business to Newell. Owen hopes to expand the new division, Weldon Owen Magazines Inc., to do at least three titles after William-Sonoma Taste is comfortably launched (first issue due out October 23). Meanwhile, according to Newell, there's significant opportunity in the educational area. "We've realized our educational sales and children's reference are growing considerably, so we're considering more emphasis on that, and even making it a separate division," he said. In conjunction with branding partner Gymboree, the house is publishing two trade paperback parenting guides this fall. And in partnership with Shortland Publishing of New Zealand, it produced 36 children's titles last year and is committed to doing 24 more by the spring of 2001.

News

Weldon Owen Reinvents Itself
Roxane Farmanfarmaian -- 10/9/00

San Francisco-based packager Weldon Owen Publishing, known best for the glossy, richly illustrated books it produces for such retailers as Williams-Sonoma and the Nature Company, is in the process of expanding radically in several new directions.

Last fall, under the leadership of Weldon Owen's new president, Terry Newell, who was hired in early 1999 from Time/Life Books, the publisher launched its own imprint, Fog City Books, with 28 titles. At the same time, it began providing content for Williams-Sonoma's Web site and for Cookies.com. This fall, it is launching an upscale lifestyle magazine, Williams-Sonoma Taste. Explained company co-founder John Owen, "We started off in 1984 as a co-edition packager in the U.S. and Europe. Ten years ago, we turned into a branded publisher, with our biggest customer being Williams-Sonoma. Now we've moved into a third phase--becoming a content provider. There simply are things you can't do in books, and I thought, why lose that section of the business?"

The sea change at Weldon Owen began when Australia-based cofounder Kevin Weldon retired two years ago. To help buy out Weldon, Owen turned to Wells Fargo Equity Partners, which invested in a third of the company and encouraged him to think more aggressively. Owen now owns 50% of the company, and his four senior officers own the remainder.

The bank's optimistic assessment of Weldon Owen proved well founded. Last year it had $20 million in revenues, and expects to grow 15%-20% this year. "We think we can double our business in the next three to four years based on both our book and magazine businesses," said Owen. Fueling the growth is the company's unwavering focus on merchandising, or "nailing the brand," as he put it. "We're as much about retailing as we are about publishing," he said.

Fog City Press, Newell's brainchild, epitomizes this thinking. The 40 titles on its list are all pre-sold to mass merchants such as Borders, B&N, TJ Maxx and AMS, and none are returnable. "If a title in our catalogue is not ordered--or reordered--it d sn't get printed," said Newell. The titles are produced by two editors in the Sydney, Australia, office using content that Weldon Owen acquired for earlier branded publications. The material is drawn from a database that can search every reference, photo and subject source in the Weldon Owen backlist--which numbers 400 titles, many still in print--and the 100 new titles that come on line each year. Minimum print runs for Fog City titles are 20,000.

"We have three criteria we look at when developing Fog City titles," said Newell. "What's marketable, what format works and what price point will sell." One series, The Little Guides, which includes among its 16 titles Cats, Sharks, Cookies and Dogs, already has 600,000 copies in print. All The Little Guides have also been produced as a co-editions for Time/Life U.K., and several titles have been released as co-editions for 5 Mile Press in Australia. Other bestsellers include a gardening encyclopedia series and (particularly popular in Europe) a large-format cooking series. Already Fog City acc0unts for 20% of company revenues, and is expected to reach 30% in the future.

In tandem with publishing its own imprint, Weldon Owen has expanded its branded publishing, striking several strategic new partnerships this year. Branching out beyond Williams-Sonoma in the cooking area, it made a deal six months ago to do a Joy of Cookingseries (to be distributed by publishing partner S&S) with Ethan Becker (grandson of the books' original author, Irma Rombauer) . "We've taken content from the old editions, as well as from chapters in the Scribner archives that never made it to print," said Newell. The first four titles, each focusing on a specific culinary subject, such as All About Pasta, were released October 1. Six more books are in the works for 2001. Another high-profile partnership was inked last month with Anita Roddick of the Body Shop. "She was looking for a publishing partner that could extend the brand globally," said Owen. Already in production are two series to launch in fall 2001: palm-size body care guides with simple titles such as Face and Body, and a hip spiral-bound set with gatefold pages entitled, for example, Makeup and Massage. Eight titles are being published in the first two seasons, to coincide with the Body Shop's 25th anniversary, and will be sold throughout the 1,800-store network.

Also debuting in the third quarter of 2001 will be the Pottery Barn Design Library, a collection of eight titles in the first two seasons. Owned by Williams-Sonoma, Pottery Barn will now start carrying its own books in its stores.

To undertake its various new projects, Weldon Owen has expanded its staff by 20 over the last 16 months, to more than 60, including 45 in the San Francisco office and 15 in Sydney. More than 150 freelancers also contribute. A European sales office opened in London this month, headed by Vanessa Mori, previously of Bertelsmann Spain and Dorling Kindersley. International sales now account for 40% of Weldon Owen's business.

The company is planning to launch a new Williams-Sonoma series in fall 2001 to replace the bestselling Kitchen Library, which has sold more than 7.5 million copies since '92. It is also seeking a new publishing partner. "We've sold over 12 million Williams-Sonoma books," said Owen. "We're looking for a publishing partner focused on getting this line out to the widest possible market."

Launching Williams-Sonoma Taste magazine has also been a leap. Aided by veteran magazine publisher John Brown Publishing in London, which came in as a 50% partner in the U.K., Owen took on the role of publisher and ad sales director, having handed over much of Weldon Owen's book business to Newell.

Owen hopes to expand the new division, Weldon Owen Magazines Inc., to do at least three titles after William-Sonoma Taste is comfortably launched (first issue due out October 23). Meanwhile, according to Newell, there's significant opportunity in the educational area. "We've realized our educational sales and children's reference are growing considerably, so we're considering more emphasis on that, and even making it a separate division," he said. In conjunction with branding partner Gymboree, the house is publishing two trade paperback parenting guides this fall. And in partnership with Shortland Publishing of New Zealand, it produced 36 children's titles last year and is committed to doing 24 more by the spring of 2001.