Posted in: Comics | Tagged: 3.99, avengers movie, Lying In The Gutters, marvel, Marvel Studios

Marvel's John Turitzin On Price Increases "To Maximise Our Profits"

Marvel just looking to maximise profits.

Published Mon, 01 Jun 2009 04:04:19 -0500

by Rich Johnston

Last updated Mon, 01 Jun 2026 05:55:01 -0500

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Article Summary

Marvel executive John Turitzin says Marvel raises comic prices to test demand and maximise profits without losing fans.
Marvel told investors comic pricing is based on inelastic demand, with some readers paying more while sales hold steady.
Turitzin suggested Marvel could lower comic prices if sales drop enough to show current pricing is hurting revenue.
Marvel’s $3.99 strategy contrasts with editorial claims that higher comic prices are driven mainly by rising costs.

(Welcome Guardian readers – check out other Marvel/Disney coverage here, here and here!)

Last Thursday, Marvel's General Counsel and Executive Vice President to the Executive Office, John Turitzin, told a financial audience that the price increase on a number of Marvel titles from $2.99 to $3.99 is part of an ongoing process of testing just how much money they can make from publishing comics. And they believe enough Marvel fans will pay the increased prices. But if they don't, those prices will come down. This is a different message from those made by Marvel editorial staff that blame moving some titles from $2.99 to $3.99 as purely due to increased operating costs.

At the time, I tried to show how the prices of comics have spiralled above the level of inflation in recent years, and pointed out the attractiveness of the inelasticity of comics – not so much the paper stock, which tends to rip – but the fact that sales do not go down at the same rate that prices rise. A 50% price increase may only lose 25% of customers, leading to a higher net profit. John Turitzin, one of the three main bosses at Marvel, spoke at the Cowen & Company Technology Media & Telecom Conference, talking about the performance of the company and telling people that "our company is a cash machine".

In a question and answer session at the end, fund manager Jason Wood noted that despite price increases on a number of titles, they expect publishing revenue to remain the same and asked how much Marvel views demand for their comics as inelastic – that they will sell fewer issues (with the reduced costs that brings) but will bring in the same amount of money. Turitzin stated, "We're always testing our pricing on our comic books to see the extent to which we can, you know, it is inelastic, and we can increase our profit in that business… We sell comics at different price points, we sell more popular comics at higher price points, we sell other ones at lower price points, we differentiate in pricing in that way, some of our comics aimed at kids, Marvel Adventures line is a lower priced line. We're just looking to maximise our profits for business. without alienating our own fanbase without making them feel that they're gouged which I hope you don't feel."

Turitzin did state, however, that if sales did drop off below acceptable levels, they would have to reconsider the price increases. "Our goal is to maximise our revenue, and if we're not maximising our revenue, then our pricing is wrong, and we have to take a look at that. So you can hope that we see that attrition and our prices come down." However, with Marvel's top-selling books surviving the $3.99 price point nicely, that doesn't seem to be an issue right now. Turitzi also passed along news that Marvel plans a second Marvel Studios film in 2012, as well as the planned AVENGERS movie, and aims to make two movies a year.

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