Zondervan's distribution facility to close

Written by Eric Tiansay

Thursday, 12 May 2011 03:42 PM America/New_York

Zondervan's distribution facility in Grand Rapids Mich., will close next year after parent company HarperCollins announced today an expanded agreement with printing company RR Donnelley. Under the arrangement, Donnelley—the longtime printer for the majority of HarperCollins books—will now also fulfill and ship orders for new titles for the publisher and all of its divisions, including Zondervan. HarperCollins said that the new agreement—to be phased in this fall, resulting in closure of two of its four warehouses—will lower costs and increase the speed of products to the market.

The arrangement will shift Zondervan's fulfillment to Donnelley in July 2012, requiring closing its distribution facility and the elimination of 75 positions.

"This change, painful as it is as it affects members of the Zondervan family, is due to changing consumer buying habits and the growth in digital products," Scott Macdonald, Zondervan's new president and CEO, wrote in a letter sent to CBA and the Evangelical Christian Publishers Association.

"Be assured that this change does not signal trouble or instability for Zondervan," he added. "These changes are necessary for Zondervan to continue to remain relevant and compete in this ever-changing landscape. This will allow us to better focus Zondervan's people and financial resources on serving the Christian market with great products."

Macdonald noted that Donnelley has been Zondervan's longtime Bible printer, "so we know we are in good hands."

"We will devote significant time over the next 14 months to ensure that this is a smooth transition for our customers," he said. "The key contact points for our CBA customers, including sales and customer service, will not change. This strategic relationship will also enable us to achieve broader distribution and begin to print on demand to get products more quickly and cost-effectively into the hands of our customers."