Case Study

Commercial Due Diligence — Indian Tech Book Publisher

Last updated: 11 Sep 2025 • ~6–7 min read

Snapshot

For an India‑based technology book publisher (print + digital), we conducted an end‑to‑end commercial due diligence to assess growth potential, defensibility, and value‑creation levers. The work spanned market sizing, competitive benchmarking, product & channel economics, author/rights dynamics, and institutional adoption pathways.

  • Bottom‑up market sizing across retail, institutional, and digital direct
  • Unit economics by format & channel; returns & working‑capital analysis
  • Rights/IP, author contracts, and catalogue risk heatmap
  • Customer/retailer interviews and cohort retention diagnostics

Investment Takeaways

  • Attractive niche TAM with stable academic tailwinds; cyclical retail risk manageable via institutional mix
  • Gross margin uplift potential via print‑run optimization and digital bundles
  • Working‑capital unlock through returns policy redesign and inventory turns
  • IP risk mitigations: contract templates, watermarking, piracy watch
Client confidential; findings generalized.

Objectives

  • Size the market by segment (retail/institutional/B2B2C/digital) and subject clusters
  • Benchmark competition—domestic & global tech‑publishing players and EdTech adjacencies
  • Assess product mix—print vs. e‑books vs. platforms, courseware, and ancillaries
  • Evaluate channels—distributors, online marketplaces, campus bookstores, D2C
  • Stress‑test unit economics—royalties, paper & print, discounts, logistics, returns
  • Identify red flags—IP leakage, concentration, dependency, catalogue obsolescence

Approach

Market & Competition
  • Triangulated TAM/SAM using ISBN data, channel panels, and institutional procurement calendars
  • Share‑of‑shelf & share‑of‑search benchmarking across top categories
  • Substitution risk mapping vs. MOOCs, bootcamps, and AI‑driven tools
Unit Economics & WC
  • Format economics: print runs, reprint thresholds, e‑book royalty ladders
  • Channel margins, returns % and inventory‑turn scenarios
  • Pricing bands by subject/certification; discount corridors
IP & Catalogue Health
  • Contract review: author/non‑compete, rights windows, digital rights
  • Piracy risk scan: torrent footprint, Telegram/Drive sweeps
  • Catalogue vitality: age curve, new‑title hit rate, long‑tail monetization
Voice of Customer
  • Interviews with retailers, faculty, students, and corporate L&D
  • NPS, repeat‑rate, and cohort‑level retention diagnostics
  • Propensity‑to‑adopt for bundles (print+digital) and certification‑aligned titles

Findings & Red Flags

  • Title concentration risk; mitigation via curated backlist revival
  • Seasonality exposure; institutional contracts smooth cash flows
  • Over‑discounting in marketplaces; enforce MAP and exclusive bundles
  • Weak rights tracking; implement centralized rights registry
  • Returns leakage; redesign policy and raise forecast accuracy
  • Under‑leveraged digital catalogue; launch B2B campus licensing

Investment Thesis & 100‑Day Plan

Thesis
  • Defensible niche with sticky institutional demand
  • Margin expansion via mix shift and print‑run discipline
  • Digital licensing and bundles unlock incremental ARR
First 100 Days
  • Rights clean‑up + piracy watch; standardize author contracts
  • Returns reduction sprint; S&OP cadence; demand planning
  • Pilot campus licensing & corporate bundles

Key Deliverables

  • Market Sizing & Growth Outlook (by segment & subject)
  • Competitive Benchmarking & Pricing Corridors
  • Unit Economics Model & Working‑Capital Analysis
  • Voice‑of‑Customer Summary & NPS/Cohort Metrics
  • Red Flags Register & Mitigation Plan
  • 100‑Day Value Creation Plan