Upper Deck, one of the nation's largest sports card producers, is instituting a new distribution policy for its sports cards (entertainment cards, including CCGs, are not affected).  Starting in April, Upper Deck, through its Authorized Distributors and Hobby Direct channels, will only sell to brick and mortar hobby retail stores and those stores must sell 'to the end consumer only.'  Upper Deck is defining a hobby store as one that is open at least five days a week and does the majority of its business (more than 50%) at its physical location.

Upper Deck is attempting to build what it terms 'a normal, mature, functioning distribution model, with clearly defined 'wholesale' and 'retail' levels.'  Upper Deck is requiring its distributors to follow these guidelines for 60 days after the release of a particular product.  After the 60-day period they will be allowed to market the product as they see fit.

The new policy is obviously an attempt to eliminate the 'flipping' of cases by hobby retailers and to control the Internet-driven aftermarket for sports card releases.  If Upper Deck is able to overcome the legal, logistical, and oversight hurdles and implement its new policy, it will mark a major change in the way sports cards are sold.