'This is very much our time': Naperville-based Sourcebooks keeps growing as one of nation's top book publishers

Sourcebooks recently celebrated its first book to debut at the top of a New York Times bestsellers list.

It's the latest example of the Naperville-based publishing company defying expectations by making major waves in an increasingly competitive industry.

For company founder and CEO Dominique Raccah, it's part of the journey that began in 1987 when she quit her high-powered advertising job with Leo Burnett, cashed in $17,000 from a 401(k) fund and started Sourcebooks out of a bedroom in her Naperville home.

Today, with a vast and increasing number of imprints, Sourcebooks has blossomed into the nation's seventh-largest publisher and the largest in North America run by a woman. Whether it's through romance, nonfiction, young adult or children's books, Sourcebooks perseveres with a laser focus on its mission and intensive data research to maintain the pulse of what people want to read.

"The goal is mission, not expansion," Raccah said. "Our expansion, in a way, is tied to the change we want to see in the world. Whether we're talking about the (Black, Indigenous and people of color) editorial training program, or the banned book initiatives or Pride initiatives, we're a mission-based organization.

"This is very much our time," she said.

There were numerous obstacles to overcome through the years. Many experts believed a Naperville publishing company couldn't compete with the powerful New York City publishers. Or they said a niche publisher couldn't survive in an industry of blockbusters.

And, of course, there was the anticipated demise of the printed product that was poised to doom the industry in general.

Through all the challenges, including Raccah not taking a salary for the first three years, Sourcebooks never wavered.

In 1997, Publishers Weekly named Sourcebooks one of the 10 fastest-growing small publishers in the country. And it just keeps growing.

It's grown so much, in fact, that Sourcebooks no longer qualifies as a small publisher. It's now thriving against the industry's top publishers.

The company's unofficial motto is "Books. Change. Lives." In many ways, though, Sourcebooks has changed the industry through its growth in the face of industry contraction and its commitment to diverse voices and underserved book lovers from a Midwestern base of operations.

"As a small, independent publisher, all the conventional wisdom says be a niche publisher," said Todd Stocke, senior vice president and editorial director at Sourcebooks. "Do great books in that one space. And that was not our point of view. We have pretty broad interests in what we want to do.

"The industry isn't set up to welcome you with open arms in a category you've never published in before," he said. "We went through those initial years of struggles with some wins and lots of failures."

Thirty-five years ago, Sourcebooks started out by publishing finance books. But the company soon expanded into new spaces and found success with children's books as well as adult and young adult fiction books.

Sourcebooks now has two books on The New York Times bestseller lists, Gregory E. Lang's "Why a Daughter Needs a Dad," and Laura Nowlin's "If He Had Been with Me."

Among the other top authors under the Sourcebooks banner are E.L. James, known for the "Fifty Shades" series, and Lucy Score, whose romance novel "Things We Hide from the Light" was a New York Times bestseller.

Sourcebooks also is publishing Danielle Valentine's upcoming novel, "Delicate Condition," which will be the subject of the forthcoming season of "American Horror Story" on FX, starring Emma Roberts, Billie Lourd, Zachary Quinto and Kim Kardashian.

As Sourcebooks continues to expand - the company recently acquired Callisto Media, a leading nonfiction publisher - its profile flourishes and its increasing sales buck industry trends. The company, which has doubled in growth the last three years, now boasts more than 250 employees.

Sourcebooks sales were up 60% through May compared to the same point last year, while the rest of the industry was down 2%. Without adult fiction, the biggest seller, Sourcebooks is still up 15% while the industry is down 4%.

Sales have grown every year for Sourcebooks the last decade, with most years featuring double-digit percentage growth.

"It's been building blocks and a lot of big moves," said Heather Moore, senior director of marketing at Sourcebooks. "And I think our Midwest roots are deeply ingrained in who we are and the company we've built. We're really an outsider to the more traditional model, and I think not being in New York has allowed us to forge our own path."

Sourcebooks' growth isn't just due to online sales or influencers flashing books in Tik-Tok videos.

Stocke said a commitment to brick-and-mortar retail businesses also contributes to the company's success. While he acknowledges the difficulty in claiming limited shelf space in stores like Walmart and Target, Stocke said those efforts have made a big impact on the bottom line.

Licensing agreements with popular brands such as Sesame Street don't hurt, either.

But no matter how much Sourcebooks may grow, the company hasn't lost sight of its original mission. Raccah said Sourcebooks remains dedicated to highlighting diverse voices and maintaining its role as an industry disrupter.

"We're very good at bringing different people's stories to market and to life," Raccah said. "If we do that well, we can make a real difference."

Sourcebooks' mission also means staying based in Naperville. The company may have branches in New York City, Arizona and Connecticut, but Naperville is home.

"We're building the future of publishing," Raccah said. "And we're building it in Naperville."