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GAME to outsource sales function for smaller titles

Part of firm's efforts to streamline and increase profitability

UPDATE: GamesIndustry.biz has received information that reveals U&I Entertainment will handle smaller products for GAME Digital.

U&I will be familiar to games publishers working in the US, as the firm supplies titles to Best Buy, Target and Wal-mart. It has had a presence in the UK since 2012. The firm promises a 'continuity of service' between publishers and GAME, with former GAME account manager Mandip Bhachoo leading UK operations - he had previously spent 11 years working at the retailer.

Original Story: Publishers of smaller and niche games will need to go through a third-party business when dealing with GAME.

The UK retailer will now only handle larger triple-A titles, such as FIFA, Call of Duty and Watch Dogs, internally. The move is so GAME can focus its efforts on the more profitable areas of its business, namely the big triple-A launches, which tend to include midnight openings, marketing activity and add-on sales through merchandise.

It is all part of the firm's efforts to improve the profitability of its retail business, whilst simultaneously growing and expanding its marketing and events activity.

Publishers of more niche products can still get their products into GAME, but will need to go through a sales business whose primary aim is to buy and sell products on behalf of the retailer. There will naturally be some concerns over how this might impact the margin of these games, as the new company will also take a small cut from the sale.

GAME says that it remains committed to supporting companies from across the industry. A spokesperson told Gamesindustry.biz: "GAME is fully committed to supporting all its publishing and development partners no matter what the size. We are constantly striving to reach the right balance in deals across all products we offer, be they digital or physical."

The move follows disappointing financial results for GAME, where its profit falling by 81 percent year-on-year.

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Latest comments (2)

Simon Cowley Sales Manager Europe, NCsoft WestA year ago
Based on what was discussed at the recent partner update, I am not surprised. However having repped a number of smaller and breakthrough titles in the past, this does make me sad. This is just another hurdle to overcome . Rather reminds me of trying to get through EUK to get into Woolworths...
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@Simon Cowley: EUK was the comparison that was made to me. Apparently this model is relatively normal in the US.
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