THQ is one of the world's leading developers and publishers of interactive entertainment software. The company develops products for all popular game systems, personal computers and wireless devices. Headquartered in Los Angeles County, California, THQ sells products through its global network of offices located in North America, Europe and Asia Pacific. In the United Kingdom, THQ is based in Woking in Surrey.
Video games are typically sold on a sale-or-return basis - stock on the shelves when sales begin to diminish at the end of the game's natural sales curve is returned to the publisher, and the retailer receives a credit. If this buyback risk is not managed well, it can seriously defray the profitability of a given title. Conversely, if shops do not have stock when and where in their chain it is required, sales opportunities can be missed.
Games have a short first-run lifespan, though they are subsequently re-released, made available on budget labels and bundled. But each game performs slightly different to every other. Some have a slightly longer tail, some a shorter but more successful one. The truly great games sell well and for a long time, but these are all too rare.
THQ wanted a system that would enable them to better manage their current stock position, and their buyback risk.
eleventeenth deployed Analytics DLM for THQ. Initialy in the United Kingdom, where it was deemed to be a great success for them, optimising the reporting process, and reducing the time taken to produce the vital and time sensitive reports.
As a result, THQ deployed Analytics DLM in France, Benelux and the Nordic territories. As the product continued to deliver savings for them, they rolled it into Italy, and began to evaluate it for other regions.
THQ and eleventeenth worked together to increase the value of the product and its reports to the fincance department of the orgainsation by implementing stock value reporting.