Yeah D-Code games are an issue at my store too....
When I first started, we were to purge ALL D-Code games without question. Just make it work. We would set up sometimes two endcaps full of d-code games that would never sell, never go back on a return scan, never go on clearance. Problem there was that we would lose back endcaps needed for sales planners. Then we would have to combine two sales planners on one EC, which looked out of place half the time. Some of the games used to go back on return scans, or go salvage, but for some reason they stopped! Now they just sit there.
So last year I started using every inch of space in the game cases, because I wanted to set all sales planners to plannogram. Flexing double spaced games, seceond locations, other d-code spots, and we even set up a bunch of sidecaps. Problem there was then the sidecaps for the store were tied up. Finally our TL threw in the towel, and our ETL just gave us the go-ahead after Christmas to just backstock the majority of the D-code games and flex out as needed. We explained to him the situation, and he ok'd it. While it makes it a tad easier, it does make the detail report look like garbage, we have to sift through tons of 207 d-code to find the other depts. So annoying.
That back endcap where the Wii used to be? A bandaid IMHO.... not gonna solve the underlying issue.