The Trouble With Kobolds And White Knights
Here is a great email that I wanted to share with you. My server isn't the only one infested with the Kobolds I talked about in my recent post: Are you a true Goblin or just a lowly Kobold? This reader has problems with a special breed of Kobold, the "White Knight". She also submitted the above screenshot of her TSM posting page for Glyphs. Yuck!
"I Farmed It Myself, So It Is Free!"
The flawed logic of "I farmed it, so it's free" is perhaps the most adopted and most foolish of all auction house gold making strategies in WoW. Any activity, including farming, requires a time investment. That time could be spent elsewhere making gold or performing other activities that reward more gold per hour. So farming is not truely free as it takes up time that you could be using to make gold directly. Anyone can make gold on the auction houses, but new gold makers often don't understand where to start making gold on the WoW auction house.
Another common problem with the "I farmed it, so it is free" philosophy is that these believers often post crafted items for below the price of the materials on the auction house. This leads to the opportunity to snatch up these poorly priced goods, as this reader also mentioned, but when the volume of items posted gets too vast, you may have a hard time buying them up before the next kobold comes along and does the same thing. Granted, you can continue to stock up on cheap items to flip, but storage space can start to become an issue. If the undercutting and posting for dirt cheap problem continues for too long without a price rebound, then you could be stuck with a large volume of inventory to hang onto while you pray for a market price rebound. If they do decide to bring in Cross Realm Auction Houses, then it's only going to get even worse than it is now.
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| Attack of the Undercutting Kobolds |
Hey Cold,
After reading your rant on kobolds last week, I thought you'd get a
kick out of this screenshot I took this morning.
The kobolds on our server are rampant... and they seem to be breeding.
We have people who think their time spent farming means the herbs are
free. We have "white knights" who think no one should have to pay
more than 20g for a glyph, and post accordingly. These "white
knights" also proclaim loudly and frequently in trade that they've
just posted "a bunch of glyphs for cheap - because I'm not a horrible
person". It's mind-boggling.
This is just the first page of the auctions that were below my
threshold, which, admittedly, is pretty low at 30g.
I've been trying to push them out. With the advent of CRZ, the supply
of herbs has been drying up, so I've been hovering over it buying up
herbs and trying to make sure that you can't create any glyph for less
than 6g per ink. It doesn't matter; they craft and post them at these
prices anyway. I've been buying up these low-priced glyphs and
resetting the prices - at least 5 different glyphs per day, but
sometimes 10. The price reset only lasts until the next kobold or
white knight gets online. They'll see a glyph posted at 200g and post
theirs for 30g. /facedesk
I've tried communicating with them, trying to explain how farmed herbs
aren't free; how you don't have to undercut someone by 30g just to
have your glyph sell next... all to no avail. I've been told I'm a
horrible person, I'm an idiot, I'm greedy; I was even told that I'm
the reason that jobs are being outsourced out of this country. Yes,
seriously.
So, anyway - thought this screenshot would give you a good laugh.
Sincerely,
(Name withheld by request) on Bronzebeard US
"I Farmed It Myself, So It Is Free!"
The flawed logic of "I farmed it, so it's free" is perhaps the most adopted and most foolish of all auction house gold making strategies in WoW. Any activity, including farming, requires a time investment. That time could be spent elsewhere making gold or performing other activities that reward more gold per hour. So farming is not truely free as it takes up time that you could be using to make gold directly. Anyone can make gold on the auction houses, but new gold makers often don't understand where to start making gold on the WoW auction house.
Another common problem with the "I farmed it, so it is free" philosophy is that these believers often post crafted items for below the price of the materials on the auction house. This leads to the opportunity to snatch up these poorly priced goods, as this reader also mentioned, but when the volume of items posted gets too vast, you may have a hard time buying them up before the next kobold comes along and does the same thing. Granted, you can continue to stock up on cheap items to flip, but storage space can start to become an issue. If the undercutting and posting for dirt cheap problem continues for too long without a price rebound, then you could be stuck with a large volume of inventory to hang onto while you pray for a market price rebound. If they do decide to bring in Cross Realm Auction Houses, then it's only going to get even worse than it is now.
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Welcome to increasingly efficient markets. As more and more people get into the AH game and especially if cross-realm auction houses become reality, be prepared for ever decreasing margins.
ReplyDeleteBut to the original point of white knights with deep pockets...there is no real way to win. If they are not limited by their gold stockpile or their time, you will need to write off that particular market as a profit center until they get bored are distracted by soemthing else. Better to move on to another market.
The reality of it is, if they can afford to do it, there's really not much you can do about it. If they were posting at under 10g each though, I wouldn't even hesitate to buy them out until they had to restock, because you would definitely be making profit off of that. See how long they keep posting at those low prices when they realize how much time it takes to restock all those glyphs.
ReplyDeleteInteresting point, but the White Knights will always be there. I have spoken to several via /wsp. Basically, their logic is the same--average players cannot afford/should not have to pay 300g for a glyph. Most of these White Knights simply accept their losses, if any, on glyphs and make it up with profits in other places. One told me "it's Karma, man". Another, "Glyphmas did it for me. These assholes made millions and fucked the rest of us. Now its my turn".
ReplyDeleteJust another perspective.
I have problem with few kobolds on my server posting various glyphs for 1-2g each... "Buy them off and resale at high prices" you say, but problem is, what the !@#$#% should i do with 100 glyphs of sap, glyph of hold the line, icy touch or templar's verdict that i "buy off" from kobolds for 1-2g... I will resell 1 or 2 or 10 before they show up again and ruin market... but wtf i should do with rest...
ReplyDeleteI even noticed one of them posting even more glyphs and for even lower price every time i buy him off...
They completly took over gem market also... Since mop hit my world, blue cuts sell for less than 10g with rare (and short live) peaks up to 100g...
Only thing we need is kobolds from all servers to unite in blizz ingenious move called "Cross realm AH"...