Teaching Old Gold Makers How To Make A Profit

Gold Capped
Gold Capped

My Dad always told me that you can’t teach an old dog new tricks. What he didn’t tell me was apparently you can’t teach an old gold maker old tricks! At least when it comes to making a profit. There are many strategies in World of Warcraft for making gold but not all of them are suitable across all the levels. To make gold in WoW you need to be able to maximize the capital sitting in your bags as efficiently as possible to turn it into more gold. That, Friend they call making a profit.

It can be hard for some of the old gold makers out there to remember what is was like to make gold in the early levels. They look down from atop their pile of gold at those just starting out in the game and deride their efforts because, well it doesn’t meet with their lofty standards. What they forget is that the gold making strategies they use as mature gold makers are not always suitable for players new to the game and the Auction House. So I wasn’t too surprised when one old goblin took me to task for the selling of Small Eggs at this time of Winter Veil.

Making  Warcraft Gold During Feast of Winter Veil

Now I shouldn’t be too hard on the old goblin because it’s easy to lose sight of some basic gold making principles when you have a few quid in the bank. As a mature gold maker myself with several million gold scattered over several alts on my main server, I try hard not to make the same mistake. In fact, many of you who follow me will know that my blog is dedicated to helping new players make gold in the game. The strategies I use as a mature gold maker with several level 90 alts, maxed-out in various professions with a million gold under my belt are not the strategies I teach to new players trying to level their professions with little spare capital to play with.

Which brings me to the selling of Small Eggs during the time of Winter Veil.

Now for some reason this seemed to upset my fellow gold maker (who I really have a lot of time for). Surely it was beneath us to make gold this way? And during the holidays!

Blimey!

Selling Small Eggs, he states, is something of a legend. Now, if what he meant was that it’s a great way to make gold in the early levels, he’s right! I always try to use the selling of Small Eggs as an example of the 5 Goblin Principles of Auction House Trading:

  • Sell what players need
  • Sell at the right price
  • Sell at the right amount
  • Sell at the right time
  • Sell at a profit

If you have read my earlier post you’ll know that selling of Small Eggs during Winter Veil works time after time. This is because you’re selling what’s in demand. Of course you have to sell them at the right price and at the right time. In my example I farmed for 15mins and posted my 4 stacks of eggs  on the eve of Winter Veil in stacks of 5 at 500% market price (they were selling on average 0.90g an egg on my server at the time). The next day they all sold making me a great profit.

My fellow gold maker wasn’t impressed. I had spent 15mins farming my eggs and this was not an efficient use of my time. Well, this is true and I always say that grinding and farming are not the most efficient ways to make gold. In my Post Making  Warcraft Gold During Feast of Winter Veil I state that:

The quickest way to make gold is the Auction House.

But if you’re a new player with little capital it helps to know where to farm small eggs – even if it takes you 15mins. At the lower levels, you’re probably grinding those mobs anyway.

Now, if as a new player you can afford to buy Small Eggs during off-peak times for silver from the Auction House you’ll probably make just as much gold, only more efficiently. In fact Small Eggs on average were selling for a little under 1g before Winter Veil and anywhere from 5-10g each during the holiday. If I had bought my eggs from the Auction House for 1 g and sold them for 5g (not a huge mark up) I still would have made a 400% profit. In fact many players tweeted me to say that it what they did.

My fellow gold maker was still not impressed. No, cranking out gems with your Jewelcrafter is the way to go. It only takes 1.5sec a gem.

I love this kind of logic. He’s assuming, of course,  he hasn’t had to buy the ore or spend an age prospecting it as part of his time. But lets assume he buys his uncut gems from the Auction House and crafts them into more profitable cuts – a great gold making strategy, providing you have the capital and have leveled your Jewelcrafting to make profitable cuts. Most cuts at the early levels of a profession are just not profitable. And that goes for many of the professions.

And he’s also assuming he sells all his cuts on the first Auction. More likely he spent the first day of Winter Veil standing by the mail box pickup up his expired sales while players queued in the Auction House to buy my Small but profitable Eggs.

EGG-ACTLY!

Here’s wishing all my fellow gold makers – new and old – a happy holiday and a profitable New Year.

Marcus

 

WoW Auction House Guide
The Marcus Ty Auction House Gold Secrets Guide

Journal of Marcus Ty Podcast – Episode 11

Journal of Marcus Ty Podcast

Journal Podcast

Welcome to episode eleven  of the Marcus Ty series of gold making podcasts. In this episode your host, Marcus Ty, and Nev of the Blog Auction House Addict give you hints and tips on preparing for the coming of patch 5.4.

Marcus and Nev go on a shopping spree and explain what to look for in the new patch 5.4. Marcus reviews some of the new Engineering patterns and Nev tells of her success at hunting for hide.

 

This show was recorded on Friday August 16th, 2013.

[MP3] Episode 11 – Shopping for World of Warcraft Gold
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Show Notes

    • Welcome to the Pig & Whistle, Stormwind.
    • A long talk on the ‘Dog & Bone’.
    • Buying up the Auction House
    • Deal Finding lists with TSM.
    • Nev and Marcus go shopping!
    • Marcus wants a Sky Golem.
    • Nev buys up all the hide.
    • Migrating from TSM1 to TSM2
    • Lazy Girl Guide to patch notes

Resources mentioned in the podcast:

WoW Auction House Guide
The Marcus Ty Auction House Gold Secrets Guide

What Makes A Good Gold Maker in World of Warcraft

Gold Capped
Gold Capped

As part of this months Blogging Carnival hosted by Selltacular at Copper to Gold I’ve tried to answer the question:

What is your definition of a good gold maker? How do you measure gold making success?

During the last show of the Journal of Marcus Ty Podcast, I was asked the question ‘What makes a good gold maker’? I thought about about this for a while and considered, well, what makes a bad gold maker? In this post I’ll give you my thoughts on the good the bad and the ugly aspects of gold making as I see them in today’s markets of World of Warcraft.

I set out to learn how to make gold back in the days of Vanilla WoW. In those days, the virtual market place in Warcraft was a relatively relaxed place to hang out in. No one was hung up on getting gold capped and idea that you could amass one Million gold was considered foolish.

In those early days of WoW I jumped in and out of the Auction House and traded just enough to make the gold I needed for my daily adventures in Azeroth. Like most players today, I considered time the real enemy and I judged my gold making a success if I could complete my trades within 15-20 minutes and collect my gold from successful auctions at the end of the process.  I would then use the rest of my game-time to quest and generally explore the rest of Azeroth. Over the years I’ve exploited the Auction House so well that I’ve amassed many millions of gold over several alts and the Blizzard Gold Cap of 999,999.99.99g seems artificially too low.

If I roll the clock forward to today, the Auction House today is a very different place to what it was in vanilla WoW. The processes are still the same, but the competition is much fiercer. Many more players are savvy to the goblin ways of trading (I like to think I had a hand in that) and once lucrative markets have come and gone. I still make most of my gold from trading on the Auction House and time is still the enemy. I spend a little more time these days exploring new Auction House markets and gold making techniques – not because I need the gold  – because I love writing about these techniques and helping others get to their first Million gold in Warcraft.

So my definition of a ‘good’ gold maker is one that can efficiently exploit a wide variety of changing markets to maximize a profit from the time and gold capital invested.

Time is an important factor here. Many players still resort to buying gold because they are time poor, so gold making techniques that rely on a player camping out on the Auction House 24×7 continually listing and cancelling their trades doesn’t really cut it. Players that don’t factor time into their techniques aren’t ‘good’ gold makers. They’re not efficient.

Making a profit here is important. It doesn’t matter how much gold you receive in your mailbox if you’ve spent more gold crafting and listing your items in the first place. Using just revenue as a measure of success is poor gold making.

A good gold maker knows that markets come and go. Things never stay the same – not in the real world and not in Warcraft. The Auction House changes after every patch and good gold makers adapt to changing markets. They know and sell what’s in demand.

Finally, it helps to remember why we play World of Warcraft in the first place. For me its always been about hanging out with my mates and having fun. The same for making gold. Once it starts to become a second job, it’ll be time to stable my mounts and hang up my armor.

 

WoW Auction House Guide
The Marcus Ty Auction House Gold Secrets Guide

 

 

Five Auction House Trading Mistakes

Auction House SecretsWhether you’re new to the Auction House or have been trading for a while, players often make these same five trading mistakes. Cure these mistakes and you’ll be trading like a goblin pro.

Forgetting to Trade

A common mistake for those players new to WoW is to forget to trade. The Auction House is your friend and trading a little every playing session helps to keep the WoW gold flowing in. Those herbs sitting in your bags or in the bank are worthless unless you list them. Think of the Auction House as a ‘Daily’ and make it part of your regular game-play. For those tied to their desks during the day then the Remote Auction House is now free and will allow you to re-list expired auctions and trade a little during breaks around the water cooler.

Death by a Thousand Undercuts

Players lose gold by constantly undercutting each other on the Auction House when they don’t have to. Take the example below:

Don't Undercut
Death By a Thousand Undercuts

Player 1 lists Potion of Luck for around 97g. Player 2 comes along and undercuts player 1 by a massive 12g gold. Time passes and player 3 comes along and undercuts player by another 1g. Whats wrong with this picture?

Well, Player 2 may have thought that only a massive cut in price will shift his Potion of Luck. This may be a valid strategy on low population servers where there isn’t demand, but why undercut by so much? Player 3 has simply followed suit and blindly undercut by another gold – probably because his Auction Addon is set up that way. Given that Player 2 auctions are expiring, it would have been better to list closer to the price of player 1.  Player 3 could even have listed above the price of Player 1 if there were few listings of Potion of Luck on the server and demand remained high.

Not Listing At The Right Price

Players often sell their items at prices determined by previous listings, as in the example above. Hence, Player 3 lists his Potion of Luck for 84g. This may be a poor strategy as the value of 84g may well be far from the market price, that is, the price most frequently traded. It’s the price that most players expect to pay, given the cost of reagents to craft the item plus a small premium. Most Auction House Addons will work this out for you, but many players configure these incorrectly or don’t maintain the pricing data leading to widely varying prices. Keep auction data refreshed and set a price limit, below which you won’t sell – at least until the market improves.

Poor Timing

Trading is a bit like golf (or baseball if the cap fits): timing is everything. Get this wrong and however hard you come out swinging, you’ll miss the ball. Trading, to some extent, also relies on good market timing. That is, to trade successfully it’s best to sell your items on those days when demand peeks. This is normally at the weekend or on certain days of the week depending on your server. World events such as the Darkmoon Faire will also influence demand for certain items. If you really want to get into some detail and follow the market demand closely then check out these sites:

Underestimating Demand

Players often sell items that have little demand and end up spending a fortune in auction fees, listing the same items over and over without success. To trade successfully you must sell those items that are in demand and have a good turnover. In general these tend to items needed for crafting. These fall under the general Auction House category of Trade Goods. Sure, you’ll want to craft the occasional Epic Chopper, but demand for these will be low compared with say a bar of Trillium. Again, check out sites like WoWuction.com and look at the reports listing those items rising in demand on your server.

If you found this article useful then you might also like:

  1. Gold Secrets of The Goblin Traders
  2. The Remote Auction House – Tips and Tricks
  3. The 5 Goblin Principles of Auction House Trading

If you like the article then buy the guide:

WoW Auction House Guide
The Marcus Ty Auction House Gold Secrets Guide

 

 

 

 

 

 

 

Gold Secrets of The Goblin Traders

Goblin Trader
Trade Like The Goblins

The Goblins are a strange – and some  say, deranged – race that have managed to co-exist with both Horde  and Alliance factions in many lands, relying on
both their trade and engineering skills to barter  an uneasy neutrality. As such,the major Goblin  towns of Gadgetzan, Booty Bay and Everlook  are perhaps the only locations in Azeroth where  both Horde and Alliance factions can  come  together and freely trade with one another – provided their weapons are sheathed.

These towns feature neutral auction houses  that, while not linked to either Alliance or  Horde establishments, enable trade items to  pass between opposing factions. This has  enabled some to establish a lucrative trade in  ‘pets’, with fluffy rabbits from Dun Morgh a  favorite among the Horde who prefer them  tenderized. All auctions are cunningly handled  by the neutral Goblins.

Now, no one trusts a Goblin, but all  admire their skill in barter and  trade. It’s wise to keep a firm hold  on your purse strings when  attempting to buy from these shady of wheeler-  dealers lest you walk away from the transaction  lighter in gold and without a shirt on your back.  But much can be learned from these slippery of  creatures when it comes to our own trading.

Here are five top Goblin trading tips:

1. Don’t be shy

The first lesson from the Goblin school of  trading is ‘don’t be shy’. You’ll often hear the Goblin traders hawk their wares by shouting to  all who walk within earshot. ‘Have I got a deal  for you’, is commonly heard up and down the  streets of Gadgetzan and the boardwalks of  Booty Bay. A brief stroll through the Goblin  streets of Everlook will have your ears ringing  with the cries of the Goblin Merchants.

We can use the Trade Channel is a similar way.  If we have just crafted a ‘Shining Silver Breastplate’ and posted it for auction, it helps  to tell the world about it. ‘Get your Shining Silver Breastplate, now in the AH – good price!’  You’ll be surprised how many whispers you’ll get asking ‘How much!’ As the Goblins say ‘if  you don’t tell, you don’t sell!’

2. Get the price right

Now the second Goblin lesson on trade was  said to have been stolen from the Gnomes: ‘Don’t sell yourself short’. Make sure you don’t  under price your goods. Always check the latest  prices by searching for the item in the Auction  House and price your item  accordingly. At the same time, look out for items that have been priced too low. You’ll often find new players pricing their items at very low or silly prices. Snap-up these items by placing a bid or buying them out. It’s worth a punt.

3. Avoid competition

The third Goblin lesson on trade was taken from the Elves who prefer to trade one-on-one. It can be summed up in the phrase: ‘A word in your ear’. The Elves often avoid the competition of the Auction process by announcing an item on the Trade Channel and asking folk to ‘whisper’ them if they have an interest. This technique needs some skill if you are to close the deal. Once a price is agreed, the trade is made using the Trade panel.

4. Seek out the lone traders

You’ll also find many a Goblin trader wandering around Azeroth. These lone traders often possess one-of-a-kind items that are much sought after in the Auction House and often sell far above the merchant’s price. An example is  Zixil (Merchant Supreme) of Booty Bay who can be found wandering the Hillsbrad Foothills between Southshore and the Tarren Mill. Also, Kzixx (Rare Goods) found in Duskwood, on the road to Darkshire.

5. Seasonal sensitivity

The Goblins have a saying: ‘Snow in the dale, its time for the Winter Veil’. They also say: ‘Don’t eat Dragonbreath Chilli on your first date’, but that’s another matter! The point being that the price of many goods sold at the Auction House will have a seasonal value. For example, the price of Small Eggs are much in demand at the time of Winter Veil to make the quest item of Gingerbread Cookies So, be you Horde or Alliance, there’s something to learn from the Goblin traders.

You might also like to check the article  on Goblin Trading Tips

Cheers

Marcus Ty