Have I Gone Soft?
I found myself asking this question about a month ago, when I decided to cut the price of my Malevelent gear by over one half. I could have kept gouging prices, but it was time to experiment.
In the crafted malevolent gear I basically had a monopoly. There were a few other players in the sellers market, but it was mostly me picking prices and being undercut maybe once in a 24 hour period. I'm on a very small server! When the patch first came out and I made my malevolent TSM groups I thought to myself: "Why not price these as high as I can and see what I can get away with. That number for me turned out to be 1250g, and let me tell you, I did get away with it. In my mailbox after AH fees, that turns out to be a very nice pretty number, 1234g5s, and I can't say sales were terrible, but honestly they were slow:
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Now I had heard others talking about slow sales for a while, so I didn't think much of it at first. In the screenshot above though, you'll note that I was making sales usually one piece at a time, maybe 2 on a few occasions. The profit margins were insane, but it seemed like people were only buying pieces that they desperately needed to fill gaps, instead of decking out their toons in the PvP gear, and I wanted to see if I could change that and if that change was justifiable.
It's not always about %s...Or is it?
Normally you'll hear me harping on % return comparing professions, but not today. Today I am going to look at my numbers a different way. So I decided I would post at 500g a piece, and I'm now that guy who is undercutting by hundreds of gold in this situation. My competition is posting at 700g? Oh well, my max is 500g, sorry guy. To me it's a fair market price, and hopefully somewhere on the supply/demand curve where both sides have favorable outcomes. Without further ado here's the sales data from the last 2 weeks (been doing it about a month).
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The number one takeaway here though is this. Not just in this example, but in all markets, don't be afraid to step outside your comfort zone and try something new. Whether it's new pricing, your TSM setup, new markets, or a new profession, the best way to learn about it isn't to read about it on some gold blog or The Consortium, but by getting your hands dirty and trying it out yourself. Of course preparation is always good, and that's where we come in handy. Make rational decisions and see how they play out. Always experiment.
Don't forget I've started a new program where I'm answering user's questions, click the Ph.A.Q tab above for more details!