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TCS: Standing Firm on Prices

The problem with having a project like TCS is that it fascinates me and not most of the people that I talk to. It is hard not to share all the wondrous  new information I have discovered. Only I seem to find the random quirks of the market amusing.

When I last looked, Molden Heath had two Talos on the market in two random systems that happened to be the #3 and #4 cheapest Talos in the game according to Eve Central.  The rest of the top 10 cheapest Talos were all in Solitude. This proved to be a problem for me because the people in Molden Heath saw the two extremely under priced Talos and wonder why the Talos I buy are so more expensive. I explain and their eyes glaze over. "Why don't I just buy those Talos?" "Why don't you?"

Moving ships in low sec, especially through active systems like Egbinger brings with it a lot of Risk. I can ask an entire fleet to form for me to move these ships or I can take chances OR I can not take the chances and allow someone else to if the price is that appealing towards them. It is very easy to tell someone else to take a risk. Thankfully, it is just as easy to tell someone no.

Instead, I went to Amarr and purchased Talos for two million under Jita for my shop. That let me reduce the price of my Talos on the market. Something that pleases me but I'm the only one that sees what I did. Other people simply see the price. The natural response is to assume that the entire price goes into my wallet. The problem is I am reselling. I only get a fraction of that price into my wallet. My average profit on battlecruiser and battleships after sales costs is 500k to 1 million isk. About 100k on frigates and 1 million on cruisers. Hulls are an incredibly tight market. Frankly, it sucks. People want their hulls cheaper and the complaints irritate the hell out of me.

I bite my tongue. I whine here where at least I understand the trials that I go through. My stocking situation is improving to the point that I'm able to put up a bit more each time. It is still easy to clear me out and I am still making runs most days. However, there is enough excess liquid now that I'm starting to make a little bit of a stockpile. My TCS employees are graduating their Accounting V and Broker Relations V meaning they can take over more of the market management  freeing up my trade alt to just move items and not manage orders as well.

I also used some of my haul from the wormhole theft to stock the store. I sold all of the T1 hulls. The drakes sold like wild fire. I also split the ISK from liquidating the shiny assets between my personal wallet and the store. This allowed me to invest about a billion ISK in battleships. Depending on how(if) they sell will see if I maintain them on the market. About a third of the stores ISK is tied up in ship hulls at any given time. Because of the slow rate of hull movement that ISK is more static and my over all flexibility is decreased when it comes to buying and stocking.

Diz has taken to giving me his junk loot. It is very useful and I relist it because someone always needs the stuff. Not everyone can fly pure T2 fits. My own loot goes the same route and I have noticed that some sell orders for 1 or 2 items have popped up right under the price of my stack of items. This says to me that people are listing their loot as well.

It makes me happy. I'll admit I have taken my project seriously. I want to bring a decent, quality, reasonably priced market to the area. It is a quality of life thing. I can't make everyone happy. I accept that people won't fill out my lovingly made form. But the general flow is good and I'll continue to ride that.

Comments

  1. 0.5-1M profit on a 50-100M BC hull? You are Mother Therese! I don't touch a 100-150M implant WITHIN THE SAME station if I can't make at least 4M and don't move it if I can't make 10M.

    And these spoiled brats whine for lower prices?!
    They don't deserve you!

    ReplyDelete
    Replies
    1. The problem is simple. Hulls are expensive for both sides. Because it is low sec, they burn through hulls. I am stocking hulls to improve the ease of access and reshipping for people in low sec. But, frankly, to mark them up 10% would make the prices ridiculous and only feed into the current problems that exist when it comes to having isk, feeling gouged, and the penalty of living in low sec and having to buy in high sec.

      I have to give somewhere and its in the hull prices.

      Delete
    2. I understand why you do what you do. I'm just surprised that those you help don't appreciate it.

      Delete
    3. I don't think that they realize it or at least consciously think about it. If not looking at the market as the multi-layed entity that it is, its black and white.

      Buy ship, Sugar gets ISK. Why am I asking for more ISK then other people?

      Also, its a side effect of people over changing others by habit for convenience. But I'm writing on that as well and will get that post up soon. The two are very interlinked I believe and create an assumption of excessive profit padding.

      Delete
  2. Yea a 1% net profit would be acceptable for station trading. To take such low profits on hulls that tie up so much capitial is a such a service. I really hope your screwing em on the modules!

    ReplyDelete
    Replies
    1. I'm not screwing them on things. I consider the TCS to be a social project that is more than ISK in my wallet. It is about improving the general environment of Molden Heath. If I cling to screwing people concepts it won't help anything. But I'll finish my post on that. :)

      Delete
    2. Supplying hulls will probably drive up sales though. Someone who has to fly to a hub to buy the hull will buy the modules there too, if he can buy at the store you get to sell the whole package.
      So even if the margins are low it might still be profitable to supply them.

      Delete
  3. Props to you on your market, Sugar. Sounds like it's going well, even with the whiners.
    I've been considering trying out a market in my neck of the woods. Just haven't committed to it yet.

    ReplyDelete
    Replies
    1. Thank you. It is going well. I'm just overly sensitive to complaints right now I think since the entire thing is still so new and fragile.

      Delete
  4. Btw I really enjoy your posts about stocking the market. I've considered trying something similar to this in my home wormhole (substantial other logistical issues) and it's interesting to see your trials and tribulations of doing it.

    It's nice to see how you've accomplished it and I want to see how it goes in the future before I really commit to it.

    ReplyDelete
    Replies
    1. Thank you. It is one of the reasons I am writing it. If I succeed or fail I will share it with everyone.

      Delete

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