The way people price items is laughable at best!

[Gillionaire]

If the item is selling good for 90k, why kill the price? If you wait more then 2 seconds your item will sell for 90k as well. And I am just using that as a example, I am not going to say what I buy and resell because everyone would be doing it.

P.S. The moral of the story is have a little patience and profit. Because it doesn't make sense to work twice as hard for the same amount of money!

Oh trust me.. Undercutting is profitable, much more than you think.. Especially with crafted goods where more sold is simply more money, and there's seemingly no shortage of demand, there's no reason to sell one item at 90k when you can sell 10 at 40k and make 4-5 times the profit.

I give you a very long winded thread about the undercutting deal
http://forum.square-enix.com/ffxiv/t...The-next..-%29


While you may be worried about making an extra 10k off of the item, the other person could have stacks of the item just waiting to sell, high level crafters also play the low level item game too usually..

[Redgate]

Ok. Thanks you for buying my item. Feel free to complain about it, while I count my Gil.
"But you're ruining my self imposed economy!"
Ok. I'm also fattening my wallet faster than you are yours.

My bad, dude.

[Blissa]

Technically, the item was bought sooner because they priced it lower. You bought it. If they had placed it at the price that you would consider fair, it would have only been bought when an actual consumer needed it. But since they priced it low enough, it created additional demand for the item, specifically you, to buy the item quickly.

Ok sure now you have to sell 2 items to make 80k. Meanwhile I wait for you to go to bed and jack the price up and wake up to a mail box full of money. Because the item sells good for the higher price. Having said that feel free to keep doing what your doing =).

[tocsin]

Ok sure now you have to sell 2 items to make 80k. Meanwhile I wait for you to go to bed and jack the price up and wake up to a mail box full of money. Because the item sells good for the higher price. Having said that feel free to keep doing what your doing =).

I do this too.

but, I am much more predatory. I will use today with mastercrafts as an example. I had 81 of them, and the current price is 220k.

I put 4 stacks of 10 up for 200k apiece, and then waited for undercut. then I repriced them to 180k, and waited for undercut. then 160k, then 140k, finally 130k, and when the undercutter placed his up at 129k, I bought all he had to offer, and jacked the price right back up.

On my server they cost 180k to make.

[Blissa]

If there is a "real" demand for the item, the undercutters would not even matter, as yours will sell after theirs.
But it doesn't, and that's why people come here to complain about undercutters.

There is a demand or I would not be able to resell. The problem is people have the right now mentality, they cant wait more then 2 seconds to sell something. So people like me are happy to buy the item and resell it when undercutter's go to bed and because prices go back up.

[Aeyis]

I hate it when stuff is overpriced on the market, when something cost less than 10k to make and people try to sell it for 50k+, of course you're going to get undercut.

If there is a "real" demand for the item, the undercutters would not even matter, as yours will sell after theirs.
But it doesn't, and that's why people come here to complain about undercutters.

The only items this could truly apply for are items with materials bought entirely from a vendor.

''cost less then 10k'' Yes, but only because those materials are posted on the board for a total of less then 10k. It might well be that those items are underpriced, rather then the finished product being overpriced.

There is also supply and demand.
For example: if it bothers you so much, why not produce the item yourself?


Your reasoning is off. Undercutters are a problem because they also don't know the market. They will undercut 5 times a day for 10k each, even tho the item only sells at one specific time of the day. And even tho they only got undercut for perhaps 101gil themselves.

Oh trust me.. Undercutting is profitable...

While you may be worried about making an extra 10k off of the item, the other person could have stacks of the item just waiting to sell, high level crafters also play the low level item game too usually..

I do that all the time. But I don't undercut by 10k, but rather 100, 100 or even 1 gil. Precisely because I have entire stacks of the item. With that much future stock it doesnt make much sense to devalue the market.

[Blissa]

Oh trust me.. Undercutting is profitable, much more than you think.. Especially with crafted goods where more sold is simply more money, and there's seemingly no shortage of demand, there's no reason to sell one item at 90k when you can sell 10 at 40k and make 4-5 times the profit.

I give you a very long winded thread about the undercutting deal
http://forum.square-enix.com/ffxiv/t...The-next..-%29


While you may be worried about making an extra 10k off of the item, the other person could have stacks of the item just waiting to sell, high level crafters also play the low level item game too usually..

If you consider working twice as hard for the same amount of money, by all means keep undercutting. The sad fact is your going to need twice the amount of material, twice the amount of shards/crystals/clusters. Which means your going to need twice the amount of time for gathering.

[Zfz]

If someone is willing to sell it at a much lower price and by doing so, "destroys" the market, then it just means the original higher price is over-pricing. That's what it means. If people selling at a much lower price cannot sustain it and the price always bounces back, then it means that the demand exists to justify the price. If the higher price really has a demand, then there's no way to crash the market anyway. The market crashing due to undercutters just means there's more supply than demand.

A profitable venture will eventually see more entrants, bringing the price down.

Trying to maintain a high profit margin by getting all the sellers to sell at "the right price" is called collusion. It'll only work when the market has a barrier to entry.

Which means your going to need twice the amount of time for gathering.

Or the crafter may be just buying all the materials off the market board and using a macro to craft his item. When economies of scale occur, what really matters is not the per-item profit, but the total profit per session, and that often means sacrificing a portion of the profit to introduce your product into a bigger market, giving you a higher turnover.

The lower the price, the more people can afford and are willing to buy it. I may be able to sell 2 per day at 90k and make 60k*2=120k profit, but it's better for me to sell 10 per day at 45k and make 15k*10=150k profit a day.

[Gillionaire]

If you consider working twice as hard for the same amount of money, by all means keep undercutting. The sad fact is your going to need twice the amount of material, twice the amount of shards/crystals/clusters. Which means your going to need twice the amount of time for gathering.

That's pleb thinking.. I don't gather my own mats, I just buy them on MB and turn profit by seling finished products at 4-5 times the cost of mats.

I just bought 5 million gil worth of shards to stock up, probably gonna use that throughout the next few weeks, maybe the month and I'll make all the money back and then some.

If you wanna bring some numbers into this..

In terms of time spent to create an item, time required to gather the mats is probably a good 80% of the total time, maybe even more for the more complex crafts..
Sounds pretty efficient to me.
Although, you really do need to scale up in order for that to be effective

I may be able to sell 2 per day at 90k and make 60k*2=120k profit, but it's better for me to sell 10 per day at 45k and make 15k*10=150k profit a day.

Yep, and the reality of the numbers are, the mats likely cost less than 30k, when people say "right" price it's usually at 400-500% margin.. So the raw mat cost is likely around 15-20k. Which skews the number more in favor of the latter option.

Also, when those people start buying you out in order to wait for the market to come back up to what they think is "right", you may even sell 20, 30, or 40 of the item because they're creating an extra demand that's not otherwise there. It's almost like having a contracted customer who'll buy your wares no matter the quantity at a set price.. So you can sell as much as you can manufacture.
That's why I love the "savvy" people who try to play the market they make the best customers because they have the money and the confidence to think they can sell it back for profit later.. Problem is, we're competing in the same market to the same customer base.

It's like buying from Costco, then opening a little stall in front of the store to sell it back to the customers walking in to shop. Unless you sell after hours, good luck :P

[BreathlessTao]

...okay, seriously? Something going at 15k one evening, and the next morning I log in to find the same thing going for less than one TENTH of it? SE needs to put bloody restrictions on lowering prices. Seriously. -_-