People who undersell by 1 credit.

[MSchuyler]

Yeah, I hate it when I have something going for a good price (augments are my bread and butter at around 100K a pop,) and someone undercuts me by like 20K and lists tons of them. Everyone else tries to undercut them, and my profits go nowhere for a week or two while the market stabilizes because of that one idiot.

 

He's not an idiot. He's making more credits than you are by maximizing his profit. He knows your price is not magical, so he undercuts you by a decent percentage and sells twice as much. What you SHOULD be doing is not putting all your eggs in the augment basket. There are plenty of crafting areas that make tons of credits. The same thing happens in every segment, and when it does, you put up your test products at your price, then move elsewhere until it settles out.

 

Same thing happens to me with dye packs. When "some idiot" starts selling dye packs made with midlithe crystals for $20K a pop, I opt out of the dye pack market for awhile and go sell something more lucrative. After the cheap guys have shot their wad, I come on back and sell the same thing for $40K or more.

 

Flexibility is a key ingredient here, and it sounds like you don't have any.

Edited May 7, 2015 by MSchuyler

[Infernixx]

He's not an idiot. He's making more credits than you are by maximizing his profit. He knows your price is not magical, so he undercuts you by a decent percentage and sells twice as much. What you SHOULD be doing is not putting all your eggs in the augment basket. There are plenty of crafting areas that make tons of credits. The same thing happens in every segment, and when it does, you put up your test products at your price, then move elsewhere until it settles out.

 

Same thing happens to me with dye packs. When "some idiot" starts selling dye packs made with midlithe crystals for $20K a pop, I opt out of the dye pack market for awhile and go sell something more lucrative. After the cheap guys have shot their wad, I come on back and sell the same thing for $40K or more.

 

Flexibility is a key ingredient here, and it sounds like you don't have any.

 

You 'are' right in that diversity in your sales is the only way to go. There's far too many markets in game to get limited to just one.

[Chazcon]

I officially think these posts are funny. Undercutting is a valid sales strategy. If the water is too hot, get out of it.

[SelinaH]

He's not an idiot. He's making more credits than you are by maximizing his profit.

I sell for the going rate, assuming it's not below my cost.

It really depends on what that means. I typically factor in the opportunity cost of not selling the materials themselves. If you're selling for more than your actual resource/crafting cost but less than what you'd get just posting the materials, you're leaving money on the table.

[Bachannal]

Let's just all agree that some undercutting is a smart tactic. The people to loathe and wish death and ***-cancer upon, are the people that see a healthy market for "item x" and then undercut EVERYONE by hundreds of thousands of creds just to make a sale.

 

"Oh gee...there are 10 items all priced at around 2.5 million...i know, I'll list mine for 700k! "

 

THOSE PEOPLE are the problem.

[Banegio]

Let's just all agree that some undercutting is a smart tactic. The people to loathe and wish death and ***-cancer upon, are the people that see a healthy market for "item x" and then undercut EVERYONE by hundreds of thousands of creds just to make a sale.

 

"Oh gee...there are 10 items all priced at around 2.5 million...i know, I'll list mine for 700k! "

 

THOSE PEOPLE are the problem.

 

You are free to buy them off, resell at the "right price" and make a profit.

[MeNaCe-NZ]

You are free to buy them off, resell at the "right price" and make a profit.

 

^^ This exactly. I often buy up people I know selling far below market price ( especially since these recent grand packs, I've been buying up a lot of items I had sold previously for 700k-1mill creds for 200k ) and other times I see silly people list items at 1 million I know I've often sold for 200K so I'll go in at 400K and try make a nice bigger than normal sale ( not wasting my time listing at 1 million as I know it won't sell ).

 

On some ultra rare items I sometimes I might list items at 5 million for example and get undercut by 3 million in which case I probably won't buy the person out as much as wait them out then relist at a higher price once their item has sold.

 

All is fair in this market, you just need to know how to play it properly.

[Bachannal]

You are free to buy them off, resell at the "right price" and make a profit.

 

Indeed you are correct, and indeed i do.

[UberSamoyed]

I absolutely disagree with the notion that pricing an item (like an aug) down by 10%-20% instead of one credit creates a relative demand increase. In the Harbinger, the aug market has taken a hit lately and generally runs around 50-60k. I have been crafting augs for quite some time, and the demand hasn't changed even a little bit as to when they averaged 80-100k. And, I generally babysit my prices to make sure they are near the lower spectrum. From this "babysitting," I get to watch the ebb and flow of the market. The truth be told, augs that are priced 10%-20% lower sell no faster than the one credit undercutters. In fact, the only real difference in the two is that if enough 10%-20% markdowns are offered, it just lowers the whole market a little quicker.

 

It's a rather circular process. Why? Because when the particular aug hits the magical 40k range, everyone starts undecutting by one credit. Apparently, even the sellers with an ethical objection to the one credit undercut temporarily suspend their code and lean towards their profit margin. Then, inevitably, someone will buy up every single aug and the price resets to the 90-100k range. Ethical dilemmas are reset and the war is back on. This is the pattern the market has been in for about three months.

 

Now, when you talk about items that are beyond the normal price range of your average Joe (and require some planned savings to achieve)...demand curves apply. Shoot...multimillion dollar items are creatures to themselves. This truly is PVP marketing. But, for items like augs? There is no demand change. It's as constant as the sun rising in the East.

 

The moral to the story is simple: If you plan to sell just one item...price whatever your heart will let you live with. But, if you're selling more than one item and plan to craft and sell more in the future, then you are only hurting yourself by undercutting more than the very minimum. It really is that simple. And, given the circular pattern of the market and the lack of any demand changes in pricing, for augs...in the Harbinger...it truly is just about as simple as anything could ever be. You undercut by one.

[branmakmuffin]

Indeed you are correct, and indeed i do.

Then why did you say people who undercut by large amounts are a "problem?"

 

"Oh gee...there are 10 items all priced at around 2.5 million...i know, I'll list mine for 700k! "

 

THOSE PEOPLE are the problem.

Edited May 8, 2015 by branmakmuffin

[Henge_Wolf]

If I undercut, it's usually a minimum of 5%. If I saw an item I wanted and someone was selling it one credit cheaper, I'd buy the more expensive item just out of spite.

[BaronV]

another one of these silly "WAA WAA I lost a sale to someone else" thread:rolleyes:

 

Yes its frustrating when someone undercuts and causes you to not make a sale. But better to undercut but 1 credit and keep the prices high rather than for everyone to undercut by 5 or 10%.

 

Whether you are undecut by 1 credit or by 10% is still the same - the lower priced items will sell first.

[Overmind]

Really? Honestly that is a huge *****bag move. Putting an item up for 10 mil for someone to 9,999,999 under me. 1 Credit so t hey can get their item sold first. I personally always buy the person who costs 10 mil and leave that 1 credit person waiting. That's not a deal, thats just cutting out the other persons chance at a sale. If you are going to put something up at least make it 5% cheaper than the original price, or the same price. It's stupid to get back on the GTN to find an item ex: 1,000 credits, then 999, 998, 997, 996...like really 1 credit?

 

What's everyone elses opinion on this? I think its a weak move, if you want to sell, make a better offer or list the same cause 1 credit out of a 10 mil item is nothing.

It's called competitive marketing/sales.

Please check the Ferengi Rules of Acquisition:

https://xaeus.wordpress.com/2014/06/17/the-ferengi-rules-of-acquisition-all-known-so-far-en/

 

Specially, rule 16: Rule of Acquisition 016: A deal is a deal… until a better one comes along.

and

Rule of Acquisition 019: Satisfaction is not guaranteed.

and

Rule of Acquisition 002: The best deal is the one that makes the most profit.

Why get 9 mil when you can get 9.999.999 ?

Edited May 8, 2015 by Overmind

[LoverNoFighter]

Really? Honestly that is a huge *****bag move. Putting an item up for 10 mil for someone to 9,999,999 under me. 1 Credit so t hey can get their item sold first. I personally always buy the person who costs 10 mil and leave that 1 credit person waiting. That's not a deal, thats just cutting out the other persons chance at a sale. If you are going to put something up at least make it 5% cheaper than the original price, or the same price. It's stupid to get back on the GTN to find an item ex: 1,000 credits, then 999, 998, 997, 996...like really 1 credit?

 

What's everyone elses opinion on this? I think its a weak move, if you want to sell, make a better offer or list the same cause 1 credit out of a 10 mil item is nothing.

 

This is how the world works, son. Deal with it or get out.

[Couver]

I undercut, but I do so by a pretty healthy margin.

This is far worse than slightly undercutting. You undercut by a "healthy margin", then the next person undercuts you by a "healthy margin" and so and so on. This cause items to sell for far less than they're worth and that kills the economy.

[Mogsters]

This is far worse than slightly undercutting. You undercut by a "healthy margin", then the next person undercuts you by a "healthy margin" and so and so on. This cause items to sell for far less than they're worth and that kills the economy.

 

This will always balance its self out, people wont earn anything and price will hit a normal stance.

 

But on topic

 

If Iam gonna buy something and it costs 10k and someone else sells it for 9,999, I always buy the 10k priced one.

I mean cmon its 1 frickin credit, not gonna give the duche anything.

[Overmind]

@Mogsters and how many credits do you currently have ?

Rule of Acquisition 242: More is good. All is better.

You're losing profit and power.

If you have 2999 credits instead of 3k, the ship will not grant you a poor's pass to planet Z.

If you have 49.999.999 credits and the item is 50M, the Xchange will not let you buy it.

[JouerTue]

i've just emptyed all my cargo bays full of 3y stuff..and all has been listed undercut like crazy..

[JouerTue]

This is far worse than slightly undercutting. You undercut by a "healthy margin", then the next person undercuts you by a "healthy margin" and so and so on. This cause items to sell for far less than they're worth and that kills the economy.

 

not really since a % of those who bought are going to wait a couple of days/weeks and list again the item for an healthy profit

[branmakmuffin]

If I undercut, it's usually a minimum of 5%. If I saw an item I wanted and someone was selling it one credit cheaper, I'd buy the more expensive item just out of spite.

The only person you're spiting is yourself, albeit only to the tune of 1 credit. But hey, whatever makes you happy.

[MakoVulpes]

that's the market game for you, pal... to say it bluntly...

[Zaphkiel]

The only time undercutting like that ever made any sense to me was in FFXI, solely due to the fact that you couldn't see how much any individual was posting their stuff for. All you could see was past sales and then submit a bid and if your bid was equal to or greater than the lowest priced poster you bought theirs. That system made it so it was only logical to post, say, something that consistently sold at 40,000 for 39,901 so that most likely someone would bid 40,000 and because yours was priced slightly lower than everyone else it would sell first but still at the 40k price mark ensuring no devaluation of the product while hastening your sale.

 

To do that in an auction house system like TOR's just confuses me. Does anybody really need those 1-5 extra credits in a game where one can make a million plus credits a day just running dailies?

[Henge_Wolf]

C'mon man we all piss one credit. It would be like trying to undercut someone by a tenth of a penny or something. IMO it's better to just buy the item that's one credit more, so as not to give the "undercutter" what they want at such a ridiculously small price decrease. But that's just me. Make it worth my while!

 

I lose more than one credit runnin' fer tha bus!

 

No literally, I pay way more than that just to travel.

[undiess]

really? Honestly that is a huge *****bag move. Putting an item up for 10 mil for someone to 9,999,999 under me. 1 credit so t hey can get their item sold first. I personally always buy the person who costs 10 mil and leave that 1 credit person waiting. That's not a deal, thats just cutting out the other persons chance at a sale. If you are going to put something up at least make it 5% cheaper than the original price, or the same price. It's stupid to get back on the gtn to find an item ex: 1,000 credits, then 999, 998, 997, 996...like really 1 credit?

 

What's everyone elses opinion on this? I think its a weak move, if you want to sell, make a better offer or list the same cause 1 credit out of a 10 mil item is nothing.

 

the price, is right, *****

(this is meant as a joke - as those are real stars and not a word. just before anyone kneejerks on me)

Edited May 8, 2015 by undiess

[Banthabreeder]

If I see someone selling something for 10,000 and someone else selling the same item for 9,999, I tend to always buy the one for 10,000 cause the other guy is being a douche bag.

 

Now if they undercut them by 500 or 1000, then I might go with them instead.

 

But everyone has the right to put there item of for sale at what ever price it is. There should never be a restriction on that. Even the jerks trying to scam you for selling something for 10,000,000,000. If your not smart enough to sort by price or take the time to actually compare prices, then you deserve to be had. TAKE YOUR TIME. Best advice the Dev's ever gave in my opinion.