Business And Economy Archive

Thread: An overview and general discussion of SWG economic principles

Sundown6
Sat Feb 12, 2005 5:04 am
#14


Great read. And you put into words some thoughts, feelings, and sentiments about SWG's economyI couldn't verbalize. The economy is definitely"funky". Prices are insanely high--but so aremission payouts.In fact, it's the high credit influx that'slead to high prices.The economy is shallow-- market demand is driven mostlya few best items,because of the way crafting and certs work. These things could use attention. But it isn'tbroken in the manner that somefeel it is-- where it locks out new players or gates a majority from getting anywhere.


I think this ought to be required reading for the devs as well .

Message Edited by Sundown6 on 02-12-2005 04:04 AM

Muzz
Sat Feb 12, 2005 2:14 pm
#15

Relic, I have to say I love your posts.


I have two toons, a total crafter (profs in sig) and a combat stacked Master Brawler/Swords/Fencer/Medic 3430. The combat toon is fun, and in a way great stress relief, but my first love is my crafting and the economics of SWG as a whole.What seems to be happening lately is an attempt by SOE to 'level' the gaming field to appease the "I want it, I want it now, I don't want to have to earn it" gaming style. It's possible that over a period of time this could have disastrous effects on the game, but meh, you explain it, both in this thread and your others,far better than I ever could.



Orgama

Weaponsmith (12pt), Artisan (14pt), Merchant, Force Crafting Master
ludio ludius utpote 2003, in pello utpote 11/2005
mistys
Sun Feb 13, 2005 6:34 am
#16






RelicOMO wrote:





mistys wrote:

IThe value that I provide is not cost, but conveniance. You can come in, and walk out with a full inventory ready to decorate your house. One stop shopping, asit were.


I've had a number of customers tell me that the shop is just about the best they've seen for the products I make. I know I'm high priced on some things, so I am certain they are speaking of the value of saving time digging around for things using either the global map or praying an archi does a custom order quickly.


As you said, most people are in this game for fun, and act as kids. That means instant gratification, rather than the best price. My shop gives them that. You want to decorate your house NOW, not tomorrow, not the next day. If you're willing to pay a bit more, I can help you with that







I appreciate this post, and your business plan, a lot. It's a fine example of a successful SWG business.


However, the Global Vendor Changes will instantly kill your business, and, I don't doubt, your fun. Nobody will pay 'a bit more' for your skill and time in stocking. Your convenience value will become meaningless. I really am sorry. The more and more I think about the Global Vendor changes, the more they horrify me.







I know


I've posted as much in the thread in the "In Development" board. This change will ruin me


If they really do want to do something like this, maybe setup an advertising term, or a tab on the bazaar for advertising, so that you can pay to run an advert for your shop. This, I think, is a much better idea than ruining the entire furniture market.


I know that this sounds good for weapons and meds and the like, but I don't even think it is for that. Half the game for people looking to buy this stuff is actually searching it out. Then they might find other stuff they want as well. That increases the fun level for the crafters too, trying to lure customers to their shops.


I really think what they should do is just add in adverts us merchants can purchase. Would be a much better idea.




--Mystie

Co-propriator of Sinful Pleasures
Where your every decadence is our desire.
Furniture, Clothing, Droids, Powerups, and Tools
Visit us just outside Theed, Naboo at -5579 3371 - Europe-Chimaera Server


bluejanus
Sun Feb 13, 2005 8:11 am
#17



RelicOMO wrote:


mistys wrote:

IThe value that I provide is not cost, but conveniance. You can come in, and walk out with a full inventory ready to decorate your house. One stop shopping, as it were.

I've had a number of customers tell me that the shop is just about the best they've seen for the products I make. I know I'm high priced on some things, so I am certain they are speaking of the value of saving time digging around for things using either the global map or praying an archi does a custom order quickly.

As you said, most people are in this game for fun, and act as kids. That means instant gratification, rather than the best price. My shop gives them that. You want to decorate your house NOW, not tomorrow, not the next day. If you're willing to pay a bit more, I can help you with that




I appreciate this post, and your business plan, a lot. It's a fine example of a successful SWG business.
However, the Global Vendor Changes will instantly kill your business, and, I don't doubt, your fun. Nobody will pay 'a bit more' for your skill and time in stocking. Your convenience value will become meaningless. I really am sorry. The more and more I think about the Global Vendor changes, the more they horrify me.





This reminds me of the vendor exploit fix. People were complaining (and in the end the cap was higher), one architect I read about threatened to dump his inventory of several thousand deeds to screw up his server economy for a long time.

This system of perfect knowledge simply does not exist in real life. They can write text books illustrating this example of perfect knowledge. Hell, if this goes through, I might submit it as an example.





Isander Aperin - Kettemoor Master Architect (home: Serenity, Naboo)
Structures vendor in the HorkCo Shop near Coronet, Corellia (CLOSED)
Structures vendors in the Mos Mesric Mall near Mos Espa, Tatooine (CLOSED)
Structures, jedi kit, crafting station and resource vendors in Serenity near Kaadara, Naboo (CLOSED)
mistys
Mon Feb 14, 2005 6:29 am
#18




RelicOMO wrote:





mistys wrote:

IThe value that I provide is not cost, but conveniance. You can come in, and walk out with a full inventory ready to decorate your house. One stop shopping, asit were.


I've had a number of customers tell me that the shop is just about the best they've seen for the products I make. I know I'm high priced on some things, so I am certain they are speaking of the value of saving time digging around for things using either the global map or praying an archi does a custom order quickly.


As you said, most people are in this game for fun, and act as kids. That means instant gratification, rather than the best price. My shop gives them that. You want to decorate your house NOW, not tomorrow, not the next day. If you're willing to pay a bit more, I can help you with that







I appreciate this post, and your business plan, a lot. It's a fine example of a successful SWG business.


However, the Global Vendor Changes will instantly kill your business, and, I don't doubt, your fun. Nobody will pay 'a bit more' for your skill and time in stocking. Your convenience value will become meaningless. I really am sorry. The more and more I think about the Global Vendor changes, the more they horrify me.






Whew! I hope they don't totally shelve this. I hope they just enable some sort of advertisment system, but I'm glad they're not going through with this.



--Mystie

Co-propriator of Sinful Pleasures
Where your every decadence is our desire.
Furniture, Clothing, Droids, Powerups, and Tools
Visit us just outside Theed, Naboo at -5579 3371 - Europe-Chimaera Server


Happymob
Tue Feb 15, 2005 1:18 am
#19

Another fine post by RelicOMO.


I would probabably add in the idea of "multiple motivations". This is touched upon in "Fiscal Responsibility" from the consumer point-of-view, but it's equally valid from the seller point-of-view. In real life, 95% of businesses are motivated by profit. The owner (whether an individual or shareholders) want to make as much money on their investment as possible. A few are motivated by other factors, such as helping out a community.


In SWG, the situation is different. Very different, because credits have no inherent value. Unlike real-world money, which buys us that vacation to Fiji, in-game credits really don't mean much. And they mean even less once a player feels like they have "enough". "Enough" may be 2 billion credits or it may be 100K credits, depending on the player.


Since credits mean less then real-world money, many merchants are not motivated by credits at all. I would suggest the following are all valid alternate motivations:


  • A desire to have the best shop widget shopin the galaxy, selling all types and colors of widgets, along with widget accessories

  • A desire to completely dominate (or at least try) the widget market, gaining 100% market share

  • A desire to have many repeat customers

  • A desire to help out their local community (PA or player city)

  • A desire to make the best master widget in the galaxy

  • A desire to meet new people and gain in-game friends

These are all valid motivations. And if we accept that these motivations are valid, then they also make a whole series of merchant behavior that people complain about "valid" as well. For example, most merchants can't understand why someone would sell ship components for 3 cpu when they could sell raw resources for 5 cpu. Is the shipwright losing money? Well, no, since their cost is much lower. But they are leaving profits on the table. This is baffling to some, but when viewed through a whole series of possible alternate motivations, such as the desire to be a high-volume seller, perhaps it makes sense. And who is to say that someone who desires to be the highest volume dealer is really wrong?


In the end, this results in in-game economic behavior that would not exist in the real-world. That's not a bad thing, but we must always realize that the in-game economy will not behave like the real-world economy as a result of this.




Imadoh and Ikiecobi
Quality Resources and the Corellia Butcher - NoCo
NoCo Trade Center, Corellia (just northeast of Coronet) 796, -3076


JTGAlpha
Tue Feb 15, 2005 8:11 pm
#20

Actually Relic, I just got caught up on that change today (by the way it's being re-examined, so who knows?).


I'm ambivalent about it, and I'll tell you why:


1) Bad: I'm not such a fan of the idea of less people hitting the shops because as a merchant that's less people that NEED to come to my shop to check things out. Granted I don't do much business selling smuggling supplies and spices (and don't get me started on that dog of a market) but if people see me on the map, and they happen to be in the area they might drop by. This thing removes that need and forces a more competitive edge. That greater knowledge means I HAVE to keep up with prices. As I currently sell real cheap I'm not to concerned, but it IS a concern. Plus, as I said, this seems to take some of the fun of having an actual SHOP. It feels more like selling on EBay than owning a small business.


2) Good: More advertising mediums are always good. No such thing as bad press and what not. I hope this is high ranking merchant function however so that advertising stays where it belongs, in the confine of the merchant profession.


3) Apathetic: Everyone is going to have to register on there on at least the perceived notion that if you don't you will get no business (though I question the veracity of that-but I'll get back to that point). What does this lead to? A butt ton of boring facts and figures guarenteed to make the average player go BLIND.


Personally, I think the best means of attracting customers is strength in numbers and of course, location, location location. Which is funny because my business has none of these qualities. But I think the best odds on snaring customers comes from Guild Hall malls in high traffic PC towns, and the closer to the Shuttle the better. Because that's convenient one stop shopping and if you don't believe that, then, I dunnno, you tell me...how's WalMart doing?



Dayasi Vo'Boda CEO of SCUM PA.
Founders of Agrilatia in the Agrilat Swamps Of Corellia (Intrepid).
Taking Scum and Villainy to a new Level to Serve YOU.
Remember: SCUM does it dirty
Another Horseman of the Smuggling Apocolypse

RelicOMO
Wed Feb 16, 2005 12:39 am
#21






JTGAlpha wrote:

Actually Relic, I just got caught up on that change today (by the way it's being re-examined, so who knows?).


I'm ambivalent about it, and I'll tell you why:






On the topic of this change, this is pretty much exactly the sort of thing I would like to discuss.


It's apparent that there is a problem, insofar as consumers keep finding empty vendors and thus wasting their time. Yet to simply turn the bazaar into one giant Ebay isn't going to be good for the game at all. So what solution can be done? What can we do to smooth the passage for shoppers, yet still keep the sense of running an SWG business for crafter?


I think that a galactic search that involves prices doesn't solve anything - it's just Ebay while still making people drive out to get their purchases.A search that didn't show prices or stats might be something, but that seems a little simplistic. Are there other suggestions?


DirthNader
Wed Feb 16, 2005 6:44 am
#22






RelicOMO wrote:


I think that a galactic search that involves prices doesn't solve anything - it's just Ebay while still making people drive out to get their purchases.A search that didn't show prices or stats might be something, but that seems a little simplistic. Are there other suggestions?







Gotta agree with that. It'll be interesting to see how customers deal with information overload. Given the clumsy vendor / bazaar interface, I can't imagine what it's going to be like to search for items like armor - I know when I was an active crafter / merchant I was right up on that 2500 item limit.


As far as suggestions, mine mostly center around limiting what can be shown in a galactic listing, both to enhance the customer's experience and to make the actual galactic listing a "skill" that will be value added to the merchant profession instead of rendering huge portions of it obsolete.


I'd like to see the categories streamlined, and restriction for what items can be assigned galactic listings. Imagine what the "Misc -> Generic Items" category is going to look like with everyone's "Loot Vendor" hocking every single blue rug thread and gong structure piece they've ever looted. There needs to be a seperation between the bazaar and galactic listings, and items that the bazaar would suffice need to be prohibited from galactic listings.


I also think this should be a master merchant skill. Galactic listings circumvent most of the skills gained in the merchant trees, from barker droids and planetary map registration in the advertising tree to custom vendors and vendor uniforms in the hiring tree. Skills that render other skills / trees obsolete belong at the top, not where everyone else has access to them.


I'm looking forward to having these ideas torn apart (and I mean that, I'm just throwing them out there for the sake of discussion). My main requirement for these changes to be successful are that they're value-added for both the customer and merchant. Allowing anyone with a few points in merchant to list any item at any amount actually degrades the retail experience for both parties, and in my view would be a colossal failure.




The artist formerly known as Ittov
scall01
Wed Feb 16, 2005 2:43 pm
#23

Why have you made 4 threads on this subject? Just wondering...



Patrikc Chilastra's best smuggler!!!
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lol
JTGAlpha
Thu Feb 17, 2005 1:49 am
#24

Are there other suggestions? Tons. If the vendor is empty at restart they go off the map, which I'm not certain ISN'T the case now. You do get penalized for empty or idle vendors, I just forget exactly how. Also, give merchants other means to individually advertise so we're not just another line item in a sea of data. Give me icons. Give me a Holovid where I can run commercials. Something. Anything. Just don't relegate me to Yellow Pages.



Dayasi Vo'Boda CEO of SCUM PA.
Founders of Agrilatia in the Agrilat Swamps Of Corellia (Intrepid).
Taking Scum and Villainy to a new Level to Serve YOU.
Remember: SCUM does it dirty
Another Horseman of the Smuggling Apocolypse

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