Hey there gold nakers!
This is Reckles with WTBGold, and today we're talking about one of the biggest gold making
changes to come to Warlods of Draenor news.
It actually came out a couple weeks ago so I've been waiting to tell you guys just to
make sure it was actually a thing annnnnd it's a thing.
It's happening.
It's live on the Beta, and it's pretty exciting.
So, the first part is that the Neutral Auction Houses are going to be completely removed
from the game and that's because they are completely worthless now that THE ALLIANCE
AND THE HORDE ARE GOING TO BE MERGED TOGETHER!
That's right guys, you're going to be selling to your enemy.
But, that by itself, I'll let you freak out for a little bit.
I completely lost my cool when I first heard.
I mean, there's so many implications of what this means that it's kindof mind-boggling
when you first hear about it, right?
What are prices going to do?
What's the amount of goods going to do?
What's going to happen on each individual server?
What if you have more horde?
What if you have more Alliance?
What's going to happen OHMYGOD!
But, let's break it down, let's talk about it, and figure out if it's a good thing, if
it's a bad thing, why Blizzard is doing this and make sense of everything.
I'm here, I got your back, everything is going to be OK, and in the end, I think it's going
to be a good thing.
So, the first thing you gotta realize is that this is essentially a large-scale server merge
for everyone.
Everyone is just going to be pretty much just doubling their Auction House size.
So, raise your hand if you've been through a server merge before.
Wasn't that bad, was it?
I mean, you freaked out at the beginning.
You thought your Auction House was gonna crash or whatever, but everything kindof stabalized,
and maybe one market tanked but everything was kindof ok.
Everyone is still making money, right?
That's what this is going to be like.
The reason people still make money when Auction Houses grow has to do with some neat economic
theories having to do with imperfect and perfect competition, market elasticity, and the fact
that prices in WoW decrease according to the inverse log of the market size, the server
population.
So the last part is what I'll focus on and that's pretty much just saying that if the
Auction House size, if the server size doubles, the price of the goods won't fall in half.
So, let's say you're selling gems for 200 gold each.
And you're selling 10 of them a day.
Then you're making 2,000 gold.
If your server doubles, then you'll be selling 20 gems a day but you won't be selling them
for 100 gold.
You'll be selling them for 125 gold or 150 gold, and so you'll really be making 3,000
gold from those gems because you'll be selling twice as many for a little bit more.
So, in the end, you'll actually be making more money.
The only problem with this is that we're talking about revenue increase and not profit increase,
so on Servers that have 20% Alliance and 80% Horde, the Alliance is going to see a huge
decrease in the price of their goods, and so people like blacksmiths or Jewelcrafters,
the crafters, they aren't going to be able to turn a profit on their goods.
But generally those servers have already been merged with other, other servers that balance
that out, so they should be good.
Most of that's already been taken care of by now.
And if they haven't they will be by the time of release.
And the last thing I want to talk about is competition for the gatherers out there because
y'all know I love me some mining.
I don't think these markets are going to be hugely affected.
Generally, because there's enough of the same goods being posted.
It's just the same ore over and over being posted, and there are enough farmers going
out and posting already.
Like, in the crafted markets, you generally only have a few posting regularly.
But for ore and herbs, everyone's posting all the time and there's a lot of people farming
ore and herbs regularly.
So, when we merge factions and start selling Ghost Iron Ore, and True Iron Ore, and Blackrock
Ore, it shouldn't make that big of a difference when the amount of people posting on the servers
goes from 20 on the Alliance to 40 on the Alliance and the Horde.
We'll see a small decrease, but generally the amount of buyers are gonna double and
the amount of sellers are gonna double, but it's going to even out.
Because it's already hit pretty close to that bottom, that equilibrium point where the sellers
say "hey, I don't want to go any lower than 1 gold per ore, ok?"
So if you're worried about ore selling for 10 silver each or something like this come
Warlords of Draenor, don't worry about that.
Remember we gotta gather this stuff on ground mounts, it's gonna take a lot of work, and
people aren't going to stand for that.
So, that's all I got, thanks for listening, and if this was helpful, or you have any guildies
who are worried about this, please subscribe, share this on Facebook, Twitter, or send it
out on Reddit.
I really appreciate that.
And that really helps my channel out.
Have a great day guys, and remember that the key to making gold, in the end, is just to
Search.
Craft.
Post.
Every Day.
Bye.