Tag Archives: Mining

Titanium Dropping in Price

The WoWenomics team was discussing Titanium Ore recently and all team members agreed that the prices are down from their peak just a few weeks ago. Whereas typical prices for a stack of ore were reported as being in the area of 350 gold or more, we searched ten auction houses across five servers last night and found stacks available for buyouts at sub-300 levels on seven of the ten auction houses. We cannot say definitively how much prices are dropping since we have not been statistically recording the prices across servers but, anecdotally at least, it would appear that the ore, and goods and services related to the ore, are currently on the decline.

The reasons for the drop in price of Titanium are probably a combination of:

  • Increased supply– Titanium Ore has been so profitable for so many weeks that many more players are jumping into the farming for resale market, causing a certain amount of over-supply.
  • Decreased demand– As epic gem prices drop and stabilize perhaps Jewelcrafters are finding high ore prices intolerable.

In fact, one interesting correlation that we noted in our research was that of the seven servers that showed lower ore prices, every single one showed decreased epic gem prices. Prices for uncut gems on these servers were typically within the area of 140-150 gold. It may be that epic gem prices can be used as an early indicator of the direction of Titanium Ore. If you are in the ore market, either buying or selling, you might want to also look into the prices of epic gems to determine your optimal pricing and/or farming strategy before you set out on your daily quest for profits.

It is impossible to say if the observed decline in Titanium prices is here to stay of if this is just part of the cyclic nature of the WoW economy but, for the time being at least, we are rating Titanium Ore as a sell.

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WTS Titansteel Cooldown

For several weeks now, every server tested is showing the price of Titansteel Bars to be higher than the price of the materials required to create them. The bars are hovering at a consistently higher price while the more volatile Titanium Ore and Titanium Bars fluctuate wildly. Whilst a miner can only create one bar daily, this is a fast and easy means to profit provided you purchase or farm the materials inexpensively.

Even if you cannot find the materials at a price that makes the bars worth crafting there is still an opportunity to profit by selling your cooldown to another player with the materials. The thing to remember here is that, with the bars as profitable as they are currently and many new patterns circulating in the game, the price of that cooldown should be adjusted upwards instead of the decline that we were previously seeing. Let this message serve as your reminder to stop selling your cooldowns for pre-3.2 price levels and readjust at prices that reflect the new profitability of Titansteel and the loss of income that you experience by not crafting the bar yourself. When you are selling a cooldown, you are not selling the item but rather the opportunity cost of the item. It costs you gold to not craft your daily bars and it is for that loss of income that you should be compensated.

Along those same lines, if you’re an alchemist, even if you’re not transmute specced, be sure to transmute titanium bars on days when you are not transmuting epic gems. Ideally you’ve found plenty of opportunities with the overpriced epic gem market at present but on those few occasions when you either don’t have the mats or cannot attain them inexpensively don’t waste the opportunity that is your daily cooldown by ignoring this skill. Again, at the bare minimum, sell your cooldown to another player and profit from that.

Finally, with the price of Titanium and Titansteel bars being elevated, and the cooldown sales becoming more expensive, this is a fine time to reevaluate your pricing of secondary market Titanium-based goods as well.

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The Profit Potential of Powder

We’ve previously explained our reluctance to write about already hyped up WoWenomic trends but our resident Jewelcrafter has recently weighed in to point out that he is just killin’ it these days with Titanium Powder.

Titanium Powder is the residue remnants of prospecting Titanium Ore. Ten of these powders can be turned in to Tiffany Cartier, the Dalaran Jewelcrafting supplier, for a single Dalaran Jewelcrafter’s Token. These tokens are then used to purchase various items and recipes of value to Jewelcrafters. Most recently, four tokens can be turned in for an epic gem recipe introduced in patch 3.2. The fact that these recipes are still so new to the game and the source material, Titanium Ore, is so high in price, creates an elevated demand for Titanium Powder.

Pricing, Prospecting and Powder

Our associate informs that he is generating huge profits by purchasing any Titanium Ore that falls below his bid level and immediately prospecting it and selling the proceeds. He claims to receive approximately one stack of 10 powder per 30 ore prospected. A rate that is roughly in line with the listed results on WoWhead.com. All told, he claims profits in excess of 150 gold per stack of titanium that he purchases. Provided he can gather or purchase enough ore below his bid level, this allows for an unbelievable amount of income in a very short time so we asked for his specifics. And he provided…

Bid level on stack of 20 Titanium Ore: equal to or under 300 gold
Sell price for single Titanium Powder: approximately 50 gold
Sell price for stack of 10 Titanium Powder: approximately 475 gold

The Big Money

So if he gets a stack of 10 powder (which he sells for 475-500) from approximately 30 Titanium Ore (at a maximum cost of 450 gold) we are left questioning where these ridiculous profits are coming from as this is only 25 to 50 gold. Still nice for zero effort but where’s the big money? That’s when he dropped the bomb… Titanium Powder is only a small part of the prospecting results. In addition to the powder, he regularly gets at least one epic gem per 20 ore prospected as well as 3-4 rare gems and 4-5 uncommon gems. As he’s a Jewelcrafter by trade (and not just an ore destroyer) he also cuts any gems that he has cuts for prior to listing in the AH. He sets his ask level for these items as follows (based on market conditions):

Uncommon gems: 1-5 gold
Rare gems: 5-12 gold (up to 50 for Scarlet Rubies)
Epic gems: 130-160 gold
Cut Epics: 190-380 gold

Let’s take the most modest of all those numbers (price and prospecting results): Assuming only 3 rare gems (and no rubies), 4 uncommon gems and a single epic per stack (not even counting cut epic gems) of titanium ore, all priced at the bottom of the chart above, we’re talking about an additional 148 gold. But wait, that math only accounts for a single stack of Titanium Ore but our previous numbers to reach 10 powder were based on prospecting 30 ore. This brings the total gem proceeds up to 222 gold. That’s 222 gold on top of the already 25-50 he’s bringing in from the powder (since we paid for the ore with our powder in this equation). Hot damn… those are some nice numbers.

Overall Strategy Tips

There are a few tips to making this strategy work for you.

  • We advise only selling the powder in stacks of ten or singles. The ten stacks are the perfect amount for someone just trying to get an additional token quickly and the singles are the perfect increment for players that just need a few more powders for their next token.
  • Don’t flood the AH with the dust or gems. Doing so will only cause the prices to drop faster.
  • Speaking of which, this is a “limited time only” strategy. Eventually the prices of powder and epic gems will deflate or the market will otherwise normalize. Act now if you intend to cash in.
  • Just like a drug (or junk bond) dealer, never get high from your own supply. Be patient and get your own tokens from the daily quest system. Don’t use your own powder for tokens since it sells for so much right now. Later, as prices of powder go down, you can use it in this fashion.
  • Have patience; sometimes the powder or gems won’t sell during a posting cycle. Other times it will all sell out, at any price. People get desperate or greedy but it can be cyclic. Play the long game.
  • Don’t try this on a single stack and expect exactly the same results. Our Jewelcrafting expert actually came up with these numbers based on spreadsheets that he uses to record his results and profits. Yes, he’s *that guy*. Anyway, he prospects hundreds of ore daily and the numbers he shared are based on his averages. In short, YMMV.
  • This strategy assumes an understanding of, and strict adherence to, a solid bid/ask strategy the development of which requires some amount of common sense. We make no assumptions about the common sense level of the average WoW player. Consider this a disclaimer.
  • The prices on your server may differ from those described above but the ratios and relative values are probably similar. Thus, use the above as a guideline but not exact price points. Do some homework and develop your own bid ask levels that work for your unique profit goals.

The Only Downside

Our Jewelcrafter asked me not to post the exact details under threat of incineration. His fear, and reasonably so, is that if this strategy becomes too popular then prices will drop faster and it won’t work any longer. I was actually hesitant to post this because he was pretty clear about his mortal threat to me but then I remembered that he plays a mage so I just LOL’d and posted it anyway. Of course, this assumes he was talking about in-game death. Perhaps I should have clarified…

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The Bronze Age

Bronze Bars present an interesting value proposition to students of WoWenomics in that they benefit from having both a relatively high demand and a limited supply. Due to this combination of factors, and the fact that this material is often overlooked or forgotten about by maximum-level players, the bars can be an otherwise neglected market from which to profit. Bronze Bars will frequently sell out completely from the AH. In fact, we tested 14 auction houses at different times over the past week and found that approximately half the time the metal was sold out. In the occasions that the bars were in stock, the prices varied wildly suggesting that the bars go through lulls with no buyers and then peak when someone is power leveling an alt or switching the profession of their main. This presents a further opportunity for the astute WoW trader. Put another way, the majority of the prices we observed were on par or higher than those of Saronite Bars.

Demand

Bronze Bars are an essential part of the leveling process for Blacksmiths, Jewelcrafters and Engineers. For several of these professions the bars are integral to not only direct crafting of goods but also the crafting of component goods that go into other items so the metal has the somewhat unique position of being necessary for a higher than average part of the leveling process. This causes additional demand and is a key part of the reason that the bars will often sell out in bulk, regardless of price.

Supply

Unlike most other metals in WoW, Bronze cannot be made directly from an ore. As with the real world, no such raw ore exists. Bronze is made from mixing two metals, tin and copper. This slightly more complex process leads to a lower supply of the bars themselves. Many ore farmers just dump their supplies of the farmed ores into the AH without giving a thought to the possibility of making more gold by combining the two cheaper metals. Indeed, our favorite way to profit from the bronze trade is to find the two cheaper metals in the auction house and combine them, reselling the produced bronze for a hefty mark up.

Watch the Bronze Bar market yourself and see if you can’t identify some opportunities for profit that would otherwise be overlooked.

Here’s an interesting side note for you: Every student that has ever completed an elementary history course understands that the Bronze Age proceeded the Iron Age. What most people do not know is that the iron remained the inferior alloy at the time, with bronze being both stronger and more resistant to corrosion than the more popular and accessible wrought iron. So instead of an evolutionary process leading to the adaptation of a new metal, disruptions in the historic supply chains of tin (a key component of bronze) caused the cultural shift to the less sturdy ore. Ultimately, as smelting techniques improved, humanity progressed wholly into the Iron Age. But, in an interesting correlation to the WoW valuation of bronze, the tight supply of tin caused the metal to retain the property of being a semi-precious metal throughout the ages and, to a significant degree, even today.

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Hot Item of the Week- (Reluctantly) Titanium

We were initially hesitant to post a buy order on titanium for several reasons. First of all, we hate to be obvious. As many of our readers e-mailed and commented, the Titanium market is seeing enormous inflationary price movement based on the coming changes in patch 3.2 that will allow Jewelcrafters to prospect Titanium Ore for raw epic Gems. Further, there is the issue of mass speculation and the effect this sort of buying can have on the market.

Price Movements

It is certainly no secret amongst the WoW community that the price of Titanium Ore is on the rise as the patch 3.2 changes have been widely reported on. The result, at this point, is a significant price spike in the prices of not just Titanium Ore, but the related bars, Titansteel Bars, and even (to a somewhat lesser degree) many of the items crafted from Titansteel. Since we started specifically tracking the three metal versions of Titanium early last week each has shown a significant rise in price on every server we checked. Predictably, the increase in the prices of the ore was highest while prices of bars and Titansteel bars showed respectively more modest increases. These rises in related items are most likely driven by a smaller supply pool of raw ore as both literal and figurative prospectors snatch up ore at the best prices they can find. This theory seems to fit the varying level of price increases and is further reinforced by the more modest price gains found in items crafted from Titansteel.

Opportunities

As we mentioned, Titanium Ore and related metals have already increased significantly in price and had done so by the time we entered the market. We were thus very hesitant to invest further as we’re not big fans of buying high. Nevertheless, invest we did rationalizing by saying it was only for testing purposes. The results, however, were surprising. Rather than finding that the already inflated prices were at a peak we found that there was more room for price increase. Every day for the past week we have bought the lowest priced ore, bars and Titansteel and repriced them at higher prices with the result that every auction sold. Thus, we conclude that prices are still on the rise and have not yet peaked. Now, or very soon, would be the time to sell Titanium bars or Titansteel bars and goods that you may have stashed in inventory. We hesitate to sell the ore at this point, however, as we foresee a massive increase in the days immediately following the release of the patch. It may be best to ride that wave and cash in then in terms of the ore.

A Word of Caution

We mentioned initially that we were reluctant to feature Titanium (in any form) as it is so popular at present. The other reason for our reluctance is that we have some experience in presuming an item would increase in price post-patch only to find that the best opportunities to sell were actually while everyone was stocking up in anticipation prior to the actual release of the patch. We caution that we may be seeing more of the same here. If the vast majority of players are stocking up on titanium goods now it is certainly possible that prices will stabilize upon the release of patch 3.2 and drop soon after. That said, the difference in this case is the fact that this ore now has a greater use in the form of prospecting that it didn’t have prior to patch 3.2 so the price increase, at least over historical levels, should have some relative permanence and durability. All this is to say that prices of titanium ore, and thus the related metals, will be higher than what we were accustomed to a few weeks prior although they may drop from their highest levels a few days after the patch is released. Ultimately, It will be a long time before we see low prices on titanium related metals again.

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Liquidating Titansteel

After our post analyzing the state of the post-3.1 economy we had a few readers ask us about Titansteel Bars and, more specifically, how to get rid of them. Obviously, dumping more than 2 or 3 in the market at once will send prices downwards but, as we pointed out in our the post, prices are already on a steady decline so holding on to the bars seems equally fruitless. What should we do then, if the goal is to get out of the Titansteel Bar market as painlessly as possible?

Understand Fair Value

Fair value, as opposed to nominal value, is the worth of a commodity or good based on the price(s) of components required to make that item at a specific time. That is, fair value is the worth of an item at the time of the potential trade. This price may (and probably will) differ from the price at which the good was initially bought or sold. One example might be a currency. The dollar bill may say it is worth one dollar as printed across the front of it. That is the nominal, or par, value. Trading that dollar for a foreign currency, however, will reveal that the value of the theoretical dollar fluctuates based on market pressures including but not limited to inflation/deflation, supply and demand and the strength of other currencies.

Though it sounds simple, many WoW players that we run into have a very difficult time understanding this concept. The thing that people seem to get caught up on is thinking that an item is worth what they paid for it. This is, in fact, false. The worth of an item at any given time is the amount that it is selling for. Moreover, the fair value of an item is the amount of the price of the components of that item. While emotionally the item may seem like it is worth more or less, we don’t trade on emotion, we trade on fact.

As applies to Titansteel Bars, add up the current market prices of the materials required to craft the bar and you’ll arrive at the fair value of the bar. So long as the bars themselves are selling for more than the cost of materials, it makes sense to craft them and sell them. If the bars are selling for less than the materials, then don’t craft them. The only factor at play is that of the materialopportunity cost– how else you might be more profitably using those materials if you hadn’t used them to craft a Titansteel Bar. There is, in this case, no opportunity cost associated with your time spent since the time investment in using the smelting skill is minimal.

In our post-3.1 assessment when we tested Titansteel Bars on four servers on both Horde and Alliance sides, in every instance the going rate of the bars was always greater than the going rate of the sum of the materials. Thus, our finding was that the bars still have crafting-for-sale value.

But What if You Already Have Titansteel Bars Stockpiled?

If you’ve still got the bars stockpiled then you’ve got a decision to make. If you assume the bars are going to go back up in price than you can hold on to them and hope. Otherwise, it is time to start strategically selling them off. If you only have a few this is as straightforward as listing them in the AH. However, in quantities of 10 or more you have to start thinking about unwinding the trade (wherein you make counter-trades to offset potential losses from your initial trade) and to do this we have to get creative…

Sell the Cool Down for Bars you Already Have

The best, most profitable way we’ve found to offset is to ‘sell’ your ‘Titansteel cool down’. Offer in /trade chat- or wait for one of the many messages the pop up requesting this cool down- to sell your daily cool down. Now, you’re not really going to sell them a cool down technically because you’re actually going to simply give them one (or hopefully more) of your bars for the materials required to craft it. Further, you’re going to charge them a premium for use of your ‘cool down’. The charge for use of the Titansteel cool down is usually between 10 and 15 gold. If you can do this with all of the bars you want to get rid of, instead of selling them outright on the market, you’ll not only recoup all of the materials that you used up in initially crafting the bars but you’ll make a small profit as well. The only real cost to you is now the opportunity cost of not having used those bars, or the materials, in another more profitable way during the time you were stockpiling. Either way, there’s no actual monetary loss if you liquidate in this fashion.

We are aware that this is a complex trade. Complex trades are not for everyone. Most people want to simply buy low and sell high. However, as with all aspects of finance you are sometimes thrown a curveball. The most successful traders are not those that make only good bets (those people are called either flat out liars or scam artists). No, the most successful traders are those that know how to handle the curveballs as they come.

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Analysis of the Post-3.1 Economy

We’ve now had two weeks to assess the impact of patch 3.1 on the WoW economy. The general consensus has been that, while there were a few areas of opportunity, the Northrend economy overall is in a state of continued decline. We are certainly no fans of assumption here at WoWenomics so we chose a few items, specifically those items we based our own pre-patch predictions upon, to track with standard financial analytics. It is this analysis we share with you now.

When looking at the statistics below you may notice that there are three weeks of listed tests. The purpose of conducing three weeks of testing was to establish a baseline in the week prior to the release of the patch. Bear in mind that the day the patch was released to the (US) public was Tuesday, April 14th. The data listed below reflects the week of prices leading up to this date and the two-week period following.

Items we Predicted Would Rise in Value

Borean Man O’ War

3 week high: 40.84 on Sunday, April 19, 2009
3 week low: 18.51 on Monday, April 27, 2009
3 week average price: 23.22

after-3-1_1-borean-man-o-war

Of all the items we predicted an increase in price for, Borean Man O’ War saw the biggest increase in value in terms of percentage increase. This was particularly true if you invested when we initially recommended a buy on this item.

Eternal Earth

3 week high: 7.16 on Saturday, April 25, 2009
3 week low: 4.68 on Wednesday, April 8, 2009
3 week average price: 5.53

after-3-1_1-eternal-earth2

While we initially recommended investing in this item prior to 3.1 we amended our recommendation based on data that was released shortly before the patch was released. Yet, Eternal Earth still managed to increase in value over our testing period. Not a huge increase mind you, but an increase nonetheless. Interestingly, all three of the eternals we tested showed a spike in value on all servers in the days immediately following the release of the patch.

Eternal Fire

3 week high: 28.64 on Wednesday, April 16, 2009
3 week low: 18.97 on Wednesday, April 8, 2009
3 week average price: 21.95

after-3-1_1-eternal-fire

Prices for Eternal Fire have remained mostly stable showing only a modest increase over the three-week examination period.

Eternal Shadow

3 week high: 6.89 on Thursday, April 16, 2009
3 week low: 3.94 on Wednesday, April 8, 2009
3 week average price: 5.19

after-3-1_1-eternal-shadow

Interestingly, all tracked eternals showed their lowest prices on the same date. As the price increased from both the date of our prediction and the week prior to the patch date, we consider this prediction a success.

Gems

Initially gems did not show much promise for profit following 3.1. Recently however, the gem market seems to be showing promise. This reflects the fact that players are now attaining more new gear through both Ulduar and Arena Season 6.

Glyphs

The profits to be made in the initial days following the release of 3.1 were meaningful and well documented. Our resident inscription expert remarks only that “things have cooled” significantly since then.

High-end Cloth- Moonshroud

3 week high: 96.45 on Wednesday, April 8, 2009
3 week low: 81.82 on Tuesday, April 28, 2009
3 week average price: 88.97

after-3-1_1-moonshroud1

We chose to track Moonshroud for several reasons; the most prevalent being that we feel it has the highest potential for increase. That said, the price of Moonshroud has thus far not increased outside of specific price spikes described in our summary below. Further, the decline in price is representative of the decline of the other two types of high-end tailoring cloth. In fact, were you to lay the charts for all three cloth types over one another you’d find that they decline at an almost impossible to differentiate rate although the price points are different.

Icy Dragonscale

We chose not to track Icy Dragonscale statistically due to the fact that it experienced a very modest increase in price. In fact, the only remarkable thing about this leatherworking item, in our opinion, is just how unremarkable the price changes were. The prices of the dragonscales have remained at almost the exact same levels for the past three weeks indicating that, perhaps, the market had ‘bottomed out’ previously and this item has achieved some level of price stability.

Mana Regeneration Items

We did not track a specific item to represent mana regeneration as we feel there are simply too many options available to the player to enhance mana regeneration. We do note, however, that we’ve seen a modest increase in the going rate of +MP5 food and gems.

Popular Enchantments and Enchanting Materials

As we noted recently, we’re doing a brisk and healthy business in already-enchanted vellums. Beyond that, we are seeing server price spikes in specific enchanting materials but nothing consistent. If you’re in the enchanting mats business you’ll have to frequently check the AH so as to determine when best to buy and sell.

Relic of Ulduar

These reputation turn-in items have not yet shown a significant increase in price. They have performed instead in similar manner as the Icy Dragonscale listed above. The only interesting thing about these relics is that it is the single item that seems to have found a consistent price that is very close to being the same on all servers (the Icy Dragonscale, by contrast, is consistently in the same price range day after day but that price point varies from server to server). The Relic of Ulduar price is about 2 gold per item across every server tested. Prices for the past three weeks have varied by less than 5 silver from this standard on any given day and, remarkably, this remains the same price level whether the items are sold in stacks or as singles.

Titansteel Bars

3 week high: 102.39 on Tuesday, April 7, 2009
3 week low: 77.82 on Tuesday, April 28, 2009
3 week average price: 92.66

after-3-1_1-titansteel-bar2

Titansteel Bars have been the biggest loser so far in our pre-3.1 assessment. Prices have continued downwards in steady decline for the past three weeks outside of occasional price spikes unique to each server.

WoTLK Flasks

Flask prices have not been specifically tracked as they are a different beast entirely. The two-for-one flask split further complicated the issue. That said, we made a huge amount of gold off of flasks with the release of patch 3.1 and will, perhaps, explore the potential for flasks in a future post. Suffice it to say, for now anyway, that flasks are one of the best items to apply the bid/ask strategy to as it can prove very profitable.

WoTLK Herbs

There was no significant increase in herb prices outside of the occasional herb spike. We theorize that the majority of the scribes and alchemists intending to profit from patch 3.1 bought their herbs earlier rather than later. Herb prices have remained, for the most part, consistent throughout the patch.

Items we Predicted Would Fall in Value

BoE Valor Bracers

The decline in price that we predicted for these bracers is difficult to quantify as there is no simple way to track all the various bracers available and the items are typically sold ad-hoc rather than pre-bought and resold on the AH. Anecdotal evidence, however, supports our initial prediction for decline in that the messages observed in /trade chat by all WoWenomics team members clearly shows the asking price for the bracers to be dropping.

Dragonfin Angelfish

3 week high: 60.81 on Friday, April 17, 2009
3 week low: 44.16 on Sunday, April 26, 2009
3 week average price: 53.82

after-3-1_1-dragonfin-angelfish

This item is in slight decline although it is not for the reasons listed in our initial assessment. Rather, the decline here is caused by over fishing. We’ve provided a more in-depth analysis of the post-3.1 fish market here.

Frozen Orbs

3 week high: 92.75 on Sunday, April 12, 2009
3 week low: 70.16 on Sunday, April 26, 2009
3 week average price: 88.23

after-3-1_1-frozen-orb

Frozen Orbs continue to decline in value although it is difficult to differentiate whether this is due to the deflationary effect or because of the reasons mentioned in our initial hypothesis.

Mycah’s Botanical Bag

3 week high: 284.77 on Friday, April 10, 2009
3 week low: 159.18 on Monday, April 27, 2009
3 week average price: 225.16

after-3-1_1-mycahs-botanical-bag

This item has declined significantly since the release of patch 3.1. There is a steep drop in price a few days after the release that we attribute to the introduction of the new and improved herbing bag to the general WoW market.

In Summary

It should be said right off the bat that it is much easier to predict a decline in the price of an item in WoW than it is to predict a gain in value. This is mostly due to the previously established deflationary effect occurring within the overall game economy. Unfortunately you can’t short WoW items. So, while we did end up being entirely accurate in our predictions for declining value, this alone is not much to be proud of.

As far as our predictions for price increases go, we still reason that some of these increases may still occur as the new crafting patterns drop from Ulduar but, the fact is, the demand spike for materials will be small and short-lived. We’ve already seen examples of this on all of our test servers actually. Situations occurred on all four servers wherein the prices of a certain item like Ebonweave spiked significantly in a single test but prices were almost always normalized by the next test approximately12 hours later. These price spikes were not shown in the results above because they occurred at different times for each server and were thus normalized when combined with the statistics of other servers. What this does tell us, however, is that there is still opportunity for an individual to profit by timing their sales of specific high-end items with the spikes that occur on their own servers. Whether or not you’re interested or capable of watching your server’s economy that closely is, of course, a different story. We do advise that you check frequently, or otherwise liquidate strategically. We do not advise holding items for the long term as that strategy is counterintuitive to the overall WoWenomics game.

We will be continuing our testing and tracking of the prices of the above listed items (and a few others) over the next few weeks as we continue our analysis. If there is enough interest in these types of posts, we’ll put something together and share our results with you.

A Few Notes on Our Testing Methods

It should be noted that all of the listed prices are in the ‘Fair Price’ format, a price measurement scheme that is explained on our Terms page in detail. The listed value of items is the fair price of the items as listed in the Auction houses of four servers. The prices that we show are the average of the listed prices on all four servers. Prices were measured at two points during the day and on both horde and alliance sides. Thus, the final listed ‘Fair Price’ that we tracked and shared is the average of both day and night prices over four servers on both the horde and alliance sides. Prices were measured at the same time daily on each server for the sake of consistency. A fifth server was also tested but not factored into the above listed prices as a control test for our results.

On the day that patch 3.1 was released to US servers, April 14th, data was not recorded due to server stability issues. Therefore, the data listed for April 14th is an average of the day prior and following day’s data. Similarly, on Tuesdays following the patch, servers were unavailable for AM testing times so only evening data is listed. We don’t feel either of these averaged scores significantly affected the outcome of our tests and only mention it now in the interests of full disclosure and transparency.

On a personal note I’d like to send a big thanks out to the WoWenomics team members for measuring and recording their data and returning it in a clear and timely fashion.

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