Talk:Money making guide/Merchanting
Set Merchanting[edit source]
- Actually, the beauty of the whole thing is that the set prices are linked to the components. Face it, most people are lazy and want to put forward a minimum of effort on nearly any sort of activity. Making up a set takes a whole lot of work, and most people don't want to bother. In addition, volume limits mean you have to be extra patient if you want to amass a huge fortune this way. For those who like to merchant, you have to tie up trading slots for each component and then spend the extra time to make sets. This is a bit harder than it looks if you want to make several hundred sets of a particular type of armor. It is also tedious and boring, so a great many people don't even bother making sets.
- Most people who skill with a type of armor (for example, if you can craft green dragonhide leather) usually stick with the component that gives them the most experience.... usually the highest level armor type they can make. Then they take it to the Grand Exchange and dump it for whatever they can get. So in this case you buy green dragonhide components at the lowest price from those who dump it and in turn make sets from all of those components. But you have to make sure you have equal numbers of all of the components. If something like dragonhide chaps aren't selling at the lowest price, you have to **carefully** raise your bid until you start to buy some of them.... which is also going to be in somewhat large quantities. But you are buying at the rock bottom price most of the time just trying to soak up those who want to bail out of that item. Patience is a virtue here, and for most components they will be sold to you if you wait long enough.... like a couple of days or so.
- The next step is just as critical, and even more important to be patient. A great many people don't want to have to dig up all of the pieces of a set, so they'll put in a bid for a complete set. Since it is hard (somewhat) to make the set, not nearly so many people are putting sets up for sale... hence demand outstrips supply. This means that when somebody really wants a set (they just got level 20 defense, for instance, and want to upgrade their armor now!) they will put in a bid at the maximum price possible. If you purchased all of the components at rock bottom minimum price and are selling the set at the maximum price...... there is your profit. About 10% profit margin on nearly any amount of money that you have. Remember, 10% of 100,000 is only 10,000 coins, but 10% of 100m coins is 10m coins. THAT is where you make the serious money. Compound interest!
- Also important, once you are rolling in millions of coins, most players get impatient and dump the money they just earned back into the market somehow, like purchasing a piece of dragon armor or buying 1000 mahogany planks for their player-owned house. As a result, most people don't have the gold necessary to leverage the more expensive set types.
- The danger to this process is if a great many people are doing this at the same time (aka, making sets). In that case you find price wars both for people trying to buy components and for those who are trying to sell the sets. When that happens, you can lose your investment and may be lucky just to liquidate the sets you just made. So the rewards are good but the danger is to lose a great deal of money as well if you aren't careful. --Robert Horning 20:09, 22 June 2008 (UTC)
Does anyone actually do this? 18.104.22.168 22:57, 10 July 2008 (UTC)
- Yeah, I'm doing it! And I have made 30m pure profit using this explicit method. As my bank account grows, so does my profits as well! This isn't against the rules, nor is it RWT or anything else other than taking advantage of a certain arbitrage situation and making a bunch of money off of it... and providing a service to players who don't want to put all of these pieces together for various sets. In addition, there is very little "grind" involved with making money this way, and you can apply other money making techniques simultaneously. The problem is trying to explain this in a short and concise manner. --Robert Horning 23:45, 10 July 2008 (UTC)
- What sets do you use? 22.214.171.124 00:11, 13 July 2008 (UTC)
- That's the real trick, isn't it :) I'd suggest staying away from Mithril sets in general as there is a glut that simply can't be overcome. Black armor sets (including trimmed, but also ordinary black sets) do quite nicely. I mention this type specifically as demand far and away outstrips supply for this kind of set, and it is one type that doesn't require a whole bunch of initial cash up front.
- There are over 70 different set types to choose from, and each type has its own quirks. I should note that for some armor types, individual pieces (at least some of the parts of the sets) are cheaper if you buy them from stores or manufacture the items from resources. If you don't have the skill level, a great many players would be more than willing to "assist" you to make the items... if you have the raw materials. What this means is you have to be careful.... and this genuinely does deserve a 5-star rating both for profitability and for difficulty in accomplishing this method of earning money. Great rewards require great effort. --Robert Horning 02:49, 14 July 2008 (UTC)
- Wow, this is amazing. Can I add you in-game to ask some more questions? 126.96.36.199 14:30, 15 July 2008 (UTC)
- No problem. PM me with the name "King Korihor" on the game. --Robert Horning 22:03, 15 July 2008 (UTC)
- So in reality your profit would be about 9% in a couple of days (3-4?)? With respect to your starting capital? I would say that is a really bad way of merchanting considering the effort you describe and the posibility to earn much more from less work when daytrading. Delapaco 12:32, 25 March 2009 (UTC)
Merchanting Guide[edit source]
- As far as I'm concerned.... nothing at all, except for the fact that the merchanting guide is up for deletion at the moment. Well, that and the fact that the merchanting guide was written for a time when the Grand Exchange didn't exist nor were trade limits a problem. Keep in mind this is just a subsection of the money making guide. --Robert Horning 10:52, 11 July 2008 (UTC)
Merge the guides Merchanting and Moneymaking/Merchanting?[edit source]
Merchanting is always aimed at making money. Relating to this short statement it doesn't really make sense to have both a "Merchanting guide" and a "Moneymaking Merchanting guide". At the moment the former guide is more specific in some ways about how to merchant (and also outdated in some respects) while the latter guide focuses on short tips on how to use the Grand Exchange to make money (is selling NPC-bought items in GE merchanting?). While we could have two pages where the first is more technical and general, and the other holds more specific tips, I do not see that this is needed out of a length nor content related perspective.
I therefore propose that we merge these two guides and redirect one of them. I suggest the combined page stays at the shorter address. I will gladly help. Delapaco 12:50, 25 March 2009 (UTC)
- I agree that the pages should eventually be merged, but I think the combined page should be here instead of there. Page name length doesn't really matter much when the short one redirects to the long one, but it does belong under Money making guide more than on its own. MarkGyver 17:12, 2 April 2009 (UTC)
It is not that i have a problem ith merching, I just do approve doing it. I've seen lots of players loose thier coins due to lies and scams. Personally, I don't think it's worth it. :\
Set Merching Nerfed?[edit source]
An IP made a change to add the following on set merching:
- "NOTE: This is no longer possible due to a hidden update in late October, 2009, that placed a 4 hour trade cap on set related items, thus rendering it impossible to buy a set, then sell the items in the same 4 hours, or vice versa. Similarly, due to this hidden update, it is no longer possible to dismantle godswords and sell the hilts in the same 4 hours."
Could someone please confirm if this is the case? If it's true, that entire row should be removed. If false, the claim of it being nerfed should be removed. --MarkGyver 20:39, November 30, 2009 (UTC)
- You can still set merchant, but it takes much, much longer now and yes, the 4 hour trading limit on set related items also applies to selling the complete sets after you buy the components. Set merchanting is significantly less profitable than it was before, yet the demand for sets still remains the same. I seriously don't know what motivated Jagex to make this change, and it seems that Jagex didn't think this particular update through. It was a hidden update and still not even officially acknowledged by Jagex, even on the weekly fixes listing. Since most sets sold at max price anyway, I fail to see how this could have been used for RWT. Making the sets and gathering the parts was real work, and took quite a bit of effort... as did dismantling the sets in the case of godswords.
- In other words, this is a long-term investment opportunity rather than something more short term, and a whole lot riskier of an investment as well. At the very least, I wish Jagex would put something in the knowledge base explaining this change in behavior (it isn't there) and preferably explain why this update was introduced. --Robert Horning 01:13, December 1, 2009 (UTC)
- Thanks for the explanation. I've rewritten the note in question. --MarkGyver 00:55, December 2, 2009 (UTC)