Cally
Amarr
Eve Intergalactic Bank
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Posted - 2006.08.04 02:53:00 -
[1]
I have to agree with one of the previous posters to this thread in regards to your markup reasoning.
It is far better to sell 10 battlecruisers for less than 10% markup (i.e approx 25m total profit using 200-250m layout) than selling 2 or 3 in the same amount of time for 20% markup.
What you should be basing your profits on is by time i.e how much profit you can make per hour or day.
When you base your profits on time alone, you get a better idea of how profitable a blueprint is.
So for example, If I can make 140 raven battleships a month, this will cost me in the region of 11.2 billion isk in minerals depending on market prices for a months worth of production.
Roughly a cost of 80m per ship.
Every week after a weeks worth of production I would then put them on the market.
Now, If I sold these at a price that is average on the market, i.e around 100m isk each, then I may only sell half of them during that coming week whilst others are in production.
It would get to the stage where I could no longer make any more ships as no more money has come in from sales to cover the purchase of minerals.
So, in a month I may have sold 90 ravens out of 140 based on selling them at 100m and making 20m profit on each one.
That would bring me back around 9b of which 1.8b would be profit from a certain point of view. However, I would still be nearly 3 billion down on my cash flow for the month.
I would be unable to run a full month of production again until more sold since I would lack the capital to make 140 again. So It may take another half a month to sell everything.
So after a month and half, I would have made around 2.8 billion profit which is around 62m per day.
Now if instead you were to sell the ravens at 95m, you would be undercutting alot of people and therefore your items are far more likely to sell. So much in fact that you would easily shift 140 ravens selling them at different locations using a freighter.
After everything has sold, you should see profit in the region of 2.1 billion for a month which works out at 70m per day.
So basically, that small reduction in profit per sale, actually makes you a better turnover when looked at on a profit per day basis.
Because you may not have that sort of capital to begin with, see if you can get hold of a good cheap battlecruiser BPO thats researched or even a decent cruiser BPO, research it a little more and then manufacture them at 0.0 gateways (high security systems adjacent to 0.0) and you will see a high volume of sales if you keep your profit to around 10% markup because pvpers and pirates that hang around low sec systems near 0.0 gateways are always in need of replacement ships.
Remember cash flow is the important thing so you need to have the quickest turnaround possible whilst still making good profits that are worthwhile.
Its also a good idea to try and obtain blueprints for the modules specific to that ship you make i.e if you make brutix battlecruisers, try to obtain the following BPOs
Microwarp drive 10mn
medium neutron blasters
medium nos
medium cap injector
medium armour repper
warp scrambler
stasis webifier
Medium drone (hammerhead, valkerie etc)
Medium hybrid ammo (antimatter etc)
and other race specific modules to go with the ship.
You will find that when people buy a ship, 9/10 times they look on the market in that station for modules to kit it out with.
Majority of hardcore pvpers cant afford tech2 equipment, or rather afford to lose it when pvping, so tech1 is what they buy.
Again, markup may not be much but your utilising that ship sale by gaining more sales someone else would normally get.
However you decide to base how profitable something is, the time to see a decent rate of turnover is the main thing you should look for.
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