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Guilds > The Goods > Donation Levels Explained

History

Part-way through T2, the decision was made to include herbs as part of the Goods' inventory, and all known herbs were added to the list of tradable items. Later we noticed that the quantity of other, non-herb items was dropping to levels that made them difficult to sell in quantities people needed. This lead to a greater understanding of the problem of adding inventory items:

The Problem

When a new item is added to the Goods, the first person to sell that item gets a fixed amount of credit for it. The first of an item is valued at 10k GS, the first 10 about 35k GS, the first 100 about 67k GS, and the first 1000 about 100k GS.

If a common item begins at an inventory level of zero, the first seller will receive a great deal of credit relative to the actual value of the goods they're selling. For example, the first person to sell clinker to the Goods may have received 100k GS for 1000 clinker. With that 100k GS, they can purchase a great deal of very rare materials.

Because of this, for each new item added to the Goods at an initial level of zero the total real value of all the goods in stock is reduced. Lower stock levels make it more difficult to cater to traders who want to purchase large quantities of an item.

The Solution

In order to mitigate the problem, our goal is to begin trading in an item at around the level we expect it to average over time. We do this by setting a 'donation level' for new items at a quantity we estimate might be at the high end of that item's average stock level.

Over time that donation level will gradually decrease. At some point, we presume that a smart trader will recognize that they can make a profit by donating the 'donation level' of an item in order to then immediately sell additional items to the Goods for a profit.

That's the idea, anyway.

Where we are now

The Goods' website shows items in donation status with an orange 'D' symbol next to their name on the inventory list. Hovering over this symbol will display the current donation level of the item as well as any notes that explain its donation status.

To donate an item, set up a 'sell' trade for the item. Only quantities you sell that exceed the donation level will earn credit. For example, if there are 5 items in stock of an item with a donation level of 10, selling 6 of that item will be as if you sold 1 at a stock level of 10.

Donation levels are in place to try to ensure that the first person to sell an item to The Goods can make a profit that's fair and reasonable for the item in question. The larger our stocks, the more easily we'll be able to serve traders who desire larger quantities of more rare items. Please consider participating in the process if you enjoy creating any of the items in donation status.


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Last edited June 3, 2007 2:33 pm by TpcT (diff)
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