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How to make a profit from industry

Author
Caesar Shepherd
Juro Political Extraction
#1 - 2016-03-15 02:00:44 UTC
Hello I am a (fairly) new player and I've been mining in Caldari hi-sec for the last few weeks. Up until now, I have been selling my raw ore but soon I will have sufficiently high refining skills to make a greater profit selling reprocessed minerals from my ore...

So what comes after minerals? Ships, ammo, modules... So I looked up 5 ships that I could manufacture (specificically: Cormorant, Mantis, Caracal, Dominix, Covetor) but found that all 5 of these ships are worth less than the input materials! What am I missing here? I looked up a few types of ammo and charges a while back they also seemed unprofitable.

Are the ships worth more out in null-sec where people are getting blown up more?
Am I just picking the wrong items to build?
What is the right way to manufacture in EvE?

Additionally, I've never had problems selling my ore - and not just at the immediate buy price, there seems to be plenty of demand. Where is all of my ore going if there's no profit in manufacturing?

Cheers,
Caesar
RavenPaine
RaVeN Alliance
#2 - 2016-03-15 04:38:08 UTC
It's a long complicated answer. I probably won't cover half of the issues.

First off.
There are skills that reduce costs for the marketing fee's.
Having good faction standings also helps with fee's.
Researching the blueprints is important.
Sometimes, BPC's are a better deal than BPO's
There are skills that reduce materials needed to build.

You're doing the right thing, by looking at cost FIRST. And also by giving your materials a value.

Part of the problem, is some players think that they get materials for "free" because they mine them. Then they undercut the market and think they are killin' it. When in reality, they are just working a lot for cheap.

Other players have built huge amounts of their product at some point before prices went up.
Other players put in ridiculous low buy orders and fill them at dirt cheap.
Some players might get tired of having 67 Cormorants in their ship bay, so they dump them for a loss.

Some corps sell at a loss, but they do corp ops for materials, so they just want fast moving items.



Keep researching. There are items that make a profit. At one time, I had 90 market orders going all the time. My wallet seemed to blink non-stop. It was work though... Like a job almost.
Try and find items that have high volume, move fast.
Pick a price that makes 10% or 5 or whatever, and let that item sit until it sells.
Noob stuff in noob systems.
PvP stuff in PvP systems.
Ammo in mission hubs.
etc
etc
If you've found a place where your ore moves fast, work that.

Look in other forums for more experienced players. Guys who are current with what they do. Nobody is really going to give you 'their golden goose' but basic information is there.
Caesar Shepherd
Juro Political Extraction
#3 - 2016-03-15 06:06:16 UTC
Wow thank you for the very detailed response!

I had forgotten about researching blueprints. This is the exact same reason why I need to train my reprocessing skills before I switch from selling ore to selling minerals. I also greatly appreciate the market related advise and the very practical "keep researching yourself" suggestion :)
Do Little
Bluenose Trading
#4 - 2016-03-16 18:13:25 UTC
You can make a very good living in Eve as a manufacturer. When just starting out you will need to do a lot of research.

In general, everything in the game is over produced. There are few barriers to entry and manufactured goods last forever - unless they get blown up.

The market tool has a history tab that you can use to see the cycle for anything you are interested in over the past year. If you sell in the top half of the cycle you will (usually) make money. If you sell in the bottom half, or to buy orders, you will (usually) lose money. Web sites like https://www.fuzzwork.co.uk/blueprint/ will show you current manufacturing cost and selling price for any blueprint.

As a small producer, you will probably do better at one of the smaller hubs like Dodixie or Rens - Jita is a lot more competitive.

T1 ships and modules will usually be low margin. T1 rigs are OK in the top half of their cycle as are T1 structures like mobile depot and MTU (science skills required).

I make most of my ISK selling T2 modules but that is skill intensive.