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Calculations of Costs Compared to Ingame Income to Derive the actual amount of real Ingame Profit.

First post
Author
Rath Kelbore
Caldari Provisions
Caldari State
#21 - 2013-10-19 16:55:34 UTC
Vis Aldent wrote:
I'll be working on this Calculations of Costs Compared to Ingame Income to Derive (not Derivate) the actual amount of real Ingame Profit.

I am busy with other things for now and should be back in around 4 to 5 hours to try to complete this thread or post.

I'll just throw in some numbers for now so that it is easier to see and compare.


This won't include all calculation except double the income to generate half of profit or 50% of profit due to cost margin.

Internet Cost:
$35 for a month (30 days+) is equal to 2 PLEX which is equal to 1.18m ISK (at 590m ISK per PLEX on the market in Jita IV).
That is equal to $35 for 720 hours (at 30 days x 24 hours) .
= 1.63m ISK / hr in relative equivalent costs. Or 3.26m ISK per hour = 1.63m ISK profit / hr. 4.89m ISK income - costs = 3.26m ISK profit.

If $55 for a month , it is equivalent to 3 PLEX at 1.77m ISK.
= 2.45m ISK / hr cost equivalent related to profit margin.

@ $5 / 3 hours internet costs = 42.5m ISK / hr income at 590m ISK for 1 PLEx. (4 x 3 hours = 12 hours = $20 = 1 PLEX.)

@ $40 / 25 hours internet costs = 47.2m ISK / hr income
@ $35 / 21 hours = 56.1m ISK / hr
= 1.18b ISK for 2 PLEX.

@ $100 / 100 hours = 1.77b ISK for 3 PLEX = 17.7m ISK / hr.
@ $105 / 103 hours = 3.54b ISK for 6 PLEX = 34.36m ISK / hr equivalent cost related to profit margin amount.

(Notice the margin change to around 50% or double... Realize that it is not only the related equivalent income but also includes the relative costs.)

@ $210 / 206 hours = 7.08b ISK for 12 PLEX = 34.36m ISK / hr.
@ $490 / 459 hours = 16.52b ISK for 28 PLEX = 35.99m ISK / hr.

Also note that the 17.7m ISK / hr in 100 hours is not only the cost but also the related equivalent income.
That also does not include the EVE Pilot cost of time in game time equivalent costs like PLEX use for game time.
Once those costs are added in the equation, the total profit will be less and total costs higher.
It will also increase the income in ISK per hour required to achieve the same results.


I didn't read this, but I'm almost certain a simple link to a spreadsheet would have been better.

I plan on living forever.......so far, so good.

Vis Aldent
Quafe Art
#22 - 2013-10-19 17:13:45 UTC  |  Edited by: Vis Aldent
Rath Kelbore wrote:
I didn't read this, but I'm almost certain a simple link to a spreadsheet would have been better.

'A (simple) link to a spreadsheet' from where would have been or would be better??

I could still fix it if it is possible.

You can also EVE mail me if that is more preferable to you as means of communication.

Addtional Edit:
I also forgot other costs which I was going to include but I may be better to do it elsewhere.
It would increase the chance to avoid interference, further confusion or the propagation of confusion.

1:52:
I finally remembed that there might be a:
@ $3 / hour internet cost = x million ISK / hr income at 590m (595m now) ISK for 1 PLEx. (7 x 1 hour / $3 = 7 hours = $21 = 1 PLEX.)

2013.10.20 14:26:
And a deal that offers free internet for 10 referrals.
http://acanac.ca/Referral-Program.html
But I believe that it is only for a specific localized area.


So, for around $32.95 x 10 (+/- additional administrative costs) = $329.50 = Free internet for life.

Which makes the EVE Online ingame income ratio a matter of the past and limited by time .

I would think it would also allow for 2 or 3 more multi-client simultanously instead of overload
Vis Aldent
Quafe Art
#23 - 2013-10-21 19:07:43 UTC  |  Edited by: Vis Aldent
Vis Aldent wrote:

@ $3 / hour internet cost = x million ISK / hr income at 590m (595m now) ISK for 1 PLEx. (7 x 1 hour / $3 = 7 hours = $21 = 1 PLEX.)

That is equal to over 84.28m ISK per hour.

Vis Aldent wrote:

...
So, for around $32.95 x 10 (+/- additional administrative costs) = $329.50 = Free internet for life.

That is equal to 130k ISK / hour or even less if that life term is good for over 10 years.


Add $15 or $20 for a buddy (or more) which is equal to another PLEX for the cost of 1 month subscription.
That would further increase the cost of making a profit on all the pilots.

Any subscription which is 3 months or longer (like those yearly subscription rates) would be lowering the profit margin.
(Compared to the 1 month terms that is. Also to note, it is less costly to pay 1 month than use a PLEX to convert to subscription time.
The difference is about 25% which was the limited US sale value.
I have to increase my asset capital.
I am better to buy PLEX from CCP and sell PLEX on the ingame market (for ingame ISK) until then.

The income difference ratio is 648 times greater, whether in amplitude, parabolically or hyperbolically or other.
Sexy Cakes
Have A Seat
#24 - 2013-10-21 19:35:19 UTC
Okay, well check this out though. First of all you're throwing to many big words at me. Okay now, because I don't understand them I'm gonna take 'em as disrespect. Watch your mouth, and help me with the sale.

Not today spaghetti.

Vis Aldent
Quafe Art
#25 - 2013-10-22 19:19:43 UTC
Don't worry Sexy Cakes, it's just meant for graphical representation so to speed up reading data in some form...

(It doesn't make the extraction of data for reuse easier though...)

https://secure.eveonline.com/buy/
12 Month
360 days
+
Advanced Cerebral Accelerator
- - - - - - - - - - - - - - - - - - - - - - - -
$8.00 a month
$95.95 total
You save $88.45

= divided by 12 = $8 / mth @ 720 hours per month = $0.011 / hr extra cost additional to the previous equivalent costs / income .
But that is not the number we are looking for. What we need is the equivalent amount in ISK per hour compared to PLEX value.
$95.95 - 2 PLEX @ $34.99 = $60.96 - 2 PLEX @ $34.99 = $25.97 - 1 PLEX @ $19.95 = $6.02
= 5 PLEX = @ 607,180,001.00 for 3 in Jita IV - Moon 4 Navy, and 2 @ 607,000,000.00 = 3,035,540,003 ISK = 3.035b ISK.
3.035b ISK / 12 months = 252,961,666 ISK = 252m ISK divided by 720 hours in one month = 351,335.64 ISK / hr
= 351k ISK / hr.
Minus the value of the Advanced Cerebral Accelerator (check in contracts as it's not listed on the market).
+ the previous 130k ISK / hr or less
= 481, 335 ISK / hr.

@ $8.99 / mth (for 6 months, $53.95) = + $0.01248 / hr
@ 10.32 / mth (for 3 months, $30.95) = + $0.0143 / hr
@ $13.95 / mth (for 1 months) = + $0.019375 / hr = $27.9 / 2 months = 1 PLEX / 2 mnths = + 421,527 ISK /hr
84.28m ISK per hour + 421,527 ISK /hr
= 84.701m ISK / hr.

A little bit more or less with normal EVE Time @
3 months @ $38.95
6 months @ 71.70
12 months @ 131.40 (I'll have to calculate the exact ratio later.)
But the point is to find the equivalent value in PLEX (only full amount, no remainders).
Compare that amount with the ingame market value which value fluctuates.
Holgrak Blacksmith
Prophets of Motav
#26 - 2013-10-22 19:43:51 UTC
If you spewed this rubbish onto a wow forum you'd probably be the smartest guy on the page. Here you're a guy who can't do math.
Vis Aldent
Quafe Art
#27 - 2013-10-23 13:34:27 UTC
Holgrak Blacksmith wrote:
If you spewed this rubbish onto a wow forum
you'd probably be the smartest guy on the page. Here you're a guy who
can't do math.

I didn't have the time to calculate the last parts at normal EVE time rates.

Nevertheless, the rates are a bit higher (even if that is by a very
small amount).


The rates of equivalent ingame costs varies between 0.5 million
ingame ISK per hour
to over 84 million ingame ISK per hour.



There are also other costs, like collateral losses which I will
probably link in the Market Discussions later on.
War Kitten
Panda McLegion
#28 - 2013-10-23 13:47:51 UTC
Some sort of introductory paragraph would be keen.

Your OP just jumps into the middle of your complicated inner thinking without explaining much why we should care or try to follow your math.

Please fix this transgression, thanks.

I don't judge people by their race, religion, color, size, age, gender, or ethnicity. I judge them by their grammar, spelling, syntax, punctuation, clarity of expression, and logical consistency.

Vis Aldent
Quafe Art
#29 - 2013-10-23 14:49:55 UTC  |  Edited by: Vis Aldent
War Kitten wrote:
Some sort of introductory paragraph would be keen.

Your OP just jumps into the middle of your complicated inner thinking without explaining much why we should care or try to follow your math.

Please fix this transgression, thanks.


It is more for referrence than to be followed to be honest.
The numbers are there to allow for verification in case of doubt or scepticism.
The numbers also serve for accuracy although accuracy is not the derivative of the precise ratio.

The point is to avoid further useless internet costs of playing EVE Online without making profit.
It is not hard to spend over $400 to $1,000 just because of losses and promises of gain based on lower costs.
Everyone else with lower costs can manage to get some ISK but at higher costs only 'valid' Character Bazaar transfer make up for the costs.

I currently had to calculate this to prove the cost of buying PLEX were more worthwhile for me than others.
Let's say compared to mining at 2 million per hour with 3 Ventures and 1 Cyclone, the Cyclone being for rats prevention.
Mining in 0.5 with rats that can destroy new Ventures in the time it takes for the lag to dissipate on mutil-client is not profitable.
Add in the equation an unnamed Skiff challenging it to a duel -vs- it's 100 dps with reduced turrets from 4 or 5 to 2.
I was lucky I didn't loose the 25m to 100m worth Cyclone which would further add to the profit versus costs ratio.
After webifying and Warp scrambling my 5 drones were destroyed and the Skiff T2 drones were killing me.
The High end Battleship EHP vessel wasn't even down to 50% shield.

$400 to $1,000 easily is worth the 28 PLEX offer which is at current market value:
615m ISK x 28 = 17.220b ISK, enough for 5 months or more in Null sec with protection from Alliances or Coalition.

Or enough for a nice pilot or 2, or a mining fleet, or more skill than my current levels all at under 6 million SP.
On the higher end of that amount, it is more than 32b ISK for twice the numbers listed above.

(+ I never posted on the WoW forums except once to say hi around the beginning.)
39m SP for 7b ISK start
45m SP for 13b ISK buyout
74m SP for 25b ISK b/o (carrier capital and dread pilot super cap.)
99m sp for 34b ISK b/o PvP Carrier and Dread pilot.
73m SP for 15b ISK start 25b ISK b/o
http://eveboard.com/pilot/10_Percenter
107m SP for 38b ISK or lower offers welcome.
http://eveboard.com/pilot/Kiamoso

Ot even more than the 2 Second Decade Collector's Edition...
No Means No
meh fackit
#30 - 2013-10-23 15:27:59 UTC  |  Edited by: No Means No
Frostys Virpio wrote:
What in the actual **** is the point of this ****?


the point of this thread is to show its actually a LOT better to spend 3 or 4 hours working at mcdonalds and buy plexes with that money than being in front of a monitor countless hours clicking f1 and headaches with market orders and this and that (bunch of bull) just to make the same or even less isks.


Isks income ratio:

1x work at mcdonalds: 10x playing eve



buddy program? what for? when you can just work couple hours more at mcdonalds and buy a character off the market already skilled and ready to go?
Vis Aldent
Quafe Art
#31 - 2013-10-23 17:56:21 UTC  |  Edited by: Vis Aldent
No Means No wrote:
Frostys Virpio wrote:
What in the actual **** is the point of this ****?


the point of this thread is to show its actually a LOT better to spend 3 or 4 hours working at mcdonalds and buy plexes with that money than being in front of a monitor countless hours clicking f1 and headaches with market orders and this and that (bunch of bull) just to make the same or even less isks.


Isks income ratio:

1x work at mcdonalds: 10x playing eve



buddy program? what for? when you can just work couple hours more at mcdonalds and buy a character off the market already skilled and ready to go?


Watch out with the buddy's too. But multi-character training doesn't cost much more internet time even at $3 / hr or more around Brazil. That goes up to around $100 / hour or more by satellite over there...

But, running multiple buddy requires higher EVE Time costs payments as well.

It takes me 10 minutes or less to update my Skill queue lately.
I used to have to patch from start due to the reboot array scheme which took 30 minutes to log in.
I think they made a deal with the place I log ingame from so that I don't have to do the whole 30-50 minutes update anymore.

I sometimes have some problems to get the client to login quickly.
It only goes to Cargo Bay from the Captain's Quarter, which then takes longer.

It's worth more to buy PLEX (up to a limited number) depending on the cost of play time.
It is due to the potential cost of playing without enough ingame income.
If you make 100m+ ISK / hr I'm currently being offered, then it's not worth the same.
However, it's still cost me 10 hours or so to get my ingame ISK income level to cost to get that ingame income ratio covered.

Which 10 hours of ingame time still translates to $15 for me. I save $5 on the PLEX value.
However, the remaining $5 would allow me to make 300m ISK which is only 50% of a PLEX.
I'd then still be better to buy a PLEX instead of spending on Null Sec Rental.

At 150m per hour or more, then it becomes more worthwhile.
I could cover my costs in 8 hours which is still $15.
But the 4 hours extra would let me get 600m ISK which is just under the current value.

At 175m ISK per hour or more, then I make a slight profit, but it takes me the time to do it.
PLEX value is amost instant although that it gives no Skill Points.

At 200m per hour income, it'd take me 6 hours to get 1.2b ISK cost covered.
The remaining 6 hours from the equivalent cost of a PLEx at $20 for 1 would give me 1.2b.
The value of 2 PLEX for the cost of one, where I start getting free PLEX value or , free game play.

To make a PLEX on top of my game time would require more income.
250m / hr in 5 hours = 1.25b ISK.
7 hours = 1,75b ISK - EVE Time = 2 PLEX + 536m ISK (almost a free PLEX).

(There are also other problems like annoyingly being told to shut up.
This when a password sequence not supposed to be there pops up.
Having problems with the French keyboard scheme when the system has no way to control it.)
Shander Maxum
Shander Maxum Universal Ltd.
#32 - 2013-10-23 18:31:12 UTC
For some of us, one of the whole point of the game is to pile up as big a pile of isk as possible.

I also like the social element.

I also like to pile up some kills



I have 791 kills
-- Padding kills would be pathetic - it would defeat the whole joy I have in searching for those scarce kills --- the scarcity of kills and time to find them (like a sea shell collection ...none with any $ resale valuable but valuable in that I found them myself) The handful of padded kills I have to collect insurance bounties taint my series of "notches on the barrel".
-- MY Kills aren't worth anything to others -- not even bragging rights.. they're just a personal score for myself - maybe they say I've played a lot of hours but that's it -. None of my kills took much player skill.. other than the HUNT ... I'm not a great pilot but a pretty ok team member in terms of showing up and shooting what I'm told. Still they have value to me

---

I have nearly 200 billion in a LIQUID isk Fortune (not counting pvp ships and crappy loot strewn all over the map) -- only counting the very liquid (in ISK, PLEX, buy orders or stacks of things with huge buy orders to liqidat into in jita if need be)

-- Buyng isk would Defeat the whole purpose of that major part of my game play and enjoyment... Making ISK is the goal in trading !

I would be a complete loser to buy ISK given my OWN sandbox goals .. just as I'd be a complete loser to get a really "high score" playing a point keeping video game in "god mode"


SANDBOX -- goal is fun > I enjoy making ISK as an end in itself - other's dislike the game play involved in Making ISK
- Fun.. point is to play in a way to have FUN -- we all enjoy different things... depending what is fun will also determine your personal $ to ISK ratio

It's nearly impossible to equate my value of ISK with those who do pay $ to use isk to fund their ships.

"average" would not do it ... but assuming either side would be incorrect either.

-- it is all contextual

That being said.. I don't mind people quoting "street $ value of a Drake" as long as they don't actually say a Drake is worth $ without the qualification of "street value" .


Wrong -- equating hours it took for people who ENJOY and activity with $ value
Shander Maxum
Shander Maxum Universal Ltd.
#33 - 2013-10-23 19:27:53 UTC
I will say one good thing about what the OP is trying to do...

... the part of coming up with rough play hours per item creation
(I think that's one of the things he's trying to do) that is useful in it's own separate right - if not connected to $


None of that could be done with any super precision.. but .. guessing ranges and using numbers at the center of the range will get you orders of magnitude.... and the numbers derived will allow easy comparison between player hours to create other items using the same metrics.

I don't know one thing about mining (even after years in the game.. I've done a dozen mining missions but that's about it)

BUT... whether my numbers are wrong or not.. say it took 10 hours of mining to get the materials to make a Drake and get the materials to a NPC factory where you already owned the BPO (take the bpo part out of it for now)

--- So, using the above a Drake costs 10 player hours
--- I know a Raven takes more materials Does a raven take 3 times a Drake? a rave is worth 30 player hours if a drake is 10 player hours?


Here is where the $ figures using the $ cost and isk/plex cost as the one sort of $ value can go sideways...

--- 10 hours for a guy working at McDonalds = $60 (and the after taxes per hour in CA with a $10 minimum wage might be more)
-- 10 hours for a consultant netting $50 an hour = $500

In game hours is a fair way of calculating a "cost" (cost in hours) of an item.
-- is the real world value using that "opportunity cost of working" value of a drake $60 or $500 ? what would you put on a kill mail? lol ... like I said in the above post.. its all contextual

I do think a rough number of "Game-hours" without a conversion.. as an alternative to "Plex$Value" would be a good "order of magnitude number..


... but best of all to compare items? ISK .. lol the in-game currency.. fancy that!
Bizzaro Stormy MurphDog
B.L.U.E L.A.S.E.R.
#34 - 2013-10-24 00:14:19 UTC
This guy is undoubtedly using the same logic behind the fantastic Learning Triangle. Just comare the two . . . identical.

http://www.somethingawful.com/fakesa/learning_triangle/

I am not an alt of Chribba.

Vis Aldent
Quafe Art
#35 - 2013-10-25 12:47:16 UTC
I will add a post that I saved and didn't publish later, even though I could have it scheduled for posting on http://Tumblr.com and linked from here.

But I will now add, prior to the above, that I am currently gathering data on the costs of learning.
Those costs include the login time, the patching time if any.
There are a few other details like the planning phase and the new (hardcopy) Print-outs I will now do.
Zen Dad
Solitary Sad Bastard In Space
#36 - 2013-10-25 13:55:14 UTC
Hey OP you are really good with numbers, can you tell me which is the odd number out in this sequence?

1 11 22 23 44 88 ?

Vis Aldent
Quafe Art
#37 - 2013-10-26 14:21:58 UTC
Other Additional costs to be included in the equation to derive the Actual Income or Costs for me so far were :

1. The cost in time and money it took me to run and intall EVE Wallet from which I exported Ingame business data.

2. The indirect cost of delays caused by the installation of a new printer while having to print a resume.
That resume was intended for a 9 to 5 interview window valid for a work contract including a $400 + training (offered for free).

This 2nd derivative added into the equation more than doubled my original total costs.
It also make the EVE Online ingame income reduced by another half or more.

3. That is in fact even after other possible discrimination occured to another guaranteed job offer I had.
This would have costed me another $333 (taxes included) but would have generated $2,400 a month in income.
It is not directly related to the printer change above (or that printer going to a private residence for a new business model).
However, the money from the second job offer with paid trraining to pay for the first job offer training to get $2,400 is a cheesy scheme.

4. It also obviously delays my EVE Online ingame income which to this point is limited to the Character Bazaar due to cost per benefit ratio.
It looks more like specific data analysis of data field used by intelligence to delay and hide their scheme as if discrimination.
Adunh Slavy
#38 - 2013-10-26 14:30:56 UTC
Do you enjoy playing Eve? How do you account for that answer? I suggest you discover how to measure utils. Best of luck.

Necessity is the plea for every infringement of human freedom. It is the argument of tyrants; it is the creed of slaves.  - William Pitt

To Be Me
Doomheim
#39 - 2013-10-26 15:00:41 UTC
This thread is kind of pointless (not disregarding the op effort) but if youre playing eve suposedly youre not worrying about internet costs.

The game is just not for you, accept it and move on, stop playing.

Cause who the hell cares about internet costs in 2013 anymore, not anyones fault you live in a 3rd world country.

thumbs up if you like :))))

Vobard
Corporation 310527
#40 - 2013-10-26 15:44:05 UTC
Zen Dad wrote:
Hey OP you are really good with numbers, can you tell me which is the odd number out in this sequence?

1 11 22 23 44 88 ?




1, 11, 23.