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Is anyone bowing out of Industry with these new changes?

First post
Author
Lucas Kell
Solitude Trading
S.N.O.T.
#161 - 2014-07-27 12:15:05 UTC
Industrious Mistress wrote:
1. A POS is very useful to get more out of your refining. The cost of running a POS rules out new players.
So either don't refine, or keep the POS offline 99% of the time. You only need the POS online while you click the "refine" button, and the rest of the time it can sit offline. OR like I said before, don't refine. Ore is going to be quite valuable, especially compressed, since it will get shipped out to null. Chances are you'll find it's more cost effective to sell the ore and buy the specific minerals you need. You need to work out whether the cost of a POS is worth the amount it earns you, exactly the same as it used to be.

Industrious Mistress wrote:
2. Have you ever heard the phrase "Isk per hour"? moving around all over the place is very helpful you claim, but how much isk will you be loosing out on because your moving all over the place....ALOT!
Again, you have to work out if moving your stuff is worth the fees, so yes, work out your IPH, and see if moving to a lower fee area would increase that overall. If it doesn't, don;t move. Larger industrialists will be able to move much less, but then gain benefits of producing in bulk. Smaller industrialists will find it easier. Not to mention that you don;t need to move your whole chain. Want to research some BPOs? Maybe there's a much lower fee not to far out that you can take just those BPOs to. Again, you have to use your brain and work out what is best for your situation.

Industrious Mistress wrote:
3.You have not noticed less miners in high sec? Please pause reading this post and go back and look at the hundreds of posts form miners saying that they are stopping, or go talk to the high sec gankers, who will tell you the same thing, less miners = less targets = less pvp = terrible for the game...glad you found the benefit compression though wtg! Now you just need to get a logistics to get the compressed ore where you need, you mentioned nul sec...again you are removing the possibility for a new player to participate (I know its a shock, but not everyone wants to be a part of the blue doughnut) So yea less miners = less minerals = ship/mod cost increases = less pvp = bad for the game
Well it's strange, because while I see miners bitching about how they are quitting, I still see the same miners in the same systems that I go through daily. I mean it could be that they are screaming and whining, yet continuing to play despite being adamant they've quit.

And LOL. The benefit is to the miners, not the nullsec players. Highsec miner compresses all of his ore in a POS that needs to be up for like an hour (so let's say half a mil in fuel costs). He then sells that compressed ore to a nullsec player for more than it's highsec refine value. That miners is now better off than he would have been refining his ore and the only skill he needs is the skill to anchor a POS and a single module.

Industrious Mistress wrote:
4. The point of the post was to point out the very badly made decisions, sure we can still go out and mine and make isk, but now you have to add in the extra time needed to move all over the galaxy like you suggest, which in turn lowers your earning potential all the while forcing you to jump through a terribly designed UI hoop to make it happen. Please take your blinders off and stop being naive about the whole process, you havent made billions this week your just trying to use that comment to strenghen your poor argument,, although I can see that being a part of the nul sec community you dont really care to understand the woes of a high sec industrialist and thus have probably not actually looked into what it has done to them. The opportunities you claim are now available to increase profit margin is what is known as a straw man fallacy, the extra time, effort, and danger you will experience in moving around all over the place, like you suggest, will do more damage to your playtime than your isk output. Sure you may be able to make an extra 10 mil isk here or there, but you will spend hours moving around, which is more beneficial? the small scraps of isk you are chasing or the huge increased time now needed to move all over the place?
No, the point of the post is a knee jerk reaction to the changes spouting about doom and gloom because you can;t instantly and thoughtlessly make isk. And while I'm a null player and will be soon rolling out null industry, I have a 12 character highsec industry chain which I've run for years. To suggest I don't care about highsec industry fundamentally misunderstand the source of the vast majority of my isk. And you can claim it as what you want, the facts are through production alone I still made billions within the first couple of days of release. Many other people have proceeded to do the same, which is why the market hasn't collapsed. If you actually took 5 minutes to engage your brain and work out how to use the system, you'd see that there's massive opportunities to make isk here.

Industrious Mistress wrote:
Your argument is short sided, and backed up with weak or non existent facts. Your inability to see the entire picture is what is limiting your argument. You are looking at the problem with rose colored glasses instead of the reality glasses others are using. It should be obvious that you have missed alot and truly dont understand the impact of the changes by the fact that you are pretty much the only non ccp/csm member trying to polish this turd of an expansion....its still a turd no matter how much you try and polish it up.
!!!! Pot, meet kettle. You haven't even tried to use the system, you've simply leapt in and started screaming about how bad you THINK it's going to be. Honestly, if you can;t make any isk in industry, it's because you are terrible at EVE. The changes are here and are here to stay, so if you don't like it, sod off.

The Indecisive Noob - EVE fan blog.

Wholesale Trading - The new bulk trading mailing list.

Industrious Mistress
The Scope
Gallente Federation
#162 - 2014-07-27 14:53:52 UTC
Lucas

You are still missing the point and just recycling the same tag lines as you did before which does not strengthen your failed argument. Please come back to this post when you can say something different, more substantial, and backed up with logic and fact, then maybe your opinion would be more valued and valid.

Thank you for trying to bow smoke and mislead those players who might not have had the chance to look into the new changes or god forbid the new players trying to get into industry. You are causing more problems by pushing this misinformation than the expansion actually...you seem to have taken the :Fox News" approach to pushing misinformation, just keep telling the same lies until people believe it. you can keep saying that moving around is beneficial for new and old players alike, but that doesnt make it true.
Industrious Mistress
The Scope
Gallente Federation
#163 - 2014-07-27 14:59:41 UTC
Lucas Kell wrote:
RonPaul Rox wrote:
this guy compresses ore, finds out its profitable, thinks he's the new warren buffet of eve
Yes, because all I'm doing is selling compressed ore. Roll Nubs these days.


Then your not an industrialist, your just a miner, which explains alot of your misunderstanding of the problem and your inability to look at the big picture.

Or maybe its just that as a nul sec player, you hyping up this failed expansion only serves to push more material into your nul sec , blue doughnut , ,capital building alliance....just speculation on this part, but it kinda fits into your previous post...I actually kind of hope thats the case, because it means that you are just intentionally trying to mislead people and not as ignorant of the problem as you seem to be.
Vartan Sarkisian
Tannhauser C-Beam
#164 - 2014-07-27 18:10:51 UTC  |  Edited by: Vartan Sarkisian
tl:dr - I think they need to kill off this pricing index thing.

A few days in now and I guess the main issue that I have is the price system index, or specifically that it changes so quickly. I have up to this point tried a little invention, some TE and ME research and a small amount of manufacturing.

I like the new interface it is clearer and less RSI inducing than the previous incarnation, although I can appreciate that people that run on lower resolutions would have an issue with the size of the interface. I love the fact that slots have been removed too.

As i say my issue, and the thing that is kinda tugging me to give up is the index pricing. As you are probably aware if you have give it a go. So the scenario is this.

I am in station, the same station I was in before Crius and I want to set off some manufacturing jobs, I know that manufacturing will be the big portion of my operation so i load everything up and make 3 or 4 round trips and move to a system with a low manufacturing index. So everything is in my hanger and its all good.

I notice I have some BPOs that need a little research some TE and some ME, I set up a TE job and nearly cry at the prices, but then it is recognised that the prices are screwed so there is a fix, ok, I check again and it seems a bit expensive. I check the index and my system is about the 6 best TE, I swallow the extra cost and set off the job. I've already moved all my stuff once, I dont want to do it again.

I check the ME, the ME index is terrible, I needed to move the BPOs 3 or 4 jumps to find a decent place to research ME, ok it is only 3 or 4 jumps, I drop it all in a quick ship and get there with no problems.

Luckily I dont need reverse engineering so that is something I can ignore.

I've not yet copied but the best index for copying is 7 jumps away

I do need to do some invention from BPCs that I had pre-crius, I get all the bits I need, but oh wait, I need to move 6 jumps because the index for Invention in my current station is crap.

Then to top it all off, when I need to do some manufacturing I check my systems index and it has risen, making it more expensive to build there... sigh, have to move again, another 4 round trips.

I am sure that this post will get its share of flames, fair enough, ill let you know I will not respond to those. but my feeling is ALL this moving around is too much. Having a cost index against every activity and having it update so often is making industry a real, annoying, boring, and tedious chore and if that is how it stays I can see me at best doing much less industry, at worse potentially giving it up.

If anything a POS would be more restrictive. The only advantage in a POS (from what I can tell) is less tax (although my corp still charges a tax for using pos, and a speedier manufacture time) the pricing indexes still affect POSes and it is crazy to rip down and set up a POS everytime, chasing the lowest cost option.

CCP have to be careful, people play games (including this one, as it is just a game) for enjoyment, it shouldnt feel like a chore or a second job so if anyother game comes along that perks the interest then... well people will just stop playing the game that is more like a job, and start playing the one that gives more enjoyment. Right now Industry, due to the different price index, for different activities changing so quickly is makig this side of the game as tedious as setting up PI on a planet.

v
Lucas Kell
Solitude Trading
S.N.O.T.
#165 - 2014-07-27 20:23:48 UTC
Industrious Mistress wrote:
You are still missing the point and just recycling the same tag lines as you did before which does not strengthen your failed argument. Please come back to this post when you can say something different, more substantial, and backed up with logic and fact, then maybe your opinion would be more valued and valid.
LOL, yes, I'm restating valid points, that industry is still profitable. You keep repeating that it's not, yet you can't explain why not. Half of the stuff you are coming up with isn't even stuff that's been added by this expansion.

At the end of the day, if you can't make isk from industry now, it's because you are terrible at EVE, nothing more.

Industrious Mistress wrote:
Thank you for trying to bow smoke and mislead those players who might not have had the chance to look into the new changes or god forbid the new players trying to get into industry. You are causing more problems by pushing this misinformation than the expansion actually...you seem to have taken the :Fox News" approach to pushing misinformation, just keep telling the same lies until people believe it. you can keep saying that moving around is beneficial for new and old players alike, but that doesn't make it true.
I'm pointing out the very valid FACT that industry is still profitable, and that idiots like you running around screaming about how industry is dead are simply bad EVE players with no clue about the mechanics.

Industrious Mistress wrote:
Then your not an industrialist, your just a miner, which explains alot of your misunderstanding of the problem and your inability to look at the big picture.
Apparently you don't understand what sarcasm is. I guarantee I do more highsec industry than you do.

Industrious Mistress wrote:
Or maybe its just that as a nul sec player, you hyping up this failed expansion only serves to push more material into your nul sec , blue doughnut , ,capital building alliance....just speculation on this part, but it kinda fits into your previous post...I actually kind of hope thats the case, because it means that you are just intentionally trying to mislead people and not as ignorant of the problem as you seem to be.
Industry will be viable in null now for sure, but it certainly won't be competitive in the highsec hubs with high sec industry. Logistics costs guarantee that high see will remain the source of industry for the high sec hubs.

And what possible reason would I have to mislead people into doing highsec industry? Why don;t you go off, calm yourself down, stop crying into the patchnotes then actually TRY the industry system. You are coming up with all these reasons for why it's not going to be profitable, but it's been proven it is. And it's all because you haven't even bothered trying. You are just jumping on the dinsdale bandwagon of screaming and crying like a child. Grow up kid.

The Indecisive Noob - EVE fan blog.

Wholesale Trading - The new bulk trading mailing list.

Lucas Kell
Solitude Trading
S.N.O.T.
#166 - 2014-07-27 20:32:41 UTC
Vartan Sarkisian wrote:
tl:dr - I think they need to kill off this pricing index thing.
The price indexing will settle down a bit in time. At the moment everyone is jumping around trying to get themselves settled, so the indices will be a bit all over the place, especially if you are in a hub region. It's certainly possible to find stable indices in high sec though, and the ease of that will increase over time.

I doubt very much they will strip this away though, since what you are saying you don't like - the moving about - is what they are aiming for. Most of the manufacture has been done right outside the hubs for a long time, by people who essentially log in, click chuck in whatever their eve IPH tells them then log back out. The idea of these changes is to turn industry into a real gameplay mechanic, so people have to think about what they do and actually play the industry game. Sure, some people aren't going to like that (like Industrious Mistress for example) and are just going to ragequit. I imagine CCP were well aware of that, but knew it still had to be changed regardless. At the end of the day, you can't please everybody.

The Indecisive Noob - EVE fan blog.

Wholesale Trading - The new bulk trading mailing list.

Industrious Mistress
The Scope
Gallente Federation
#167 - 2014-07-28 01:06:02 UTC  |  Edited by: Industrious Mistress
Wow Lucas you really are dense...read the post from the guy above if you need it broken down more, he presents the case I'm making quite well...he understand the simple thing you do not and even after reading his post Im quite sure that you will still not be able to grasp the simple concepts being discussed...your short sided, unproven, non factual comments just confirm that you can lead a mind to knowledge but you cant make it think.
Lucas Kell
Solitude Trading
S.N.O.T.
#168 - 2014-07-28 07:43:01 UTC
Industrious Mistress wrote:
Wow Lucas you really are dense...read the post from the guy above if you need it broken down more, he presents the case I'm making quite well...he understand the simple thing you do not and even after reading his post Im quite sure that you will still not be able to grasp the simple concepts being discussed...your short sided, unproven, non factual comments just confirm that you can lead a mind to knowledge but you cant make it think.
So explain it. All I'm seeing from you is "waah prices are up", which we all know. They are up for everyone and that won't suddenly make industry unprofitable. You don;t know what you are talking about because you've refused to actually try, you've just had a knee-jerk reaction and been whining from minute one.

Now if you Read Vartan's post his issue is that he has to move around a lot. Well first off that's probably because he's in a hub region with a lot of activity, so the price will fluctuate more. And secondly CCPs goal was to make people move around a lot, since industry up until now hasn't been gameplay, so get over it. With the old industry they may as well have replaced it with NPCs, since there was no thought process to industry. Now there is a thought process and people like you are complaining because you don't want to have to think. I have precisely zero sympathy for anyone who actively refuses to try.

And LOL, MY non factual statements? You mean that industry is profitable? You might want to take a quick look at market economics and you will understand that it's impossible for industry to not be profitable. You were whining from the moment the changes hit, which tells me you are whining without having any knowledge of the system, and yet you want to harp on about my "facts" being unproven. I'm gonna call it, you are clearly just a troll. I bet you don't even run industry at all.

The Indecisive Noob - EVE fan blog.

Wholesale Trading - The new bulk trading mailing list.

Vartan Sarkisian
Tannhauser C-Beam
#169 - 2014-07-28 07:58:20 UTC  |  Edited by: Vartan Sarkisian
Lucas Kell wrote:
Vartan Sarkisian wrote:
tl:dr - I think they need to kill off this pricing index thing.
The price indexing will settle down a bit in time. At the moment everyone is jumping around trying to get themselves settled, so the indices will be a bit all over the place, especially if you are in a hub region. It's certainly possible to find stable indices in high sec though, and the ease of that will increase over time.

I doubt very much they will strip this away though, since what you are saying you don't like - the moving about - is what they are aiming for. Most of the manufacture has been done right outside the hubs for a long time, by people who essentially log in, click chuck in whatever their eve IPH tells them then log back out. The idea of these changes is to turn industry into a real gameplay mechanic, so people have to think about what they do and actually play the industry game. Sure, some people aren't going to like that (like Industrious Mistress for example) and are just going to ragequit. I imagine CCP were well aware of that, but knew it still had to be changed regardless. At the end of the day, you can't please everybody.


Lucas, Thanks for the reply.

If the indexes settle down then it won’t be so bad. I don’t even care if it isn’t the cheapest station to do whatever industry option, I am even OK with the occasional move around. But at the moment it is too much, having to do a different activity in a different station is a total chore, but yes, I agree if the indexes settled down then it will be a lot better. I am getting fed up with trying to juggle the locations and activities of 3 account toons.

Oh and I am around 7 jumps from a trade hub (i say around as I've had to drop invention, copying and manufacturing in different systems around me, none are within 6 of a trade hub though.

A couple of things that I think would help though (just in case it doesn't settle P) is...
- Make the price index a constellation figure rather than a system figure.
- And/Or give all stations the ability to do all industry activities.

V
Lucas Kell
Solitude Trading
S.N.O.T.
#170 - 2014-07-28 09:49:13 UTC
Vartan Sarkisian wrote:
If the indexes settle down then it won’t be so bad. I don’t even care if it isn’t the cheapest station to do whatever industry option, I am even OK with the occasional move around. But at the moment it is too much, having to do a different activity in a different station is a total chore, but yes, I agree if the indexes settled down then it will be a lot better. I am getting fed up with trying to juggle the locations and activities of 3 account toons.
Yeah I think most people with more than a few industrialists will settle into single systems and work with the fees. You can make a good saving producing in bulk now, especially with the material level working over a batch rather than single items, and as always, the bigger you are the smaller the individual margins you tend to chase. Solo guys will move around chasing low fees and large margins.

Vartan Sarkisian wrote:
Oh and I am around 7 jumps from a trade hub (i say around as I've had to drop invention, copying and manufacturing in different systems around me, none are within 6 of a trade hub though.
Are you in the same region as the hub? The whole regions of hubs will be all over the place as people are exploding out from the hubs they've been living in but still want visibility of the market. Moving outside of the hub regions you'll find stable prices already. I tend to keep my traders in hubs, but keep my industry guys in the region next door.

Vartan Sarkisian wrote:
A couple of things that I think would help though (just in case it doesn't settle P) is...
- Make the price index a constellation figure rather than a system figure.
- And/Or give all stations the ability to do all industry activities.
Reasonable suggestions. If they did make it constellation based they'd have to work it so that bigger constellations handle more industry than smaller ones, otherwise the same situation would occur now but with a whole range of systems being nuked by larger industrialists. Would certainly help to keep the prices more stable though.

I kinda like that stations don;t have everything available though, especially if you find a system with no slots for a given activity. Having a POS in that system give you that ability but it's not flooded with activity from the stations. Once (if) they release the POS changes so that multiples of the same structure will add more of a saving it will create a unique opportunity to run a specialist POS in those systems for maximum savings.

The Indecisive Noob - EVE fan blog.

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Vartan Sarkisian
Tannhauser C-Beam
#171 - 2014-07-28 13:53:47 UTC  |  Edited by: Vartan Sarkisian
Yes I am still in the same region as the hub, and yes for the visibility so I can alter prices etc, although saying that I am moving most of my selling to one or both of my account alts so possible to move the main to another region for industry.

Basically the two other account alts were there just for PI, they do have JC in hub systems (Amarr and Jita), I’ve tried station trading with those but without much success (but that is a different post).

My industry ground to a halt about 6/8 weeks before the patch and I concentrated just on getting ME and TE up on my BPOs (most of which are perfect now), I didn't know how Crius would pan out so waited until it was live until trying.

I was making T2 frigates before the change but have re-dipped my toes with something simpler. I think that the profit is there, certainly not as good as before but it is there (although I’ve not yet a finished product on market). I may look into the idea of going out of the region that a trade hub is in and see if I can achieve everything in the same station. At least I hope there is profit, if not I have wasted a large amount (to me) of ISK recently.

I do have access to a POS but actually prefer to use public, sure the tax is a little more and I am not really bothered by the time impact, my style of play suits it as is. Ie I am not a hardcore industrialist more an enthusiast :) and if truthful, to do more hauling between a station and a POS is something I just cannot be dealing with right now.

As I was sodding around last night trying to get all my toons in the stations they needed to be in, doing the things that they needed to do I had some thoughts on how I am going to get around this and make it less of an issue to me as I think industry does (or did) give the most bang for the buck, and PPPPPP springs to mind lol, (Proper Planning Prevents **** Poor Performance) just in case you were wondering.
Lucas Kell
Solitude Trading
S.N.O.T.
#172 - 2014-07-28 14:27:00 UTC
Yeah there's certainly a bit of working out and testing the water you'll need to do to find your feet. T2 production has the new advantage of being closer to the BPOs with not having the whole waste factor anymore. Speculation on T2 productions has been a major revenue booster the last few days.

For the prices by the way, if you look at the link in this post, Steve Ronuken has set up a part of his site to look at the prices in various places. It's very handy at finding a good place to settle (I'd avoid the lowest of the lows, as people will undoubtedly flock to those).

The Indecisive Noob - EVE fan blog.

Wholesale Trading - The new bulk trading mailing list.

Vartan Sarkisian
Tannhauser C-Beam
#173 - 2014-07-28 14:34:46 UTC
Yeah I was using that site, In fact I suggested to steve the range column, and to add the lab/factory tick boxes... (your welcome lol). I am committed at the mo to making the stuff I have where I am (no way I am hauling all that anywhere, and I have a freighter arriving at some point with another few hundred k m3 of stuff, so ill sit where I am, hopefully make a profit (or at least break even in this test) then evaluate and either stay or move. Basically I am looking at places under 2%. Looking at that site where I am at the moment is good for manufacturing, My invention location is good too, but more % for copying is nearly 3% so I guess 2 out of three isn't bad, Unless I buy new BPOS I wont need to research.
Shoogie
Serious Pixels
#174 - 2014-07-28 21:09:53 UTC
The changes in the Crius release will require a significant number of people to quit industry, or at least let their manufacturing lines idle more often than previously.

It is basic economics. What happens when demand stays constant, but supply goes up? Margins become thinner.

There were two major changes which will potentially increase supply. Easiest to understand is the change of the Material Efficiency skill to Advanced Industry. The Material Efficiency skill was too good before. Because it was so important, everyone who wanted to do industry was required to train it to level 5. Therefore, almost everyone with an interest in industry today was gifted Advanced Industry level 5. That basically means that everyone gets 15% faster production for everything. But nothing in Crius changed the demand side of the equation. Therefore, the same market demand can be fulfilled by 15% FEWER characters now than it could have before.

The second major change to increase supply was the removal of slots. Previously, a great deal of production was slot-limited. The next job was queued up before the previous job could complete. Time waiting in queue was wasted time. With the removal of slots, there is no need for this wait any longer. I cannot begin to quantify how much the removal of slots will improve industry throughput, but it is significant.

So the market can be fulfilled by fewer industry characters now than before. If more people try to produce than are needed to satisfy the market, then profits will decrease.

Of course, I am not saying there will be no profits. However, it will take more effort to realize that profit. More time thinking about what to build. More time examining facilities. More time hauling. Profit per unit may even be higher, but profit per time spent actually thinking about and doing industry will be lower. This will cause a number of people to quit manufacturing. A new equilibrium will be established with fewer players in the market.
Lucas Kell
Solitude Trading
S.N.O.T.
#175 - 2014-07-28 21:48:24 UTC
Shoogie wrote:
There were two major changes which will potentially increase supply. Easiest to understand is the change of the Material Efficiency skill to Advanced Industry. The Material Efficiency skill was too good before. Because it was so important, everyone who wanted to do industry was required to train it to level 5. Therefore, almost everyone with an interest in industry today was gifted Advanced Industry level 5. That basically means that everyone gets 15% faster production for everything. But nothing in Crius changed the demand side of the equation. Therefore, the same market demand can be fulfilled by 15% FEWER characters now than it could have before.

The second major change to increase supply was the removal of slots. Previously, a great deal of production was slot-limited. The next job was queued up before the previous job could complete. Time waiting in queue was wasted time. With the removal of slots, there is no need for this wait any longer. I cannot begin to quantify how much the removal of slots will improve industry throughput, but it is significant.
While true in part, the production times have also been changed, in many cases up, which will compensate. You also would have to assume that we were meeting demand almost entirely, and that production supply is not stifled by material requirements. Of course margins probably will shrink, but I doubt it will be significant.

Shoogie wrote:
However, it will take more effort to realize that profit. More time thinking about what to build. More time examining facilities. More time hauling. Profit per unit may even be higher, but profit per time spent actually thinking about and doing industry will be lower. This will cause a number of people to quit manufacturing. A new equilibrium will be established with fewer players in the market.
I think this is pretty much the goal of the changes. They want people to have to play industry, not just do it as a side task, which is what it's been for a long time.

The Indecisive Noob - EVE fan blog.

Wholesale Trading - The new bulk trading mailing list.

Shoogie
Serious Pixels
#176 - 2014-07-28 22:34:34 UTC
Lucas Kell wrote:
Shoogie wrote:
However, it will take more effort to realize that profit. More time thinking about what to build. More time examining facilities. More time hauling. Profit per unit may even be higher, but profit per time spent actually thinking about and doing industry will be lower. This will cause a number of people to quit manufacturing. A new equilibrium will be established with fewer players in the market.
I think this is pretty much the goal of the changes. They want people to have to play industry, not just do it as a side task, which is what it's been for a long time.


We agree on that.

I am still in shock that CCP actually went through with these changes which are guaranteed to make people quit manufacturing and shut down alt accounts.
Shoogie
Serious Pixels
#177 - 2014-07-28 22:46:24 UTC
For those of you quitting manufacturing, thank you for doing your part to help the market find its new equilibrium.
Rastafarian God
#178 - 2014-07-28 23:58:23 UTC  |  Edited by: Rastafarian God
I understand some of the concerns such as some peoples issues with the tower changes and the increased job times but invention overall is still looking OK for me so.

I do the business model also. I have a pretty snazzy spreadsheet up on my other monitor right now. I've been making T2 ammo for some time now and have been making the same kind for awhile since its stable and the return is good. Its not crazy amounts of money.. like close to 200 mil a batch, but its more then enough to fund me and continually add to my wallet with limited work on the side.

Here is the thing. I always buy and sell in the same hub. I also manufacture, copy, and invent in the same stations regardless.. all in station.. aka the least cost effective way. The way a lot of people here say they do not want to do.

With the market the way it is right this moment I am showing a 30.35% profit margin while being stuck in one location and not using teams at all. That is without figuring in the cost of data-cores from failed invention jobs, but I never figure that in before hand since its a small number and to random to predict accurately. the increased invention time threw me for a loop but its nothing working up a stock will not remedy.

Thats a respectable profit margin. Ide like it to be higher but its in the range you want it to be. Its difficult to get higher then that but when you start dipping below 30% you want to rethink the market a little. You never seem to get much over 40% though. So I am not seeing an issue on my side thus far.

I am predicting a spike in prices however and am holding off putting product up for sale for now. Im hoping to build the stock I need to buffer the copy/invention times before the spike hits, then sell at a higher price when it does spike for a short time.. if it does.

I understand some peoples concerns. Some people are kind of stuck in the high end capitol ship side... sort of like I am stuck in munitions. But If you understand the math and market and take the time to do it all you should adjust and be OK in the long run.

We'll just have to wait and see if the market settles like it should.. wich I hope and think it will.
Rastafarian God
#179 - 2014-07-29 00:24:34 UTC
also.. I forgot to mention that this is all done with BPO's that are not researched at all. Just saying.. but if your building ships I understand the need for that.

Teslyn Sable
Shadowfire Enterprises
Rura-Penthe
#180 - 2014-07-29 13:28:27 UTC
For what it's worth, one of my corpmates noticed yesterday that the manufacturing index *is* starting to settle down. He's been watching it daily for us since Crius and said that things do seem like they're starting to fall into place. He said the research index is still ridiculous though.

Prior to Crius, like many other industrial corps, we ran a high-sec research POS. It just made sense to do that, since, you know, slots. Now we're actually converting that POS into a manufacturing POS and we *think* we'll save enough on install costs that it'll be worth it to keep the POS running.

Our POS is located in an out of the way system about four jumps away from a major trade hub. It's not the best system, sure, but it's certainly far from the worst. It's close enough to the hub and the highway that we can load up our freighter periodically and move stuff to market without having to spend a ton of time doing it.

Ironically, while we're moving manufacturing into a POS, we're seriously looking at moving research back into a station. We did drop a POS in a system way the heck out in the middle of nowhere (that has some science facilities in it), just to have a fallback if we still needed a research POS - but based on the amount of research that we expect to be doing now that we don't need a billion copies of everything, it seems like it will just be cheaper to use that station than to pay for the fuel for the POS.

Pricewise, we are certainly paying more to manufacture things than we were pre-Crius, but we knew that was going to be coming. Since a lot of the tools we used pre-Crius haven't been updated yet, we've gone back to old school and we've spent the last week or so rebuilding our main COGS spreadsheet to account for the system index and give us our production cost on any item we make. In general, we'll end up passing the cost increase along to the consumer like everyone else, so our net profits will stay roughly the same once the market adjusts. We have a general rule that we don't make anything we can't sell for at least a 50% profit margin over its production cost, and our COGS spreadsheet (and eventually IPH, once it's caught up) will still help us follow that rule.

I think a lot of the manufacturers who are getting hurt by Crius are people who: a) weren't really paying attention to the cost of things they make and were operating on much smaller profit margins per item, or b) weren't really being thoughtful about *how* they make things in order to optimize their production costs.