Understanding Brokering & The Commodities Market


Knowing When to Sell
If getting decent value for your goods is important to you, please remember to check the commodities TICKER that is located within the city. Use the map to find it. It's located two blocks west from the decorated tunnel. The commodities ticker will tell you what the current market prices are for each item when you LOOK at it. An experienced broker will most likely get you a better deal than the price currently offered on the market.

The money you get from selling items can fluctuate, depending on how many of those items are being sold in a short span. If there's a lot of an item being sold, the market value can drop drastically. This screws EVERYONE over IF they (or you) are trying to get good value for the refined/foraged items. By selling through a broker, you will lessen the rate at which the value drops. Brokers lower commodity market values about one-third of the reduction non-Bureaucrats cause when they sell normally.

For example: Sirolei ivy is sold at a base price of $10 a unit. Now say you just sold one bundle of sirolei ivy (equivalent of 50 units) and got $500. When you sell another bundle, the value of the ivy would have dropped and you could get something like $450 for the second bundle. Now imagine everyone selling bundles of sirolei ivy within a short time span. From $10 a unit, you could end up selling for $0.50 a unit!! That's a BIG value difference.

Using a broker won't stop the market value from dropping when a huge bulk is sold, but it will slow down the reduction rate, and save you time if you have a huge load of items to sell and don't want to keep typing "get ivy, sell ivy, yes" over and over. :)

Tipping
It would be a nice gesture to offer a monetary tip to your broker as a form of thanks. Or you could offer the broker some errand items (which you can learn about later) that are often found through hunting critters that drop boxes or made by certain professions. Not all brokers accept tips. Some expect payment. Some just do it for kindness or for experience and feel offended if you tip. I like tips. *ahem* :)

Further Info on Price Fluctuations
(Learnt from Kelasa Quaylin and Trevor "Boss Man" Rage) Selling commodities, potions, tinctures and other finished alchemical products through a broker WILL affect the market value, but not as severely as if you sold it yourself. (Market value reduces about 1/3 in comparison to non-broker selling)

For each commodity sold, the price will be reduced for the next SAME commodity sold. If you brokered 10 bundles of ivy at the same time, you'll get full market value  (plus the broker's bonus), but the next person who brokers ivy will suffer the price drop that 10 bundles of ivy caused.

When you broker though, the price reduction is less than if you were to sell it yourself. So again, it's a good idea to sell through a broker.

Do You Have to Use a Broker?
You are not required to sell only through a broker
. But you will get less value than what you would normally get if you sold through a broker. Brokers also have a bonus where they can get you a percentage higher than what you can get on your own.

If you choose not to take advantage of a broker's service, you can SELL your item at places like the pawn shop and alchemy shop. Skinned items like pelts, fangs and the like are sold at the fur shop and can't be BROKERed currently. Remember, you don't HAVE to sell through a broker, it's just a courtesy to other people in the game and does benefit you more if you're just a forager type.

Should the market value of an item crash and you're in desperate need of funds, you can opt to seek a buyer willing to pay somewhat above crashed price so that you don't lose out completely or feel forced to wait for the market to improve. Obviously, you won't be able to get full market price, but it will be better than the crashed market value.

I personally recommend not going into a rampage whenever the market fluctuates against you. These things happen, you have to learn to adapt to the system.

What's Good about the Market Crashing?
1. If you're a potion-maker, you can save yourself time and energy foraging by buying commodities cheaply from the Commodities Market when an alchemy item has crashed in value. Sure, foraging is cheap, but sometimes you want to make a potion right away and you're sick of foraging. This is a good way to get a few full bundles of alchemy ingredients without sweating it.

2. For those with money to spare, this is a good opportunity to take advantage of your standard market system. Buy low, sell high. In other words, stock up on a bunch of a crashed commodity, and wait for the price to rise. Words of warning for those who think they can make easy money: Remember that the Ticker lists the prices of what the market will BUY from you. It's NOT the same as the price you pay when they SELL you the commodities. Also, when an item crashes, it sometimes stays crashed for awhile. Be prepared to lug around those stocks until the prices go up.