Editing because dumb people keep responding a week later without reading even the first or last response… Yes, if it sells for $20 and a normal sub sells for $15 that’s a $5 profit. Got it. Thanks yall!
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Just a really stupid move.
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They win $5 for each wow token.
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I mean I get companies making moves I don’t agree with morally/socially etc… I can even understand why companies make short-sighted decisions in favor of quit returns over the long-term…
But I just really can’t understand a company burning this much consumer goodwill for something that seems like it’s almost certainly just a loss all-around, long and short-term…
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They do.
Sub is $15, Token is $20. Math isn’t too complicated.
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You don’t understand wow tokens.
Someone has to pay $20 so that it gets converted to a wow token and later to a sub. You may not buy one, but they win $5 for each purchase.
And seeing how the price goes down, its very popular. Supply <-> Demand.
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Yea I guess. But that still presupposes people paying $20 for 7k of gold when they could get it through other means for literally half that
The price is set by Blizzard. There isn’t true supply/demand.
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That is indeed true. Currently, if you want to buy massive amount of gold its better to use some third party website. This may change, who knows.
Again, you don’t understand wow token. The price is dynamically supply <-> demand. They just set the initial 10k on release. Blizzard has no control on how it ends up.
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If they don’t make money I’ll make sure they do when I hit gold cap from buying tokens. Thanks for my future Shadowmourne GDKP!
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That’s very naive for a couple of reasons. It’s not a true bid/buy system. IE: People aren’t putting in “bids” for tokens and the lowest price is just whatever the least people will pay. The price is set by an algorithm YOU don’t have access to, which is controlled by Blizzard. Secondly, it’s not true supply/demand because the supply on one side is infinite. Blizzard will ALWAYS be willing to sell more tokens for $20. It’s just a matter of whether there are enough buyers willing to flip them into gold, and enough people on the reverse end willing to flip gold into sub time.
That’s literally the entire reason Blizzard mandates that tokens are traded over the AH and doesn’t allow players to trade them individually. So they have control…
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You have no idea what you are talking.
It is a supply-demand system. Supply is people that sell gold, demand is people that want to buy the gold (and vise-versa) . It’s not much different from third party websites.
That’s irrelevant in a supply-demand system. If you own a grocery store, the price of your products just increases or decreases. You don’t bid on it.
Probably the only part that is correct, but how do you want to do it otherwise? Prices change based on certain factors “aka” algorithms. You don’t know the algorithms in stocks, do you?
It’s not infinite. If nobody buys tokens, there is no token supply → price increases.
It’s really not that complicated. It is well known in retail.
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Let’s not pretend that there were not a ton of people buying a ton of gold and putting it into circulation through GDKP purchases. Yes, you were able to make a ton of gold honestly running GDKPs but much of that gold that people were spending had its origins in gold sellers.
People who did not buy gold or run GDKPs were completely left behind in the economy. The wealth disparity is ridiculous and the amount of gold in the game is absurd and not reflective of honest earning.
I do not believe that any reasonable person will quit the game because of tokens. Why would they? How does it really affect them? Is it a problem that more people will now be able to compete with bidders in GDKPs?
Why was no one complaining this loudly when people were obtaining their ridiculous wealth through third party sellers or by that same gold laundered through GDKPs, but now that the gold can be bought honestly its the most outrageous thing that ever happened?
Crying about the token now when the integrity of the game was already destroyed from the start by people who purchased gold from third parties is silly.
Blizzard profits $5 from every token sale. They already know through analytics the likely number of people who would unsubscribe because of it, and clearly that number is less than the number of people who will buy tokens so its a net win for them.
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I do, you’re just not following the economics…
It literally isn’t…
There will NEVER not be a token supply which is exactly the point. The supply is infinite… And all pricing is set by Blizzard. They may adjust it up and down based on relative demand… but it’s not a supply/demand system. Because all prices are set by a third party, they aren’t set by consumers.
Sure…but if you own a grocery store, and your consumers can ONLY buy from you, and you can ONLY buy from a single third party, with a limitless supply who dictates to you exactly how much you can resell for… Then that isn’t capitalism. That isn’t a free market, and the principles of supply and demand no longer apply.
You have literally no idea what you’re talking. It’s embarrassing. I don’t know how to explain it to you. You have a basic misunderstand of economics or you simply think blizzard tries to scam you
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They could always compete. Again… the market here is "people willing to spend money to “cheat” in a video game, but not willing to “cheat” to the point of getting 2x the value from a 3rd party.) It’s not like those people didn’t have the opportunity to buy gold before. The only difference now is they have the opportunity to buy it at a much higher exchange rate, directly form Blizzard.
I mean I have a degree in Economics. And near as I can tell, you used to work at Walmart. 
Everyone playing pays a sub. Either themselves or via someone else paying for them. Everyone who’s game time came from a token equals someone who paid $20 for their sub instead of $15.
That’s where the profit is. You’re paying a $5 premium to be able to on-sell a sub to other players.
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That’s more than sad.
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Don’t be so hard on yourself. Walmart is a fine employer I’m told.
I meant the Economics degree, not Walmart. Walmart people are great.
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Lolol, ok bro. Well I’m sure your mother is very impressed with your GED.