More realistic portrait of the GDKP economy?

TLDR: Thinking of GDKPs as a hierarchical gold accumulation mechanism makes more sense than the simplified pictures we get from GDKP superfans or haters.

Some of the simplistic arguments we read on these forums every day:

  • GDKPs make money because RMT whales spend 100,000s of gold on BIS / rare loot.

  • GDKPs are just DKP with gold. We accumulate it in GDKP raids and spend it back.

Let’s start with the second one. The idea what gold is just recycled in GDKP raids clashes with the admission that GDKPs are among the most efficient ways to farm gold. In other words, if many players enjoy a high net profit from participating in those activities, and since GDKPs are zero-sum from the gold point of view, that means there must be an equivalent input of gold from other gold-generating mechanisms.

Does that mean that the gold comes from large single RMT transactions? Not necessarily. In fact it makes more sense to think of the GDKP economy hierarchically. Let’s say you’re a fresh 70 and you enter a T4/T5 GDKP as a buyer with your modest pot of gold. You buy some pieces, and eventually you could be a carry in the same raids, but of course over time the value of the same pieces goes down. So you probably won’t make your money back. You can have a lot of players in that situation, losing a bit of gold, with the gold accumulating up the GDKP “hierarchy”.

The players making a profit must be ahead of the gearing curve, and those making money from the most current content must have been ahead of the gearing curve before participating in GDKPs, as well as having a good amount of social capital on the server to be trusted to organize or participate in those. So it’s not exactly true that GDKPs “bypass” the social process of MMORPGs. In some way they are a very successful entreprise to leverage this process to accumulate in-game gold.

In this way the promise of “easy gold” by just participating in GDKPs is not unlike those made by multi-level marketing schemes. There’s a clear hierarchical structure and those who join late will not partake in the profits. Just as not all such schemes are illegal in real life, pro-GDKP players will say that they should be allowed, because at least the late joiners get gear; it’s a player-run catch-up mechanics for profit.

So coming back to the first point at the top, because GDKPs are so efficient as a gold accumulation mechanism, I find it actually easier to believe most big ticket items go to players that had success in the GDKP moneymaking game (i.e. already highly-geared players or their alts), rather than “RMT skippers” wanting to pay hundred of dollars in real money for those items. But it would be interesting to gather some data to verify this.

That doesn’t mean that GDKPs can’t benefit disproportionately from botted/RMT gold. But if so, I think it’s easier again to think of it again as being due to how wealth accumulates there, how they are often the final destination of gold from other sources (because you only need so many mats or consumes or mounts, but you can still improve your gear).

Do you think the higher than normal number of alts-per-player contributes to RMT through GDKP?

Due to boosting, players in Classic have far more alts than were ever present in original TBC. Many people raid on several alts and very often through GDKP since they don’t have to commit to a raid schedule.

Do you think the huge amount of alts is a contributing factor to RMT demand?

I mean if their gearing ambitions exceed the income they can generate on already geared characters, then yes they might buy gold.

On the other hand most people use alts for goldmaking too, even excluding solo dungeon farming, you can sell tank services, profession CDs, etc. Personally I used my alts first to support my main’s expanses and only geared them late in the expac. They are also not in T6 gear of course.

I think what you are saying by “hierarchy” is pyramid scheme…

Gold aside, the logic behind “it’s the best way for geared people to continue raiding” it’s flawed. If you’re BiS or near BiS in the latest content progression you’re done with that character there shouldn’t be an “incentive” to keep playing that particular character.

What do you do? you start an alt and start over the gearing process raiding like normal people. This game is a loot loop, it’s not meant to keep playing your character beyond BiS. You already “won” the game for that phase.

You’re not wrong that you need to stay ahead of the gear curve to grow from it, however that curve is based on how many buyers there are and how many buyers end up wanting to be carries.

As long as there is a high amount of casual buyers (often gold buyers), then getting past that curve shouldn’t be overcome-able

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Yes, if the idea you’re selling is that “you can start as a buyer, gear up primarily through GDKP and end up with a profit”, then it can’t be true for most people. The stream of buyers runs out.

And indeed, we see that this late in the expansion the main challenge facing GDKPs is lack of buyers.


Message above has a good point too. RMT can help keep the stream of buyers going longer, so it’s another way in which it helps GDKPs. Maybe some people enjoy grinding more than GDKPs, but at some point if you get gear you may be more interested to carry others than to keep the rote farming. Versus bots will keep doing the rote farming.

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