Profession Kits -- A Nuts and Bolts Introduction
What is a Profession Kit?
Boiled down, a Profession Kit is just a big pile of materials. In one place and for one price you can buy all the mats required to level up a profession from zero to max skill. A customer will buy the materials, haul them over to a profession trainer (some kits require several trips!), and craft the items necessary to skill up.What's the market?
It's all in one word: convenience. It's for people who have gold and who want to switch to a new profession in the shortest amount of time, or are just tricking-out a new level-85 alt. Most people do not want to farm dozens of stacks of Embersilk Cloth or Borean Leather. Nor do they want to spend hours (or days) in the Auction House waiting for those items that only seem to show up once a week with 5 other players competing for them. Customers like that are willing to pay a premium to someone who will just hand them the mats pre-packaged and ready to roll.Additionally, I'm betting that once Mists of Pandaria is released there will be a mass of new Pandas who didn't waste time with a profession in the rush to get to level-90. Those toons will be breaking down my doors to get to max skill quickly. (That's when the prices will go up. <grin> )
What's the profit potential?
The profit in a kit depends on several factors.- How much of the material are you willing to farm, and how valuable is your time? If the kit is a profession which you already have at max skill, then your only cost would be time.
- How much time can you invest in checking the Auction House for items you can't farm (or don't have time)? For me personally, I have 24/7 access to the Auction House, e-mail notices set up at The Undermine Journal, and shopping lists for each type of kit set up in TradeSkillMaster to monitor for steals and deals.
- What is the convenience worth to the buyers? This is not something you can predict, and will vary among different customers.
How do you set prices?
You could, theoretically, keep accounting for all the mats you buy and set prices like that, but a savvy buyer will compare your prices to what's available on the AH now. I set my prices the same way -- how much will it cost me today to replace the mats in the kit I'm selling. In other words, I'm actually selling the next kit I buy.If that sounds confusing, here's a little-known fact about gasoline prices: the filling station does not set their gas price based on what they paid the refinery for the last delivery -- they set it based on how much they think the next delivery will cost. They need to make enough selling what they have now to pay for the gas they'll have next week. That's why gas prices rise immediately when there is a war or crisis -- they are anticipating paying more for the gas when the next truck arrives.
There is a relatively new website, www.warcraftprofessional.com (still in Beta, but a nice tool), that will give a very close real-time figure for what it would cost to powerlevel a specific profession on a specific server and faction. I say "very close" because the list of materials used at Warcraft Professional differs slightly from the list of materials at www.wow-professions.com that I use as my kit checklist. That being said, the lists are very similar in most respects, and the price given is a good metric for powerleveling.
*I* refer my customers to Warcraft Professional (WP) and then set my prices just a little over the price shown there -- because the mats that I don't farm myself I buy on the AH, but only when they're well below the average market prices. So even at the WP price, I usually have at least 30% profit built-in. At worst, if the WP price is temporarily low I may break-even on the kit that I'm selling today, but I'll probably be replacing those mats at the same low prices and the one I sell next week will be even more profitable than usual.
What do you need to start?
At minimum, you will need a toon with his/her own guild bank, seed money (to buy what you can't farm), a good set of addons, and patience.Ideally, the guild bank should be dedicated to selling the kits with no members but yourself, and will have to have enough tabs for at least one complete kit (from 1 tab for Jewelcrafting, to 4 tabs for Tailoring), plus a tab or two to store the deals you come across for the future kits.
The amount of seed money will depend on your farming time and ability, but even the simplest kits usually take a few items from professions other than the kit's purpose (e.g. the Blacksmithing Kit requires some Netherweave Cloth).
My essential addons for kit building and selling:
- TradeSkillMaster -- I know it's a beast to learn, but at minimum you want to use the "Shopping Options" to set up the lists of materials you will need for your kits, even stuff you plan to farm for yourself. Sometimes stuff will show up selling much cheaper than normal, and you may find it convenient to buy rather than farm at those prices, saving time for farming the more expensive items.
- Altoholic and/or Goblinventory -- If you have several toons that can farm, buy, or store items, you will want to have a way of checking where all your mats are located without having to log between each toon every time. These addons (and many others like them) save untold frustration by allowing you to see what you have on all your alts all the time.
- Auctioneer or Auctionator -- This one's not strictly neceassary, but I like Auctioneer for ease of purchasing -- TSM requires a couple of extra clicks to complete a buyout, where Auctioneer is one-click buying.