Monday, May 16, 2011

GPH is a LIE, PART 2, (to the newer AH goblin???)

Enter the GPT/PPT and the TPH theory.

I think any goblin already has this all worked out in their head and knows the value and nubers as it relate to thier personal valuation of their time.

Gold Per Hour...  

GPH- is enough if you have enough gold in game to cover your expenses, and you have enough time in game to follow your number one passion  (raiding/PVP etc) 
but as an expression it lacks value to really show what your time is worth...

Gold Per Transaction - GPH... Or Profit Per Transaction (PPT)
Transactions Per Hour - TPH
Have IMO a stronger outlook to position your time and its value as a more real valuble tool to valuate your time.  To me its like binocular vision vs. monocular vision... you now have a more accurate 3D picture w/ depth of field instead of 2D info easily manipulated and warped to display a single number.

Simply put.. these terms used together have greater capacity to better quantify the value of your time.

Example: Car price at dealer A is $9,999 and at dealer B it is $11,399 for the same exact brand new car...
Dealer A does not include tax, title, admin and delivery costs in the price
Dealer B does include tax, title, admin and delivery costs in the price
Point... A single number does little to really reflect the situation...

2 separate numbers give some depth without getting too difficult to track and follow, but still has pleanty of room to be wrong... Just, there is less room and likely less deviation with 2 control numbers. YMMV

You want to increase each of them, your PPT and TPH as much as your current market will allow with minimal time invested...   Addons are you friends here.

Your biggest tools to do this is balaning your threshold and your fallback correctly for the markets you're in.

What is your threshold?
What is your fallback?
Got another question?

leave a comment or question to prompt further discussion.

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