How to Undercut on the World of Warcraft Auction House

Making lots of gold on WoW’s auction house means selling lots of items, and getting the most for those items. When there’s many other sellers to compete with in the marketplace, you often need to make sure you have the best price. There is no one-size-fits-all strategy when it comes to undercutting on the WoW AH. Successful pricing via undercutting takes knowledge of both the market and the nature of item being sold.

Maximizing Profit – The One Copper Undercut

If you don’t have much competition, undercutting by the minimum of one copper is how you’ll maximize your profit. This allows you to offer an item at the least expensive price on the AH, and make the most gold in the process. The reason you won’t want to use this strategy in a crowded market is pretty simple – everyone else will be doing the same thing. Unless you want to stand by the auction house cancelling and re-listing your auctions hundreds of times per day, you’ll need to take a different approach if the market requires you to.

Maximizing Sales – Using Deep Undercutting

If you are frustrated by undercutting by the minimum, only to be undercut by many other sellers, then it’s time to put some teeth into your pricing strategy. Instead of undercutting the competition by one copper, lower your price by 10 gold or more, depending on what you’re selling. Using an add-on such as TradeSkillMaster, this is easy to do automatically. When your competition fires back, get ready to undercut them some more. Eventually your merchandise will sell, or your competition will back off. As long as you are able to turn a profit selling at the reduced price, this is a very effective way to scare away competitors!

Waiting For a Better Opportunity to Sell

Sometimes the market will be crowded, or flooded with items priced below cost. In this situation you will need to consider the future value of the item. If it’s not going to rise in price, you might as well offload it for whatever you can get. If it either fluctuates in price, or has speculative future value, you may want to hold onto it. It’s easier to work with the market than try to change the market! Sometimes the best move is to hold onto your items and sell them when the market conditions improve. Knowing when to buy, sell, and hold will take some practice, but it’s a valuable skill that will make you all the gold you will ever need in WoW.