How did the Fansite Item Lottery affect fansite items' price?

Question

Earlier this year, Tibia ran the Fansite Appreciation Day with two different contests to obtain multiple fansite items. Obviously, this created inflation for them and they are just collectibles, without inherent value in the game.

How did this event affect the price of the fansite items that were distributed? Is this effect from the direct new number of items or from the implication that Tibia can once again raffle fansite items in the future, without a specific contest from the fansite?

Answer 1

The Fansite Item Lottery dont generated inflation, that's another thing in the market.

One of the most basic rules of market/economy is the law of Demand and Offer.

In microeconomics, supply and demand is an economic model of price determination in a market. It postulates that, holding all else equal, in a competitive market, the unit price for a particular good, or other traded item such as labor or liquid financial assets, will vary until it settles at a point where the quantity demanded (at the current price) will equal the quantity supplied (at the current price), resulting in an economic equilibrium for price and quantity transacted. It forms the theoretical basis of modern economics.

Source: Supply and demand (Wikipedia)

• Case #1

With the same Demand and Offer the price for the sevice or item keeps equal

• Case #2

If the Demand if high than Offer the price of the service or item growth

• Case #3

If the Offer is high than Deman the price of the service or item decreases

Demand = People who want exchange money for that service or item

Offer = People who give that service or item in exchange of money

In a very short adn simple answer:

Fansite Item Lottery = More Fansite Items In Market

More Fansite Items In Market = Growth of the Offer

Growth of the Offer = Price reduction

PD: To the end the rumors are parte of the movement of the economy, soooo yes the rumors about a new Fansite Appreciation Day affect the price of the Fansite Items.

Comments

What's your source of the quote?

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With "supply and demand" you could just answer all questions regarding prices of anything could you not?

Do you have any hard numbers on observed price drops, be it in total or in percentage? Do you have any estimates?
My question was on "HOW" did it affect the price, not on "WHY" which can be attributed to supply and demand indeed.

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@shawtay, Source: en.wikipedia.org/wiki/Supply_and_demand

@YakiHon, Not all questions, the inflation as you mentioned is another fact or the depreciation of euro in real world. But "supply and demand" is like the base in Tibia. I gonna take a look about general prices and edit it.

Answer 2

I'll answer your question without getting into economics, because I think there are slightly different mechanisms going on here, and the sheer impact of the increased number of items given away has a slightly smaller impact on their price.

Of course, in the past, items that were given away sporadically or virtually not at all reached astronomical sums, sometimes of the order of 3kkk. However, those given away more frequently (2-3 per year) also held their price.

With the introduction of the Fansite Appreciation Day raffle, 3 additional items began to be given away to random players, which significantly reduced the price of these items. Why?

In my opinion, the main influence on this price drop is who we give these items away to. Until now, they were given to players who, to have the item, were willing to make a certain commitment, a contribution to participate in the competition. This made the items have value. The moment the items began to be distributed to random players who have taken practically no activity to get the item began an almost immediate devaluation of fansite items. they want to cash out the valuable gifts as soon as possible.
Players getting a valuable item want to sell it immediately. At a time when such items are removed from the market and offer to sell must be constantly checked and renewed - the player is anxious to get rid of this possession as soon as possible. Thus, they lower the price again and again to receive a profit as quickly as possible. This is how the prices of the items fell. And they will continue to fall until it is no longer profitable to sell them.

Answer 3

People will always want to buy items from fansites. They are items that can't be obtained through the game and even if more are released every year, the amount of them is still very low. Also, there are players who will never sell them because they want them. The players who buy these items are usually collectors and pay a lot of money for them. Also keep in mind that in general everything in Tibia is devaluing, except for some very, very rare items.