50% profit margin. That’s a lot. Mainstream manufacturers aim to have 5-7% profit across the range, premium ones have 10%. Those values are for overall profit over investment. Considering that the automation price should be enough to break even (no idea if it does or if it’s function), having about that much profit should be enough.
It pays to remember than squidhead’s and Deskyx’s companies are both very to extreme low volume companies. Same with GG, in real world terms I’d expect to have to mark my top range cars up to 600-800% just to remain viable because they’re so damn rare (well, the real figure we can find out once the engineering mechanics and tech pool etc. is put into place. That figure is there purely right now before engineering costs etc. are taken into account because sandbox doesn’t exactly allow you to generate a good estimate)
That’s a good rule to abide to.
Like seriously if there’s one habit this forum has that really ticks me off, is how they always claim to undercut IRL cars while offering more performance/luxury or what not while having the audacity to sell them at 0 or very tiny mark up. No fuckin shit its cheaper youre selling cars at prices that after all the manufacturing, engineering, not to mention establishing dealer networks and legalisation and emissions testing will make you lose money.
And @strop Dimension’s not a low volume company We just make too much sports cars.
is that to say you make lots, but just sell poorly?
It isn’t only profit margin - you need to include all R&D, marketing, tooling and every possible other costs. That’s why even aiming at 5% profit we should set the markup in Automation way higher.
(and I admit I’m setting it way too low in Zavirs, like 20-30% for normal ones and 50-100 for sports/special/limited/whatnot models)
You’re the one to talk about selling well Where’d all that R&D budget come from?
I follow the markup guide killrob shared for the new competitors pack for most of my cars.
My besta-fera should cost something around 2 million dollars (and I’m still loosing millions of moneys in engineering and developing) The price the game offers is too low, even at ridiculous markups.
how dare you insinuate whatever it was you were insinuating! We’re a legitimate business! It’s just that the capital and assets that generate our equity from negative operational budget is privately owned and subject to confidentiality! We do not engage in industrial espionage or patent circumvention at all!
Oh well. It seems I should twice my markups on Zavirs Good thing that I’ve set it correctly on Niddhogg
Speaking of which… #RagnarokinParis - soon… Maybe even I’ll try some photoshopping (or rather gimping)
@strop - Yeah, there were some surely-not-Aussie guys seen around Hypera’s HQ
Is it? See, that’s the thing, there isn’t enough information to support either of our claims. When the market system was introduced, I remember that 0% would be a sort of breakeven point, they even added the factory size for us to get a clearer picture, now with the campaign, that’s gone.
One thing is for sure, “every possible other cost” isn’t supposed to be added to the price that is on the market tab, it would be valid if you were adding on top of the material and production costs, however.
When he mentioned cheaper cars, I immediately presumed we’d be getting on the range of at least a porsche, who have the highest profit margins of a normal maker, at 18% over investment.
You won’t see us, but we see you. We have eyes where you won’t even look
Have you played light campaign? Because there it is quite clear that price with 0% markup is the cost of producing the car - and only producing, without costs of designing and engineering it and retooling or building factories.
I have and it isn’t. 0% markup gets, for example, all the overhead costs included, making you statement of “every possible other cost” wrong. Now, as to being profitable and what would be a breakeven point, all I can say is that a lot of guides still aren’t implemented and everything is a bit all over the place.
Well, yes, not every possible cost, that was an exaggeration. But I wouldn’t say that 0% markup is breakeven point.
depends on the market. cheaper car market have as low as 20% markup.
the more premium cars can to up to 70-80%.
but the Ciant Klass has 50% and still be on that price
the lowlis has 25%
and the Triba… well i didn’t put a price tag on that one. but it can be up to 300% and still be super competitive on the right market
In the campaign mode, markup is highly variable and there’s no one value that should be used. It’s entirely dependent on supply and demand. For example, I had a premium car selling as low as 10% markup because I built it in a large factory and that was the only way to sell off all my cars. And even with that low a markup, I was still making something like $100M/month if I remember correctly.
In sandbox mode, I just follow the markups used by the competitor cars, to make things as fair as possible. So base trims are 20%, premium trims are 40%, and sport trims are 30%.
On the campaign, yes, I agree.
However that’s what was told when the markets were introduced, 0% would mean break even and anything above that would signify profits. That explains people’s tendencies to use realistic profit margins, but which considering the game’s weirdness means we end up with underpriced cars.
@DeusExMackia yes something I discovered myself when I tried to post the Varg, you can’t hide images.
@ramthecowy Bit of a nuisance isn’t it…
@Rk38 Love that teaser. Thought it was just one car after the Sachiuri faded to black, BUT NO, along comes an Axuras!