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Archive for August 25th, 2009

More Farmville Economics: Treeconomics

Wow.  The traffic from the first two blog posts on Farmville has been high.  In fact, the Zynga blog even picked up the two articles.  Very flattering.

I was all set to write a post tonight on the economics of trees in Farmville… but then I caught Pablo’s post on “Treeconomics”.

Brilliant.  Leveraging some of the work I had done, he does a evaluation of a 16-square of trees in terms of “yield” vs. crops.  Very interesting, confirming that a 16-square of Date trees can compare very favorably to almost everything.

I’m going to have to think about this a bit more – I want to build a model where I incorporate a few additional factors:

  • The “down payment” for trees.
  • The freedom to never have to “plow” or “plant” again. (value of time)
  • The freedom from working capital for seeds on an ongoing basis.
  • The removal of “withering risk”.  Crops wither after 20% of their growing time, yielding a complete loss of the capital to plow & plant.  Trees never wither.
  • The lack of experience points from trees
  • Incorporate the data from all the trees, not just the ones you can buy.

I’ll still write a follow up here, but tonight there is no need.  Check out this table from Pablo as  sample:

Cost Revenue/Harvest Days to Harvest Daily Revenue Daily Rev/ Invested $ Days to Payback
Date $800.0 $69.0 3 $23.00 2.88% 35
Lime $750.0 $75.0 5 $15.00 2.00% 50
Lemon $475.0 $41.0 3 $13.67 2.88% 35
Peach $500.0 $47.0 4 $11.75 2.35% 43
Fig $350.0 $33.0 3 $11.00 3.14% 32
Plum $350.0 $30.0 3 $10.00 2.86% 35
Orange $425.0 $40.0 4 $10.00 2.35% 43
Apple $325.0 $28.0 3 $9.33 2.87% 35
Cherry $225.0 $18.0 2 $9.00 4.00% 25

And this one:

Daily Profit Total Profit Initial investment Residual Value Profit
Super Berries $900.0 $81,000.0 $81,000.0
Date tree square $368.0 $33,120.0 $12,800 $640.0 $20,960.0
Tomatoes $174.0 $15,660.0 $15,660.0
Raspberries $132.0 $11,880.0 $11,880.0

Too cool.

Now go read it.

Updates: I’ve now posted additional articles on Farmville Economics:

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