Market-price-based monetization

Upright uses market-price-based monetization (also known as observed preference -based monetization) to monetize benefits for impact categories for which no commonly accepted unit of measure and monetization factor exists, such as Meaning & Joy.

Market-price-based monetization includes the following steps:

  1. Identification of anchor products: Identify products for which the price of the product can be used as a proxy of the value the product creates within a specific impact category, and determine their average price.

  2. Relate monetary values of anchor-products to non-anchor products: Combining (a) estimates on the relative sizes of impacts for both anchor and non-anchor products and (b) prices of anchor products, produce estimates on the monetary value of impacts of non-anchor products.

A product can qualify as an anchor product for a particular impact category, if:

  • It mainly creates value within that impact category

  • The product has negligible external benefits (at least within the impact category of interest)

  • Producers of the product use value-priced, rather than cost-based pricing

Examples of products that can and cannot be used as anchor products when monetizing benefits:


Broadly consumed goods

Literary fiction, music

The price reflects the observed preference of a large, representative sample of the general public.

Luxury goods

Gold jewelry

The price reflects the observed preference of a small minority. It is not representative of the general public.

Addictive substances

Alcoholic beverages

Physical addiction is expected to increase the demand for the product.

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