Question: What would others realistically pay to use this data?
Level 1 dimensions
- Observed pricing / deals
- Addressable market size
- Exclusivity vs competition
- Licensing model and constraints
Level 2 indicators and observables
- Observed pricing / deals
- Actual licence fees earned to date (per record, per API call, per year).
- Benchmark prices for similar datasets in the industry (data brokers, partners).
- Implied data value in bundled contracts (e.g. uplift in SaaS pricing when data is included).
- Addressable market size
- Number of potential licensees (industry participants, partners, adjacent sectors).
- Regulatory or contractual restrictions on who can buy/use the data.
- Exclusivity vs competition
- Number of competing or substitutable datasets available externally.
- Degree to which the data is differentiated (granularity, timeliness, coverage).
- Market perception: do partners regard the data as must‑have or nice‑to‑have?
- Licensing model and constraints
- Can it be licensed non‑exclusively, or only to a few counterparties?
- IP ownership and contractual rights to monetise.
- Privacy/ethical constraints that limit external monetisation.
How to use
- Score MVI based on: real revenue now, credible revenue potential, and exclusivity.
- A dataset with high IVI/BVI but no legal right to licence externally may have high EVI but low MVI.
MVI scoring rubric (1–5)
Here’s a concrete 1–10 scoring rubric for MVI (Market Value of Information), consistent with the Infonomics definition: “revenue created through the barter, trade, or sale/licensing of information, or the price it would command in a data marketplace.”
Assume MVI is the weighted sum of four dimensions:
- Actual realised external value – 35%
- Marketability / demand – 25%
- Pricing power / unit economics – 20%
- Rights / constraints – 20%
1. Actual realised external value (weight 35%)
Question: How much revenue or tangible value is already being realised from external use of this data?
Score | Descriptor |
1 – 2 None | No external monetisation, barter, or observed pricing. Data is used only internally; no credible external demand identified yet. |
3 – 4 Minimal / experimental | Small‑scale pilots, one‑off deals, or ad‑hoc barters. Revenue or value in kind is negligible relative to the size of the dataset or business. |
5 – 6 Emerging | Some recurring external revenue (or consistently used for barter/discounts) from a few customers/partners. Still a side‑business vs core line. |
7 – 8 Significant | Meaningful, recurring revenue stream, or regular use for commercial advantages (e.g. better terms) with multiple counterparties. Shows up as a recognisable data product or line of business. |
9 – 10 Major line of business | Substantial, growing revenue and/or strategic commercial leverage. Data monetisation is treated as a core product line or differentiator in external relationships. |
2. Marketability / demand (weight 25%)
Question: How large, accessible, and interested is the market for this data (even if not fully monetised yet)?
Score | Descriptor |
1 – 2 Very low | No clear external use cases; few plausible buyers or partners. Comparable products rarely seen in the market. |
3 – 4 Niche | Potential interest from a small set of players (e.g. a specific vertical). Comparable data exists but serves a narrow audience. |
5 – 6 Moderate | Several identifiable customer segments or partner types; comparable products listed on data marketplaces or sold by brokers. Some inbound interest or positive market testing. |
7 – 8 High | Strong potential demand across multiple sectors or geographies. Marketplaces, brokers, or partners already active in this category; clear evidence this class of data sells. |
9 – 10 Strategic | Highly sought‑after category; multiple industries or platforms actively chase this data. Losing exclusivity would clearly weaken competitive position. |
3. Pricing power / unit economics (weight 20%)
Question: When sold or licensed, does this data command strong prices and attractive unit economics?
Score | Descriptor |
1 – 2 Weak / commoditised | Must be heavily discounted to sell. Pricing is low compared to similar datasets; margins thin after acquisition/processing costs. |
3 – 4 Limited | Modest price points; often bundled or given away to support other products. Customers are very price‑sensitive; little room to increase prices. |
5 – 6 Reasonable | Solid, market‑aligned pricing (per record, per API call, per subscription). Margins acceptable after costs, but not exceptional. |
7 – 8 Strong | Premium pricing vs comparable data; customers accept higher rates due to uniqueness, timeliness, or quality. Good leverage in contract negotiations. |
9 – 10 Very strong | Data commands top‑tier prices and favourable terms (revenue share, minimum commitments). High margins and sustained pricing power despite wider distribution. |
4. Rights / constraints (weight 20%)
Question: To what extent can you legally and practically monetise this data in the market?
Score | Descriptor |
1 – 2 Severely constrained | Legal, contractual, ethical, or regulatory barriers effectively prevent external monetisation (e.g. no rights, strict privacy/sector rules). |
3 – 4 Heavily restricted | Monetisation is only possible under narrow conditions (e.g. strong anonymisation, limited geos, very restricted use cases). Complex, high‑friction contracting. |
5 – 6 Moderately constrained | Clear rights to monetise in several contexts, but with meaningful restrictions (e.g. specific industries, purposes, or aggregation levels). Compliance effort non‑trivial.hdsr.mitpress.mit+1 |
7 – 8 Broad rights | Generally free to license or barter the data subject to standard data protection and contractual controls. Most plausible commercial use cases are allowed. |
9 – 10 Extensive / flexible rights | Very broad rights and low friction to monetise (e.g. clean IP ownership, robust privacy‑preserving design). Easy to create multiple data products/derivatives for different markets. |
Computing the composite MVI score
- For a given information asset, assign 1–5 for each MVI dimension using the descriptors.
- Compute a weighted average:
𝑀𝑉𝐼=0.35⋅𝑉+0.25⋅𝑀+0.20⋅𝑃+0.20⋅𝑅
Where:
- 𝑉 = Actual realised external value score
- 𝑀 = Marketability / demand score
- 𝑃 = Pricing power / unit economics score
- 𝑅 = Rights / constraints score