Client Savings Premium (PI1748)

Percentage price savings the client obtains by purchasing a product or service from the organization and the average price that they would otherwise pay for a similar product or service in the local market.

Calculation:
  • Reporting Format Decimal
  • Metric Type Metric
  • Metric Level Product/Service, Organization
  • IRIS Metric Citation IRIS, 2021. Producer Price Premium (PI1568). v5.2.
Footnote

This metric is intended to capture the price discount or savings to a client of purchasing the organization’s products or services rather than a similar product or service. For example, if the organization's product costs USD 5 and the average price for a similar product is USD 10 in the local market, this would be calculated as: (USD 10 – USD 5) / USD 10 = 50% savings. Positive numbers can be interpreted as savings to the consumer (client). In this calculation, organizations should use prices as of the end of the reporting period. In specific contexts, and based on evidence, this metric can serve as a proxy indicator of whether the outcome being sought by an investor or organization is occurring (the WHAT dimension of impact). For more on the alignment of IRIS metrics to the five dimensions of impact, see IRIS+ and the Five Dimensions of Impact (https://iris.thegiin.org/document/iris-and-the-five-dimensions/). No single metric is sufficient to understand an impact; rather, metrics are selected as a set across all dimensions of impact. When possible, the selection of metrics to measure and describe the five dimensions should be based on best practice and evidence.