Upcycling is defined as using every aspect of waste as value.
Typically a piece of waste can be seen as two things: the material it’s made from and the shape it is in. For example a chip bag is made from plastic and is in the form of a bag. If one were to upcycle a chip bag one would be leveraging both aspects and not destroying any part of it. While if one were to melt a chip bag into a plastic product it would be considered recycling vs. upcycling.
Below are a number of examples of Upcycling:
Upcycled Candy Wrapper Products
Starburst® Insulated Cooler
M&M's® Picture Frame
Skittles® Eco Kite
Starburst® DJ Messenger Bag
Wrapper Lock Key Journal