Release: May 8, 2019
Mid-Low and Mid-High Percentile Benchmarks
What is it?
One of the core features of Xeneta is the ability to benchmark your freight rates against different market segments. Previously, Xeneta has focused on three benchmark segments: the market average, the market low, and the market high.
For some customers, whose rates are somewhat above or below the average, but not near either the market low or high, it was difficult to estimate their position in the market.
To offer more granularity and better benchmarking, Xeneta has added the following categories to its Benchmarks and Trends graphs:
- Market Mid-High — The prices seen at the 75th percentile of the market. In other words, 25% of market prices will be above the prices seen here.
- Market Mid-Low — The prices seen at the 25th percentile of the market. In other words, 75% of market prices will be above the prices seen here.
Why did we build it?
The mid-high and mid-low benchmarking segments were added to provide users with additional points of reference for comparing their rates to the market.
For additional details on Xeneta's market benchmarks, you can read this article.
Example Use Case
As a user with freight rates that sit somewhat below the average market rate, you wish to improve the price you pay for freight in the coming season by about 10%. The market low benchmark category shows you prices that would be difficult to achieve in a single season, and the market average shows prices that are higher than what you currently pay.
Using the new market mid-low benchmarking segment, you can see the rates that sit between the average rates and the very lowest available on the market. With this visibility, you can set your goals accordingly and plan your procurement strategy with less guesswork.