Introduction to Benchmarking

In this guide, we’ll take a look at using Xeneta to compare your uploaded freight rates to current and historical market rates.

Introduction

The Benchmarks graph is designed to help you compare your freight rates against the market. At its core, it plots Xeneta’s market benchmarks alongside your own freight rates.

The Benchmarks graph.

The Benchmarks graph can be reached in two ways:

  1. Clicking the View Graph button from the dashboard search after searching for a trade lane or trade corridor
  2. Clicking the View Graph button from the Market Trends page if you have followed trade lanes

Filtering Your Data

The Benchmark graph contains a number of filters to help you narrow the scope of the market such that you can compare your prices to the most relevant segments of the market.

The most important filter is the Date filter, which determines the date range for which both your data and market data is shown on the graph. By default, the Benchmarks graph looks back one year from the present day.

Secondarily, the graph contains a Contract Duration filter to help you select which type of market rates — short-term or long-term — you want to have compared to your own uploaded rates.

For a better look at your uploaded rates, you can use the My Prices page to examine your freight volume and its associated prices.

Selecting Your Suppliers

Below the graph, you can find the My Prices table, which lists all of the suppliers that you have contracted rates for on the selected trade lane or corridor.

The My Prices list below the Benchmarks graph.

To select a supplier, mouse over the row of the supplier you wish to add and click the Add button.

Adding a supplier's prices to the Benchmarks graph.

If you have multiple suppliers, you can use the Suppliers filter at the top of the page to find the suppliers relevant to your benchmarking.

The Supplier filter.

Once you select a supplier, their rates will be plotted on the Benchmarks graph:

The Benchmarks graph with a supplier's prices plotted.

Finally, use the Market Position legend to the right of the graph to select one or more market positions to use as a benchmark against your selected supplier.

The Benchmarks graph with market average and market low benchmarks plotted.

Hover your cursor over the graph to get detailed pricing information for all plotted lines:

Pricing details.

Understanding the Benchmarks Graph

With both the market prices and your own supplier prices plotted on the graph, you can begin to ask questions about your procurement strategy.

Consider how your prices compare to the market average, as well as market low and market high segments. Do you tend to pay for freight above or below the market? How do your fright rates prices compare month over month and year over year?

These are all questions that can help you towards optimizing your ocean freight process.