CUSTOMER STORY
How a global tech company validates forwarder pricing with independent freight data
Independent ocean and air rate intelligence, integrated into a monthly procurement cycle, used to catch forwarder margin before it's locked into a contract.
Monthly
Rate cards validated against independent market data every cycle.
$100m+
In annual air freight spend managed with Xeneta intelligence.
Enterprise-wide
A rapidly evolving product portfolio and monthly rate card cycle, with no independent way to validate what forwarders were charging
This global technology company manages hundreds of millions of dollars in annual air freight spend across a global distribution network, with ocean freight adding further complexity. Unlike traditional manufacturers with annual tender cycles, the team procures forwarder rate cards monthly and negotiates contracts semi-annually or annually, meaning rate volatility hits the business in near-real-time.
A product portfolio shift, from legacy hardware to consumer devices with new peak seasons and new supply chain configurations, compounded the challenge. As product lines changed, so did the lanes, volumes, and carrier mix the team relied on, making historical benchmarks unreliable and increasing the need for current, independent market data.
The core problem was transparency: forwarder-quoted rates were difficult to challenge without an independent source that showed what the underlying airline market rates actually were. The team needed a way to distinguish genuine market movements from forwarder margin, and to build that validation into a fast-moving monthly procurement cycle.
How Xeneta Helped
Independent ocean and air rate intelligence, integrated into a monthly procurement cycle and used to validate forwarder pricing in real time
The company uses Xeneta's Ocean and Air platforms, giving the supply chain and procurement team access to ocean and air market rate data, shipper buying rate data, airline selling rates, volumes and load factor data, and airport and regional capacity intelligence. Together, these datasets create a complete picture of what the market is actually moving at, separate from what forwarders are quoting.
The key use case is forwarder validation: by comparing monthly rate card submissions against Xeneta's airline selling rate data and shipper buying rate benchmarks, the team can identify where forwarder pricing diverges from the underlying market, and where margin is being embedded above what the lane and service level justify. When airline spot rates are lower than existing forwarder contracts, the data provides the basis for a targeted renegotiation.
Xeneta data also serves as the baseline for new product introductions and market expansion decisions, giving the team an independent reference point when entering lanes where the company has no negotiating history. The tender benchmarking tool supports structured RFQ analysis, and the air monitoring tool provides ongoing visibility into rate movements between procurement cycles.
How It Works
From monthly rate card validation to strategic sourcing decisions: Xeneta data is active across the full procurement cycle
Each month, as forwarder rate cards are received, the team uses Xeneta's airline selling rate and shipper buying rate data to assess whether quoted rates are aligned with the underlying market. Where gaps appear, the data supports a direct negotiation conversation, with independent market evidence replacing a rate debate based on the forwarder's own benchmarks. The company has described Xeneta's role in this process as providing "the truth" in pricing, reducing the room for forwarders to anchor negotiations in their own data.
Beyond monthly validation, the platform supports longer-horizon procurement decisions. Ocean and air market rate data, combined with capacity and load factor intelligence, allows the team to monitor weekly and bi-weekly rate movements and respond to market shifts before they are locked into contracts. Regional capacity data informs decisions on which carriers and lanes have available capacity at competitive rates, while the tender benchmarking tool enables structured comparison of forwarder bids across the team's key distribution corridors.
The team has also integrated Xeneta data into its broader supply chain technology stack, using the platform alongside a rate management system to maintain a continuously updated view of market rates against contracted positions. An API integration is under exploration to further automate the flow of market data into internal procurement workflows.
"Xeneta is the truth in pricing. It reduces the wiggle room for vendors and levels the playing field."
Outcomes
Independent data delivering transparency, negotiation leverage, and procurement confidence across ocean and air.
Forwarder margin made visible on a monthly basis
By comparing monthly forwarder rate cards against Xeneta's airline selling rate data, the team identified instances where airline spot rates were lower than existing forwarder contracts, revealing embedded margin that would otherwise have been invisible. This gave the procurement team a data-backed basis for targeted renegotiations, without relying on the forwarder's own market references.
Independent baseline for new product and market launches
As the company expanded into new consumer product categories with different peak seasons and supply chain profiles, Xeneta data provided an independent cost baseline for lanes where the team had no procurement history. This removed the need to rely on forwarder-provided benchmarks when entering new markets, giving the team a neutral starting point for rate negotiations from day one.
Rate intelligence embedded into the procurement technology stack
Xeneta data has been integrated into the company's rate management system, creating a continuously updated view of market rates alongside contracted positions. The team is exploring API integration to further automate the flow of Xeneta intelligence into internal procurement workflows, reducing the manual overhead of monthly rate validation and enabling faster responses to market movements.
Market visibility ahead of contract cycles and peak periods
Weekly and bi-weekly monitoring of ocean and air rate movements allows the team to identify market shifts before they are locked into contracts. Capacity and load factor data provides advance warning of tightening supply on key corridors, supporting proactive procurement decisions rather than reactive responses to rate spikes during peak periods.
Procurement team selected as a product feedback partner
The depth of the company's engagement with Xeneta's air freight data, including structured feedback on the market trends interface, data definitions, and capacity requirements for specific cargo categories, led to the team being embedded in Xeneta's product development process as a key voice on how the platform should evolve to serve complex, data-driven freight procurement operations.
The Broader Impact
Why independent freight intelligence matters when your procurement cycle runs at the speed of the market.
For a company procuring forwarder rates monthly and managing hundreds of millions in air freight spend, the value of independent market data is not theoretical. Every month, forwarder rate cards arrive without an independent reference point, the risk of overpaying is structural, not incidental. Xeneta changes that equation by making the underlying market visible alongside what forwarders are charging.
The same intelligence that validates monthly rate cards also informs longer-term strategic decisions: which lanes to source competitively, where block space agreements make sense against the spot market, and how to set internal cost baselines as product lines and peak seasons shift. For a company whose freight needs are as dynamic as its product portfolio, a static annual benchmark is not enough. Xeneta provides the continuous, independent market intelligence that a monthly procurement cycle demands.
Forwarder Transparency
Xeneta's airline selling rate and shipper buying rate data makes forwarder margin visible on a monthly basis, giving the procurement team an independent reference to validate rate cards and challenge pricing that sits above what the underlying market supports.
Procurement Confidence
Whether entering a new market, launching a new product line, or renegotiating an existing forwarder contract, the team operates with independent data rather than relying on supplier-provided benchmarks, shifting the negotiating dynamic in every conversation.
Continuous Market Visibility
Weekly and bi-weekly rate and capacity monitoring means the team is never operating on stale data between procurement cycles. Market shifts, capacity tightening, and rate movements are visible in advance, supporting proactive decisions rather than reactive responses.
Instant visibility into 900M+ ocean & air freight rates
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