Market Price Indicator for Truck Transport

Content:

1. Overview
2. Understanding the Reliability Index
3. How to Use the Market Price Indicator
4. Access and Pricing Details
5. Frequently Asked Questions (FAQ)

1. Overview

The Market Price Indicator feature in IMPARGO is an advanced tool specifically designed for the transport industry, providing precise cost estimates and pricing information. It is seamlessly integrated into the IMPARGO Truck Route Planner and addresses the complex challenges associated with market price uncertainties.

Market Price Indicator

Benefits:

• Optimize Your Financial Planning: Adjust your prices to match current market conditions, stay competitive, and offer your customers the best rates.
• Your Costs, Your Way: Tailor your transport details to ensure cost estimates are precisely aligned with your specific needs.
• Compare Prices at a Glance: Visual representations make it easy to compare prices quickly—no complex numbers, just a clear picture.
• See the Profit Picture: Understand how much profit you could make. The tool calculates potential profit margins and helps you make smart financial decisions.

Realistic Market Prices:

Hundreds of thousands of price data points in the IMPARGO Market Price Indicator are derived directly from invoices. This means the prices essentially reflect the actual prices paid, offering an authentic representation of real transactions in the transport industry.

How the Algorithm Works:

A. Learning from Market Price Data:
The algorithm improves with more data, enhancing the accuracy of price estimates.

B. Reality Check Through Transactions:
The algorithm is validated by comparing estimates with real transactions to ensure accuracy against observed market prices.

C. Features Considered by the Algorithm:

• Geographical Data: Considers origin and destination cities with continuous geographical modeling, excluding border effects.
• Temporal Data: Prices are estimated weekly or monthly, depending on data frequency.
• Load Characteristics: Considers type of goods, load weight, transported quantity (pallets, floor meters, cubic meters), and inclusion/exclusion of fuel.

D. Market Price Distribution Estimation:
Algorithms reconstruct price distributions based on observed patterns for specific origin/destination pairs.

E. Adaptive Learning:
The algorithms continuously evolve, learning from new data and adapting to market changes to enable precise estimates.

2. Understanding the Reliability Index

The Reliability Index and the use of actual paid prices provide a solid foundation for the Market Price Indicator. Users can trust the estimates, knowing they are based on hundreds of thousands of real transaction data points, with the index helping assess data reliability.

Components of the Reliability Index:

• Number of Data Elements: More data means a higher level of reliability.
• Diversity of Data Sources: Different data sources increase confidence.
• Frequency of Data Sources: Regular data updates boost trust.

Reliability Index Rating:

• A (Highest Reliability): High confidence in estimated prices. The data is rich, diverse, and regularly updated.
• B to D (Medium to Low Confidence): Varying degrees of trust. Exercise caution; additional validation may help.
• E (Lowest Confidence): Lowest confidence level. Approach estimates with caution and thoroughly review.

3. How to Use the Market Price Indicator

1. Create a Truck Route: Plan a truck route using the IMPARGO Truck Route Planner.
2. Click "Calculate Market Price": Open the Market Price Indicator in the planner.
3. Add Details for Accuracy: Specify vehicle type, goods type, benchmark type, and hazardous goods.
4. Calculate Market Price: Get visual cost comparisons to market prices.

4. Access and Pricing Details

The Market Price Indicator is available to Professional Plan and Business Plan users. Users receive 5 FREE calculations per paid company account, then 25 € per 100 additional calculations.

5. Frequently Asked Questions (FAQ)

1. What is the Market Price Indicator?
It provides cost estimates and market prices for transport routes in real-time.

2. How does it work?
Create a truck route, enter transport details, and click "Determine Market Price" to see costs compared to market benchmarks.

3. Can I customize cost estimates?
Yes, parameters such as load meters, weight, vehicle type, goods type, and benchmark type can be adjusted.

4. Is the tool user-friendly?
The tool is integrated into the IMPARGO Truck Route Planner, offering a user-friendly interface for easy use.

5. Can I trust the cost estimates?
Accuracy is ensured through regular algorithm evaluations and real market transaction comparisons.