What are the largest markets in the nation?

FreightWaves Customer SuccessDaily Tips

Did you know? SONAR’s Outbound Tender Market Share Index can tell you how fast volumes are growing or declining in relation to the rest of the U.S. markets.

What is it?

Outbound Tender Market Share (OTMS): A relative index that measures the number of outbound tendered loads in individual markets in relation to total tendered load volume for the day in the U.S.Each market value represents the percentage of total U.S. load volume that originates in that market. All markets add up to a total of 100%.

Example: If there are 100 loads moving in the U.S. and the Atlanta market originated 5 loads, then the Atlanta OTMS value would be 5%.

5 / 100 = .05 or 5%.  

View relational outbound tender volumes in the U.S. Map feature Outbound Tender Market Share – U.S. Map view

SONAR’s Outbound Market Share Map – 1 Year Change

Who needs it?

Carriers: Carriers can identify the largest U.S. outbound markets, which will allow them to focus sales efforts in freight-dense areas. They can also use this index to determine when existing markets are growing (blue) or declining (red) in relative volume, allowing them to shift network balance.  

Brokers: Knowing the nation’s largest markets tells brokers where they can target the largest shippers in the country. OTMS can also be useful in identifying growing and declining markets for the same purpose.

Shippers: Targeting high volume areas can help shippers identify potential distribution center locations that are more conducive for lower transportation costs.  

What can I do with it?

OTMS tells users how the national freight market mix is changing over time. It is useful to look at a tree map of OTMS changes over time in order to identify significant changes in outbound freight flows in individual markets. When national volumes are in decline, OTMS can tell you which markets are falling slower or faster than others. High OTMS markets tend to attract carrier capacity, while low OTMS value markets tend to get overlooked, exposing them to higher rate volatility. Emerging markets can be quickly identified looking at OTMS changes over the course of a year.

Ontario was the nation’s largest market in early 2019; now Atlanta has overtaken it in the top spot. In the tree map below you can see that Atlanta has grown 15.3% year-over-year while Ontario market share value has declined 19.1% – a big shift in shipper behavior that has a significant impact on carrier networks. Click here to open the map in SONAR.

Show me how!

1) Click: U.S. Map to view outbound tender market share at a high level to see which markets are originating the most freight.

  • Markets shaded in darker blue indicate a higher percentage of overall loads being originated in relation to the rest of the U.S. markets.
  • The lighter colored markets indicate lower market share values where less freight is originating in relation to the rest of the U.S.

2) Click: Tree Map to view all 135 markets in a market table format listed from largest, top left, to smallest, in bottom right, and their percentage changes over time. You can change the time comparison by clicking on the filter icon at the top left of the widget.

  • Market squares that are green indicate an increase in market share over the time period selected.
  • Markets that are red indicate a decrease in share over the time period selected.
  • The percentage change is the top number, while the current market share value is the smaller number below it in each rectangle

Pro Tip: Help your sales team target emerging markets by using the OTMS – 1 year change Map.

If you have questions about outbound tender volumes, please contact us at cs@freightwaves.com.