The benchmark distribution represents the proportions of a population given some variable. For example, Shopify “orders per week” could be a variable, and the benchmark distribution would show you where everyone one falls concerning the number of “orders per week” they have received. As you can see the majority of users have less than 10 “orders per week,” compared to the minimal amount of users, who have over 20.
How is it useful?
By knowing the benchmark distribution, you can see where you fall regarding the rest of the population, which can give you insight into whether you are performing as well, worse, or better, concerning the population as a whole. So if you have 5 "orders per week,” you know that you are doing as well as the majority of the given population, but if you have 20 "orders per week," you would know that you are doing better than the majority of the population as a whole. You can also track your performance against the total population over time, to see how well you are improving regarding a given variable.
How did we calculate it?
SumAll used large, statistically significant (N > 1700) sample subsets from their users for a given variable, allowing them to generate an accurate distribution curve and quantiles based on that real data. This way you can be confident of the benchmark distribution, and where you fall upon it.