Free calculator

MER calculator

Enter total store revenue and total marketing spend to see Marketing Efficiency Ratio — a blended view across channels and attribution gaps.

How MER is calculated

MER = total revenue ÷ total marketing spend (often all paid channels). Unlike platform Return on Ad Spend, MER includes organic and non-attributed sales in the numerator while counting full media cost in the denominator.

Use MER for company-level efficiency; use Profit on Ad Spend and campaign Return on Ad Spend for channel and SKU decisions.

MER = revenue ÷ total ad / marketing spend
Higher MER = more revenue per marketing dollar
MER is not SKU profit — pair with Profit on Ad Spend for bidding

MER vs Profit on Ad Spend

MER answers “are we efficient overall?” Profit on Ad Spend answers “does this ad spend buy profit?” Scale decisions need both: healthy MER with poor Profit on Ad Spend usually means margin mix or channel waste.

Frequently asked questions

What is MER?

Marketing Efficiency Ratio is total revenue divided by total marketing spend. It is a blended efficiency metric that does not rely on last-click attribution alone.

How do you calculate MER?

Divide store (or company) revenue by total marketing spend for the same period. Example: $500,000 revenue and $100,000 spend → MER = 5.0.

What is a good MER?

Targets vary by margin and growth stage. Many ecommerce brands watch trends vs a historical baseline more than a universal benchmark — then validate profit with Profit on Ad Spend.