Marketing efficiency ratio

Marketing efficiency ratio (MER) is the ratio between a company's total revenue and its total marketing spend across all channels. Unlike ROAS, MER looks at the whole picture rather than individual campaigns and avoids the double counting issues found in attribution. The metric is used to assess whether overall marketing efforts are profitable.

A company tracks its marketing efficiency ratio month by month to see whether increased ad spend is actually lifting total revenue.

Illustration symbolizing the concept "Marketing efficiency ratio": Marketing efficiency ratio (MER) is the ratio between a company's total revenue and its total marketing…

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