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Blended ROAS / MER Calculator

Enter your total revenue and marketing spend to calculate MER, blended ROAS, and contribution margin after COGS.

Inputs

What Is MER (Marketing Efficiency Ratio)?

MER — also called Blended ROAS — is the simplest and most honest measure of marketing efficiency. It divides your total business revenue by your total marketing spend across every channel.

Unlike platform-reported ROAS, MER does not suffer from attribution overlap. When Meta, Google, and TikTok all claim credit for the same purchase, MER cuts through the noise with a single ground-truth number.

If you add your COGS, this calculator also shows your contribution margin after marketing — the actual dollars left after product costs and ad spend. This is the number that determines whether your growth is profitable.

Formula

MER = Total Revenue / Total Marketing Spend
Contribution Margin = Revenue - COGS - Marketing Spend

Worked example: Your store does $100,000 in monthly revenue. You spend $25,000 across Meta, Google, and TikTok. COGS is $40,000.

MER = $100,000 / $25,000 = 4.0x. Contribution Margin = $100,000 - $40,000 - $25,000 = $35,000. Marketing accounts for 25% of revenue.

Benchmarks

MER RangeRatingTypical Scenario
5x+ExcellentHigh-margin brand with strong organic
3x - 5xGoodProfitable at most margin profiles
2x - 3xMarginalOnly profitable with 60%+ gross margins
< 2xRiskyLikely unprofitable after COGS

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