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MER calculator

Calculate blended marketing efficiency from total net revenue and all marketing spend.

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State whether this includes only media or also agency, creator and production costs.

Spend-components checklist: paid media, agencies, creators, production, tools and allocated marketing staff. Use the same period as total net revenue; media-only spend is not total marketing cost.

Calculated locally. Only these numeric inputs appear in a shared link.

Your results

MER
3×
Total business revenue for each £1 of total marketing spend. Not incremental sales or profit.

How to use this tool

Use one reporting window and a consistent measurement scope. Replace the example inputs with your own figures. The result updates locally as you type. Copy the result to your planning notes, or copy a link containing only the numeric inputs. Reset restores the illustrative example.

  • Enter total revenue for the period from all channels.
  • Enter total marketing spend for the same period.
  • Read the marketing efficiency ratio.
  • Compare against your break-even and track it over time.

Worked example

£12,000 net store revenue divided by £4,000 total marketing spend gives MER 3.0. Every £1 of marketing spend corresponds to £3 revenue in this reporting window, not £3 profit or incremental revenue.

Formula and units

MER = total net business revenue / total marketing spend.

Assumptions and review notes

MER avoids adding overlapping platform-attributed sales, but includes organic, email and repeat-customer revenue. Strong MER does not prove a paid campaign caused the sales. Keep the cost scope fixed between weeks and compare similar trading periods. A launch or promotion may produce delayed revenue and front-loaded costs.

MER avoids attribution disputes but cannot say which channel works. It suits whole business monitoring, and it needs comparing against margin like ROAS.

  • Spend included.
  • Organic and repeat share.
  • Seasonality.
  • Margin.
  • Excluding agency or creative costs.
  • Mixing periods.
  • Using it to judge one campaign.
  • Ignoring margin.

A closer look

Common questions.

What is MER?
Total revenue divided by total marketing spend.
MER or ROAS?
MER is blended, ROAS is channel attributed.
What spend counts?
All marketing spend you want judged.
Is higher always better?
Usually, but growth may need lower efficiency.
Does it store data?
No.

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