Ever wondered what the difference between ROAS vs MER is? And why should you track both metrics?
Many find these terms interchangeably used, but these terms are actually different.
Confused? you are not alone. Let's clear it up:
💰ROAS- Return on Ad Spend
Perfect for measuring a SPECIFIC channel or campaign.Â
Example: Think in-platform meta results for last week.
📈MER- Marketing Efficiency Rate
It’s your go-to for gauging the OVERALL marketing effort across all channels
Example: Imagine looking at your total sales for last week over spend.
Why bother with both? Well, they paint a picture of the best (ROAS) and worst (MER) scenarios for your business. The true effectivens of your marketing efforts lies somewhere between these two metrics.
Tip from me: It's a good practice to track both metrics on a weekly, monthly, quarterly and yearly basis.
When tracking these metrics for TAG's clients, we're having a constant conversation around how efficient the business is and where and when we need pull up levers and turn on or off campaigns.
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👋 I’m Anat Yaniv, founder of TAG Marketing Services.
🌎 A B2C marketing agency, focused on growth and US market entry.
🎯 Services include: Fractional CMO/strategy, GTM, marketing audits, paid media strategy, data reporting, brand support and more.
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