Skip to content
Performance Marketing · 9 min read

ROAS vs MER: Which Metric Actually Matters?

Platform ROAS is a lie your ad accounts tell you. Blended MER is the truth. Here's the breakdown.

Table of contents
  1. Why ROAS lies
  2. What MER measures
  3. Setting MER targets
  4. Attribution reality
  5. FAQs

Why ROAS lies

Platform ROAS (Meta, Google) uses their attribution windows and their view of conversions. iOS 14 broke a lot of this. Now Meta over-attributes, Google over-attributes, and you triple-count.

A "3x ROAS on Meta" often means 1.8x when you look at bank deposits.

What MER measures

MER = Total Revenue / Total Ad Spend

Blended. All channels. Bank-verified. It's what the CEO and CFO see.

If your MER is 2.5x and your CM at 2.5x MER is positive — you're growing profitably. It doesn't matter what Meta says.

Setting MER targets

Work backwards from CM. If your CM before ad spend is 40%, your MER breakeven is 2.5x. Your target should be 3x+.

Attribution reality

Run weekly incrementality tests. Turn off channels for a week. See what happens. Attribution is a model — incrementality is truth.

FAQs

Q: How often should I review MER?

Weekly. Daily during scaling sprints.

Want us to engineer this for your brand?

Book Strategy Call
Book Strategy Call