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New Customer MER (Gross) measures what percentage of your new customer gross sales (before discounts and refunds) is spent on advertising.

Formula

NC MER (Gross) = ( Total Ad Spend ÷ NC Gross Order Sales ) × 100

Formula Components


Example

Your Shopify store generated $90,000 in new customer gross sales while spending $40,000 on advertising. A NC Gross MER of 44.4% means you spend $0.44 on advertising for every $1 of new customer gross sales.

How It Works

NC Gross MER uses new customer gross sales as the revenue base, excluding the impact of discounts offered to first-time buyers. This helps you understand acquisition efficiency before welcome discounts or first-order promos are applied.

When to Use


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