New Customer MER (Gross) measures what percentage of your new customer gross sales (before discounts and refunds) is spent on advertising.
NC MER (Gross) = ( Total Ad Spend ÷ NC Gross Order Sales ) × 100
| Metric | Definition |
|---|
| Total Ad Spend | Combined advertising spend across all connected platforms |
| NC Gross Revenue | Gross order sales from new customers before discounts/refunds |
| Metadata | |
|---|
| Type | Percentage |
| Data Source | Shopify, Meta Ads, Google Ads |
| Aggregation | Ratio |
Example
Your Shopify store generated $90,000 in new customer gross sales while spending $40,000 on advertising.
| Metric | Value | Calculation |
|---|
| Total Ad Spend | $40,000 | All ad platforms |
| NC Gross Sales | $90,000 | Before discounts/refunds |
| NC MER (Gross) | 44.4% | ($40,000 ÷ $90,000) × 100 |
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
| Scenario | Action |
|---|
| Welcome offer analysis | See MER before welcome discount impact |
| Acquisition campaign comparison | Normalize for different discount strategies |
| Isolating marketing performance | Remove promo noise from NC efficiency |
| Pre-discount acquisition cost | Understand true cost relative to intended spend |
| Metric | Relationship |
|---|
| NC MER | NC MER using total revenue |
| NC MER (Net) | NC MER using net revenue after discounts |
| MER (Gross) | Gross MER for all customers |
| NC Gross Revenue | The denominator in this calculation |
