> ## Documentation Index
> Fetch the complete documentation index at: https://docs.upstackdata.com/llms.txt
> Use this file to discover all available pages before exploring further.

# New Customer MER (Gross Sales): Acquisition Gross Efficiency

> Track new customer marketing efficiency using gross sales. Understand what percentage of new customer gross revenue is spent on ads.

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

## Formula

<Info>
  **NC MER (Gross)** = ( **Total Ad Spend** ÷ **NC Gross Order Sales** ) × 100
</Info>

### Formula Components

| Metric                                                                               | Definition                                                    |
| ------------------------------------------------------------------------------------ | ------------------------------------------------------------- |
| **Total Ad Spend**                                                                   | Combined advertising spend across all connected platforms     |
| [**NC Gross Revenue**](/reference/metrics/orders/revenue/new-customer-gross-revenue) | Gross order sales from new customers before discounts/refunds |

| Metadata        |                                                                                                   |
| --------------- | ------------------------------------------------------------------------------------------------- |
| **Type**        | Percentage                                                                                        |
| **Data Source** | [Shopify](/sources/shopify), [Meta Ads](/sources/facebook-ads), [Google Ads](/sources/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 |

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

| 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 |

***

## Related Metrics

| Metric                                                                           | Relationship                             |
| -------------------------------------------------------------------------------- | ---------------------------------------- |
| [NC MER](/reference/metrics/orders/performance/new-customer-total-mer)           | NC MER using total revenue               |
| [NC MER (Net)](/reference/metrics/orders/performance/new-customer-net-mer)       | NC MER using net revenue after discounts |
| [MER (Gross)](/reference/metrics/orders/performance/gross-mer)                   | Gross MER for all customers              |
| [NC Gross Revenue](/reference/metrics/orders/revenue/new-customer-gross-revenue) | The denominator in this calculation      |

[See all Performance metrics →](/reference/metrics/orders/performance)