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Performance
ROAS divides revenue by ad spend only. MER divides revenue by all marketing spend (ads + agency + tooling). When ROAS exceeds MER by 1x or more, the agency/tooling is eating margin without proportional return. Xpand reports MER weekly in every engagement.
Result
Acceptable — tighten attribution
MER (revenue / all mktg spend)
3.64x
0 → 6x
ROAS (ad-only)
5.56x
0 → 6x
ROAS gap over MER
1.92x
bigger gap = more efficiency lost
Why MER beats ROAS
ROAS divides revenue by ad spend only. MER divides revenue by ad + agency + tooling — the fully-loaded cost. When ROAS is 1x+ higher than MER, your non-ad marketing layer is eating margin without proportional return. Xpand reports MER weekly across every engagement; ROAS is a sub-metric.
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