Blended ROAS
Blended ROAS is total business revenue divided by total ad spend across every channel, taken from the store or finance records rather than from any ad platform. It is the inverse of MER.
Platform ROAS is each channel grading itself. Blended ROAS ignores those claims and divides what the business booked by what it spent on advertising in total. Because it cannot double count, it is the referee when channel figures add up to more revenue than exists.
The arithmetic relationship to MER is exact. A blended ROAS of 4.0x is an MER of 25%, and 5.0x is 20%. The two describe the same measurement in opposite directions, so pick one convention and state it with every target.
Blended ROAS has two blind spots. It includes revenue that would have happened with no ads, so it overstates what media is doing when the existing customer base is large. And it cannot say which channel to move budget toward. Pair it with new-customer figures for acquisition, and with channel comparisons on shared definitions for allocation.
Knowing what Blended ROAS means isn’t the edge.
Knowing what it’s doing to live accounts right now is. Operator notes from $200M+ in managed spend — sent when we find something worth your time.
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