FREE Media Efficiency Ratio (MER) Tracking Sheet

Senior Client Manager Mel reveals a Media Efficiency Ration (MER) tracking spreadsheet she uses with her clients who do not have Northbeam or another third-party attribution tool. She also shares how to track New Customer MER, and reviews some tools and reports in Shopify that she uses. Listen to this episode now.

Download the MER tracking sheet here for FREE: https://sol8.com/download-free-media-...

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Mel: 00:00:11

Hey everyone, Senior Client Manager Mel here with SolutionsAge.

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: 00:00:14

today we're going to talk about, smaller

clients who don't have the budget

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: 00:00:19

or the resources to have things like

Northbeam and Triple Whale and how

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: 00:00:23

I manage their, MER week over week.

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: 00:00:26

I've created a spreadsheet that

I'm going to share with y'all,

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: 00:00:28

that just makes it really easy week

over week to keep track of, MER.

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: 00:00:32

I'm going to look at new customer M.

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: 00:00:33

E.

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: 00:00:33

R.

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: 00:00:33

As well.

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: 00:00:34

So we have lots of clients within

solutions age who have great L.

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: 00:00:37

T.

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: 00:00:37

B.

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: 00:00:38

so we actually focus on new customer

acquisition that lifetime value of

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: 00:00:41

customers could be thousands of dollars.

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we really focus on pushing

those new customers.

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: 00:00:46

for a lot of clients, we do

have a new customer acquisition.

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our goals.

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: 00:00:49

so we're going to look at that for a

client that I have, we're going to go

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over the spreadsheet and any kind of tips

and tricks that I can think of along the

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way, that helped me when, when having

goals like this on a smaller scale.

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so North beam, triple wheel,

they laid out really easily.

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You can easily see your, new customer MER.

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You can easily see your overall MER, but

when you're doing it yourself manually,

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It's not, presented very pretty.

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You have to do the math and

you have to store it somewhere.

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So this is a spreadsheet.

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we've got here the date.

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So I usually look in seven day periods.

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You can look at 14 days.

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You can look at month over month.

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That's totally fine.

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You choose how you want to, look at it.

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What time period do you want to look at?

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I put the date I add our Google ad spend.

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: 00:01:30

if the client's running Facebook

ads, we'll add the Facebook spend.

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And then if they have any other

spend, like Pinterest or Bing or any

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other paid advertising, we'll put it

here and then it will automatically

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calculate in the spend total column.

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And then we have the online store revenue.

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So this is going to change

depending on if your goal is new

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customer MER or if it's just MER.

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: 00:01:51

this is the basics of the spreadsheet.

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: 00:01:54

If there's other spends, you can obviously

add different columns, but I find

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: 00:01:59

not a lot of our lower budget clients

run too much other paid advertising,

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: 00:02:04

so I just didn't have a need to add

it, but you can absolutely do that.

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: 00:02:07

And starting from the basics, John and

Kossum and the team have a lot on what M.

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: 00:02:12

E.

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: 00:02:12

R.

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: 00:02:12

is, why we track it.

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: 00:02:14

so I'm going to assume we all

have the knowledge on what M.

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: 00:02:16

E.

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: 00:02:16

R.

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is, why we track it, all that good stuff.

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: 00:02:19

I.

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Add in all this stuff from the client

side information into this spreadsheet

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: 00:02:22

and then we'll look at it together.

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: 00:02:23

so who had spent, obviously we're

going to look the last seven days.

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: 00:02:26

They don't run Facebook right now and

they're not running anything else.

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: 00:02:30

So if they did, Let's just

put like 500, for instance.

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And then if there were anything,

anything else, like 900 there, it would

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automatically calculate in the spend

total, but they don't run anything else.

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online store revenue.

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: 00:02:42

for overall, are, you're just going to

grab this from your analytics section.

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From Google ad spend 893.

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: 00:02:47

29 to online store revenue.

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: 00:02:51

We have 11, 730 for the last seven days.

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: 00:02:55

We have a 13 X that's overall MER.

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: 00:02:58

Now, if we wanted to track

new customer MER, revenue.

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And you're probably wondering,

how do I get that number?

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something you probably heard

John talk about quite a bit

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is the app by the numbers.

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So I use that every day.

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I love by the numbers.

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this past seven days, we had

nine first time customers, which

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: 00:03:16

is up 50%, which is awesome.

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: 00:03:18

So that's what we want to look at.

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If we're looking for a new customer

acquisition goal, by the numbers

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: 00:03:22

tells us all of this information.

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And then what also I really like

about it is this first time.

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versus returning customer sales.

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for instance, we have, 1400

new customer sales, 10, 000

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from returning customer sales.

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So as this number grows month over

month, this number is going to grow

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month over month because if you

think about it, so this clients,

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they do have a subscription model.

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which is a lot more convenient for a

lot of people think, groceries that

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you need to buy month over month, that

you could just, for instance, automate.

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once you find the brand that you like for

this particular set of groceries, you're

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not very likely to change, just because

how this particular, industry is set up.

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it's not exactly that example,

but just to give you an idea,

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it's not convenient to change.

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so once you find something that you

like, you're likely to stick with it.

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So that's the case for this customer here.

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once this number starts growing,

we're going to see this number start

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: 00:04:12

growing month over month as well.

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: 00:04:14

So if we take this number because

we're looking at our first time versus

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: 00:04:17

returning customer sales, so this is

our: 1400

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from these nine customers and our AOV

on the first time customers is lower

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than our returning customers just

because you can, get a sample pack

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of, food service, and just, A try.

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And then if you do like it, then

that's where the AOB increases.

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and then month over month people do.

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our new customer MER is 1.

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56.

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So John has lots of videos on this.

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I'm not going to talk too much about

why it's okay to have a low MER.

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: 00:04:51

So essentially what we want

is to at least break even and

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anything over that is awesome.

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So we at least want to one we love it

because we have such a high returning

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customer rate and the LTV is so high,

we can afford to take a hit a little

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bit of a hit at the beginning because

we know we're going to make that up

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over time, but we still want to get

a little bit of profit for the client

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just so that they're not, you Going

further into the whole, to we want to

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make sure we're getting at least 1.

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5 to 1.

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8 is usually what we aim for.

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you can figure this math out, for

sure, looking at your, LTVs, your

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repeat customer rates, all of that.

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Again, John has many videos on that.

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I'm not going to go into those

calculations, but, you'll just

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see how this spreadsheet works.

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your Google ad spend,

because our Google ads are.

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new customer acquisition.

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we have a branded campaign.

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We don't spend much on it, and we

don't push our branded campaign.

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This is more so for placement.

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so we don't spend a lot on those

bottom of the funnel, how warm.

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Terms we really push our top of

funnel terms as much as possible

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so that we know, that we're

going as cold as we possibly can.

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the last 7 days, 8.

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conversions here.

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And then we're tracking nine first

time customers in, in by the numbers.

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we can look at those individual, purchases

and I do look at them and I make sure

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that in Shopify it's first time order

so that we can rectify those numbers.

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: 00:06:07

but overall, those are some of

the numbers that I'd look at.

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: 00:06:09

and then another report that I really like

in Shopify if we look at month two, So 51.

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3 percent of customers that made

their first purchase in October

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made at least one purchase.

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: 00:06:20

in the second month, or November,

for a total of 27 orders

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and 6, 468 in total sales.

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that makes sense.

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33.

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3 percent of customers that made

their first purchase in November.

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in October made at least one purchase in

the third month for a total of 16 orders.

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And then moving on to

the third month here.

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So 7.

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7 percent of customers that made

their first purchase in October.

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Made at least one purchase in the third

month for a total of three orders.

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These air really great numbers, and

this is what we want to see here.

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is these retention rates

sustained pretty high?

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And overall, this client's

team great job here.

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it's not, going to be exactly

accurate, but it gives you the

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Google ads data here as well.

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December, it's reporting 7, 813 and

then you can look at your spend there

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that's your, new customer MER calculation

with your spend and how much you made.

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so December is one of their slower months.

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As you can see, we have

some really months here.

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December is one of their slower months.

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As you can imagine, people are,

their spend is elsewhere right

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now, which is totally fine, but,

still did really great for the

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month and happy with those results.

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so this is another report

that I really like.

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and then we can also look at

first time versus returning sales.

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Again, this one just

gives it in another way.

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you'll see by day, you'll see your first

time customers versus your returning.

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and then you'll see your AOV here,

purchase frequency, value, if

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there's any discounts, total sales.

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so it just lays, this is a really

great report to lay it out really

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clearly for you, to see where

you're returning versus first time.

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Customers are, day by day.

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And you can look at a 7 day period.

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You can look at 30 days.

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lots of data that can

really help you here.

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So that's another report

that I really like.

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you can also look at

one in Shopify itself.

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If you go to reports, first time

versus returning customer sales.

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if I go last 30 days, just

because it groups it more like.

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You're all of your first time

you'll see here and then all of your

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returning you'll see here, whereas

the by the numbers report, you can

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see it break down day by day new

customer versus returning versus this.

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you see them separated.

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in the last 30 days.

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many first time orders that we have.

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If you wanted to add those

up, you really don't need to.

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There's, the reports inside of

by the numbers do that for you.

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And then also the returning.

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So just a different way to look at it.

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but this is a really good report that

I look at as well with my customers.

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so if you wanted to

track first time MER and.

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M E R.

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All you would do is just add another

column I put the new customer M.

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E.

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R.

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next to the new customer revenue.

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And then we're going to look at total

store revenue and total store M.

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E.

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R.

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So we're going I, which is total

store revenue, divided by spend

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total, equals your overall store MER.

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So we're making a 13.

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X M E R for the total store

revenue here, and then for

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new customers, we're making 1.

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5.

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I hope this has helped.

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I'm going to get the team to link the

spreadsheet, in the comments or in

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the description for you so that you

can also have access to the sheet,

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and customize it the way you want.

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It's just really simple.

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To use.

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if you're a freelancer and your

client can use this, I always get

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the clients to put in their Facebook

spend and their miscellaneous spend

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every month if they have other spend.

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So clients are responsible for that.

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And then I just add in Google spend

and their store revenue, or you can

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get the client to put in the store

revenue, whatever works best for you,

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but it just is a really great visual

that way you can track it, week over

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week, or you can do a month over

month, whatever works best for you.

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and keep an eye on those, that new

customer MER and also the total store

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MER, I hope this has been helpful.

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sorry.

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I probably rambled a bit more than I

needed to, but, we'll see you next time.

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like comment, subscribe,

do all the things.

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Thanks everyone.

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Bye.

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