Resources
Marketing metric guides
Plain-English guides to the metrics that drive growth, each paired with a free calculator so you can run your own numbers.
Paid Advertising
- How to calculate break-even ROASBreak-even ROAS is 1 divided by your gross margin: the floor a campaign has to beat before it makes money. Here is the formula, the margin table, and how it differs from a target ROAS.6 min read
- How to calculate ad frequencyAd frequency is impressions divided by reach: how often the average person saw your ad. Here is the formula, impressions vs reach, and where ad fatigue starts.6 min read
- How to calculate CPA (cost per acquisition)The formula is one line: spend over conversions. The value is defining what a conversion is, and reading the cost against what the action is worth.6 min read
- How to calculate CPC (cost per click)The formula is one line: cost over clicks. The value is knowing a click price is only worth what it converts into.6 min read
- Marketing ROI: what it is and how to calculate itReturn on investment for marketing: profit divided by cost, as a percentage. The honest version uses gross profit, not revenue, and your margin decides whether it is positive.7 min read
- What is a good ROAS on Amazon?Amazon reports ACoS, the inverse of ROAS. A good number clears your break-even line, which your gross margin sets. Here is how the two connect.6 min read
- What is a good ROAS on Etsy?Etsy reports ROAS as ad revenue over ad spend, but that ignores Etsy's fees. Your real break-even runs on the margin you keep after those fees, so it sits higher than you'd think.6 min read
- What is a good ROAS for Google Ads?There is no single good ROAS for Google Ads. Set it from your margin, judge it per campaign type, and feed it into Target ROAS bidding.6 min read
- What is a good ROAS on Facebook?Meta Ads Manager hands you a confident purchase ROAS, but it almost always reads higher than the return your bank sees. Here's how to judge a Facebook and Instagram ROAS against your own break-even.7 min read
- What is a good ROAS on TikTok?TikTok is discovery, not search, so its in-platform ROAS runs lower than high-intent channels. A good number clears your break-even line and holds up on blended MER.6 min read
- What is a good ROAS on Shopify?ROAS on Shopify is a blended, store-wide number, not one ad platform. Here is the break-even it has to clear once Shopify fees, COGS and apps are netted out.6 min read
- What is a good ROAS?A good return on ad spend is not a fixed number. It depends on your gross margin, and your break-even line decides it.7 min read
- How to calculate CACThe formula is simple. The value is knowing what to count as spend, and reading the number against what a customer is worth.6 min read
- What is MER in marketing?MER is your marketing efficiency ratio: total revenue over total marketing spend. It is the same idea as blended ROAS, and it sidesteps the attribution that channel ROAS depends on.6 min read
- ROAS vs ROI: the difference people confuseThey sound interchangeable and are not. ROAS is a gross ratio; ROI is a net percentage, and the gap between them is your margin.6 min read
Conversion & Funnel
- How to calculate drop-off rateDrop-off rate is the mirror of step conversion: the share lost between two funnel stages. Here is the formula, how it differs from bounce and exit rate, and why step rates compound.6 min read
- What is a good conversion rate?There is no universal good conversion rate. The common web rule of thumb is about 2 percent, but it turns on what you sell, how warm the traffic is, and what counts as a conversion.7 min read
- How to increase email open rateThe levers that actually move opens, and why you should optimize for opens but judge a campaign on clicks and conversions.8 min read
- What is a good email open rate?A reported open rate near 20 to 40 percent is the rough convention. But since Apple Mail Privacy Protection in 2021, opens are inflated, so clicks and conversions carry the verdict.6 min read
Revenue & Profitability
- How to calculate churn rateThe formula is one line. The value is counting the right base, knowing customers from revenue, and converting a monthly rate into the truth about a year.6 min read
- What is a good LTV?There is no universal good LTV number. It is good only relative to acquisition cost, measured on profit, and when it is rising.7 min read
- Churn rate vs retention rateTwo sides of the same coin. Retention equals 100% minus churn when no new customers join, but each has its own formula. Use churn to see the leak, retention to see the base.6 min read
- What is a good LTV:CAC ratio?About 3:1 is the standard target. Here is why that number, what each band signals, and why a ratio that is too high can mean you are under-investing in growth.6 min read
- What is a good churn rate?There is no universal good churn rate. It turns on the period you measure and the kind of business you run, and monthly churn compounds fast.6 min read
- How to calculate LTVThe simple formula multiplies three numbers you already have. The skill is using gross profit, not revenue, and reading the result against what you paid to acquire the customer.7 min read