Table 3From “What is go-to-market efficiency? The denominator across growth and capacity”
How is GTM efficiency different from MER or ROAS?
Table 3How is GTM efficiency different from MER or ROAS?
| Metric | Typical numerator | Typical denominator | Causal boundary |
|---|---|---|---|
| MER | Total revenue | Total marketing spend | Descriptive blended signal |
| ROAS | Attributed revenue | Ad spend | Depends on attribution and does not prove incrementality |
| GTM efficiency | Declared output such as contribution | Declared GTM resources | Depends on declared boundary; not causal alone |
| CAC payback | Gross profit or contribution over time | Acquisition cost | Requires cohort, cost, margin, and maturity rules |
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From the essay
Growth that compounds
What is go-to-market efficiency? The denominator across growth and capacity
Go-to-market efficiency is a declared output-to-resource ratio. Name output, denominator, maturity, and capacity before comparing motions.
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