How do I know whether my ads pay?

Check three numbers against the limits your own margins set. They all sit on Insights, in the Marketing tab, for any range you pick. All three are blended: every euro of ad spend set against your own books. nouz does not guess which ad made which sale.

MER is net revenue divided by Marketing Costs, line 27 of your P&L. It says how many euros of sales came back for each euro of ads. On its own it says little. So the card Profit on ad spend shows your Break-even MER beside it. That is net revenue divided by CM2, what orders leave after products, shipping and payment fees. Below that MER, your ads cost more than your orders leave.

An example. You sell €10.000,00 of net revenue in a month, and your CM2 is €4.000,00. So the Break-even MER is 2,50. If you spend €5.000,00 on ads, your MER is 2,00. That is below 2,50, so the ads lose money. It comes from your own margins, so it moves when your costs or products change.

POAS is CM2 divided by Marketing Costs: the margin you earn per euro of ads. Break-even is exactly 1,00, a euro of ads bringing back a euro of margin. The chart marks each point below 1,00 in red. Above 1,00 your ads add to CM3, and below it they eat into it. To cover your fixed costs too, POAS must be well above 1,00.

Blended CAC is Marketing Costs divided by the new customers won in the range. CAC means customer acquisition cost: what it costs to win one new customer. Compare it with what a first order earns. Insights, Customers puts an average first order's CM2 beside it. The LTV tab draws it as a line a customer's value has to cross. There it counts only the days nouz holds your marketing spend for, and the customers won on them. Spend no platform reports, like an influencer, belongs in Marketing spend on the Overhead page, or every ratio here looks better than it is.