---
title: What's the Marginal Value?
description: This article explains what's the Marginal Value, use cases you can apply to it, and how to read its output.
---

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# What's the Marginal Value?

## This article explains what's the Marginal Value, use cases you can apply to it, and how to read its output.

**Marginal value** is determined by a specific point in a function that incorporates all incrementality results related to changes in spending across different Channels, Countries, and Operating Systems (OS). This point represents the level of spending at **which you are currently operating**. It is important to note that marginal value is not simply a direct comparison of changes in spending against changes in performance.

![](https://knowledgebase.incrmntal.com/hs-fs/hubfs/Screenshot%202025-07-30%20at%2015-32-16-png-1.png?width=530&height=284&name=Screenshot%202025-07-30%20at%2015-32-16-png-1.png)

Marginal refers to the **estimated cost of the next result**, which tells us how much we would need to pay to achieve one more conversion at the current level of spend.

In other words, **if we spend an additional dollar now, how much would the next conversion cost us.**

When Comparing **Marginal** value to the **Contribution** Value, the first one tells you how much your last (or next) user cost you, and the latter - what was the overall value of the source. 

Using the Marginal value you can easily answer a question whether you should continue to scale up a certain channel/campaign, or if you are on a point of diminishing returns and it is better to keep your spend as is. 

**Use Cases** for Marginal Values:

- Understanding the additional value gained from every channel
- Identifying cannibalization
- Diminishing returns
- Opportunities to scale up spends

 

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