I have a question for you.. do you know what SEO’s ROI is? Is the SEO service worth it?
When it comes time to spend money on marketing, you need to make sure it’s worth it. So you ask: “What is Search Engine Optimization’s ROI?” – and the response you get is.. you guessed it: “It depends.”
There is a really good analogy that describes the difference between SEO and PPC. That is:
SEO is like owning your house, or paying a mortgage – Whereas PPC is like renting.
When you’re finished paying your mortgage, you OWN your home, just like you OWN the traffic to your website.
When you stop paying rent, you get kicked out of the house, just like the traffic immediately drops of a cliff when you turn your PPC campaign off.
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SEO vs PPC – The difference between paid search and organic as it pertains to different business types and industries.
How To: Do You Own SEO – How to do $2000-$5000 worth of SEO in one day!
OK, so then WHAT does it depend on? The answer to that is many-fold.
Business Type & Industry
We will be the first to tell you that sometimes, fairly rarely actually, the return on investment isn’t there. There are certain industries and types of businesses that will NOT benefit from search marketing.
The best example of this are government contractors. If your company gets more than 90% of its revenue from government contracts, then SEO might not be your best investment. The reason for this is simple: Government doesn’t do Google searches, instead, they stick to their GSA schedules.
Average Ticket per Sale
Another factor that determines the return on investment on your SEO project is your company’s average ticket price per sale. That is, the average amount that a customer pays for your product or service.
Take a high-end commercial elevator installation company for example. Let’s assume they spend $10,000 on SEO services and that one elevator installation generates $200,000 in revenue with a 10% profit margin.
Well, with ONLY ONE NEW customer – they have achieved a 100% SEO ROI.
On the other hand, if your product is $1.00 pencils, it will take more time before you realize a return.
Long story short, the average ticket price of your company’s product or service will determine the amount of time required to get a SEO service ROI.
Amount of Competition
Search Engine Optimization is like any other business sector in that it is subject to competition. If your competitors are doing SEO for their website, contact us NOW to get started before it is too late.
The automotive sales industry has known about SEO the longest. All the auto dealers are using SEO to get online customers to come to their showrooms.
Therefore, if you are an auto dealer, creative marketing might be a better investment of your money. SEO could work, but pay per click advertising might yield a better return.
Another long story cut short – the earlier you start your SEO project the better, because the competition is not waiting for you (it is only becoming more difficult to get to the top of the Google SERP).
95% of Business WILL BENEFIT from SEO
The fact is, there is almost always some kind of benefit to be had from SEO.
Whether it is:
- increased online sales/qualified leads
- brand/identity recognition/maintenance
- increased visibility for partnerships and alliances (non-customers)
- locking your competition out of the online market
- benefiting from “long-tail strategy“
Check out a case study that exemplifies our SEO services’ return on investment