SEO vs. PPC
When we talk online marketing strategy with clients, a common question we hear is "Should I spend my online marketing budget on search engine optimization (SEO) or a pay per click campaign (PPC)--which will give me better results?" Actually, that's two questions rolled into one, but there is one simple answer. Before we get to that answer though, let's take a look at the two primary types of results displayed by the major search engines, and let's explore the benefits of targeting each of these areas.
The search engines display two different types of results when someone conducts a search: the organic search results (or natural listings) and the paid search results (or sponsored listings). In order to rank highly in the organic results for any particular phrase, your website has to be considered, based on that search engine's proprietary algorithm, the most relevant site to return for the search term queried. There are only 10 spots available on that first page, and there's no paying your way to the top, no bribes accepted. Or at least none of our bribes have been accepted to date, but we're still waiting to see if Google will accept that cute little golden retriever...
On the other hand, the paid listings function much more like traditional advertising-the highest bidder gets the prime spot. There is a quality algorithm built in, but to keep things simple, if you are willing to pay a higher amount per click than your competitors, you will get top placement in the paid results.
Okay, so now that we are clear on the two distinct areas for opportunity, let's size them up against each other:
Where SEO Rocks
Web statistics and search behavior studies have shown that the majority of search traffic goes to the top ten organic search results (source), and that searchers often perceive the organic listings to be more relevant or trustworthy. If your site is not showing up on the first page for highly relevant searches (your brand name, your products or services, etc) then you are missing out on a lot of highly targeted web traffic. Additionally, SEO tends to provide a better ROI than other forms of marketing, both online and traditional, because organic rankings have some staying power, with minimal recurring costs relative to other forms of advertising.
Where SEO Falls Short
To put it bluntly, SEO will not give you instant results. Obtaining top rankings in the major search engines takes time, especially for newly established sites, or for those competing in competitive markets. This can be particularly frustrating for new website owners. With a solid SEO program, you should expect to see results in 3-6 months, but the wait can be very frustrating for those who are looking to turn a profit on their website quickly.
Where PPC Rocks
The absolute greatest benefit of launching a pay per click campaign is immediate traffic. Unless you're bidding on a very obscure phrase, or a new product term that no one has yet heard of, you can expect to see traffic coming to your site almost immediately. This is thrilling and rewarding for new website owners, or those who have had a website established for quite some time but haven't seen the traffic they expected. PPC also gives you great control, whereas with the organic rankings you are at the mercy of the search engine algorithms and their continual updates. You can customize a PPC campaign to only show your ads based on advanced matching options, geographic location, time of day, and of course, budget. PPC is excellent for A/B testing and as a result, can provide you with excellent data on your customers' search and conversion habits.
Where PPC Falls Short
But don't get too excited about that instant traffic, there is a downside to PPC as well. PPC campaigns can be costly, and very time consuming to manage, particularly if you're new to PPC. Unlike organic search rankings, there is no staying power with PPC, unless you have the budget to back it up. There is also the traffic and trust factor--PPC ads get less traffic than the organic search results, and because most searchers are privy to the fact that these are paid advertisements, the trust factor is lower than an organic ranking.
The Verdict:
We've mentioned just a few of the pro's and con's of SEO and PPC because there are far too many benefits to discuss in this newsletter. Now it's time for the conclusion: The answer to the question of whether you should invest in SEO or PPC for your website is simply that you need both. In a nutshell, SEO is strong where PPC is weak, and vice versa. A comprehensive marketing strategy incorporates both SEO and PPC, because this helps you maximize your marketing ROI and minimize risk. Ranking highly in both the organic and paid listings allows you to reach a broad yet highly targeted audience, and minimizes the risk that your competitors will dominate the search market. The decision on how to allocate your marketing dollars between the two forms of online marketing should be based on budget, competition, brand recognition, and demographic considerations.
ThoughtProcess Interactive creates custom online marketing solutions for a wide range of customers. Give us a call if you'd like to discuss your marketing objectives and we'll put together a strategy that focuses on delivering measurable results, tailored to your business goals.