The world of search engine marketing is a highly contested battlefield between its two "kings" namely pay-per-click (PPC) advertising and search engine optimization (SEO). "Search spending is expected to rise 27% in 2012, to just over $19.5 billion dollars. They also predict that this spending will rise by an additional $10 billion or so by 2016."
- eMarketer via Site Pro Specialties, Feb. 28, 2012.
This tells us that the expenditures for online advertising will continue to grow despite the projected slower pace in the years leading up to 2016. What does this mean for SEO? Fortune3, an e-commerce solutions provider, conducted an online marketing survey last December 2011 - January 2012 with 270 respondents (online marketing retailers). The results of which are as follows: Where Was Your Best Online Marketing Return on Investment in 2011? 30% said Search Engine Optimization (SEO) brought in the best results. 19% (218) businesses said they saw the biggest ROI when they used Google Adwords Pay Per Click marketing, sometimes referred to as Search Engine Marketing. Where Will Your Primary Online Marketing Focus be in 2012? 56% said they would focus on SEO (search engine optimisation) to drive more customers to their website(s). 15% indicated they would spend their online marketing focus on Google Adwords citing Pay Per Click as a quick way to get instant traffic. Where Will The Majority of Your Budget Be Allocated in 2012? 26% said they will spend most of their budget on Search Engine Optimization. 19% said they would hoe into PPC – Google Adwords. - Fortune3 via OnlineMarketizing, Jan. 30, 2012. The survey's results show that e-commerce retailers will continue to focus their efforts on SEO because this is where most of the respondents saw the best results. Once again, we're left with the question as to which online marketing strategy is better. It's finally time to decide which of the two types of search engine marketing is THE ONE. Let's start by listing down the pros and cons of each: PPC Pros:- Speedy Startup If you're looking to rank quickly, PPC can do just that. It only takes a few hours to set up a PPC campaign through the advertising services offered by Google (Adwords), Microsoft (Adcenter), and other similar services. This can all be done in 3 seemingly simple steps: create the campaign, create the ads, and bid on the search terms.
- Better Ad Positioning The ads can be found more prominently on top, on the right side, and/or at the bottom of the organic results in the search engine results pages (SERPs). Organic results get pushed down the SERPs. Despite the claims of some people that sponsored links are not as trustworthy as organic links, there are generally higher conversion rates coming from PPC than SEO. The assumption is that people tend to find what they're looking for from the paid results more than the organic results.
- Settings Editing and Data Tracking Made Easy The configuration of your campaigns can easily be customized as you see fit. The ads, keywords, bids, budget, etc. can all be edited with just a few simple clicks and in just a few minutes. This is very useful should you want to target and rank for new keywords. Data tracking is also seamless with data that is quantifiable and highly measurable.
- Geographic Targeting Your campaigns can be focused to target specific regions only. Let's say you want one campaign to show only for New York City, USA instead of the whole country, you can do so.
- $ per click...$$$ over time At the end of the day, it's all about the money. You get what you pay for. In this case, you get "clicks." It's all good if the return on investment (ROI) is quick and high but what if it isn't? The costs are just going to pile up over time. Moreover, the competition for keywords can get much tougher in time which means shelling out more money. Getting your website to rank quickly is what PPC is all about. However, ranking quickly doesn't guarantee success. Correct keyword targeting and attention-grabbing ads will draw in clicks while well-optimized landing pages will have higher chances of getting conversions unfortunately, this doesn't always happen overnight. Multiple, continual testing is required in order to make this happen and this will lead to high costs month after month.
- Sole Dependency If you are solely relying on your PPC campaigns in marketing your website, then you will be in big trouble should it fail to stop showing your ads at any time. This could happen for a number of reasons but perhaps the most common occurring one would be the budget limitations. Once the ads slow down or completely stop, the percentage of traffic that came from your PPC campaigns will be the same percentage of traffic that will vanish like magic.
- Essentially "free" Unlike PPC, you don't shell out money for every click your website gets. Ranking in the organic search results is a result of doing best practices (white hat SEO) which doesn't require any direct form of payment.
- Long-Term Return On Investment (ROI) Links play a big role in organic search results ranking. High quality backlinks will definitely give your website a big boost and as long as the link is live, its effect remains. This goes for all your SEO campaign initiatives that are successfully seeded. In the long run, it also becomes the more cost-effective option. Research shows that there is an average click ratio of approximately 70-30 in favor of organic search results. Once again, in the long run, the possible conversions will be more exponential with SEO as opposed to PPC.
- Turtle-Speed Startup Your SEO initiatives may not immediately have any effect. For example, if your website can be found on the fourth page of the SERPs, it's highly unlikely for you to reach the first page in just a few days. The safest bet would be in 6 months time.
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