How much is Search Engine Optimization worth?

Many times clients are not aware of the actual worth of Search Engine Optimization (SEO) in their company’s website and they utilize other methods of internet marketing.  What they are not aware of is that if they were to use SEO they can save up to 80% of their budget and maximize their Return on their Investment (ROI). For example for a pest control company in San Diego going for the keyword “San Diego Pest Control” they could save an average of over $11,000 if they were to be on the number one spot of the organic results versus if they were using a pay per click (PPC) method.

We can calculate the worth of organic keywords by using a variety of methods. My prefer way is to use the Google Keyword Tool to calculate their value. On this tool Google gives us important information like how many times a keyword is searched and what is the approximate cost per click (CPC). This information combined with the know click-trough rate information on organic results will provide you the worth of any given keyword.

Example:

First here are some click-trough rate statistics

Rank 1 18%
Rank 2 10%
Rank in top 10 52%
Below the fold 4%

 

Now we will retrieve the desired keyword information using Google’s Keyword Tool

Keyword San Diego Pest Control
Global Monthly Searches 4,400
Approximate CPC $14.13

 

Using this information we can calculate the worth of the keyword using the following formula:

{Global Monthly Searches} X {Approximate CPC} X {Click Trough Rate}

or

Rank 1 4,400 X 14.13 X .18 $11,190.96
Rank 2 4,400 X 14.13 X .10 $6,217.20
Rank in top 10 4,400 X 14.13 X .52 $32,329.44
Below the fold 4,400 X 14.13 X .04 $2,486.88

 

As you can see the worth of a keyword in the organic search results is bigger that what the average person believes. Please note that this is only the worth of a single keyword, many search engine optimization campaigns when done properly can achieve infinity of number 1 ranks in searches with related keywords. There are many businesses that spend a large part of their budget in campaigns that will not maximize their ROI. Search Engine Optimization is not only more affordable that inbound marketing efforts but it will also create a better online reputation for your business.

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