Pay Per Click vs. Search Engine Optimization

From an online marketing standpoint, most companies are willing to spend money on PPC because they can quantify their spend better than they can with SEO.

Enquisite, a web analytics company, released some very interesting search engine statistics that compare PPC spend to SEO and the results are amazing. The results are summarized below:

PPC vs. SEO

  • For every single click on a paid search result, the organic (SEO) results generate 8.5 clicks.
  • Based on conversion tracking, paid search (PPC) clicks convert  1.5 times the rate of organic clicks on average.
  • The opportunity from organic search (SEO) is 5.6 times that of paid search (PPC)
  • Based upon a 4-year ad spend summary (from 2004 – 2007): Companies spend on SEO 1/8th of what they spend on PPC.
  • Paid Search Agencies charge their client’s, on average, 10% of their clients’ PPC spend.
  • Thus, based upon the facts presented above, SEO Agencies earn 1/45th as much as paid search agencies.

So now tell us, where is the value? SEO or PPC? Contact the Conversion Pipeline Online Marketing Team!

Source: SEOMoz