I read a blog post recently focusing on which provides more value, Pay per Click or Search Engine Optimization. Those arguing for SEO claim that 80 percent of clicks come from organic rankings. Those on the paid search (PPC) side, contend that more revenue comes from the Sponsored Links. Microsoft conducted a study which found that 60 percent of revenues were driven by paid search, while 40 percent of revenue was driven by organic. As you might imagine, opponents claim the numbers are misleading.
Here's how I see it--I believe PPC and SEO have different roles, and they add value at different stages of the buying cycle. Paid Search is sales oriented, comes into play at the end of the buying cycle, when consumers are ready to make a purchase or commitment. The most successful ads are those written around specific offers.
So for example, if I were a carpet cleaning business, my ad might read "5 Rooms Cleaned $99.95". This assumes I had done all my research, checked out multiple carpet cleaners in the area, saw which ones had great reviews, which were close by, which had hours that fit my schedule, which covered shag carpets, tiles and windows, etc. So I look in the sponsored Links section to find the best deal and make my purchase.
Organic listings represent the value proposition of the company and describe what they do rather than a specific offer. In the case of the carpet cleaner, the title description of their organic listing might say "Sacramento's premier provider of carpet cleaning, tiles and windows, using only green, nontoxic chemicals to protect your pets and the environment."
Organic listings come into play at the beginning of the buying cycle. When people are starting to look for a carpet cleaner or learn about carpet cleaning clicking on this listing might provide them answers to their questions. And if the carpet cleaner had consistently high rankings and visibility for related keyword phrases, this will ensure that as the buyer progresses through the buying cycle, they will continue to see and engage the company through its organic listing, eventually making the purchase or taking the conversion action there as well.
Bottom line-both Pay per Click and Search Engine Optimization have a role in helping a company increase its visibility, flow of qualified prospects, and revenue. They both add value, and if the cost model is right for the company, doing both simultaneously will provide maximum opportunity and benefit.
