Organic SEO or Pay-Per-Click Advertising - Which Should You Choose?

March 20, 2008

When people hear about online marketing, they often think of two of the more popular methods that a company can use to enhance its visibility on the Web: organic search engine optimization and pay-per-click advertising.

In an ideal world, you would use both strategically to maximize your site’s profile. However, budgetary constraints often make this impossible, and trying to do both on a limited budget or with minimal resources can result in neither campaign producing ideal results. In this case, it’s usually better to focus on one or the other. But which is best for you?

Organic Search Engine Optimization
Organic search engine optimization campaigns offer several distinct advantages over pay-per-click advertising campaigns, as many recent studies have shown. What follows is a brief listing of some of the findings.

Propensity to Click
Study after study indicates people are less likely to click on paid search ads rather than on results from organic search engine optimization. For example, one study found that search users are up to six times more likely to click on the first few organic results than they are to choose any of the paid results, while an eye tracking study showed that 50 percent of users begin their search by scanning the top organic results. Other studies have shown that only 30 percent of search engine users click on paid listings, leaving an overwhelming 70 percent who are clicking the organic listings. And a 2003 study found that 85 percent of searchers report clicking on paid links in less than 40 percent of all of their searches, and 78 percent of all respondents claim that they found the information they we searching for through sponsored links just 40 percent of the time.

Trust
Studies are beginning to indicate that the trust level for organic results is much higher than that of paid results, and that paid results are looked upon as a nuisance by some searchers. One study found that only 14 percent of searchers trust paid listings, and 29 percent report being "annoyed" by them. Another study found that 66 percent of customers distrust paid ads. Clearly, it’s not generally a good idea to upset potential customers before they even click on your link.

Value of Visitors
Organic search engine results tend to be seen as non-biased, and they therefore are able to provide visitors that are more valuable. The overall conversion rate, or the rate at which searchers take a desired action on a site, is 17 percent higher for unpaid search results than the rate for paid (4.2% vs. 3.6%). Trends also have shown that more of the sales that result from search engines originated in organic search listings.
Visitors Becoming More Aware of Pay-Per-Click as Advertising
As more and more people turn to the Internet for research and information, more searchers are becoming aware of paid results as a marketing tool. One study showed that not only are 38 percent of searchers aware of the distinction between paid and unpaid results, 54 percent are aware of the distinction on Google, which is widely recognized as the most popular search engine.

Pay-Per-Click Costs Rising
Meanwhile, pay-per-click costs are rising steadily. Between October 2004 and December 2005, average keyword prices rose from around $25 to just under $55. And the cost of keywords can increase by as much as 100 percent during the holiday season. These costs aren’t going unnoticed either; one study of problems experienced by U.S. companies found that 57 percent of respondents felt that their desired keywords were "too expensive," while 51 percent expressed concern that they are overpaying for certain keywords. On the other hand, when you outsource to an organic search engine optimization firm, your costs will likely remain more stable than the prices for pay-per-click advertising.

Long Term Results
While a pay-per-click campaign may produce results more quickly than an organic search engine optimization campaign, organic search engine optimization campaigns can give you results that last. When the budget runs out for a pay-per-click campaign, or when your company decides that the pay-per-click campaign should be terminated, the results end as well. With organic search engine optimization, the optimized site content and other changes made to your site can have an impact on your search results until the next change in a search engine’s algorithm, or possibly even beyond.

Relevance
Users also have rated organic search engine results as more relevant than paid results. On Google, 72.3 percent felt that organic results were more relevant, while only 27.7 percent rated paid results as more relevant. Yahoo offered similar results, with 60.8 calling organic results relevant compared to only 39.2 percent for paid.

Pay-Per-Click
While the above statistics may make organic search engine optimization seem the clear choice in all cases, in certain situations it actually can make more sense to do pay-per-click advertising. For those looking for fast results on a small budget, a pay-per-click campaign may be the answer.

Results
As previously stated, the results from pay-per-click advertising are immediate. On the other hand, an organic search engine optimization campaign may take up to three months or more for results to be apparent. In this case, pay-per-click is advantageous for those who are looking to promote an initiative that will go live in a short amount of time, or whose business is seasonal in nature and who only do promotion during certain months of the year.

Budget
Small businesses with extremely tight budgets may find that pay-per-click is a better investment than organic search engine optimization because a pay-per-click campaign will almost always cost less - good search engine optimization companies simply do not work for $100 per month. By limiting a campaign’s keyphrases to highly specific terms relevant to a company’s business, there will not be a large amount of traffic generated, but the traffic that is generated will be specific to the desired result. Plus, choosing such specific phrases can make them less expensive on a per click basis. Moreover, in niche markets with a high average dollar sale, where there’s not a great amount of search activity because the prospect pool is limited, it may not make sense to engage a quality organic search engine optimization firm at several thousand dollars per month when you can instead buy varying niche-specific keyphrases and generate traffic in that way.

Easier to Handle In-House
Non-complicated pay-per-click campaigns can be handled much more easily in-house than an organic search engine optimization campaign. Such campaigns generally involve business to business and high-end, service oriented companies, not those geared toward a large consumer base. Since organic search engine optimization requires a steep learning curve and since there are so many questionable tactics that can put a site at risk of penalization (the tactics that neophytes to search engine optimization are likely to use), it may make more sense to run a pay-per-click campaign. Since you are dealing directly with the engine, i.e., Yahoo Search Marketing and Google AdWords, you don’t need to pay a middleman, and these sites offer helpful tutorials on how to use pay-per-click marketing. Perhaps most importantly, the concept of pay-per-click is much easier to grasp and understand at the outset.

No Contracts
Most organic search engine optimization campaigns require a contract of a certain length because SEO companies know that meaningful results will rarely happen overnight. When dealing with an in-house pay-per-click campaign, obviously a contract is not an issue. But in general, even when you are dealing with an agency, you will not tend to need to sign a contract because the agency instead makes money on a percentage of the spend, although there may be a setup fee. Without a contract, you are free to reallocate marketing dollars elsewhere if you discover that the pay-per-click campaign is not providing the desired results.

Conclusion
Clearly, organic search engine optimization has some distinct advantages over pay-per-click advertising. However, there are undoubtedly certain situations and scenarios where pay-per-click advertising makes more sense fiscally and strategically. With a high enough budget, you would be able to have an effective organic search engine optimization campaign running in tandem with an effective pay-per-click campaign. But if you have to choose one, look into your unique situation before you decide.

Improving Search Engine Rankings - 10 Easy Steps to Follow

March 3, 2008

There are multiple ways to boost search engine rankings, including implementing title tags and meta tags, acquiring quality links, using HTML, making site navigation easy, and adding a blog.

There are several steps to follow to ensure top rankings in search engines. Sites that follow these simple steps will likely see their traffic and search engine rankings soar through the roof. The better optimized your site is for the search engines, the better results you can expect.

The following tips will help you understand how the search engines rank sites and why some sites achieve higher rankings than others. Following these 10 steps will greatly boost your Web sites presence in the search engines and on the Internet as a whole.

1. Implement Title Tags and Meta Tags

Title tags are an important aspect of search engine optimization as they are the way to convey your marketing skills to your target audience. The wording should flow smoothly while containing important keywords. This is where the search engines and your target audience get a feel for what your Web site is about.
You want to stress all the viral information in this limited area of space. This is your area for free advertising, so take full advantage of this. Insert information like company name and your targeted keywords that you have chosen for this page. Every page on your site should have unique title tags and meta tags.

2. Offer Quality Content

Your content is very useful for the search engines in determining whether or not your Web site is relevant to your topic. You want quality, keyword rich content. You do not want to stuff your keywords, but place them sporadically throughout you site.
Keyword stuffing is a black hat technique that will get you permanently banned from the search engines. Make sure that your content flows smoothly and rolls off the tongue easily. Remember, humans — not search engines — have the ultimate decision to purchase your product or service. Write your content first for your audience and then add keywords where it makes sense to.

3. Acquire Quality Links

Links are a valuable tool for gaining top search engine rankings. Links (backlinks) are viewed as a vote from one site to another, so the more links to your site, the more popular the search engines think your site is. Higher-quality links from authority Web sites are weighed more heavily when ranking your site. So, acquire links from reputable Web sites that are popular.
You want to get links that are related to your line of work to increase rankings. Make sure all your links are related in one way or another to your Web site. If not, then your site will be penalized in the rankings, which is the opposite of what we are trying to achieve.

4. Strive for Quality Backlinks

Recently, Google began to crack down on link farm sites (sites where you buy links) by penalizing them in the search engine rankings. Avoid link farms or buying links from non-authority sites, as they will only do more harm than good.
Remember, it’s not the quantity of links you have, but the quality of those links you do have. Make sure your links appear natural, not like they have been paid for. You must have something of quality to offer others so they will link to your site and increase your search engine rankings.

5. Have a Keyword Relevant Domain Name

Before purchasing a domain name, you should look for a URL that has relevant keywords to your company. Ensure that your domain name has some relevancy to your Web site.
Your sub domains should not be long and full of strange characters and symbols. This will only confuse the search engines and your human visitors. The simple domain that has your keyword specific to your page is great for the search engines and human readers.

6. Use HTML

Search engine spiders have a hard time reading coding other than HTML (hypertext markup language). To avoid any confusion for the spider, have your Web site written in HTML — not Flash. If you are a large, well-known company, this does not play as big a role, but if you’re a small company trying to make a name for yourself, ensure that your programmer is using HTML.

7. Make Site Navigation Easy

You want a Web site that is easy to navigate. The more confusing and broken links on your site, the less likely it is that a spider will fully crawl and index all your pages.
Submit a sitemap to Google so it can find and index all the pages on your Web site. Sitemaps are a necessity for getting all your Web pages indexed and included in search engines.

8. Use Fresh, New Content

Search engines do not want old, outdated content on their search results, so you must make sure to add new content to your site on a consistent basis. Both humans and spiders like to see new content on your Web site. Make sure to update your content to make sure it is up to date and relevant.
You can make simple grammatical changes to your site or add pages — anything counts as new content. If you stop adding new content to your Web site, your rankings will start to slip and fall way below your desired results. If you see your rankings start to slip, make sure you add new content to your site.

9. Add a Blog to Your Site

A blog is a great tool for keeping visitors up to date to with your site. Blogs help promote your site and give your visitors another way to locate your Web site. Blogs and blog posts get indexed in the search engines quite quickly as well.
If you start a blog about the industry you are in, you can quickly build up your rankings. Blogs are especially useful for adding fresh content to your site. Blog posts are seen as new content, so post in your blog at least once a week to keep your content new. Blog postings do not have to be relevant to your Web site, but it does help to keep the content somewhat relevant to build up and authority blog.

10. Make Your Web Site for Humans - Not Spiders

This is probably one of the biggest mistakes committed by newcomers to Internet marketing. They write and organize their Web site for the search engines to achieve high rankings, yet the traffic that comes in does not make a purchase.

You want to have a Web site that is easy to read and comprehend — not a site that is made for the spiders to read. Ultimately, your site is viewed by humans who hold the purchasing power. Ensure that your Web site is easy to read and does not have any misspellings.