Optimization vs. Paid Search

In 2008 it is interesting to see that paid search efforts outspent organic optimization 10-1, my thoughts are that this will drastically change over the course of the next 5 years because many competitive industries are hitting extremely high costs on a pay-per-click basis and even though SEO can be harder to measure and can take a longer time to show results.  Those results are so impressive that they can mean the difference between ‘making-or-breaking’ a business.

I was recently involved in doing SEO for a company that had a cost per acquisition of $47 through traditional style advertising and that cost went down to $3.85 for those aquired though search engine optimization.

I find the biggest problem with SEO continuing to grow at the pace it deserves is twofold, first there is a lot of resistance from traditional marketing folks because SEO is a much different animal.  With SEO you are spending considerable resources on something your company ultimately has no control over, the search engines.  And to make matters even more complicated the search engines keep their algorithms and methods of ranking a secret.  Secondly, most business owners and traditional type marketing managers don’t really understand SEO and that makes it very difficult for them to justify the expense and risks involved in switching over their traffic acquisition methods to organic vs. paid.

search marketing 2008

But there is hope and I do see a pattern starting with the largest and most progressive companies as they give SEO a try.  It has even reached  a point where many of these companies are bringing SEO in-house where they can learn, track and enjoy these advantages up close and personal.