PPC and SEO: Selecting an Online Advertising Campaign

PPC or SEO: which is right for me? In the world of Internet marketing, you can either pay your way to the top through a Pay Per Click (PPC) campaign, or you can work your way there with a Search Engine Optimization (SEO) campaign. Both can be effective, but there are benefits and drawbacks to each method.

Below are graphs that show the relationship between the amount of money spent and the traffic obtained for each traffic generation method. As you look at these graphs, think in terms of renting vs. owning a home. Notice that with PPC (just like with renting), you can enter the market quickly, but over time you have to increase the amount you spend to sustain the volume of traffic. This is because more businesses are moving their advertising efforts online as local search happens less
in the yellow pages each year. Evidence of this is supported by the fact that Google's ad revenue has been doubling year over year.

Key points about PPC:
More people bidding for the limited positions continually drives up your cost.
Anyone willing to spend enough money can bump your business out of the rankings by outbidding you.
Because your position is "rented," you are always at risk of being outbid.
Gives immediate results with decreasing value over time.

An SEO program from Prospect Genius (a leading provider of online, local advertising) is more similar to home ownership. Your investment of time and money buys equity in the rankings. This means that over time it becomes harder for others to bump your business from its position, giving you a lasting and sustainable advantage.

Key points about SEO:
Cost remains the same while traffic increases.
You build a sustainable advantage over time.
Your cost per customer is almost always lower with SEO.
Provides increasing value, especially after the ramp-up period.

Matt Gallo is the Internet Marketing Manager for Prospect Genius, a leading provider of online, local advertising. Learn more at their website http://www.prospectgenius.com.