Calculating the Return on Investment of Search Marketing

February 9, 2016 - Digital State Marketing

When choosing your Digital Marketing partner one of the first questions asked will be “what will I get for my money?” If you were a Digital Marketing expert then there would be no need to go through the selection process of finding the Digital Marketing partner for you. In the selection process there will be words and phrases, SEO, key words, rankings, which you may not understand but the right partner will guide your marketing campaign through this. However, the bottom line question remains of what do I get for my money and what is the return on that investment?
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Your search marketing campaign will consist of strategies aimed to increase your website presence through use of key words for your products and services, social media presence, and website content, to name but a few. The correct search marketing strategy can enable return on investment to be calculated as

SEO ROI = SEO Revenue – SEO Cost
SEO Cost

However, while this works well for e-commerce sites, where revenue generated from Key words is readily identifiable, what can be done for non-e-commerce sites? Other options include
• Adoption of PPC advertising where Revenue vs Spend is easily measurable
• Key Words which drive your website traffic
• Number of unique hits on your page
• Conversions related to the campaign
• Overall increase in conversions over time
• Conversions related to search engine traffic
• Overall increase in search engine traffic
• Overall increase in unique users and traffic
• Increase in domain authority

In working with your search marketing partner these items will increase your market presence and should convert to increased revenue. A word of caution though this work involves partnership and in the world of instant results these campaigns, with the exception of PPC, take time to embed. Good digital marketing strategies require time and consistent effort to obtain the long term benefits.