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When you invest time and energy in something, you do expect to see results or an ROI at some point. And in the instant-gratification, digital age we live in, people want to see results fast.
No one says it better than Gary Vee or Gary Vaynerchuk, the multi-hyphenate entrepreneur and marketing guru: when asked by a CMO what the ROI of social media/digital marketing tools was, he said “What’s the ROI on your mother?” Meaning:
SEO is one such long-gaul game. How to calculate SEO ROI is another ballgame, though.
And the good news is, there are some pretty simple ways to calculate SEO ROI. You can learn how to calculate SEO ROI with a few simple metrics in place.
Before you learn how to calculate SEO ROI, you need to know how SEO itself works. It’s a combination of keyword, content, keyword placement and link-building.
Optimising for SEO doesn’t automatically translate to sales and revenue. A good SEO strategy typically results in more search traffic and better rankings for your website or e-commerce platform, and that is what will either get you more paging customers and bring in more leads who will be likely to convert into customers.
How to calculate SEO ROI will differ based on whether you are an e-commerce or a lead-based company.
With an e-commerce site, it’s simpler: you already have data from online transactions that will tell you how much money came in via web sales.
Leads-based businesses will have to take a different approach and monitor other factors like engagement events (newsletter signups, contact us forms, downloads of freebies etc).
There are a few things you need to correctly perform ROI analysis in Google Analytics: tracking configuration, conversion and goals setting, cost data from the reports. 60 days of data is a good place to start.
Profits from SEO – Cost of SEO activities / Cost of SEO activities = SEO ROI.
When you learn how to calculate SEO ROI, you gain valuable insights into what you are doing correctly and what you might need to change. Here’s what you will learn, step by step:
SEO isn’t something that will bring you results overnight (unless you create a post that goes viral or gets picked up by a machine that’s bigger than your own). With SEO, you have to keep at it, keep playing around with keywords and refreshing your content, and you will see results.
Having said that, you do need to measure the effectiveness of your content and the average ROI of SEO that you do. Now that you know how to calculate SEO ROI, you can keep tabs and modify or maintain your strategy to get the best results.
Amol has helped catalyse business growth with his strategic & data-driven methodologies. With a decade of experience in the field of marketing, he has donned multiple hats, from channel optimization, data analytics and creative brand positioning to growth engineering and sales.
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