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SEO is the most effective and natural way for your business to be found online through search engines like Google and Yahoo! It provides the long-term sustainable brand recognition your company needs to consistently rank at the top of search results.

What is PPC?

Pay per click means that your business will pay money for every ad click. You might be spending a few cents per click or as much as $10 + a click. If you have a $100 budget and your cost per click is around $10 that means that you will get 10 clicks. I know what you are thinking, 10 clicks for a $100 dollars sounds expensive and I would like to agree with you.PPC could cost a lot of money and that all depends on the algorithms Google has set-up for the keywords you are targeting.

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Should I use PPC or Should I not?

If you have been able to dial in your website’s sales funnel then this might be a good reason to use PPC. What does this actually mean? Here are some questions to guide you:

  • Do you know what your customer is worth / valued at? Maybe $5, $50, $100, or a $1,000. You need to determine what dollar amount your customer is valued at.
  • Do you know if your website is converting and if so do you know what your conversion rate is? For example, if you know that you are getting a 10% conversion on all the traffic that comes to your website then it might be a good idea to use PPC.

Let’s build a scenario by using a $100 budget with a customer valued at a $1000 and another customer valued at $100.

If we had a $100 budget and every one of our clicks cost $10 that would mean that we would only get 10 clicks right?

Please use the example below with your customer value too!

  • If your customer value is $1,000 and you have $100 budget at $10 a click that would equal 10 clicks. At a 10% conversion rate off of 10 clicks, that would mean that you would get 1 new potential lead and because your budget was $100 that means your lead cost would be a $100 per lead. Now the question that you need to ask yourself is a lead worth $100 for a $1,000 sale. Maybe?
  • If you put the same math towards a customer value at $100, you would notice that you are losing money every time that you get a new web lead at $10 a click, converting 10% of your clicks.

At Impressions, you would not believe how many times we see one of our clients lose money with every PPC lead. This is why we recommend having a strong website audit.

I hope now you notice or understand that most of the time you need to put in a lot of steps into place before using PPC. With the biggest step being, you need to know if your website or landing page converts well.

One of the largest complications is that most small to mid-size businesses have a small to mid-size digital marketing budget. If you spend your dollars they need to make you new dollars not lose them! And if your sales funnel is not built out correctly then chances are you will lose dollars.