Ownership vs Renting
Buying PPC ads on Google, Bing, Yahoo, AOL, and other search engines may be a waste of money.A 2012 study conducted by GroupM UK and Nielsen demonstrated that users will overwhelmingly choose natural organic results over paid ones. The study sample included 1.4 billion searches and showed the organic listings won 94 percent of the clicks. There have been numerous studies on the difference between Google pay-per-click ADS (PPC) and ORGANIC Search results, and which of these are "clicked" most often. Organic Search Results are what people most often click on when looking at a Google Search Results page. In order to benefit from Google search traffic and organic clicks to your website your business needs to hold a prominent organic position in the results, namely page one.
Studies indicate that “71.33% of searches resulted in a page 1 Google organic click. Page two and three get 5.59% of the clicks. On the first page alone, the first five results account for 67.60% of all the 1st-page clicks and the results from 6 to 10 account for only 3.73%.”
So what’s left? A measly 15% of all traffic Goes to the Google Paid Ads (PPC) or trying a different search. Or giving up with no click at all.That’s pretty staggering. If you think you are getting the most bang for your buck with your Google Adwords campaign, I challenge you to reframe your thinking. You are paying for high-cost ads that may provide instant gratification, but in the end provides zero long-term investment, minimal CTR (click-through rate) per dollar spent, and does little to heighten brand credibility.
Top Organic Search Rankings always equate to higher volume and higher-quality traffic to your website.Overall when you look at the big picture if you want to market your business then spend your money on organic SEO first before you purchase paid ads. Once you are well-positioned in the organic search result, you can broaden your reach with other marketing, but paid ads should be the last thing you spend your marketing money on.
What does “organic search” actually mean?A recent study determined that 93% of all website traffic is generated by Google! We can’t think of a better motivation to get a website going for your business. Organic Search Results refers to the way a website “organically” or “naturally” appears in a search result. So when you go to Google, and you type in “Los Angeles SEO”, the results that appear after the Google ads are the “organic” results. Google wants to make sure that searchers are not only getting the results they need but wants to give them the best possible outcomes based on their query. Therefore, these results are ranked by relevance based on what you entered into the Google search bar, aka “keywords or Keyword phrases”.
Upwards of 85% of people are clicking on ORGANIC Search Results
The Majority of Spending by Businesses is on PPC ADS, not Organic Search Results
Here are some examples of PPC AD Daily Budgeted AD SPEND amounts for some common industries.Depending on the industry, objectives, and locations targeted, a business's AD SPEND starting budget could range from $5,000 to $10,000 per month.
Because 70% to 80% of consumers will click on an organic result when searching then for most businesses and especially service businesses investing in SEO / Search Engine Optimization and ranking in organic search results is a much better long-term strategy.
Bottom Line: A lot of Money (SPENDING) is currently being spent on PPC but the majority of consumers using search (70% to 80%) are clicking on ORGANIC RESULTS, not ads.