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How to Track ROI for PPC and SEO Campaigns
Many business owners and marketers feel they have less control over their search engine optimisation than their paid search, which is why many invest in channels they can control, even if they tend to be expensive and provide a lower return on investment. As a result, it's essential to measure and report on ROI for Pay-Per-Click (PPC) and Search Engine Optimisation (SEO) campaigns.
Return on investment (ROI) is the measurement of revenue generated from investing in SEO or PPC. This involves tracking your website traffic, impressions, conversion rates, and revenue generated, along with other key performance indicators (KPIs).
When you accurately measure your ROI, you have the ability to make informed decisions regarding your marketing budget, focusing on the strategies that drive the best results.
The formula is relatively straight forward:
Value of conversions less investment
This means determining the cost of your PPC or SEO campaign and it's impact on your business. You can start by tracking website traffic, ranking, conversion rates, and more. Calculate any revenue generated from the conversions received and less the cost of your campaign. Divide the net profit by the campaign cost to provide your ROI.
In order to work this out:
If it's a percentage you are after, divide your investment by the return on investment you received from that campaign. So $80,000 divided by the investment of $20,000, gives you a four times return on investment.
While this sounds easy enough, determining the actual value of each conversion for specific projects can be challenging.
Measuring your ROI isn't always as straightforward as you may expect, it can present some challenges:
SEO and PPC are effective digital marketing strategies, yet it's also important to track your ROI to identify what campaigns are working and what campaigns need adjusting. Do you need help measuring your ROI on your SEO or PPC campaign? Get in touch with the Genie Crawl team today to find out more.
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