Sunday, March 7, 2010

Local SEO vs. Local PPC Marketing - which is better?

PPC (Sponsored Links, Pay Per Click) vs. SEO and Google Maps Marketing

The story of the three little pigs provides the perfect analogy...

Comparing SEO and PPC marketing relates to the story of the three little pigs.

I use the 2 pigs on opposite extremes commonly in my answer to this question:

1. The little pig that built a straw house

This pig will very likley have the highest cost of maintenance over time. When a storm comes or the wind blows, this will be damaged if not destroyed and the rebuilding process will begin again. The good news is that it required very little heavy lifting, expertise, or time to build.

2. The little pig that built the brick house camped out for a while, worked hard, planned a permanent structure, and laid down bricks, one by one, until the structure was complete.

After completion, the brick house would require some maintenance, but it remained solid and strong - able to provide the smart little pig a better return on his investment of time over the longer term than the short-sighted pig.

The first pig compares well with a dependence on Pay Per Click as a means of obtaining competitive Google positions. It's relatively simple to set up an Adwords campaign in an hour or 2 at best. To take a local Adwords campaign to the next level (optimize quality scores) requires a few blog reads and a willingness to learn. The learning curve is short and so is the barrier to entry. The low barrier to entry means that just about anyone can do it. Your competitors can jump in the fray and outbid your positions in a matter of ours. As a result of the low barrier to entry, Pay Per Click advertising based on the bidding system, continues to go up in price as more competitors bid on sponsored links. Ultimately, the cost per customer is highest in most cases using Pay Per Click/Sponsored links as an online marketing strategy. Thus, PPC dependence can be compared to the pig who built the straw house.

In contrast, the smart little pig built a brick house designed for a long term, low maintenance benefit. Building it required time, expertise, and sacrifice. It's simple - those companies occupying top Google maps and organic positions invested, remained patient, and had the right expertise or expert help to help them obtain positions that remain stable 24 hours a day without the high cost of Pay Per Click (sponsored links). Those web assets were developed with engaging, quality content that was well thought out. Without a doubt, those companies are in the best position to have online marketing success for the long term.

Smart little pigs will grow in a down economy. Smart little pigs will have the best chance at growth when Google is now the most important factor in small local business advertising.

SEO is far more advantageous as the analogy used above suggests.

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