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How to measure return on investment on your SEO efforts?

How to measure return on investment on your SEO efforts?

You can measure the success of your SEO in many different ways. Google Analytics can track conversions, traffic, referral sources, and many other metrics. However, one of the most efficient ways is to measure return on investment on your SEO efforts. ROI is a crucial factor in any business project. With that in mind, let’s look at how to work the numbers around search engine optimization and find out if you are moving in the right direction.

What is SEO ROI?

As the name suggests, SEO ROI is the returning amount of resources you used to improve search engine optimization. If your SEO is bringing results in terms of better website ranking, it means that it is working. However, it is also crucial to calculate if it pays off on the financial level. Knowing how and why to do SEO is vital. If you are spending too much money to make SEO work, you need to do a little tweaking so that you don’t lose profit at the same time.

Steps to calculating SEO ROI

The best way to measure return on investment on your SEO efforts is to use a three-step tracking system:

  • track and analyze conversions;
  • split conversions into categories and analyze them separately;
  • calculate the SEO return on investment by using a simple formula;

Let’s break this down a bit more.

Conversion tracking

The only way to know if your SEO is efficient is to track and measure conversions. For example, you might use different approaches to improve on-page and off-page optimization, like doing keyword research, social media, link building, and so on. If you are focusing on link building, you need to use different methods to determine the impact of backlinks on the overall SEO.

You need to thoroughly check all of those elements to make sure they are improving your SEO. That is best seen through conversions that bring profit.

You can set up conversion tracking either by using transaction data from eCommerce stores, if that’s how you conduct sales, or by analyzing the lead generation if you are selling services or products directly to the customer.

eCommerce conversion tracking

The best way to track conversions for eCommerce sales is through Google Analytics. Use the eCommerce overview report to get all the data you need. The sooner you start collecting data, the better. Once you decide to measure SEO ROI, you will have more data to work with.

Lead generation tracking

Tracking leads for lead-generation-based businesses works a bit differently. You cannot get direct data out of the system because the sale is not happening online. You need to assign a dollar value to every on-site sale based on your previous sales. This is best done in the Goals in Analytics, and you can find that under the Admin -> View menu.

You will need to do some manual work and calculate a couple of estimates. Find an average percentage of leads that convert into sales and calculate how much an average client spends per one deal. Those numbers will help you to find the average value of your leads. For example, if on 100 leads you have 25 customers that convert, and each spends 100 dollars, you have a profit of $2500. If you divide that profit with 100 leads, you will get that one lead is worth $25.

Using this simple math, you can get numbers that will help you measure conversions for lead tracking. Keep in mind that the entire report will give you an estimate, but a pretty close one to the actual situation.

Splitting conversions into categories

Another important element of measuring SEO ROI is splitting all of your conversions into different categories. This is a crucial step if you have different channels. You need to figure out where the conversions are coming from.

For example, you might be getting conversions from e-mails, social media, even through word of mouth. You need to know what conversions are coming directly as a result of SEO.

Use the Assisted Conversions in Google Analytics to create groups and assign conversion numbers to them.

The formula for calculating SEO ROI

Once you have the conversion tracking system set up and get data, you can use a simple formula to get the ROI from your SEO efforts. You take gain from investment, subtract the investment cost, and divide that number with the same cost. If you multiply that by 100, you will get ROI as a percentage value.

Just keep in mind that some companies use different parameters to measure their profit. Whether you are using total revenue or net profit from every sale, you need to compare those numbers with the result of the formula. Otherwise, you might get the wrong data.

When to measure SEO ROI?

We did the how, not let’s do the when. It’s important to note that tracking and measuring ROI is not a one-time thing. It should become a practice that you repeat for a set time period.

To have the most control over your finances and how much you spend on SEO, it is best to measure ROI on a monthly, quarterly, and yearly basis. SEO is a long-term investment, and every step-by-step SEO guide tells you how important it is to constantly work on improving it. With that in mind, it is best to track it while going through different stages.

Measure return on investment on your SEO efforts and start making a profit

Calculating SEO ROI is a time-consuming process. It requires a lot of energy and effort. However, it is crucial to measure return on investment on your SEO efforts. You need to have total control over your finances and over how much you are spending on SEO. There needs to be a balance between how much money you put into a project and what it earns for you. Otherwise, you are only spending money that you could put to better use.

 

On-page Strategies to Improve Your Local SEO

On-page Strategies to Improve Your Local SEO (2)

On-page Strategies to Improve Your Local SEO

Improving your website can be done in many ways. All of the approaches you take can be divided into two categories – on-page and off-page SEO. The main difference is that, with on-page SEO customization, you have full control of what goes on your website’s pages. Simultaneously, the off-page process mostly refers to your website’s ranking based on its popularity and authority. With that in mind, let’s look at the best on-page strategies to improve your local SEO.

Focus on the keyword frequency and keyword position

When you start researching ways to optimize SEO for a website, the first thing you learn is the importance of keywords. Keywords tell search engines that your website focuses on a specific topic. As a result, people interested in what you are offering will be lead to your site.

When writing articles for your blog, always remember to use the keyword in the first 100 characters. Furthermore, the keyword should also be present in at least one heading or subheading, alt and caption attributes for images, in the last paragraph, and a couple of additional times throughout the article.

Keyword frequency helps Google understand the content of the article. If the frequency is low, the article will look too vague.

Set proper tags

Every article is divided into sections and subsections. The three most essential parts of an article are the title, headings, and subheadings.

As a rule of thumb, the title should always be set within the H1 tag. Headings should carry the H2, and subheadings the H3 tag. This is the correct way to build a structure within your articles. Optimized headings can be of great help in boosting the overall ranking of your website.

Use external links to turn your website into a hub of valuable content

When browsing the web, the number one way to end up on another website is by clicking on external links. While the goal is to keep visitors on your website, you have to understand they have a wide array of interests. If they are going to leave your website at one point, you do everything you can to send them to another quality website.

Whenever you are referencing other websites in your articles, make sure that they are verified. This is a great way to present your website as a hub that will help visitors find valuable content, no matter where they are.

Still, a word of caution. Even though link building is one of the most effective on-page strategies to improve your local SEO, remember not to overuse external links. This is not a viable way of promoting your website. The ratio between internal and external links should be 65% to 35%.

URL structure

Here is one of the on-page strategies to improve your local SEO that often gets overlooked. When you visit a page, study what the URL looks like. If you are visiting a blog, it will look something like this.

“https://yourwebsite.com/blog/categories/category_name/this-is-an-article-title”

This is an example of a well-structured URL. Have this in mind when building URLs for your articles. The structure of your website plays an important role, so pay attention to these three things:

  • always honor website structure
  • build shorter URLs
  • use the keyword in every URL

Focus on the quality of the content above all

No matter how well-made your website is, no one will spend time on it if you don’t have quality content.

Quality content is your best on-page strategy to improve your local SEO. To create something unique and interesting to the readers, take a look at these tips:

  • valuable content must offer a solution to a problem
  • it should be concise, well-structured, explanatory, and easy to follow
  • do not use unverified sources for your content
  • pay special attention to the grammar and the overall writing style
  • stay informed on the latest technologies, trends, and topics of interest
  • use images and videos to add visual and audio elements to your content
  • hire experts to help you write compelling articles

On-page Strategies to Improve Your Local SEO (1)

If you follow all of these suggestions, you will do more for your website’s SEO than by using any other approach. Readers like quality; if you provide them with it, they will continue to return.

Create article titles that attract attention

If an article title is not interesting enough, no one will click on it. One of the most effective ways to create an article title is to use the how to prefix. Readers already know that the article will be instructional and will help them learn to do something.

We’ve already mentioned earlier that quality content offers a solution to a problem. That’s why having a question in the title plays such a crucial role.

Image optimization

The last piece of the puzzle is image optimization. This is such a wide topic of discussion, but here are a couple of important pointers:

  • The size of the images should be between 70-100 KB. This helps your website load faster.
  • Remember to always use the correct format for an image. For example, the logo should always be a vector, made out of solid colors and simple shapes. You should only use JPG and PNG if you want more depth and texture.
  • The alt attribute should explain what the image shows, and the caption should be an interesting description associated with the image and the corresponding paragraph.
  • All images should be clear and sharp, with good use of contrast.
  • Never use images that are not free for use, unless you pay for them.

On-page strategies to improve your local SEO made easy

And there you have it, a few simple and effective on-page strategies to improve your local SEO. These approaches produce the best results when combined. With that in mind, do not focus on just one strategy, but try to mix them, and find a combination that works best. Good luck!