What is SEO ROI?
SEO ROI (Search Engine Optimisation Return on Investment) is the measure of the financial return a business gains from its SEO efforts compared to the amount invested. It quantifies how effective an SEO strategy is in generating profit, leads, or other desired outcomes.
Unlike paid advertising, SEO typically delivers results over a longer period, so calculating ROI helps determine whether the investment is delivering sustainable value.
Why SEO ROI Matters
Understanding the return on investment from SEO helps businesses justify their marketing spend and optimise their strategy. By tying SEO metrics to business outcomes, marketers can show the real value of improving search rankings, driving organic traffic, and increasing conversions.
Key benefits of tracking SEO ROI include:
- Demonstrating the impact of SEO on revenue
- Prioritising tactics that deliver the best value
- Allocating budget more effectively
- Aligning SEO efforts with business goals
Measuring SEO ROI often involves tracking metrics like conversions, lifetime value, and organic traffic growth in relation to SEO costs.
Example in Use
A SaaS company spends €5,000 per month on SEO, including content, technical improvements, and link building. After six months, they see an increase in organic leads that translates into €40,000 in new customer revenue. By comparing total revenue gained to the cost invested, they calculate a strong SEO ROI and decide to expand their efforts.
SEO ROI becomes a key metric in their overall marketing analysis.
Related Terms
- Conversion Rate
- Organic Traffic
- SEO Reporting
- Marketing ROI
- Lead Generation