8
Jan
2010
PPC – Strategy Or Money Pit?
“Wide diversification is only needed when investors don’t understand what they are doing.” – Warren Buffett
If you have a look at the title of this article you will marvel what a money quote from investor Warren Buffett has to try to to with Pay Per Click (PPC) advertising.
Allow me to explain. PPC advertising will provide diversification, and if you’re an on-line marketer you are investing time and money resources in a very tool that is designed to supply a come back on your investment (ROI), but this diversification, whereas varied, provides solely a marginal (and short term) return on investment.
The employment of Search Engine Optimization (SEO) techniques are certainly less expensive whereas providing larger long-term ROI. When all if you could avoid paying an advertising bill wouldn’t you?
“If past history was all there was to the game, the richest individuals would be librarians.” – Warren Buffet
Warren Buffet is one of the richest men in the planet, perhaps that’s why he understands that past performance or maybe past knowledge doesn’t forever facilitate your manage future changes. If you are trying there for a reference purpose it is time to shift your focus.
PPC is propped up because the gold normal in online advertising. I’m actually not saying it’s a horrid investment, however the truth is why ought to you acquire one thing you may get at no cost? SEO could be a tool that may take a very little whereas to see returns, but in the end SEO will build a greater impact than using a tool that provides solely short-term hits, which go away when your advertising funds run dry.
“Investing should be additional like watching paint dry or watching grass grow. If you want excitement, take $800 and move to Las Vegas.” – Paul Samuelson
When you read PPC and SEO in lightweight of the quote above you’ll link PPC with the $800 in Vegas and SEO with watching paint dry. It may be more exciting visiting Vegas and blow some money, however it is the slow and steady progression of paint drying that enables SEO to be noticed long once you’ve lost the airline price ticket stubs from Vegas metaphorically speaking.
It’s potential to come away from this text believing I’ve got no use for PPC advertising. The truth is I really believe moderate and strategic use of PPC can possess some short-term value, however I conjointly think that many on-line businesses are taking the cue from Tom Hanks within the 1986 movie, “Cash Pit”, they solely keep flushing cash away while not ever really getting their business to the extent they desire. In fact the frustration Tom Hanks experienced in that movie will also return with the territory of banking your strategy on PPC advertising alone.
Initially I think that PPC and SEO will each be employed in tandem to develop a business web site, but as you start to appreciate SEO strategy potential, PPC advertising should be reduced and probably eliminated from your long-term methods relying on your overall success in SEO development.
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