Investing in an asset with SEO vs. renting with PPC
SEO and PPC each have their own advantages and disadvantages. PPC is quicker than SEO, which takes time to develop.
Another avenue that isn’t typically discussed is viewing SEO as an asset vs. PPC as a rental.
Let me expound:
In order to generate a strong organic presence through SEO, you have to create content, acquire backlinks, and generate reviews, all of which is an evergreen strategy that compounds with interest (i.e., traffic) over time when done properly. All of these components make your domain an asset that has a monetary value. You’re essentially investing into your presence for the future.
Contrast this with PPC, where you’re effectively renting visibility. The moment you stop paying for clicks, it’s gone. You have no long-term equity.
If you think of this like the real estate market, SEO makes your domain similar to owning your home, whereas PPC is like renting one. A rental is more convenient and offers a lower barrier of entry (i.e., you sign the lease and move in). It’s certainly more time-consuming and less user-friendly to buy a home (e.g., it may need improvements before it’s up to your standards), but the difference is that every dollar you sink into your home increases the value of something that you own.
It all comes back to your long-term strategy:
Do you intend to sell your firm, even if that day is many years in the future?
This consideration may impact your initial marketing channel decisions.
One crucial difference is that unlike real estate, where you can’t both rent and own a home, digital marketing allows you to do both (i.e., SEO and PPC simultaneously). It’s just that the long-term benefits of SEO make it worth additional consideration, particularly depending upon your exit strategy.