While inbound links are important, backlinks are just as important, but a little more difficult to acquire. We already went over how backlinks are important for building your domain authority, but the process to acquiring them can cost you hundreds. If you don’t have a budget for backlinks, try building relationships with other relevant quality websites that will link to your webpage.
Website ranking doesn't just come from what's on your website. Google, the number one search engine used today, uses a variety of other factors to rank websites. Things like your social media activity, appearances on other sites through interviews or guest blogging, and being listed as a resource on another site all increase your standing in Google's eyes.
Clients often ask me the difference and I give them a simple answer that normally puts an end to the conversation and their questions, much like the answer shane thomas gave, but less detailed. Direct is people putting in your url in the top and organic is people searching for you. Here is an example: If I want to buy a book i type in amazon.com (direct traffic) but if i forgot where to buy a book online i search for "where to buy a book online" which directs me to amazon.com (organic traffic). When i explain it like this, a light bulb goes off and they understand. Hope that helps.
Although it may have changed slightly since BrightEdge published its report last year, the data still seem to hold true. Organic is simply better for delivering relevant traffic. The only channel that performs better in some capacities is paid search ads, but that is only for conversions, not overall traffic delivery (Paid Search only accounted for 10 percent of overall total traffic).