SEO may generate an adequate return on investment. However, search engines are not paid for organic search traffic, their algorithms change, and there are no guarantees of continued referrals. Due to this lack of guarantees and certainty, a business that relies heavily on search engine traffic can suffer major losses if the search engines stop sending visitors.[60] Search engines can change their algorithms, impacting a website's placement, possibly resulting in a serious loss of traffic. According to Google's CEO, Eric Schmidt, in 2010, Google made over 500 algorithm changes – almost 1.5 per day.[61] It is considered wise business practice for website operators to liberate themselves from dependence on search engine traffic.[62] In addition to accessibility in terms of web crawlers (addressed above), user web accessibility has become increasingly important for SEO.

Unless you’re eBay or Amazon, PPC can prove to be an expensive affair. You may initially not feel the pinch of it, but overtime, the costs keep growing. If you’re not doing enough testing with your ads, you may end up losing a chunk of your ad budget without any great returns. Simply focusing on the wrong keywords or markets can make a huge dent in your wallet if you are lenient with your ad budget.
I'm having a problem that I suspect many marketers share. Quite simply … SEO or just buy the traffic. I noticed that you switched to SEO because you like the passive income component. But when I consider ALL the work and ongoing moving parts to SEO .. visions of the hamster on a treadmill appear in place of couch potato cash. Have you noticed that there is always something new to do … now it's Google+ ect. and "more to do" is surly on it's way. It's reached the point where it's mind numbing.
Probably the most well-known Integrated Vertical Search is  Google’s “Universal Search” –  although all of the major search engines have now adopted similar search formats. This is the practice of incorporating different types of results in the Search Engine Results Pages (SERPs), such as news releases, images, videos, etc., depending on the query.  This was a game changer for SEO when it was first introduced – it became necessary to create and optimize many different types of content because they all show up on SERPs. The term for this comprehensive approach is referred to as Digital Asset Optimization (DAO).

I agree with the point that a small or medium-sized business will have limits for budget and resources in generating brand search, but I wouldn't say that stops them from potentially producing huge growth there if they do something interesting/innovative etc. I can think of quite a few small to medium sized brands that have more name recognition than larger companies in their space. The challenge is that many of those brands are led by people who are very good at generating marketing and publicity - it's harder for small brands to be able to afford to pay for a top level consultant or agency.

To give you an idea of just how much money is being spent on paid search, take a look at Google. Google's AdWords program is the most used pay-per-click (PPC) advertising program available today. While the tech giant owns YouTube and Android, among hundreds of other profitable brands, AdWords accounts for roughly 70% of their revenue -- which speaks wonders for its effectiveness.


Great analysis and tips, Rand. Your first tip was to focus on branded search... but when it comes to small-medium businesses, there's a limit on how much brand search-demand one can produce. Are you saying that google search will eventually become an engine made only for entities/businesses we already know of? Where does that leave the whole discovery process?

Organic is what people are looking for; the rest of these simply put things in front of people who may or may not be seeking what you offer. We know that approximately X number of people are looking for Y every day. So if we can get on front of those people, we have a much greater opportunity to create long-term relationships and increase our overall ROI.
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