SEM is the wider discipline that incorporates SEO. SEM includes both paid search results (using tools like Google Adwords or Bing Ads, formerly known as Microsoft adCenter) and organic search results (SEO). SEM uses paid advertising with AdWords or Bing Ads, pay per click (particularly beneficial for local providers as it enables potential consumers to contact a company directly with one click), article submissions, advertising and making sure SEO has been done. A keyword analysis is performed for both SEO and SEM, but not necessarily at the same time. SEM and SEO both need to be monitored and updated frequently to reflect evolving best practices.
There are many different updates happening in the SEO world from time to time. This is to ensure that the users are seeing only the best search engine results against their queries. However, due to such frequent changes, your website’s position in the organic search results can be affected. And sometimes, you may lose ranking that you built over a period of time.
Paid search advertising has not been without controversy and the issue of how search engines present advertising on their search result pages has been the target of a series of studies and reports by Consumer Reports WebWatch. The Federal Trade Commission (FTC) also issued a letter in 2002 about the importance of disclosure of paid advertising on search engines, in response to a complaint from Commercial Alert, a consumer advocacy group with ties to Ralph Nader.
That’s a massive problem. And it’s one that organic search traffic solves. If you want to correlate your marketing efforts with a solid ROI, pay particular attention to where your customers are coming from. If you know where they’re coming from, you can calculate what you invest in each marketing channel, and what return it yields for your business. Some people believe that PPC is better for calculating ROI because it’s more measurable. That’s misguided. You CAN determine what an organic visit is worth to your business in terms of a hard dollar value.
You control the cost of search engine marketing and pay nothing for your ad to simply appear on the search engine. You are charged only if someone clicks on your ad, and only up to the amount that you agreed to for that click. That’s why SEM is also known as pay per click (PPC), because you only get charged for each click that your ad generates. No click? No charge.