You can quickly see how well your SEO is doing by learning how to figure out its return on investment (ROI).
This can help you get more people to support your SEO initiatives, find new ways to do things, and speed up your returns.
What is the ROI (return on investment) for SEO?
- 49% of marketers say that organic search gives them the best results compared to other marketing channels.
- Organic search also brings in 40% of a business’s money.
- SEO may always give you a return, but how much you get back depends on your investment and where you spend it.
How do you figure out SEO ROI?
Formula:
(Gain from Investment – Cost of Investment) / Cost of Investment
➡️ To get a percentage, multiply your answer by 100.
When is the best time to check SEO’s ROI?
- Wait at least six months before analyzing SEO ROI.
- SEO takes 3–6 months to work.
- Checking ROI too early gives inaccurate results.
Why measure SEO ROI?
- Making better SEO choices: Know which methods work and keep using them.
- Teaching leaders about SEO: ROI shows bosses why SEO deserves continued investment.
- Tracking progress: SEO is continuous, ROI checks help refine your strategy.
How to figure out SEO ROI (3 Steps)
ALSO READ: What Is Artificial Intelligence? 3 Key Uses for AI in SEO
1. Figure out how much you invested
Costs include:
- SEO tools (Ahrefs, Semrush, etc.)
- Freelancers, SEO firms, or experts
- In-house employees
- Link building or content distribution
2. Figure out how much money you made
- Ecommerce/product-based: track purchases & transactions.
- Lead-based/service businesses: assign monetary values to form submissions, calls, or leads.
- Google Analytics 4 (GA4): track conversions and revenue from SEO.
3. Calculate ROI
Use formula:
(Gain from Investment – Cost of Investment) / Cost of Investment × 100
📌 Example:
- Investment = $5,000
- Profit from SEO = $50,000
Calculation:
(50,000 – 5,000) / 5,000 = 9 → 900% ROI
What is a good ROI for SEO?
- There’s no single “good” ROI.
- SEO costs: $2,500 – $7,500/month (sometimes up to $10,000).
- ROI depends on industry, spend, and lead value.
- Start with a realistic percentage and aim to improve it over time.
FAQs on SEO ROI
What is SEO ROI?
- SEO ROI is the projected commercial value of SEO.
- Helps with budgets, strategies, and planning.
- Formula: (Gain – Cost) / Cost
How often should you check SEO ROI?
- Most companies check monthly, quarterly, and annually.
- ROI takes time → expect 3–6 months before results.
Challenges in calculating SEO ROI:
- Time lag: SEO doesn’t show immediate results.
- Mismatch between spend and returns in early stages.
- Disconnected tech stacks (analytics vs CRM).
How long does SEO take to pay off?
Factors:
- Management costs (higher = slower payoff).
- SEO health of website (better = faster results).
- Industry type & competition.
- Average sale value (higher value = quicker ROI).
