What is ROI

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What is ROI

The ROI of your natural referencing is a central subject. This is for the simple reason that SEO is at the heart of your digital growth: it is one of the main providers of traffic and business. Here are some pointers on what ROI is and how to measure and optimize it.

What is ROI? Let’s talk numbers

The method of calculation seems clear: you take your profit, i.e. your turnover minus your costs, and divide it by the total amount of your investments. Multiply the result by one hundred to transform this ratio into a percentage.

ROI = [(revenue – investment cost)/investment cost] x 100.

It is a global calculation

To calculate the ROI of SEO, you have to take into account all the people or elements that interact in SEO, that is, they are both the people who are going to sell a product and the after-sales service. For example, a company that sells flowers. So, it’s as much the person who will receive the customer in store, the people taking care of them, etc. All of these people who are involved in the sales process will have an impact on the customer’s experience.

The impact of SEO on ROI

The SEO method directly influences the profitability of your business. The more a site is optimized, the more it appears in the first choices of Google. What happens next comes almost naturally: traffic increases, clientele growth, sales going up. This is why a quality SEO strategy is essential. Be patient: the results take a few months to emerge: make a first assessment after a year.

What is ROI? Conversion data analysis

In order to get a real insight into the ROI of an SEO strategy, it is essential that you have collected data for a few long weeks. Try to consult the turnover generated by the organic traffic since it is mainly it that will impact the referencing.

Focus on the transactions made and the total revenue. Tools like the conversion rate (the proportion between the acquired customers and the number of people contacted) and the average cost of an order help you rate your ROI.

Calculating the ROI of an SEO strategy is somewhat technical and can become particularly complex when it comes to valuing “actions” rather than products or services. However, it is worth doing to avoid investing in SEO at a loss