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An In-Depth Analysis Of The Factors That Set SEO Price, Keyword And Key-Phrase Value Estimation

by Dricki IT Solutions, from Dricki IT Solutions, on Jun 11
The mere fact that SEO will generate previously unheralded amounts of traffic to a website alone is normally enough of an incentive itself for large corporations to pump handsome investments into.
How to become the next online superstar

What really goes into the determination of SEO Price

The mere fact that SEO will generate previously unheralded amounts of traffic to a website alone is normally enough of an incentive itself for large corporations to pump handsome investments into.

It simply means a very calculated risk which they have a high level of expectancy of success should the SEO achieve its goals of stable high rank based on their monthly seo packages.

1. Keyword or Key phrase Value:

1. How many searches like people typing "car, city name" in a search engine and pressing the enter button are turning into actual hits which are the number of people clicking on the top five companies on search.

2. And of these hits, how many people are actually browsing through for instance, clicking from page to page in the quest of the end product.

3. The estimated number of people browsing through is refined down to conversions which represents someone actually putting an order through and actually ordering a car, or requesting further info.

4. Conversions are analysed to calculate estimation using current trending of how many of these conversions lead to actual raw sales enumerated by successful purchases of cars.

5. And out of that number of estimated raw sales we multiply it by the average going value of a car in a country's (we will use South African) currency which is around 50 000.

An estimated raw sales figure of 30 per month per each of the top five companies means 30 x 50 000 which gives us a value of 1 500 000 for that keyword or key phrase monthly.

So the value per month for the key phrase "car, Durban" is 1 500 000.

2. Search Optimization Time Target

The raw marketing appeal of a high ranked website means that the time it takes for it to reach very high rankings will be a very crucial affair. If a company wishes to rank high on search results per a keyword or key phrase in less than 6 months, the raw hours that would go into Search Optimization are normally determined by:

• On-site optimization: meta tags, markup and CSS code tweaking and cross linking.

• The competition's Search Optimization Strategy analysis and campaign re-structuring.

• Content writing into FORUMS, BLOG, NEWS FEEDS normally called COPY WRITING.

• In-bound Link Building and white hat Link Baiting exercises.

• Email Harvesting techniques.

• Newsletter Subscriber network building.

• Integration and Social Network building.

So per these pointers, the amount of work in raw hours that are required before a car website reaches top 5 on Google search of the terms "car, city name", would typically take between 12 to 18 months of up to 5 hours per day of SEO work.

If you wish for your website to reach this position in 6 months, it would mean squeezing the work of 18 months at the most into 6 months. Which means the SEO company would have to work at least 15 hours per day on your project before it reaches top 5 on Google search...

That means a website would hit the search engine optimization company very hard in terms of handling other projects. And to that degree, the SEO Investment would have to compensate for the steep target.

3. Reputation Management Activities

The beauty of the web is that is it free and open to everyone. Unfortunately, the way that it is open does not filter bad publicity. Often, doorways are left wide open to those lacking in ethical conduct, black hat brands that will actively seed negative publicity about brands in a ploy to steer potential clients into their own arms.

After 12 months of a good search engine campaign, as a brand's website starts climbing the SEO ranks, you may or may NOT notice these:

1. A higher increase in traffic to the website.

2. Higher interest in your product.

3. Mentions of the website on forums.

The job of effective Reputation Management is to ensure that such the way on-line visitors view a brand is closely monitored and promoted.


These above factors will cause re-adjustments to the INITIAL INVESTMENTS due to how much success the owner of the website is willing to invest into the website that is being developed and optimized. For instance, since the keyword value for our Test Case above is 1 500 000 PER MONTH in RAW EARNINGS the following will be the bargaining point:

1. A minimum of 5 percent to 20 percent initial first month Investment Deposit. From our keyword value of 1 500 000, this gives a the range of 75 000 to 300 000.

2. If the client requires less than the standard 12 to 15 months, an example of 6 months maximum. And period to on natural search climb and stably stay in top 5, up to 25 percent more may be charged bringing investment up 93 000 and 375 000.

3. Reputation Management investments will push project costs up by a further estimated cost of up to 5% extra meaning that raw INVESTMENT WILL SIT AT ANYTHING BETWEEN 97 500 and 410 000.


Assuming that you will reach top 5 position in 6 months, and be maintained there for the remaining 6 months.



ROI = 1 500 000 x 4 - 410 000 / PERCENTAGE

ROI = 6 000 000 - 410 000 / PERCENTAGE

ROI = 5 590 000 / PERCENTAGE


While this is a cost- based analysis, there is an alternative way that most Search Engine Optimization companies are now employing in order to price their campaigns.

This is mostly dependent on the number of key phrases as well as the competition for those same key phrases. Once the key phrases are determined then the next step is come to an agreement on the time that the client requires the campaign to reach certain level of success.

The campaign's intensity will in this contest determine the cost of Search Engine Optimization much more than the what the key phrases will be valued at.

A caution to companies seeking search optimization:

1. Lower costs do not necessarily mean that you a client will win - often the opposite is true. Appropriately priced campaigns produce appropriately performing websites

2. The size of investments should equal or be bested by the efforts of the company requested to do the search engine optimization work.

3.Most large corporations spend 10 to 25% of annual profits, on advertising. Search engine optimization is at the fore-front all aspects of all on-line marketing. This gives a rough idea of the think that should be behind pricing your campaign.

The essential note is that there has to be a set background of deliverables in any agreement. Those deliverables must have a pricing that will justify the amount of work that will go into achieving them. Search engine optimization is no different.

Note: Full or partial copy of the publication is allowed only with the direct active link to InnMind platform.

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