A Beginner’s Guide to Calculating ROI From an SEO Strategy

When it comes to digital marketing, business owners must consider the return-on-investment (ROI) of any strategy.

Similar to any piece of equipment or cutting-edge software and the right tools and strategies that you carry out for your digital marketing strategy, each bear individual capabilities and profit opportunities. Amongst all the different tools and components that you should invest in, there’s one option that can help increase your ROI above all else: Search Engine Optimization (SEO).

This powerful tool can quickly come off as a significant investment opportunity because of all the technicalities and data involved. Admittedly, it comes with a range of variable costs in addition to its fixed expenses (such as software and content outsourcing) that make it seem more expensive than it is. Given the associated costs of the strategy, it’s understandable to have an overwhelming desire to know how much you’re getting for every dollar you spend.

Fortunately, getting an excellent idea of how much you’ll be able to get out of a search engine optimization strategy can be done by understanding the fundamentals of SEO return-on-investment. From the link building and site optimization portions of the process to content creation, here’s a guide on everything you need to know about calculating returns on your next significant investment.

Understanding the basic framework of SEO ROI

It’s essential to understand that the primary goal of this process is to understand how much profit you’ll generate on your SEO strategy. 

Even though such strategies can be arbitrary to the point that it gets quite challenging to pinpoint a specific forecast of values, getting a figure that’s easy to work with is achievable by understanding its basic framework. Generally, this is the best formula that works in the case of any beginner:

Profit of investment / Costs of investment = SEO ROI (Profit of Investment is Revenue generated by SEO results – Total costs of strategy)

On calculating the costs

Now that you understand the formula, it’s time to look at the more complex half of the process itself: calculating the costs of an SEO strategy.

In most cases, the essential cost of a standard strategy doesn’t lie in the search engine itself—because it’s an organic channel—but is present in the tools used alongside it. As opposed to standard advertising strategies and PPC campaigns, the most you’ll need to pay for with a regular SEO strategy is essential tools, research, and outsourcing. If you’re looking to do everything by yourself, learn on your own, and start the whole strategy from scratch, then you can cut your costs significantly. Keep in mind, however, that you might make costly mistakes if you do not know what to do.

It’s well worth noting that getting the services of an SEO expert—such as Magnitude Marketing—for a minimal fee makes a significant difference in your strategy efforts. Instead of wasting time on keyword research, technical optimizations, content development, and other related tasks, you can outsource these tasks so that you won’t risk making mistakes.


Calculating the total ROI from the SEO strategy that you’re looking to set up can be quickly done by considering all the necessary details and carrying out some simple calculations. By following this guide, you’ll get a decent idea of what to expect from your efforts!

If you need digital marketing consulting in Greenwood, IN, our team of digital marketing experts at Magnitude Marketing is happy to help you out. Regardless of whether you’re a start-up or a large-scale empire, get in touch with us today to learn more about how we can give your business the competitive edge it needs!