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Organic Searches v. Social Media And Customer Lifetime Value

If you are in business, or work in the SEO niche of the Internet, you have most likely wondered what is the best avenue to use to gain new and better customers? I know that I have wondered about Facebook, Twitter, cost per click (CPC), etc.

I found a study (by Custora) that completed research about customer acquisition methods and which worked the best. What they were measuring is the Customer Lifetime Value (CLV) and which methods brought a business the best customer.

The study was derived from data that spanned 72 million customers, 86 U.S. retailers in 14 industries. That is a pretty impressive sampling considering it is about 1/5 of the U.S. population.

Briefly, what they found is that a customer who found a business through organic searches (results from typing in words, phrases, questions in a search engine such as Google, Yahoo, Bing, etc.) were the highest value customers (54% higher than average). Banner ads and Facebook were each only 1% above average while Twitter was 23% less than average.

When looking at the number of customers acquired, organic searches remains at the top as a reliable channel with almost 16% of customers acquired via organic searches. Once again, Facebook is .17 percent for customer acquisition and Twitter is less than .01 percent for customer acquisition.

As you put your Internet marketing plans into place, you need to keep this report in mind and ask yourself the following questions:

  1. What type of information can I share with the community to build my visibility in organic searches?
  2. How often should I add new information (content) to increase my organic searches?
  3. Is it important to build your credibility? Your reputation? Your expertise?
  4. Where can I submit articles/content for best results?
  5. Do I have the time or the staffing to consistently write new and relevant content?
  6. Would our company be better off to hire a professional group to do this for us?

My suggestion to any business owner is to include in your Internet marketing plan, a piece that will enable you to build your organic searches to help you acquire those customers with the higher lifetime value.

For reference: Custora Study

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Content is the most important part of having quality links to your website. With Area-Info.net, we provide a quality location to share your story and include links to your website to help you grow. If you would like to learn more, visit this page to see how you can use Area-Info.net to rank higher and quicker in search engines. Contact me directly at [email protected] with any questions, or to schedule speaking engagements.

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