PPC Cannibalisation

Is your PPC just paying for clicks you would have got by SEO?

As you spend more on PPC you may start to impact ranking.

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PPC cannibalisation

As you spend more on PPC do you get less SEO traffic?

Are your channels cannibalised?

These are two approaches to understand cannibalisation.

The basic model

A good starting point is to check when you have more PPC clicks do you get less SEO?

This can help you understand general trends and patterns.

The WebFusion Model

The basic model will only get you so far, as often PPC/SEO volumes change naturally due to other factors like; ranking, market conditions.

The Fusion approach allows you to see more

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    What is optimal?

    Once you have an idea of how much PPC cannibalises SEO the next question is – so what?

    Next you need to work out what the ROI of the incremental PPC sales are:

    • Incremental sales via PPC
    • SEO sales lost
    • Cost of PPC

    This then needs to be compared to your other channels to understand if you should allow cannibalisation or not.

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