SEO vs. SEM: What’s the Difference?

Neil Patel
I hope you enjoy reading this blog post. If you want my team to just do your marketing for you, click here.
Author: Neil Patel | Co Founder of NP Digital & Owner of Ubersuggest
Published September 8, 2024
A graphic that says: SEO vs SEM, what's the Difference/

Let’s talk SEO vs. SEM. These terms are key parts of the digital marketing world, but what sets them apart?

I think it’s best I explain it this way:

Google search results contain both paid and organic results. Search Engine Optimization (SEO) centers on attracting traffic organically, while Search Engine Marketing (SEM) is a term marketers usually use to describe paid advertising, like PPC ads. 

The back-and-forth between SEO vs. SEM in digital online marketing can be confusing, but you’ll have everything down by the time I’m done. Let’s take a closer look.

Key Takeaways

  • SEO focuses solely on improving organic search visibility, while SEM includes both SEO and paid search advertising (PPC).
  • SEO typically requires a longer time to see results as it builds organic rankings, whereas SEM can drive immediate traffic through paid ads.
  • SEO involves investment in content creation and optimization, yielding long-term benefits, while SEM requires continuous ad spend for instant visibility.
  • SEO and SEM use keyword targeting, but SEM allows for more precise control and testing of keywords through paid campaigns.
  • Combining SEO and SEM can maximize search visibility, leveraging the strengths of both organic and paid search to drive traffic and conversions.

Table of Contents

What Is SEO?

SEO aims to improve the rank of a website or online content over a period of time so that it appears higher in organic search results on Google.

The key difference between SEO vs. SEM marketing is that online content needs optimization to rank higher on Google organically.

Take a look at it like this: if someone’s search query was ‘glazed donuts,’ they’re likely looking for a donuts shop, ingredients, or a recipe (commercial/informational intent). These types of intent refer to when a user has intent to buy or needs to learn something about a subject, respectively.

A SERP result for Glazed Donut.
Google results for "Glazed Donuts near me."

If I were a restaurant or food blogger, I’d make sure my website or content is optimized to meet the user’s search intent. Strategizing like this will help you rank above other websites organically without paying for ads.

There are three ways to break down SEO to gain more traffic:

  • On-page: This comes down to including keywords in your on-page content, producing high-quality content frequently, and ensuring that your metadata is written effectively and incorporates rich keywords.
  • Off-page: Optimizes spaces outside of your site, such as building backlinks. This aspect of the SEO formula requires building relationships and producing content others want to share. Even though off-page efforts require a lot of labor, your SEO success depends on it.
  • Technical: As the name suggests, technical SEO involves improving website elements that are not related to content. Examples include optimizing your site’s structured data, crawlability, speed, and mobile-friendliness.

Now that we have answered, “What is SEO?” Let’s look at what SEM means.

What Is SEM?

To keep it simple, SEM is the paid version of SEO.

SEM works to drive immediate traffic to your site through paid ads like search, shopping, and local ads.

However, when you use paid search strategies like pay-per-click (PPC) to increase visibility in the SERPs, you can’t just throw money at ads and hope for the best. The budget for the ad must relate to a user’s search query.

But that’s the beauty of SEM vs. SEO marketing.

With SEM, you can target keywords that align perfectly with your customers’ searches, track performance, tweak ad copy, and optimize bidding strategies as needed. 

Marketing models like PPC come under the category of SEM, so let’s look at that now.

SEM vs. PPC

SEM differs from PPC because it’s more of an umbrella term incorporating various different marketing models involving paid and organic strategies. 

But what is PPC marketing? Well, it’s in the name, pay-per-click.

Basically, it’s a paid advertising search marketing model. You, as the advertiser, pay a fee each time someone clicks on your ad.

The goal is to quickly attract users searching for your brand as a solution through products, services, or information. It’s also how you generate leads, increase your sales, and spread brand awareness.

The PPC paid search method typically appears as a Google advertisement (also called a sponsored ad) and is frequently found at the top of the SERP results. 

This marketing method centers on how you place and use your keywords, so having a concrete plan and strategy is crucial. Why? Because your keywords appear as ads next to the searcher’s results in a variety of formats, including:

  • Text-based ads
An example of a text-based ad.
  • Visual ads, such as shopping ads or product listing ads (PDLs)
An example of a visual ad.

The primary benefit of PPC is that it allows you to promote your offerings to potential customers actively searching for specific keywords while delivering targeted traffic quickly with immediate results.

Now that we have PPC wrapped up, let’s look at SEO vs. SEM and how they all fit together.

SEO vs. SEM: Key Differences and Similarities

Although they may sound like they function the same, SEO and SEM use different approaches to gain visibility on the SERPs. 

Let’s start with a quick overview of SEM vs. SEO differences:

  • SEO focuses on organic traffic, and SEM more so on paid.
  • SEO is free because it isn’t a paid search, whereas SEM involves paying for ads to appear in the SERPs.
  • SEO is a long-term strategy (we’re talking months here) that requires time and effort to see results. In contrast, SEM can provide immediate visibility in search results.  
  • With SEO, you’re at the mercy of search engine algorithms and updates, which can affect your visibility and rankings. SEM gives you more control over when and where your ads appear. 

And here’s how they both work together:

  • Both SEO and SEM are all about driving relevant traffic to your site. The flow that comes through both strategies can work organically or from paid tactics.
  • With these methods, you’ll gain better insights into your audience with data feedback. To succeed at SEM or SEO, you’ll need a solid understanding of your target audience for an effective strategy.
  • Conduct keyword research to find and target keywords with SEO and SEM. Tools like Ubersuggest can simplify getting to know what your audience is searching for. It will also show what your competitors are doing and save you a heap of time. 

For example, let’s say you want to target the keywords ‘search engine marketing.’ If you’re running a PPC ad campaign, you can check the cost per click (CPC) for that search term from Ubersuggest’s keyword overview, along with the SEO difficulty and search volume:

Ubersuggest's Keyword Overview function.

Ubersuggest will also generate keyword and content ideas to give you a heads up on what keyword terms or content types are performing well in terms of search volume and traffic:

Ubersuggest's content ideas and keyword ideas function.

Knowing your audience and your competition’s strategies makes it easier for you to keep up. 

You can test both methods to find the best fit for your target audience or combine both. 

By combining the forces of SEO and SEM, you can take over the SERPs and ensure you’re seen in paid ads and organic results.

Cost

When comparing the cost of SEO vs. SEM marketing, you have to think about long-term value in contrast to immediate results. 

According to research from Ahrefs, the average monthly cost of SEO is $2,917 based on an analysis of different pricing models across various types of SEO providers. 

Several factors can affect the cost of an SEO campaign, such as:

  • The level of competition within your market.
  • The scope of services you require. Elements like website redesign, content creation, technical audits, or link-building strategies affect cost.
  • The experience of the SEO agency or freelancer you choose.
  • Your website size and complexity.

We know getting results takes time with SEO, so SEM helps build visibility much faster but can get expensive. Data analysis from Search Engine Land shows the average cost-per-click is currently $4.66 based on an aggregation of CPC rates reported by advertisers across multiple sectors (but keep in mind costs can vary significantly depending on the industry).

Other factors that could influence the CPC rates include:

  • Industry competition or seasonal competition 
  • Whether you choose manual or automatic bidding strategies
  • Ad quality, relevance, and position in the SERPs
  • The device type the ad will be viewed on (mobile and desktop often have different pricing dynamics, for example).

Both marketing models have synergy, so you could boost your SEO with SEM and PPC as needed. 

Speed

Perhaps one of the biggest benefits of SEM vs. SEO marketing is speed of results. 

We all know how effective SEO is when you apply the right strategies, but you’re playing the long game; it can take three months to a year to start seeing results.

If you’re looking for overnight success, that can be a distinct possibility with SEM marketing. Using PPC ads as part of SEM, for example, you can quickly reach your target audience by getting fast exposure, provided you use the right search terms and effective ads.

SEO vs. PPC? How to Choose Your Focus

When it comes to SEO vs SEM and PPC, which is right for you? It all depends on what you want for your business. If your SEO campaign is effective, it can give you long-term organic growth and credibility. SEO can also deliver some quick wins, but overall, it’s a longer road to success. 

In contrast, SEM tactics, like PPC ads, can offer immediate visibility and traffic but at a financial cost, as this method requires ongoing investment.

Consider your budget, goals, resources, timeline, and marketing objectives to decide which option is right for your business.

Of course, you don’t have to stick to one type of campaign or the other and can combine the two, as many marketers do.

FAQs

Is SEO or SEM better?

This really depends on your goals.

If you’re having a sale in a couple of weeks, SEO may be too slow of a game for you to convert your audience in time. In this case, SEM would be the better choice. SEO would be more beneficial for long-term growth.

If your performance in SERP visibility is low, SEM could be a great way to boost the SEO optimizations you’ve put in place already. Together, these powerful marketing channels create many possibilities for driving growth from an audience looking for companies like yours.

What is the difference between SEO vs SEM?

The difference between SEO vs. SEM is SEO relies on free, organic search techniques and SEM charges for paid advertising. SEM takes effect sooner since it’s a paid effort, whereas SEO takes time but is a strong, long-haul strategy.

This long-haul strategy continues to add value over time. On the other hand, investing in SEM means your visibility stops when you turn your ads off. This is why it’s important to understand the use cases of both and potentially gain a competitive advantage by fusing their powers to drive success.

Conclusion

Now that you know the difference between SEO vs. SEM, which one will you choose to grow?

Although SEO may take longer to see results, it will help your website’s value grow over time. However, SEM is the better route if you want to increase your rank and visibility in the SERPs faster and gain quick traffic improvement.

But don’t forget, you can use both to your advantage. SEO will be a part of your non-paid tactics within your search marketing strategy, and SEM, including PPC, will be the paid tactics.

Don’t miss out on the benefits of using them both rather than having an SEO vs. SEM mindset. While each has advantages and disadvantages, combining them can give you a solid competitive edge for future growth.

Consulting with Neil Patel

See How My Agency Can Drive More Traffic to Your Website

  • SEO - unlock more SEO traffic. See real results.
  • Content Marketing - our team creates epic content that will get shared, get links, and attract traffic.
  • Paid Media - effective paid strategies with clear ROI.

Book a Call

Ubersuggest

Unlock Thousands of Keywords with Ubersuggest

Ready to Outrank Your Competitors?

  • Find long-tail keywords with High ROI
  • Find 1000s of keywords instantly
  • Turn searches into visits and conversions

Free keyword research tool

Neil Patel

About the author:

Neil Patel

Co Founder of NP Digital & Owner of Ubersuggest

He is the co-founder of NP Digital. The Wall Street Journal calls him a top influencer on the web, Forbes says he is one of the top 10 marketers, and Entrepreneur Magazine says he created one of the 100 most brilliant companies. Neil is a New York Times bestselling author and was recognized as a top 100 entrepreneur under the age of 30 by President Obama and a top 100 entrepreneur under the age of 35 by the United Nations.

Follow the expert:

Share

Neil Patel

source: https://neilpatel.com/blog/seo-vs-sem/