SEO Basics- No Charge.

What will legitimate search engine optimization firms charge? Like most things, prices are varied; however, if the price is extremely low you can be assured that the quality of the service will match the price. I caution you to stay way from anything that offers a "quick solution".

If you do a search for SEO pricing from reliable search engine firms you will find that although prices vary, fees of $2,500 per month on an annual contract ($30,000 per year) are not uncommon. Of course some firms charge less and others charge a great deal more; all depending on their location, size and condition of your website, and exactly what services you need performed.

Legitimate SEO companies will provide valuable services such as:

• target market analysis,
• keyword analysis,
• content massaging,
• code modifications,
• link implementation strategy, and
• metric analysis.

What happens when Google changes their algorithms? You guessed correctly. Your Company will "ante-up" and the addiction continues. "Search engine optimization has become the crack-cocaine of Web-based businesses."

The assumption that better search engine visibility and more traffic will automatically increase sales, is faulty logic. Considering that increased search engine visibility will produce more web-traffic, if your website does not engage the visitor, and hold their attention for two to three minutes; the chances of converting that visitor to a paying customer are minimal.

If your search engine tactics work, they will not only increase your search engine ranking, but also drive traffic to your website. At this point, utilizing realistic conversion rates of 2-3%, how much traffic do you have to generate to pay for the $30K of SEO expertise?

Based on a $30K annual investment in SEO and a 20% Net Profit you must generate $150,000 in new sales just to pay for the SEO fees. At a 3% conversion rate, and an average sale amount of $100 per transaction, that translates into 50,000 unique new visitors per year to your website; just to pay for your SEO campaign. Sadly at this point you still haven't increased the profit in your bottom line.

As a quick point of reference...Every business has a different "average sales amount", and generally speaking it is safe to assume the higher the selling price the lower the "conversion rate".
A company generating $150,000 in Web-revenues, attracting 25,000 "unique visitors" per year, and utilizing an "average sale price" of $395.95; has a "conversion rate" of 1.5%.

Want To Calculate your Conversion Rate?

Conversion Rate = [(Total Web Sales / Unique Web Traffic) / Average Sales Price] x 100

A Proactive Approach

Dealing With The Soaring Canadian Dollar

When the "Loonie" was low, many Canadian businesses profited from exports to the United States. Now that the Canadian dollar has climbed steadily, and is likely to outpace the American currency for years to come; small business needs to develop a proactive strategy to remain competetive in the evolving marketplace. Canadian merchants simply cannot sit idle and watch as the tidal flows of exchange rates determine their future.

"When 'no decision' is your final decision, then it becomes a decision that is far worse, than making the wrong decision would have been in the first place."

- Kristoffer Howes, President & CEO- The Weal Media Group

A Proactive Response

The initial reaction of most, would be to simply halt exports to the United States. This is definitely not the answer. This type of negative action would open the door to U.S. exporters, eager to import cheaper items for sale in the Canadian marketplace.
When developed early and applied properly, there are four (4) effective strategies to mitigate the financial pitfalls of a powerful Canadian "Loonie":

1) Match Currencies When Possible
When Canadian-made goods increase in price in the U.S. market as a result of changes in currency value, it is reasonable to suggest that raw materials found there would also be cheaper. However, with the price of oil resting at around $100/barrel, make certain that the perceived savings are not eaten up by freight and transportation costs. As another option, some developing nations such as China and India, often trade in U.S. currency.

2) Seek-out Foreign Markets
Actively search for foreign markets where the Canadian dollar is received more favourably than the U.S. "Green-Back". Often in these countries, the price of Canadian goods are not as high or burdensome as they are in the United States. This motivates a new market of global consumers.

3) Review The Product Mix
Management needs to consider related products that can be easily produced or distributed, and in turn generate higher profits for the Company. In the short term, the wider profit margins will subsidise products that have been negatively affected by the recent currency shifts.

4) Review Productivity
Capital investment in innovative equipment that enhances productivity and reduces labour costs must be considered as part of a revised business plan. Regrettably, labour costs in Canada were staggering before the dollar began it's rise; now as a result of recent changes in currency values, the global costs have risen another 20%.

A Time For Action- Final Thoughts

Under the emerging currency trends, not all companies will remain viable in the future. When determining the long-term viablibilty of a business, it is important to seek the honest opinion of a trusted third party; such as a reputable financial institution.

Consider a properly conducted liquidation. Often, this will result in a restructured, highly viable operation, that operates efficiently and with significantly less risk. A strong example is the Company that makes a smooth transition from manufacturing to distribution.

A carefully developed and regularly maintained website is a reliable vehicle for achieving success in any or all of the above mentioned strategies. When considering your online presence, be certain that it properly reflects who you are and where you are going. Be aware of how your website appears to those from other cultures; even to those members within your country or continent. The Internet is home to the Global Consumer.