First half of the year recorded the lowest startup funding in Africa since 2020. Interestingly, Nigeria slipped to 2nd position behind Kenya with $172 million (23% of total funding raised) according to the H1 2024 Startup Funding in Africa report by Africa; The Big Deal.
Source: https://thebigdeal.substack.com/
VC funding drought, 30% interest rate on bank loans coupled with USD exchange rate sliding between N1,400 and N1,600 have made overthinkers out of founders, startups and SME owners who want to get the highest possible returns from their marketing budget.
To put the issue at hand in proper perspective, paid media and advertising platforms which many businesses have relied on over the years to grow awareness and acquisition are not as affordable as they used to be.
For instance, Web FX (a veteran global digital marketing agency) set average Cost per Click for Technology companies in 2024 at $3.80 for Search ads, and $0.51 for Display Ads.
If it costs you an average (avg CPC) $3 to $4 to bring a prospect to check out your product, how much will your Cost of Acquisition per user be at N1,500 FX rate? Roughly N4,000 to N5,000 CPA to acquire a new user. Yeah?
Source –https://www.webfx.com/blog/marketing/ppc-benchmarks-to-know.
PS: Level of competition, pricing, and quality of your ad determines your actual CPC.
With the cost of reaching and converting customers rising this high when funding is scarce and bank interest rate barely leaves you with enough margin for profit, how do you drive growth?
This is not another attempt to trigger you with how growth hacking is the 8th wonder of the world that you are missing out on. Nah, it is not.
It is about a compounding growth driver that we have used to help businesses in 5 African countries, United Kingdom and Canada to increase brand visibility by 186% and revenue by 80%.
Case Study: SEO as a Proven Compounding Growth Driver
Source: contentkrush.com/portfolio/b2b-healthcare-saas-seo
Here is a case study of how SEO becomes a compounding awareness, adoption and revenue growth driver when done right:
Above image is from a 3-month SEO campaign for a B2B Healthcare SaaS startup which we ranked for 45 Google first page keywords relating to customizable HMIS in Nigeria as atDecember 2022.
Fast forward to when I was writing this, July 2024, the website still ranks #1 on Google Search for customizable HMIS in Nigeria, best hospital management system in Nigeria among other important healthcare management system keywords which have been consistently driving visitors and leads to the business.
How am I so sure?
Source: contentkrush.com/portfolio/b2b-healthcare-saas-seo
The image above compares New Users who visited the website for the whole of 2022 when we did SEO for the startup with 2023 when they kept publishing new posts, adding new products and call-to-actions to continue to leverage on the SEO campaign that was completed almost 21 months ago.
In plain English, the website got 867% more new visitors in 2023 when SEO was not actively done compared to 2022 when we ran the SEO campaign.
Source: contentkrush.com/portfolio/b2b-healthcare-saas-seo
As the number of prospects who visited the website increased by 867% in 2023, organic traffic increased by 520% and engagement rose by 524%.
Now, tell me which paid media platform can attract this amount of interest to your business after more than 20 months of actively investing in it?
Google Ads? Facebook Ads? Email Marketing?
Don’t get me wrong. All these channels are fantastic growth drivers but none has delivered compounding growth in visibility, sales and revenue like Search Engine Optimization sustained over time with Content Marketing and Conversion Optimization, as the case may be.
Marketing Channels with the Most Compounding Growth Effects
Wondering how to optimize your marketing budget by leveraging proven compounding growth drivers that will sustain your business when paid media Ads stop running?
From my experience working with over 30 businesses of various sizes ranging from 5-man startup team to a publicly listed company in Africa, United Kingdom and Canada, these are the key marketing channels with the most compounding effect on awareness, adoption and revenue growth:
Benefits of SEO as a Compounding Growth Driver
These are awesome ways that a good investment in effective Search Engine Optimization will help you grow visibility, attract and retain customers over time:
1. Cost-Effective Marketing: Unlike paid advertising, which requires continuous investment, SEO focuses on improving your site’s visibility naturally. Once your content ranks well, it will continue to attract traffic without additional costs, making it a cost-effective option for businesses with tight budgets.
2. More Quality Leads: Because people who search for keywords your website ranks top for have clear intentions as per what they want to know or buy, leads from organic search convert more often than other marketing channels.
3. Less Bounce and Higher Conversion Rates: SEO-optimized websites load faster, are easy to navigate, and are compatible with mobile and tablet devices. Websites that provide a good user experience generally see higher conversion rates, as visitors are more likely to stay on the site longer and take desired actions, such as making a purchase or filling out a contact form.
4. Long-Term Marketing ROI: Once your website achieves a good ranking on Google first page for instance, it stays there for a considerable time, provided you continue to optimize and update your content. This means your initial investment in SEO will keep bringing in leads and revenue for months or even years like the case study I just shared.
5. Increased Brand Credibility and Trust that Drive Purchases: Websites that rank higher on search engine results pages are often perceived as more credible and trustworthy by users. By appearing on the first page of search results, your business will gain credibility and trust from potential customers, which will lead to higher conversion rates and customer loyalty.
6. Competitive Advantage: By investing in SEO, you will gain a competitive edge over businesses that are not leveraging it. If your competitors are not focusing on SEO, you will outrank them in search results and attract more traffic to your site. If they are, a robust SEO strategy will help you keep up and potentially surpass them in search rankings. 70% of our leads from Nigeria and Canada are through SEO because we rank on Google first page for many relevant keywords in both countries.
Source: Google Search
7. Data-Driven Insights: SEO tools provide valuable data and insights into your audience’s behavior, preferences, and search patterns. This information can help you make informed decisions about your marketing strategies and business operations. Understanding what your customers are looking for can help you tailor your products, services, and content to meet their needs better.
8. Scalability: As your business grows, your SEO strategy can scale with it. The content you create and optimize today can continue to drive traffic and revenue as your business expands. This scalability makes SEO a sustainable growth strategy for businesses of all sizes.
9. Local SEO for Highly Targeted Leads: For small or location-based businesses, local SEO will be very magical to your growth. Optimizing your website for local search terms can help you attract highly targeted traffic from users in your geographic area who are looking for the products or services you offer. This will lead to higher conversion rates and increased revenue from customers nearby.
SEO Strategies to Drive Compounding Growth Despite Budget Constraints
Want to drive growth and improve your online visibility despite the escalating marketing budget constraint? Implement these proven cost-effective SEO strategies:
1. Keyword Research and Optimization: Conduct thorough keyword research to identify the terms and phrases your target audience is searching for. Use tools like Google Keyword Planner, Ahrefs, or SEMrush to find relevant keywords with high search volume and low competition. Optimize your website’s content, meta tags, headers, and URLs with these keywords to improve your search engine rankings.
2. Quality Content Creation: Focus on creating high-quality, valuable content that addresses the needs and pain points of your audience. Blog posts, articles, infographics, videos, and other types of content can attract and engage visitors. Consistently publishing informative and relevant content can help establish your authority in your industry and improve your site’s search engine rankings.
3. On-Page SEO: Optimize individual web pages to rank higher and earn more relevant traffic. Key elements of on-page SEO include:
4. Mobile Optimization: Ensure your website is mobile-friendly, as a significant portion of web traffic comes from mobile devices. Use responsive design to make sure your site adapts to different screen sizes. Google’s mobile-first indexing means that the mobile version of your site is considered the primary version, so optimizing for mobile is crucial for SEO.
5. Page Speed Optimization: Improve your website’s loading speed to enhance user experience and boost your SEO rankings. Use tools like Google PageSpeed Insights or GTmetrix to identify areas for improvement. Optimize images, leverage browser caching, and minimize CSS, JavaScript, and HTML to reduce load times.
6. Local SEO: For businesses targeting local customers, local SEO is essential. Optimize your Google My Business profile, including accurate business information, photos, and customer reviews. Use local keywords in your content and meta tags, andget listed in local directories to improve your visibility in local search results.
7. Backlink Building: Build high-quality backlinks to your site from reputable websites. Backlinks are a strong ranking factor for search engines. Focus on earning backlinks through guest posting, creating shareable content, and reaching out to industry influencers and bloggers. Avoid spammy or low-quality links, as they can harm your SEO.
8. Social Media Integration: Leverage social media platforms to promote your content and engage with your audience. While social signals are not a direct ranking factor, increased traffic and engagement from social media can indirectly boost your SEO. Share your content on social media, encourage social sharing, and interact with your followers to build a strong online presence.
9. User Experience (UX) Optimization: Improve the overall user experience on your website. Ensure your site is easy to navigate, visually appealing, and provides a seamless experience for users. A positive user experience can lead to longer visit durations, lower bounce rates, and higher conversion rates, all of which contribute to better SEO performance.
10. Regular Monitoring and Analytics: Use tools like Google Analytics and Google Search Console to monitor your website’s performance. Track key metrics such as organic traffic, bounce rates, and conversion rates. Regularly analyze this data to identify what’s working and what needs improvement. Adjust your SEO strategies based on these insights to achieve continuous growth.
Hope I have provided actionable insights into how you can further drive growth for your business in the face of the prevailing marketing budget constraints in H2 2024 and beyond by leveraging the compounding power of Search Engine Optimization. It has worked for us countless times, it will work for you too. Keep building.
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Adeyemi is a certified Digital Media and Marketing professional with over 10 years working with businesses in InsurTech, Healthcare, Talent Infrastructure, Media, Energy, Financial Services, and Education across 5 African countries, United Kingdom and Canada, some of which have achieved 186% increase in brand visibility and sales. When not playing his character as the Gang Leader at Content Krush, he loves to listen to audiobooks, write epistles, binge watch movies, mentor youngins, promote underground artists, try out new restaurants and Nigerian recipes. Socials: |
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