How do you assess the value of targeting different keywords?

Comparing the value of different keywords requires more than looking at search volume, clicks, or advertising prices. First define your goal, then compare how visitors from each keyword behave and the costs involved. Paid search incurs click costs, while organic search also takes time and effort. Only by comparing keywords against the same goal can you reasonably judge which ones deserve priority. What follows explains how to make that comparison, rather than offering a fixed order of priority.

Price is a cost, not a guarantee of results

The discussion presents two views. One side points out that pay-per-click (PPC) keyword prices reflect what people are willing to pay, which does not necessarily equal a keyword’s value. The other argues that if buyers know its value and are still willing to pay, the price at least reflects their valuation at that moment.

The distinction here is between “considering something worth buying at the time” and “the value actually received.” Mistakenly buying something that fails to meet expectations is also different from knowingly paying more than you believe it is worth. So another advertiser’s willingness to bid does not establish that the same keyword is worth targeting for your website. The buying principle proposed in the discussion is to pay for a keyword only if the value of advertising for it is at least equal to the cost. But that principle alone does not tell you what the value is.

More traffic does not mean more visitors who meet your goals

The following three-keyword example shows why comparing clicks alone can be misleading. All the bounce rates are hypothetical, not measured results:

• widget: an 80% bounce rate.
• blue widget: a 40% bounce rate.
• best blue widget: a 10% bounce rate.

If we use the number of visitors who do not bounce as a provisional comparison metric, widget needs nearly five times as many visitors as best blue widget to achieve a similar number who do not bounce. This shows that even if a broad keyword brings more clicks, it is not necessarily more valuable by this metric.

But this does not mean that broad keywords are always the worst, or that longer keywords are always better. The conclusion depends on the assumed bounce rates, and a visitor who does not bounce has not necessarily completed the website’s ultimate goal. The example is a reminder to compare how visitors from different keywords behave, not a universal order of keyword priority.

Compare outcomes alongside the full costs

When reviewing candidate keywords, check the following:

• Which outcome are you comparing? First clarify what “helpful” means, rather than automatically equating more clicks with more value.
• Does visitor behavior differ? Do not assume that clicks from every keyword are equally useful.
• What costs are involved? Include direct spending for paid clicks, and do not overlook the time and effort required for organic search.

Poor measurement can lead to substantial spending of time and money without producing the desired outcome. Decisions about which keywords to prioritize should therefore be based on the same goal and comparable data. The available information explains the principles of comparison, but without actual costs and results for each keyword, it cannot be used to calculate returns or identify a priority list.