How Much Does SEO Cost & How Clients Should Budget in 2020

SEO is charged and based generally in these models:

Hourly Engagement | $75 – $150 per hour via RankPay
Retainer Model | $750 – $5000 per month via WebFX and Search Engine Journal
Performance Based | Flexible
Project Based | Flexible

So as an actual SEO...how do I work and how does it work for me?

source: https://www.upwork.com/freelancers/~01bed82ad79b77729d/

Here’s my Upwork profile for reference. I’ve generated many clients and done over 93 jobs and 2,607 hours of work on Upwork to generate a nice living on Upwork alone (hint to any SEO entrepreneurs or wantrepreneurs who want to dive in).

From the profile though, you can see the models I primarily work off of – hourly or retainer.

Why I off the hourly or retainer model is sometimes clients are NOT good clients. Like any business relationship, partnership is required from all sides to make things work and go smoothly. Too often I’ve had clients who are unresponsive or do not take the advice I give them or will not allow the changes to a page we need to help improve the rankings.

Models 3 and 4 would actually create a liability for me, especially with new clients.

So I’ll go into the costs both to me and to the client now below, looking at each model.

1. Hourly SEO Pay Model

This is the model most popular with people who need consulting, small jobs, want to see how I work or don’t have large budgets.

My hourly pay has gone up over the years after starting at $50/hour and going up to where it is now at $100. Above I mentioned the average is $75/hour – $150/hour but that was mostly the rate agencies would charge. Many SEO’s in the US range from the $25/hour – $75/hour range and can be found on Upwork with similar fees. You can see the range here although they don’t have very good reviews:

The hourly SEO model works for maybe things that are more technical or a technical audit, questions or strategies people have or looking into competitive analyses. Generally I would budget about 10 hours for this model so take their hourly rate and budget for 10 hours as your top end budget. Typically a competitive analysis or a site audit on a small site can be conducted in that time frame.

As an SEO, I would sell 10 hours or have the client budget out about 10 hours. Often times ancillary questions or needs come up and to provide a complete service you want to bake in phone calls and follow ups so the client has a number in their head that you can fulfill on for any extras they will have (and they have them).

2. Retainer SEO Model

This is model that many of my clients have and the range for this goes from $500/month – $3000/month with the average being $1250 – $1500/month. This is also the model for people looking to rank keywords in the top spots of Google versus looking for advice, strategies, competitive analyses and technical reviews.

The model for this can be looked at as a multiple of the SEO freelancers or agencies rate but these typically has additional costs that go into it (primarily content creation or backlinking). Upwork is generally where I will see hourly engagements but the retainer model will be sourced more often from more stable and successful businesses.

For SEOs, I often get those clients through my “Los Angeles SEO“, “San Francisco SEO” and “New York SEO” pages. Having and ranking a local SEO page to attract larger businesses is where many of my retainer clients come from.

The real reason why the retainer model is necessary is the time and costs can vary month to month but this variance is necessary. Content creation and link building or external PR is what will help boost your sites ranking and both of these come with a cost in terms of time or actual money.

For a $1000 per month retainer, easily $250-$500 may go to outgoing expenses in terms of content creation and external PR. The balance then will still be time that is being spent on the account.

So I may be spending fewer hours (if my hourly rate is $100/hour) than the value of the contract but the costs of ranking in the retainer model bring down the end value to me as the SEO. So maybe I spend 5-7 hours on the account each month but I only have $500 left in take home from a $1000/month contract after expenses.

This is why the retainer model works the way that it does – costs unknown to the businesses that the SEO agency or freelancer has to account for and impacts overall profitability.

3. How Should Clients Budget for SEO?

If you want tech, competitive analyses, overall reviews or strategy sessions, book a freelancer or agency for 5-10 hours but have 10 hours in your head as your top level cost. Make sure to get their hourly and negotiate deliverables and a follow up as part of the package.

For ranking initiatives, think 3-9 months at least for most keywords with this varying depending on your site stats, where you are ranking now and how competitive that keyword is. So if the SEO retainer is $1500 then you’re looking at $4500 – $13,500 over the value of the contract.

Then look at how much each conversion value is to you and if there is an LTV – lifetime value you can calculate. If I do SEO for a real estate agent in Vancouver (I’m really talking to one at the moment), 1 conversion is worth $10,000 – $30,000 depending on the value of the home and the commission rate / split they have.

So $4500 – $13,500 investment becomes rooted in reality as SEO is ongoing – they should have the rankings for a long time. If 1 sale can basically have them break even and then it’s profit moving forward, it makes sense.

This is how you should look at SEO and consider the value or return on ranking. Just seeing keyword rankings or keyword volume is not enough. If you’re able to generate X amount of traffic and convert Y% into business, how much is that worth to you? If you get ongoing conversions, what’s the value of a year? Do those people buy again or is there a lifetime value?

Conclusion

SEO is expensive and bad SEO is even more expensive.

Really look at your business and see if it is important and what your business can afford. I generally stay away from startups or businesses that are strapped for cash as SEO takes time. They should invest money into ads to get instant cash flow and an instant ROAS (return on ad spend) so the can keep growing the business.

Depending on what you need, the hourly or retainer model will attract likely the better SEOs unless you can work out a deal for an entire project that they feel confidently they can deliver on or feel so strongly they can do a deliverable based model that they take that.

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Technical SEO Checklist to Boost Your Traffic – JH | SEO

To rank at the top of search results is a wild race and your best friend is search engine optimization...

seo-search-engine-optimization-business-conceptual-1-1-150x150

written by Jimmy Huh

4:41 am

The 14 Most Common Myths About SEO Debunked

written by Jimmy Huh

1:19 am

What is Local SEO Citation? | How to Optimize Local Citations?

If you’re running a local business, then you know the importance of ranking high in local search results. And if...

written by Jimmy Huh

11:00 am

How To Do Real Estate Marketing? 15 Real Estate Marketing Ideas

Today, the internet plays a key role in the home buying process. It is also important for real estate agents...

written by Jimmy Huh

5:18 am

Local SEO Checklist: 10 Key Points to Improve Your Local Ranking

Even if local SEO is not a new thing, it still continues to grow in importance. In fact, the numbers...

written by Jimmy Huh

2:40 am

Off-Page SEO Checklist: 10 Great Strategies to Rank Higher

SEO is one of the most important aspects of any online marketing strategy. However, it can be complex and sophisticated....

written by Jimmy Huh

6:45 am

Your Ultimate On-Page SEO Guide

When it comes to SEO, on-page SEO is one of the essential aspects. It’s well-known that if you want to...

seo-optimization-website-with-mobile-website-landing-page-virtual-diagram-business-teamwork-are-meeting-modern-office-150x150

written by Jimmy Huh

1:51 am

10-Step SEO Audit Checklist To Boost Your Ranking in 2022

If you want your website to generate more traffic or you are not sure that everything is running okay, you...

written by Jimmy Huh

2:45 am

What is a Robots.txt File Used for? Do You Need a Robots.txt File?

A robots.txt file is a text document that doesn’t contain HTML markup code. It is hosted on the web server...

written by Jimmy Huh

8:27 am

How important is social media for plastic surgeons?

Social media can be a powerful tool for plastic surgeons. It can help them connect with potential patients, build trust,...

written by Jimmy Huh

2:02 am

Is SEO In Los Angeles More Competitive

SEO in Los Angeles is more competitive than ever before. If you want to stay ahead of the curve, you...

written by Jimmy Huh

1:39 am

How to Find a Good SEO Consultant

SEO is one of the most important aspects of any online business. If you’re not doing SEO, you’re missing out...

written by Jimmy Huh

7:24 am

How to get more traffic to my website?

Do you want to know how to get more traffic to your website? If so, you’re in the right place!...

written by Jimmy Huh

3:05 am

How To Do Local SEO For Your Business in Los Angeles?

If you are a business owner in Los Angeles, it’s important to make sure your website is optimized for Local...

written by Jimmy Huh

3:15 am

How To Do Local SEO For Your Business In New York City?

If you are a business owner in New York, it is important to understand how local SEO works and how...

written by Jimmy Huh

1:51 am

What Is User Intent | How To Optimize Your Website Accordingly

The websites we design and the content we produce are actually for users -for sure! If users don’t have a...

written by Jimmy Huh

2:41 am

How to Choose Keywords for SEO

Choosing keywords for SEO purposes is a vital part of increasing your online presence and driving traffic to your website....

written by Jimmy Huh

5:20 am

Complete SEO Guide for Plastic Surgery Websites

SEO, also known as Search Engine Optimization, makes sure your company’s website shows up on page one of search results...

written by Jimmy Huh

1:18 am

Using SEO Keywords in 2022

For those who wish to effectively advertise a product or service, appearing in search engines is a necessity. While it will take...

written by Jimmy Huh

2:46 am

What is Off-Page Optimization in 2022?

When trying to gain a better understanding of how search engines choose the top pages listed on the results page,...

written by Jimmy Huh

7:03 am

What is a Meta Tag in 2022?

When trying to get a better sense of how websites are ranked by Google, it is likely that you will...

written by Jimmy Huh

6:04 am

What Is A 301 Redirect in 2022?

At first glance, the question of “what is a 301 permanent redirect” is a simple question to answer. In short,...

written by Jimmy Huh

2:32 am

Adding a User to GMB

If you are conducting business from a storefront location, you should probably know about Google My Business and how to...

written by Jimmy Huh

1:08 am

Best CMS for SEO

Before starting a new site build, you should evaluate which CMS will bear the greatest benefit to your business. With...

written by Jimmy Huh

12:02 am

Google Analytics

written by Jimmy Huh

8:56 am

Google Review

Google was smart enough with basic account monitoring and caught many of the SEO tactics used, like posting fake, paid,...

written by Jimmy Huh

1:32 am

Is Local SEO in New York more competitive

SEO is a critical component of any successful online marketing strategy. If you’re doing business in New York, it’s important...

written by Jimmy Huh

2:16 am

Master SEO Rankings with These Proven Tools

SEO ranking is an important factor for any website. You want to make sure that your site is ranking as...

written by Jimmy Huh

2:06 am

Unlock SEO Success: The Critical Role of Page Speed

Could there be a factor that we forgot while working hard for our website and trying to get it to...

written by Jimmy Huh

6:01 am

The Power of Backlinks in SEO Explained

Simply put, backlinks are links from a page on one website to another. They are an important part of how...

written by Jimmy Huh

3:15 am

Revolutionize Your Dental Practice with Effective SEO Techniques

written by Jimmy Huh

9:17 pm

2024 SEO Services Explained: Enhancing Your Online Presence

An SEO service is the work an individual or agency provides that utilizes best practices to create a compelling page result that will rank for...

written by Jimmy Huh

1:32 am

Top SEO Strategies for Small Businesses in 2024

2020 is happening and as a business owner, I’m committed to making it a big year for my business and...

written by Jimmy Huh

10:03 pm

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