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How Much Traffic Should Your Small Business Expect From Search, Referrals & Paid Search?

 

.

Do you know where your website visits come from?

Here are three options: organic searchpaid search, and referral sites.

Which source draws the most traffic to most small- and medium-sized businesses?

To answer this question, we looked at data from 2,100 HubSpot customers (mostly small- to medium-sized businesses). The chart below summarizes our finding: organic search avearges 67.2% more traffic than referral sites, which in turn draw 156% more traffic than does paid search.

A more in-depth industry analysis reveals similar trends. Despite the diversity of the types of industries included in the study, the mathematical inequality holds - organic search > referral sites > paid search.

A closer examination of the second chart shows that organic search traffic is significantly higher than that generated from the other two sources in manufacturing, medicine/health services, and retail. On the flip side, referral sites play an important role in technologically advanced industries such as technology, software, and online marketing as well as more customer-service-oriented industries such as consulting and financial services.

Given the empirical significance of referrals in increasing site traffic, we compiled a list of top referral sites for reference. Businesses that have paid little attention to referrals should consider new marketing strategies that utilize referrals more actively.

 

 

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Posted by Lily Zhu on Mon, Jan 11, 2010 @ 07:30 AM

COMMENTS

It's great to see more research going into traffic sourcing in the small business sector. 
 
Just curious though, are those first two graphs over 7 days like the third graph?

posted on Monday, January 11, 2010 at 7:51 AM by Matt


Looks like SEO is not dead. Organic search is an investment- same as buying your building vs. leasing- in securing the marketing of your business.

posted on Monday, January 11, 2010 at 8:07 AM by Walt Goshert


@Matt: great question, Matt. Yes, the first two graphs are also over 7 days to keep the time span of data consistent.

posted on Monday, January 11, 2010 at 8:20 AM by Lily Zhu


Great article! I am interested to know what is the recommended way to identify the top referral websites for a given market, industry or region. I am thinking about non US domestic markets principally. Are these referral sites generally fee based? 
Regards, 
 
Sean.

posted on Monday, January 11, 2010 at 8:39 AM by Sean


The Google maps referral is interesting. That tells me that people are looking for a local business or that the website has a directions or find me button on it. I assume the ow.ly referral is because that's the default URL shortener in Hootsuite.

posted on Monday, January 11, 2010 at 9:16 AM by Ron Arden


@Sean: you raised a good question that encourages further analysis of the HubSpot data. After dividing referral sites by industries, I discovered that there seems to be no industry-specific popular referral sites. Instead, generally popular sites such as google.com, yahoo.com. yelp.com, and the like top the list across many industries. Keep in mind, however, that most HubSpot customers are U.S.-based companies, so I cannot draw a similar conclusion for non-U.S. domestic markets.  
 
 
 
Hope this helps, 
 
Lily Zhu at HubSpot

posted on Monday, January 11, 2010 at 9:50 AM by Lily Zhu


So the question this analysis begs is can you show the same data for conversion rates? Is the expensive PPC traffic worth it by converting at much higher rates?

posted on Monday, January 11, 2010 at 9:56 AM by Steve Francis


Great info. One of the biggest challenges I'm finding is that the search engines are continually changing, therefore, your strategy/tactics need to adapt as well. Ironically, I just posted an article on local search this morning and I would be interested in some feedback - http://bit.ly/8oHL0l. 
 
Thanks, 
 
- John

posted on Monday, January 11, 2010 at 10:26 AM by John


Yes, for local businesses I've seen firsthand what Google Maps can do for you. For those that haven't tried, I was able to easily claim my business and that of a friend (for my friend). Once you have control of your listing be sure to update/add content for everything Google allows -- coupon/pictures/videos (host on YouTube)/text/tags/etc. Google likes content and as soon as I did this our two sites went to #2 & #3 in their respective categories. While our websites weren't on the first page of organic search our customers told us they found us using Google and wanted someone that ranked on the first page as they viewed this as important. Since our sites weren't listed on the first page I know they were referring to our map entries. We were in a brokerage business at the time.

posted on Monday, January 11, 2010 at 11:00 AM by Doug


What you don't address is whether all the sites in each group have ppc campaigns. Organic may be delivering the largest share because only X% of the sites in a group are actually driving ppc traffic.

posted on Monday, January 11, 2010 at 11:09 AM by Chris


Nice info. I'm negotiating with Thomasnet right now. I hope they don't read this...

posted on Monday, January 11, 2010 at 12:25 PM by chris kluis


Do you think that the google CPC is just turning into a bidding war? It seems that the suggest bid for my keywords in adwords campaigns is continuously going up. This is obviously a benefit to google now but won't this potentially squeeze small businesses out using the CPC? I can't picture the future of adwords with trends like these.

posted on Monday, January 11, 2010 at 1:44 PM by Adam W


Adam W, 
 
The Google Adwords bidding war has been going on for some time now and small businesses have to focus on long-tail keywords. In your case, "web design in st louis, mo" is more relevant and affordable. 
 
- John

posted on Monday, January 11, 2010 at 2:02 PM by John


Spot On. We are a tour operator based in India and maps.google.com is our #1 referral point. Surprised that bit.ly is not in the list

posted on Tuesday, January 12, 2010 at 2:20 AM by Lijo Isac


Quick question that I didn't see addressed here. What about traffic from backlinks from other sites? Is it such a small part that you didn't include with your study? 
 
Great article and good data nevertheless. Emphasizes the benefits of SEO!

posted on Friday, January 15, 2010 at 2:05 PM by Nathan Williams


@Nathan: thanks for raising the question. It's not that traffic from backlinks is too small for us to include--we simply do not have the data at this point.

posted on Friday, January 15, 2010 at 5:34 PM by Lily Zhu


Comments have been closed for this article.