Does anyone do SEO for a % of sales?

[EGOL]

Right... and the more difficult the KW the bigger that fee.

[josh-riley]

I think there's been some awesome views here and there's so many viable options. If I were the SEO you wanted to hire, here's an issue I'd force: I can't control if you keep your website working properly. I can't control if your back end measurement is accurate.  I would insist that if it came to light that you somehow couldn't properly calculate your sales (and my performance was tied to revenue) there'd be some lump sum or something payment to me anyway.

Why? I worked on a site where leads were the most important thing wanted; the coding to track leads got messed up and for four months there was no accurate way to calculate what leads came through SEO vs other channels. Also, there ended up being major instability issues with the site and it kept crashing, creating major technical issues (that flowed into the need for technical SEO support).

Anything can happen with a website. The SEO can only do so much.

[MikeShreeve]

Hello, My tiny little company has been lucky enough to do this with a couple of other companies. We enjoy partnerships but there is a lot to watch out for on both ends. The first and most important in my opinion are the contracts. How robust are the contracts? Did one or both of the parties involved have the contracts drafted by a good lawyer or are they chicken scratch on the back of a napkin, or even worse "give you my word" contracts? A clear an defined contract is going to be a huge deal later down the road when you both realize it hasn't been going how you expected it to. The seo company will realize how much work they are performing and you will realize how slow it is all taking. The second and equally important thing to consider is does the companies link building style work with your own personal style and ethics? If they use scrapebox or some software like that, are you gonna be upset? It is important to hash out the details. If the seo company doesn't want to tell you about their tactics and you are deep into the partnership conversations then you should be weary. This is a partnership. If you aren't transparent, don't expect this to work. Third, you have to be transparent. The both of you. If you are the business, you need to show financial records, past traffic etc etc. if you are the seo company you better be willing to share your tactics. Hiding stuff is the best way to ruin any possible joint venture. If you haven't already been swamped with offers, send me a note. Would be happy to help you navigate potential oppourtunities.

[Brandsei]

Great Answer Ryan, I'm new to SEOmoz so this was the first one I've ever really dived into

My feelings are very similar on this topic. I can appreciate you fighting for your client each month, earning that business, creating that value. I do use contracts though which have a hybrid and custom structure for each individual client. As every client is different so are their needs, deliverables, efforts on the part of the SEO, time constraints, etc. I currently have 4 different clients all with contractual variations of profit share, % of sales, deposit up front, increased % of consultant fee through the 1st quarter vs. the latter, and on and on for every variation there is always another way to accommodate the client.

That approach may not suit the needs of creating a service to the masses but I have more of a passion for the more personal side of business and really understanding my client's needs and goals; services less clients paying me hire margins creates less head ache and more rewarding work.

I have had a client where many contractual variations have been necessary to accommodate both ends. This has been one in which equity shares have been discussed in return for my services. Now here's where things get really sticky because I have no interest in owning a portion of this clients website because at the end of the day 20% of nothing is nothing, what I did in this case was structure a 20% profit share for my business consulting services with the OPTION to accept equity % after specific milestones have been achieved, including offers coming in to purchase the company.

In addition to this there was a price point for my services for the first 3 months that is more per month than the remaining 9 in the year. THEN we agreed to half of that 1st 3 months fee would be paid as soon as my Professional Services Benchmarks are presented. If the prospect that is in my eyes already a client, decides to walk away then yes I'm SOL at that point but in the end it's never been for nothing. Rarely, do I not earn the client’s business so late in the game, so for me personally it's worth the effort; researching, analyzing and then educated the prospect. Either way neither of us walk away empty-handed.

In summary, I am a big advocate to being completely flexible to what the client wants so long as we are both happy with the proposed solution(s), process and outcome. It may seem to many that this approach is overly complicated and too vague to be effective but when comparing this due diligence to that of an unhappy/unhealthy business relationship, you have to ask yourself which situation would you rather have on your hands.

[RyanKent]

Thank you for sharing your experiences Chris. If you are a lone SEO consultant, you have the flexibility to make such arrangements which can be a win for both you and the client. Once you join a team whether that be an agency or a partnership, then it is hard to make any deals where you accept anything other then cash payment.

As you continue to provide exceptional services to your current clients, they will spread the word and you will quickly find yourself with more clients then you can service. At that point, you will likely focus on the more traditional SEO-client arrangement.

Best wishes!

-Ryan

[SkitterD]

Hey Ryan,

I am new here just trying this out, but I wanted to say that I like your comments and sense of respect for people.  I think as a very small business owner who has worked in a much larger music business as I was growing up with my parents that it is really important that people learn what they can before they go out to hire the big guns.  No this isn't my business either but I am a marketer and have been in sales for a number of years.

I think that as a business owner you should really be connected to as much of the marketing element of your business as you can.  No you can't possibly do it all as your business starts to grow but I do believe it's part of your growth as well as your continued growth.  Hey thanks for your responses here I've gotten some good footing from them.

Scott

[RyanKent]

Thanks for the feedback Scott. I am glad to hear you found this Q&A helpful. I hope you enjoy your time here as a Mozzer.

[AndyMacLean]

Why dont you look to hire an in-house SEO? May not be as cheap as option 'A' but if they are good will be cheaper than option 'B' plus they can add value in a wider sense - a good SEO will help improve wider inbound marketing efforts.

[Adlanera]

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[Njnbiure45r4]

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