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how to measure local seo return on investment for small business

Measuring local SEO ROI for small businesses means tracking revenue, leads, and foot traffic directly tied to local search visibility, then comparing against time or agency costs.
Use a simple formula: (Revenue from Local SEO ÷ Cost of Local SEO) x 100 = ROI %.

1. Track Revenue Attribution

2. Monitor Key Local Metrics

MetricToolTarget GrowthRevenue Impact
GBP Calls/DirectionsGBP Insights20% MoMDirect bookings
Local Pack RankingsLocalFalconTop 33.8x conversion rate
Review VolumeGBP Dashboard10+/monthTrust → sales
Organic Local TrafficGA430% upliftQualified visitors

3. Calculate Costs Accurately

4. Build Monthly ROI Dashboard

Example: Tire Shop Delhi NCR (Month 3)
Local SEO Cost: ₹25,000 (agency + tools)
Calls from GBP: 45 (₹5K avg job = ₹2,25,000 revenue)
Directions → Foot Traffic: 120 visits (20% convert = ₹1,20,000)
Total Revenue: ₹3,45,000
ROI: (3,45,000 - 25,000) / 25,000 = 1,280% (12.8x return)

5. Use Free Attribution Tools

Realistic SMB Benchmarks

For Delhi clinics/tire services, track UPI payments post-call and Justdial leads separately—expect 5-10x ROI within 6 months when done systematically.

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