Consider the average cost-per-click in your industry. Before deciding that SEM is right for your business, research and consider how much you’ll need to spend to show in paid search results. Keywords have varying cost-per-clicks based on competition. If your cost-per-click is low, it might be the right strategy for you. On the flipside, a very high cost-per-click might make you decide you’re better off focusing on SEO.
Today, however, SEM is used to refer exclusively to paid search. According to Search Engine Land, Search Engine Marketing is “the process of gaining website traffic by purchasing ads on search engines.” Search Engine Optimization, on the other hand, is defined as “the process of getting traffic from free, organic, editorial or natural search results.”

As an Internet marketing strategy, SEO considers how search engines work, the computer-programmed algorithms that dictate search engine behavior, what people search for, the actual search terms or keywords typed into search engines, and which search engines are preferred by their targeted audience. SEO is performed because a website will receive more visitors from a search engine the higher the website ranks in the search engine results page (SERP). These visitors can then be converted into customers.[4]

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