Agencies tend to answer this question with whatever they sell. Here's the framework we use instead, based on three numbers you already know.
When PPC wins the first dollar
You need leads this month, not this year. Your margin per sale comfortably covers a $30–150 cost per lead. You're validating a new offer and need fast data on what converts. PPC is a faucet: expensive water, instant flow.
When SEO wins the first dollar
Your customers research before buying (legal, healthcare, B2B, home services). Your competitors' paid CPCs are brutal but their content is weak. You can survive 4–6 months before the channel pays back. SEO is a well: slow to dig, then nearly free water for years.
The usual right answer
Run a modest PPC campaign for immediate leads and market data, and invest the larger share in SEO so every quarter reduces your dependence on paid. The PPC search-term data becomes your SEO keyword map — the channels are better together than either alone.
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