How SEO performs against LLM (Large Language Models)

6 Dec 2024 · 7 min

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In short

Marketing School Podcast Episode Notes

Episode Overview

  • Title: How SEO performs against LLM (Large Language Models)
  • Hosts: Neil Patel and Eric Siu
  • Episode Number: #2880
  • Description: The episode covers the optimization of Large Language Models (LLM) in comparison to Search Engine Optimization (SEO), particularly the overlap between Perplexity results and Google rankings. The hosts also discuss potential acquisitions and the evolving social media landscape.

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Time-Stamped Show Notes

  • (00:00) Understanding LLM Optimization and SEO Results
  • (03:00) The Future of Perplexity and Google
  • (05:23) Conclusion and Call to Action

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Key Concepts and Discussions

Understanding LLM Optimization vs. SEO

  • LLM Optimization:
  • LLMs like ChatGPT and Perplexity utilize data differently than traditional SEO.
  • Overlap statistics:
  • 46% of Perplexity results overlap with Google’s top 10 organic rankings.
  • 32% overlap with Bing.
  • ChatGPT 4.0 shows a 69% overlap with Bing’s top 10 and 48% overlap with Google.
  • Correlation Observations:
  • Google rankings significantly influence Perplexity results, suggesting that higher Google rankings may lead to better performance in LLM outputs.
  • 72% of Perplexity results include top Google rankings.

Future of Perplexity and Google

  • Acquisition Potential:
  • Discussion on the possibility of Google acquiring Perplexity due to its relatively low valuation ($9 billion) in comparison to Google's ($2 trillion).
  • The current climate for mergers and acquisitions could open opportunities for such a purchase.

Social Media Trends Among Marketers

  • Shifts in Platform Usage:
  • Some marketers are moving away from Twitter (referred to as "X") and finding new audiences on Threads.
  • Discussion on the implications of marketers announcing their departure from certain platforms, perceived as virtue signaling.
  • The importance of leveraging all available channels for business growth.

Business Decisions and Employee Reactions

  • Case Study:
  • Anecdote about a business owner presented with a lucrative offer from a Middle Eastern country, facing backlash from employees who initially opposed the deal.
  • Employees’ attitudes shifted once they realized the financial benefits the deal would bring to them personally, highlighting the complexity of ethical versus business decisions.

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Key Takeaways

  • SEO and LLMs: Understanding the relationship between SEO rankings and LLM outputs can be crucial for marketers navigating the evolving digital landscape.
  • M&A Opportunities: The thawing M&A climate may lead to significant acquisitions that alter market dynamics.
  • Social Media Strategy: Marketers should remain adaptable and utilize multiple platforms to reach audiences effectively.
  • Employee Engagement: Employee perspectives can shift based on their financial interests, emphasizing the need for transparent communication about business decisions.

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Call to Action

  • Encourage listeners to subscribe, rate, and review the podcast.
  • Mention of the Agency Owners Association for those looking to grow their agencies, with a seven-day free trial available.

Additional Resources

  • Visit [Marketing School](https://www.marketingschool.io) for more information and resources.
  • Engage with Eric and Neil on their respective YouTube channels for additional marketing insights.

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Feedback Section

  • Questions for listeners:
  • What topics would you like us to discuss next?
  • Did you enjoy this episode? Please leave a review!

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Connect with Us

  • [Single Grain (Eric’s ad agency)](https://www.singlegrain.com)
  • [NP Digital (Neil’s ad agency)](https://www.npdigital.com)
  • Follow Neil Patel and Eric Siu on social media:
  • X @neilpatel
  • X @ericosiu

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This document serves as a comprehensive summary of the podcast episode, highlighting key discussions, important statistics, and insights for marketers.

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Transcript

Automatic transcript. May contain errors.

0:00Do you know the difference between LLM optimization and SEO results? Do you know what the discrepancy is? If you pull up like a perplexity result, how much do you think is coming from Google? If I had a guess, more than 80%. 46 % perplexity results overlap with Google top 10 organic rankings, but only 32 % with Bing. ChatGPT 4.0 with RAG. Results overlap 69 % with Bing top 10 organic results and still 48%. Wait, 69 % with Bing. Yeah, which makes sense. Because they pull from Bing as well for search GPT. Yeah, I mean, Microsoft owns what, 49 %? Some of them like that. 50%, whatever, right? Interestingly enough, the top Google ranking appears in 72 % of perplexity results, which is kind of close to what you said with the 80%, which means top rankings in Google can result in top rankings in perplexity.

0:47The same top rankings from Google only appear in 22 % cases in chat GBT. But 72 % perplexity is what you said? Yes, which is 80 % close to what you said. And lastly, there's a visible correlation of the same Google sources appearing in perplexity. It means the better you rank in Google, with a higher chance you show up in perplexity, it almost feels as if perplexity would use Google rankings to train their model. If Trump becomes more flexible and Europe becomes more flexible next year, I believe Google would make a play to just try to buy perplexity. I think so too. I mean, they're not that...

1:17I mean, what's their valuation? Google's? Perplexity. It's not that high compared to Google's. Google's like$2 trillion, I think. Google should just do it. The M &A climate's going to thaw and that's going to open up opportunities for people to buy. perplexity is valued at nine billion dollars okay yeah it's still they can pay 20 billion yeah call it a day yeah yeah dude i was looking up some marketers i won't mention their name there's a lot of marketers who actually don't use x anymore yeah they say find them on thread and they post that in their bio yeah uh it doesn't matter whether you like elon or not or you like mark zuckerberg i just think that's virtue signaling like a younger me would have done that i just think at this point you're virtue signaling saying oh i'm leaving x i'm doing this like First of all, nobody gives a damn where you're going.

2:01Nobody cares, dude. Nobody cares what you ate for dinner, too. You don't need to announce that stuff. And if you don't want to do it, your competition's going to take the traffic, and then you're like, oh, they're bigger than us. Why are they bigger than us? They're leveraging the channels you're not willing to leverage. Like, enough, guys. Just enough. A lot of this is more black and white than people want to admit. You've got to take out the emotions. Business is business. If someone's breaking the law, all right, that's different. If you don't agree with them politically or whatnot, if you're running a business and you have investors and your goal is to optimize valuation for your employees and everyone else, then you got to do what's best for the business.

2:42And here's a funny story. I was talking to someone the other day. They had an offer from a Middle East country for a lot of money. and a few of their employees said you can't take money from this oh here we go this country and i'm not one to say you should take money or not i like being self-funded i don't like answering to anyone yeah eric knows me really well on that aspect i i don't do well having to report to with the boss so i don't blame people when they say they don't want money from a certain from anyone really and i've raised money before and i had good investors but i just like doing my own thing.

3:20And he had the opportunity to take a lot of money. And before he had the opportunity, his employees were really pissed and they said, you can't do this. This isn't right. We don't like you because you're doing this and we don't believe in this and we don't like this country. And then when he got a term sheet and he said, oh yeah, I'm going to end up paying out a lot of my employees because we have an option pool. All of a sudden, their tune change and be like, oh yeah, this is great. How much will we be making? And he decided not to do it because he didn't want to end up raising money and it was for a majority transaction.

4:05And he didn't want to end up relinquishing majority of his corporation. When I say majority, I'm not talking like 51%, I'm talking like 70 plus percent. And they wanted his company for their region and they wanted to make it part of everything that they're doing. I believe it's more healthcare related than anything else. And they really wanted whatever new healthcare technology that they ended up having. But when you look at it from that perspective, a lot of the employees were really pissed that they did not sell the majority. If you're an agency owner and you want to grow faster, check out the Agency Owners Association that's hosted by my podcast co-host Neil Patel and myself.

4:42And we have other agency owners that are doing eight figures a year. They were doing nine figures a year. They sold their business for hundreds of millions of dollars and they're gonna share their experiences with you. There's a whole host of other benefits. And the cool thing is that there's a seven day free trial and you should check it out now because we're going to take the prices up. So just go to marketingschool.io slash agency to learn more and we'll see you inside. Yeah, by the way, it's funny how they change their tune so quickly when it directly affects their livelihood. Like everything else goes out the window, right?

5:08what people care about is their livelihood at the end of the day right everything else is like you can add the extra stuff if you want um and some of those employees he was telling me would have made more than a half a million bucks that's a lot of money that's life changing all right guys so that is it for today please don't forget to rate if you subscribe go to marketing school.io slash agency i think the price right now is 199 or so it's a seven-day free trial we're bumping it up to 399 so depending on when you listen to this the price might already be at 399 so that being said goodbye Thank you.

From the publisher
In episode #2880, Eric Siu and Neil Patel discuss the nuances of LLM optimization versus SEO results, highlighting the overlap between Perplexity results and Google rankings. They discuss the potential acquisition of Perplexity by Google and the shifting dynamics in social media usage among marketers.  Don’t forget to help us grow by subscribing and liking on YouTube! Check out more of Eric’s content (Leveling UP YT) and Neil’s videos (Neil Patel YT)  TIME-STAMPED SHOW NOTES: (00:00) Understanding LLM Optimization and SEO Results (03:00) The Future of Perplexity and Google (05:23) That’s it for today! Don’t forget to rate, review, and subscribe! Go to https://www.marketingschool.io to learn more!   Leave Some Feedback: What should we talk about next?  Did you enjoy this episode? If so, please leave a short review.   Connect with Us:    Single Grain << Eric’s ad agency NP Digital << Neil’s ad agency X @neilpatel X @ericosiu

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