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I am building an online store for a client.it is an add-on to his existing site - SEO wise what is a better option for him, buy a new domain name or have it as: example.com/foodstore. i was thinking: foodstore.example.com........bit hard to market the latter though?

also do not want to confuse Google?

+1  A: 

I would use the subdomain, mostly because I find that it "looks" more professional to the eyes of the end users.

From the seo viewpoint, it maks no real difference and it should be the least of your concearns.

Consentrate on things like:

  • PR sculpture: Decide what the important (content-wise) parts of the site are and use the nofollow tag to concentrate the PR flow to those pages.
  • Unique titles for each page
  • Unique meta description / keywords
  • Valid XHTML / CSS2 code
  • Wise use of tags like b and strong etc.

and the rest of the onsite optimization process.

john
100% correct. Google ranks web pages, not websites. The only metric worth looking at is user-satisfaction.
EnderMB