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By researching and studying competitors...you need to look for keyword profitability, relevance, popularity and competition and check out for the scope of misspellings, LSI and long tail keywords.
Manual keyword research can be really daunting so I use Keyword research tools to ease the process. As an IM rookie, I started with Google Adwords tool but with growing competitiveness, I shifted to Keyword Country. I have found a huge difference in results of the two tools... KC not just helps me to research geographically active keywords but also lets me to reverse engineer 96% of competitor keywords.
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230% more traffic with 12+
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