The real value of SEO comes from looking beyond the obvious and finding those unique opportunities to rank for long tail keywords or relevant keywords. So instead of trying to Rank on page 1 for a term with 10,000 monthly searches and a ton of competition, find 10-20 terms with low competition and get your site on the top 3. It's GOLD!
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Yeah you are exactly write but people also undervalue how easy it is to sometimes rank with a tough key word as my last point says " Your competition might not be smart enough" . A little bit of smart-work and patience can you get you there !