Search engine optimization can be done in two ways - the good one (white hat) and the bad one (black hat).
White hat optimization refers to honest SEO tactics, approved by the search engines.
Black hat SEO tactics are way to cheat your way to higher website ranks. If the SEs discover that (and they mostly do), your website will get punished and thrown at the bottom of the search results.
Black hat actually means illegal ways of link building.
There are 2 parts of search engine optimization - on-site optimization and off-site optimization.
On-site optimization refers to proper inter-linking of your website pages, domain name, page names, page size, optimization of HTML tags (title, meta keywords, meta description, image alt tags, h1-h6 tags, etc.) and page content.
On-site optimization represents the basics of good search engine optimization and accounts for about 25% of your website rank in search engines.
Off-site optimization refers to to gaining proper links pointing to your website pages. The most essential thing about the linking is who the link is coming from and what the anchor text is (it has to be relevant to your website content).
Let's suppose we have a website A, which is about dog training, and website B, which is about money making, both linking to your website X, which is also about money making.
In both cases, the link's anchor text should be relevant to your website content and should contain words that you want to rank high for. Anchor texts such as click or click here will be totally useless. As a matter of fact, anything other than your relevant words would be useless.
If we suppose that both websites, A site and site B, link to your website, X, with relevant words (such as money making), the link from page B has a higher value than a link from page A, but both have value as they are relevant.
A link is considered a vote from one website to another. Google PageRank (Google's view of website's importance, is between 0 and 10) is another important element for rankings on Google. The higher the PageRank of the website linking to your site, the higher the link value in Google's eyes. You should get links from all relevant pages, not just pages with high PageRank.
Actually, all links with relevant anchor text, obtained in a natural way, are good for your website ranking. Never stop the linking process, even when you rank #1 on all search engines for your desired keywords.
There are a lot of elements search engines consider when they rank websites, such as page sizes (should be less than 100 KB), domain age, number and quality of links, link age and many others. It could take years for your website to gain your desired search engine rank.
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