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Increased Link Popularity for Increased Rankings on Search Engines such as Google

By getting links from as many quality sites as you can you will be able to rank higher on many search engines for various search terms. This results in more direct traffic from the search engines and even more direct links in the future. This is because when other webmasters look for sites to link to for news or as references on their site your site will appear more prominently in search engine results and consequently be visited and linked to more often. Webmasters tend to link to sites they find from links or search engines. This is one reason that older sites have an advantage over newer sites as if they have establisehd themselves with a good base of link popularity they are hard to unseat.
How Link Popularity from Link Exchanges Works

1. You send out Link requests and gain a few other sites that link to the homepage of your site.

2. Your home page and every page linked from it gain in page rank on Google.

3. Your home page and every other page ranks higher on Google for every keyword in your title tags and on your pages.

4. More people find your site by searching at Google. More of them bookmark your site, and more of them link to it in the future. This sort of things applies to other search engines too.

*Keep In mind that link popularity is a gift that keeps on giving. If you elevate your home pages page rank via link trades then all other pages you create on your site that are linked to from the homepage will also have higher page rank. In short increasing the page rank of one page on a site increases it slightly on all pages that can be reached via the site's navigation. Pages created in the future will also rank better because of this.