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Knowing how to use keywords is essential to creating an effective website.  The internet is a giant database — all of the information is sorted and organized by topic and the keywords that best describe the information.  By paying attention to keywords and search phrases, you can position your site to be found more easily on the web.

Here are six good reasons why keywords matter:
#1 Search phrases help you achieve good page rankings. When your website shows up on the first page or two of search results, you will get more website visitors. Each website visitor is a potential customer.  So yes, search phrases directly impact your profits.

#2 Keywords force you to target your appeal to your ideal customer.. Appealing to a broad audience can be difficult. There ís a lot of competition. However, when you narrow your focus and target specific keywords and search phrases, you can focus on appealing to a smaller audience. You can be the big fish in a little pond. Narrowing your niche allows you to charge more — and ultimately create more success in your business.

#3 Keywords and search phrases help you learn about your audience and prospects. Keyword research helps you learn what your audience is looking for. Entering your keywords or keyword phrase into a keyword research tool will generate other relevant keyword phrases. You can use the supply and demand data to learn what your prospects are searching for.

#4 Keywords and search phrases help you organize content in an effective and meaningful way. They help you organize your website navigation by tier one, two and three pages. You can use them to create a streamlined navigation system.

#5  Keywords help you create content and provide value. Keywords can give you content topics and topic ideas. Simple keyword research will generate potentially hundreds of content ideas.

#6 Keywords help you market and advertise. Finally, keywords and search phrases help you create targeted advertisements. They help you market to your audience. When a PPC ad, for example, contains the keywords itís targeting, itís been shown to be more effective than an ad that doesnít contain keywords.

Finding keyword search phrases is a matter of research. Utilize keyword research tool (search for google keyword tool) s. Install and review  google analytics. Pay attention to trends. Participate on social networking sites and other blogs and websites. The more you integrate keywords into your overall business strategies, the more success you will achieve.