Why link exchange does not work

Let's first look at how search engine use links.

Search Engines work on a "voting system". Each web page have a specific "voting power" which is determined by the number of links, and also the quality of the links pointing to that web page. Links from this web page to other web page will "transfer" a certain percentage of that "voting power" to the other web page. The percentage of "voting power" transferred will depend on the number of links going out from the web page.

By joining a link exchange website, you will in return for a link on their website, also create a link back to their website. Now most of these link exchange websites, will have hundreds of links to all of their link exchange partners, decreasing the "voting power" they send out, however with your link from your website, which might have a higher "voting power", you might transfer more "voting power" to the link exchange website.

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