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anyone else have thoughts on this?
As you say, most things have competition these days, but that doesn't mean that it's unbeatable opposition ;)
If you're aiming high, then the real decision is about the approach, rather than the destination. If you have limited budget/resources or are a new site, then often the best approach is to go from the long tail upwards - target as many nice keywords as possible, and build up towards the highest value/most competitive stuff. If you have lots of budget/resource, then you can have the luxury of building down, which is usually quicker when it works right.