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I am convinced that traffic is one of the variables in search engine's establishment and maintenance of page position, along with the god - Links.
Here's my question. Does traffic that comes to your site from Adwords count as traffic and hence help build your organic position. It seems to me that someone like Google would want to count that since they are trying to establish "real relevance". Whether traffic comes through organic clicks or through Adwords, its an indicator of relevance.
Now that's my reasoning BUT, what does experience say?
I would suspect that the search engine, as it gathers up all kinds of different information about the webpage in order to develop a ranking for it when a particular keyphrase is used in a search, probably considers the choices of keyphrase bids associated with a webpage and makes some sort of comparison with what it discovers from a normal crawl. Does this translate to increasing merit to a webpage? It's not likely but I would imagine that the search engine would get quite confused when both factors don't jive; perhaps to the point of non-rewarding the webpage with some kind of damper rather than actually penalizing or demeriting the web page.