In fact, search engine ranking algorithms continue to get smarter, taking into account factors such as usage patterns. For each keyphrase, utilities such as the Google Toolbar can measure how frequently their users satisfy their search with your webpage compared to competing webpages. If a comparatively high proportion of Google users quickly dismiss your webpage and go back to the search results to click-thru somewhere else, Google will penalize your webpage by placing it lower in the rankings for that keyphrase.
The lesson here is that keyphrase optimization is necessary but not sufficient to achieve high ranking in search engines. The quality of your content is at least as important. To satisfy internet searchers, examine the content of the current top 10 webpages for a keyphrase and make the content of your webpage clearly better. Insert the keyphrase as prominently as possible without alienating readers by over doing it.