The goal of SEO is to get a web page high search engine ranking. The better a web page's search engine optimization, the higher a ranking it will achieve in search result listings. (Note that SEO is not the only factor that determines search engine page ranks.) This is especially critical because most people who use search engines only look at the first page or two of the search results, so for a page to get high traffic from a search engine, it has to be listed on those first two pages, and the higher the rank, the closer a page is to the number one listing, the better. And whatever your web page's rank is, you want your website to be listed before your competitor's websites if your business is selling products or services over the internet.
That second link will still help you because it will pass extra PR to that page. But in terms of anchor text, most of the experiments I’ve seen show that the second link’s anchor text probably doesn’t help. That being said, Google is more sophisticated than when a lot of these came out so they may count both anchors. But to stay on the safe side I recommend adding keywords to navigation links if possible.
All sites have a home or "root" page, which is usually the most frequented page on the site and the starting place of navigation for many visitors. Unless your site has only a handful of pages, you should think about how visitors will go from a general page (your root page) to a page containing more specific content. Do you have enough pages around a specific topic area that it would make sense to create a page describing these related pages (for example, root page -> related topic listing -> specific topic)? Do you have hundreds of different products that need to be classified under multiple category and subcategory pages?
I completely agree that defintion of a target audience isa great first step, but would ask if adding in competitors to the analysis (mentioned here as a later step) helps draw out who your target audience would be via comparisons, i.e. showing who you are an who you are not - would be very interested to hear opinions on how this tactic can be used within the overall step in coordination with targeted keyword discovery.
Really its just a matter of getting creative - grab a cup of caffeine and think for a minute about what resources you have to try to get some insight on your visitors (or target markets) and their needs before you dive in. Think about how much time it might take you (or what the cost of the reports would be if you are going to buy some market research reports), and tack that onto your billing as an optional service.
Thank you so much for these great SEO techniques you posted on your blog. I also follow you on your youtube and listened to almost all of your videos and sometimes I re-listen just to refresh my mind. Because of your techniques, we managed to bring our website to the first pages within a month. Adding external links was something I never imagined that it would work. But it seems like it is working. Anyway, please accept my personal thank you for coming up with and sharing these techniques. I look forward to your new blog posts and youtube videos!