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The First Three Words
It does make the title easier to understand for people searching for your item, because when you hover over a listing, the first few words show up. However, it doesn't have anything to do with relevancy on Etsy.
So, I've joined an SEO team out of pure frustration. I am sure hoping it will help. I have gotten a lot of conflicting information from all over the place on the subject. I'm going to see if this team can help. I think they can, just from kind of reading the threads. At least they do really simple explanations so even I can understand. :)