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Local SEO help

I run a local cleaning service and notice competitors have webpages that are all the same except inserting a specific towns name. They rank really well and are crushing me.
Is this a good idea? will I get penalized for such tactics?
example
mycleaningco.com/town one cleaning
mycleaningco.com/town two cleaning
mycleaningco.com/town tree cleaning

All exact same content except inserting towns name into the body of text.
Thanks.

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