I would advise you to keep what you believe to be the perfect amount of content on your website. You don’t need to add more content to get more traffic.
Search engines like Google rank pages based on relevance, not word count. As was clearly evident by SEO Ibiza’s “something” example is that more content on your website isn’t needed to rank highly. However, this doesn’t imply that you do not need more content to rank higher, just that it doesn’t need to be content on your website.
Take a closer look at the “something” example. He has more than 25,000 pages of content pointing to that top ranked and none of it is on that website, save the single word “something”.
The important thing to understand about search engines is that they don’t rank websites, they rank individual pages. Rankings are not based on what is on a website, rankings are based on the signals of relevance on the individual page, as well as signals of relevance in content that is linked to that page.
So to answer your question, you need more content, you just don’t need it on your website, place content on other websites, like article directories, forums, social media sites, Web 2.0 properties, blogs, press release syndication, social bookmarks, etc. be sure to SEO that content and include targeted keywords in and near your anchortext links that point back to your website.