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1. It's PR. PR via email, but still PR.

2. Maybe it's lame.

3. Rarely successful? Any data there? It has certainly worked for the people I've done it for.

4. PageRank is not the goal. Qualified, revenue-producing traffic is the goal.

Of course PageRank increases qualified, revenue-producing traffic.

I haven't done it myself because my wallet isn't deep enough but I've seen it be very successful for my competitors who's emails make it into my inbox and I then check their Google link: list that shows it does actually work.

Lame or not the proof is in the search engine result position.

Rarely successful? How can you say that? Obtaining quality linkbacks are one of the cornerstones, if not THE cornerstone of a successful SEO campaign.