>seriously question the effectiveness of link directories > They work, but are tricky. I didn't approach them to boost pagerank, I saw the descriptive text and links as content to feed the spiders. The hallway site I mentioned in the how deep will spider read [webmasterworld.com] thread is a link directory that's really starting to pull in the traffic for me by ranking well enough on its own. Of course, it's referring traffic to some other third party sites that I choose to list, so that could be viewed as a negative.
>lost several top positions to the sites they picked up from my directories > That's one of the reasons I chose Links2. It uses cgi redirects to count the clicks, so I'm not providing a direct link. On pages that I want to be spidered, I code in a link.