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The concept is getting pretty saturated. It does generate "new" content on your site but, at the same time, it generates duplicate content on your site that's the same as the content on a million other sites. The search engines aren't going to reward too much for regurgitating the same old article, news flash..etc. Taking it 180 degrees, you'd be better off generating your own UNIQUE content and submitting YOUR rss feed for distribution. Now you'd be the owner of the content in the feed that ends up on everyone's site...all linking back to your website. The search engines love backlinks.
Actually duplicate content applies more to dupes on your site than what is on the internet in general. I am not a huge fan of it,because I believe in giving good content or value to the reader. But it does have its place in the right landscape. Here is food for thought, if you put an article on your site and put the same article on mine, do you think it will be considered duplicate content? Your site looks different than mine, has differnt headers, differnt meta tags, different footers and alt images right? If I changed some anchor text around and added a picture or two, maybe some addtional text it would be totally differnt. What do you think?
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Do online news syndication feeds really improve SEO? There are services that will feed semi-relevant topics onto a website in hopes of increasing SEO. Does anybody know whether they are truly effective? Are the search engine algorithms getting wise to them as a low-cost, low-value way to create content?