RSS feeds fall most definitely under the heading of promotion not SEO, but they can be a great tool. I assume you know the basic premise of RSS feeds, so let's look at some of the benefits of using them:
They allow you to instantly notify subscibers of new pages to your site, which will improve your return visitor rate. You can also offer introductions to articles, to tempt people into visiting to read the whole thing.
One of the ways to use RSS to help improve your traffic is to submit to some feed directories - I'm not sure that these are going to send hundreds or thousands of visitors to you, but every little helps!
Finally, they're very useful to mobile users - I subscribe to several feeds on my phone, and it means I can quickly look at all the websites I'm interested in, without having to waste time and money going to each one.
RSS is a growth area for the internet, and definitely one that you should try and latch on to.
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