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When it comes to guest blogging, there's bad guest blogging and good guest blogging.
Behind its good and provocative title (original title: "We're ignoring Google & it's working - here's why"), this article details why guest blogging is still a very valuable technique when done in a natural, respectful and meaningful way.
Ever since Google's Matt Cutts openly criticized guest blogging and announced that Google was making change to put an end to it, content marketers have been puzzled. My analysis is that the guest blogging Google targets as spammy is the one any somehow successful site receives offers of: the spammy, completely irrelevant guest blogging propositions from cheap copywriters who are employed by black hat, old styles SEOs to try to create backlink artificially. If you haven't come across these proposals, good for you! But if you do, you've probably turned them down anyway out of pure common sense.
Notwithstanding that, there is still great value at doing natural guest blogging to develop your visibility by leveraging other blog and media's audiences. There's a trade-off: you can't convert from sites you don't own but it's definitely worth exploring to bootstrap and develop your readership. And here's a great article from MarketingProfs on what to expect from it.