Why are reciprocal links still being used widely?

[SamCUK]

Looking at my competitors backlink profiles they all seem to have lots or reciprocal links and banner exchanges etc... I thought that only one way links really had any value. The reciprocal links they do have appear to be pretty spammy but the sites are still ranking well? Should I be adopting reciprocal links and banner exchanges. I know these strategies worked years ago but surely not in 2012?

[DanielH]

From what I get out of Rand's comment above, there's no existing penalty in Google's algorithm for reciprocal linking. So it's a great idea, and yes jumping on board with the single goal of beating your competitors will get you fast results.

But those results might be short term if the reciprocal links you're involved with don't make sense logically. What happens if in a month the webspam team rolls out another Panda  focused on devaluing any reciprocal links that don't appear natural?

Would you rather watch your competitors get washed off the first page, while you climb? Or join them in the rankings loss (and more importantly, traffic loss)?

[SamCUK]

I totally understand that reciprocal links have their place and it is normal for business to link to each other. What concerns me is that my competitors are reciprocal linking with the ONLY intention of swapping links (I can't see any other value in the backlinks I've examined) and that it appears to be working! These guys are outranking me and I worry that if I don't play the game their way I'll fall behind even further!

[DanielH]

Exactly! Industry reciprocals are bound to happen. Why wouldn't you and your partners point links at each other?

It becomes a penalizable (new word?) problem when you over-do it or work it as a "strategy." Which worries me for you, Samuel, as you word the final question:

"Should I be adopting reciprocal links and banner exchanges. I know these strategies worked years ago but surely not in 2012?"

My answer would be, "No." You shouldn't be adopting a reciprocal link & banner exchange strategy. You should build a product or service that earns links and banners. And on your own site, you should feature businesses and websites that you respect and/or work with in your own banners and links. Point customers towards resources you're proud to recommend.

[MarieHaynes]

Great answer!

The Quality Guidelines state that excessive reciprocal linking is a no-no.  But it doesn't tell you what qualifies as excessive.  If you've got a few recips with some people in your industry that's a good thing!

[DanielH]

Rand's answer to this question surprised me when I read it in the Monthly Moz-Letter from July. Short version: reciprocal links not working is a widely spread myth that even I believed** until reading this:**

Rand(om) Question**** Want to ask Rand your inbound marketing question? Send it toErica, our newsletter wrangler, and you might see your answer here next month.

Walter Hicks asks, "If a website has a backlink to mine, is it bad to link back to their site? Does Google see that as a reciprocal link and basically nullify them?"

Hi Walter,

This is such a common misconception that we put it on our list of top SEO myths (at #6 in this WB Friday video). Linking to a site that links to you has no negative impacts, and you shouldn't worry about doing so. The only caveat is the intent; Google's webspam team cares a lot about how you acquire links and why sites/pages link to each other. If the only reason you're getting a link is because you've agreed to link to someone, you're in danger and Google is working to stop those links from having an impact. If there's a legitimate reason for both to exist, you're on safe ground.

Wish you luck!
Rand