Directories are an easy affordable way to get new one way links to your website. Many of them charge a fee to get listed, which can be worthwhile (especially if they are one-time fees). However, there are many free directories you can list your site in as well.
Some directories use redirects, which means that they do not pass on Page Rank® to your page. The most popular directories are Yahoo® and the DMOZ. For commercial websites, Yahoo® requires you to pay $299/yr to be listed in their directory. Considering that links from the Yahoo® directory are not Search Engine friendly (they are 302 redirects), I believe your money be better spent elsewhere.
The DMOZ (http://dmoz.org/)
The DMOZ is one of the best directories to get your site listed in. You should wait until your website is complete (no broken links, no coming soon/under construction pages). Submit your site once and then after a month go to the DMOZ forum to check on it’s submission status. After that be patient, it can take up to 6 months (sometimes longer) for your website to get listed. Getting listed in the DMOZ appears to be very hit or miss. In around 1999, I read on article on submitting your website to the DMOZ, that suggested you sign up as an editor of an unrelated category and then over time switch to become an editor of a category that was related to one of your websites. This way you could list your own websites. Needless to say I found that highly unethical. It is possible that there are category editors who have done this, in which case if you have a really unique website that does not get listed after 6 months, then you might want to try submitting your website to the next best category or ask on the DMOZ forum why your website wasn’t listed. Otherwise, don’t sweat it! The DMOZ won’t make or break your business. Although it certainly helps your Seach Engine Rankings to get listed with them.
Some directories require a reciprocal link back to them. It may be worth while doing this with directories that have the same theme as your website; however, you should focus on getting links from directories that provide one way links. Don’t worry too much about Page Rank®, when submitting to directories. The important thing is getting listed in as many directories as you can. In general, the more links to your website with relevant anchor text, the better.
For the most part I favor free directory submission over paid directories. However, some paid directories can be worth it, especially high profile/popular ones with high Page Rank® that have very few outbound links on the page your website will appear.
Here is a list of websites that contain extensive lists of directories that you can submit your site to:
After submitting to as many free directories as you can, you could start looking at paid directories if your budget allows it. Be sure if you get a paid listing that it is not a 302 re-direct.
Be sure to read the terms of use and/or submission guidelines for each directory you submit your site to. Following the submission guidelines gives you a much better chance of getting listed.
Your time might better be served by focusing on creating excellent content. Keep this in mind and don’t go overboard trying to find tons and tons of directories to submit to. For newbies, submitting to directories is a good way to start getting some incoming links to your site. However, submitting to directories should be one small piece of your complete online promotion plans.