Search engine optimizers spend a lot of time on link building instead of focussing on some other area like social media marketing and working towards increasing the value of the site by making it more user friendly; this is what Matt Cutts is saying. There are certain misconceptions in the seo industry that - working only on link building helps a site to rank higher up on the search results. But, this does not holds true in all the cases. A majority of search engine optimizers follow Google Webmasters guidelines and work towards creating a user friendly site instead of focussing only on link building.
Here is a new video from Matt Cutts that answers two questions-
What aspect of Google updates, Seo industry won't get?
Matt indicates that Seo industry still don't know the difference between data refresh and algorithmic change. A data refresh happens when the algorithm remains the same while on algorithm updates, the whole ranking algorithm gets changed.
Where are SEO's spending too much energy?
To this Matt indicated that SEO's are spending too much time on link building, instead of focussing more on creating a user friendly site that stands the long run.
Here are the important points to be considered from this video-
1- Do not concentrate merely on link building.
2- Create a website for the user and update it on a regular basis as per the recent technological trends.
3- Use social media marketing as a main strategy.
4- Create compelling content which the people will share.
5- Understand the difference between a data refresh and an algorithmic update.