If you want to generate traffic
If you want to increase link popularity
If you want to get into top rankings
If you want to increase more visitors
then..
SEO is necessary!
Social bookmarking (delicious, digg, reddit, mixx, stumbleupon, slashdot) and social networking (facebook, multiply, myspace, orkut, twitter) are good source of traffic.
Creating quality of inbound links helps generate traffic. In order to create links, engaging on the following helps:
link wheel
blog commenting
forum posting
article and directory submission
social bookmarking and networking
hub page
press release
classified ads
On-Page Optimization is done within your site. It deals with the proper use of title tags, meta tags, alt attributes, keywords, sitemap, heading tags, description and robots.txt.
Off-Page Optimization is done outside your site. It deals with building links. Social bookmarking, blog commenting...
Just make sure to get back links from relevant and DoFollow sites. Google gives more value on the quality compared to those irrelevant sites that you are getting. Then quantity after quality!
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