I can't imagine how anyone would plan to move the needle of productivity, at least at a measurable and substantial increase, without citation distribution... at least applicable to locations that are in hyper competitive markets or large metro areas (or both).
Citation distribution, when done properly, also includes the URL that you use as the landing page URL in your GMB... so it's sort of like a combination of local and organic SEO, but both of which contribute directly to fueling your rankings and productivity in search (both local and organic).
I think there's two main reasons people are turned off by, or find no value in, citation distribution:
1) they use API platforms like Yext, Synup, or Moz Local. The truth with these "automated content production and automated distribution platforms" is that you end up with citations never make it, or make it properly, to the partner end point.. this is a problem that we've seen at a pretty large scale with Moz Local and their so called "aggregator" distribution service.
2) 20% or less of the citations that are actually distributed never get indexed by Google... a combination of the automated function but also a combination of people never taking the additional steps necessary to increase indexation.
There's other factors, of course, that influence local rankings and productivity... but I do not believe any of these "other" factors are sufficient without a properly executed citation distribution strategy.
And let me just lay out a few components that I see as a proper citation distribution strategy:
- manual citations -- so you don't lose them ever (again, if you cancel with API platforms, your citations typically disappear along with your cancellation)
- manual aggregator distribution
- high DA sites / global directories
- high DA sites that are niche to your business / industry
- locally / contextually / geographically targeted citations that are relevant to your proximity
- manual strategy for increasing your indexation rate of citations
I may be missing a couple (I'm typing through this fast...) but this is definitely a good start.