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If u were to work so hard at your own site - wouldn't you make an equivalent or even more money?
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Very possibly if I could focus on a particular niche! Instead I find squidoo great for developing my 'skills' at web publishing, treating each page as a mini-site on the subject that catches my imagination at the time. Also it allows me to experiment with niches that I may develop into websites in future. Meanwhile I have no webhosting charges or do I have to search and pay for a relevant URL, and squidoo pages usually get googled and start getting traffic within days of publishing.
I'd never make a claim to be a full-time web publisher, but with my squidoo earnings this month it certainly is making it seem a viable full time income within the next 6 months. Whilst very little of this was actually directly from squidoo, most of it was from affiliate links, though the $'s from squidoo are always nice.
I'm also branching out slightly building a niche site which should be up and running within the next month or 2, when complete I'll probably make half a dozen related squidoo lenses to direct traffic to it, which will also hopefully get search engine spiders crawling through it to my site.
Training Wheels For Affiliates - is a good description of squidoo, though they do prefer to call it a 'social marketing' site. If you want traffic from squidoo for your website and good backlinks, create some good content and let it do it's business and only bother to update it every other month or so. Don't get caught up in chasing 'lensrank', whilst you may get community kudos for a high lensrank, unless it translates into visitors and commissions it does not matter. I class performance of my lenses by how much money they make me, and these are usually not those squidoo rank highly, often they do not relate at all to those that are visited more either.