SMO stands for social media optimization, its the method of increasing no of visitors through social medias.
you can create a strong your profile on facebook, twitter, linkedin, myspace and other social bookmarking sites then you can interact with local people by adding them in your network. you can promote your business as well as spread some information in your niche.

It's a social media activity focuses on attracting unique visitors to website content to gain customers and generate sales in the long run. It's optimizing website in the social media world. Just search for more tips on this on how to work on this successfully.

We can say that SMO is one part of SEO. As we do seo with a view to getting our site more popular and to increasing traffic and reputation for our site. SMO help to drive more traffic to our site and it provide quality traffic to our site. And as due to much traffic and we have quality information then our site will be shown in top results and our serp rank improved. So this way SMO helps lot for the site.

I am getting 250 unique views a day from Twitter, it's my main source of traffic. Tons of followers, tons of different tweets, all through the day. I don't know of any other way to get so much traffic, except writing specific title blog posts constantly. Even if I was first on the first page for my main keyword, I would not get as much traffic. I'm still a long way from working out how to use Facebook to get free traffic. Anyone know?

Ram,

SMO is basically Social Media Optimization which one of the many methods of optimization of a website done with the direct motive of attracting unique visitors and hence getting traffic towards a site/blog. Blogging, social media marketing and forum commenting (can be called) are the examples of SMO.
In one sentence - SMO is any kind of social activity/activities done with the straight motive of getting traffic towards a site.

smo or social media optimization is a method to attract the visitors to your site through the social media through social media sites like facebook, twitter etc

Social Media Optimization is all about optimizing your website for social media...
You can do this by placing different social media widgets on your site.
Widgets like Facebook fanbox, Facebook like, digg it, tweet, +1 button etc shows the popularity of your web page over social media sites.

All these things are counted as signals of your social media reputation and they play an important role in site's reputation.