Let just say that you have 1,000% chance to get somewhere if you start Arts & Crafts site instead of directory fastreplies
If you start a directory and promote it correctly it could become big easily. I would recommend going down the topsite direction as you get a link on their website/forum which adds to your traffic and pagerank.
Depends on how much are you ready to invest and how quick are you willing to learn I sincerely believe that directory business will survive but you have to think of it thoroughly: from layout and design to the logo and features and script...I'd suggest that if you do create the directory, add good sites to it first (by yourself!) before even claiming that the directory exists. Then try submitting it to other good directories...build links in different ways...(dont annouce your directory just as yet)...Let it "Stand" first before posting the link to your submit page. If you believe you're patient and if you're willing to see NO RETURNS whatsoever during the first 3-4 months (a toddler!), give it a try!
In today's competitive market setting up a new Web-Directory?, I think its difficult. If you got PR 4 to 5 then you can attract featured links, If you not got PR maintaining that directory should be no use..................
I've just started to run my own directory, and I've had a little success. If you're serious about it, then ensure you have the time to approve the links that they submit. I mean there are still people outsourcing link submissions etc, so directory submission is still very much alive. I'd say it can be a success if you choose to market it correctly and put the time and effort into the site that it requires.