RSS is a useful interface, but: "Do most people just want direct alerts?" Yes, of course. RSS is beloved but niche. Depends who your target audience is. I personally would want an email, because that's how I get alerts about other things. RSS to me is for long form reading, not notifications I must notice. The answer to any product question like this totally depends on your audience and their normal routines.
It's niche because some companies decided so.
you used to have native RSS support in browsers, and latest articles automatically in your bookmarks bar.