sadly i made the whole model in Polygon Mesh So its harder to magnitize...
The wings3d magnet work only on a polygon mesh... in the case of your model, you need to use large magnet ( the blue selection area ) and move only a little... magnet simply move vertice, so it don't increase the poly count...
If your modeling software is able to use nurbs or bezier surface ( http://en.wikipedia.org/wiki/B%C3%A9zier_surface ), it is a good idea to use them if you remake the model...
Best method is to make the general shape using nurbs/bezier/bolean... once done, convert to poly... result will be very similar to the Manshooter organic model, i mean enough high poly count... since your model have a relative high amount of flat surface, you can optimize the model for reduce the poly count... once done, work on the details using a the usual way ( extrude, add object, etc )...
Myself, i only use the "inflate" method... end up with a lot of isolated vertice, double edges, etc ... but i correct everything with meshlab... my way is not the only good way but it is the one that i know the best... you need to find the way that you feel the best for you... by example, i don't use it but for a lot of modeler, Zbrush is a very good software for sculpting a model... really like you are sculpting a piece of clay... more interesting, for spare poly, Zbrush can transfer some of the sculpted detail to a high quality normal map...
