Its true that a block heater heats the coolant. However, this results in the whole engine block becoming warm. As JackFish said, if you put your hand on the block, its hot. Some of the heat from the block is transferred to the oil in the oil pan; thus somewhat warming the oil and providing for an easier start than if the oil were real cold and therefore thick. In addition, heat from the block radiates off the block and somewhat warms the battery before dissipating to the outside of the engine compartment, and this of course also helps make a cold weather startup quicker and easier. If you also run synthetic oil, which stays thin even in -20F or colder weather, and have a battery that's in good condition and with more cold cranking amps than the stock battery, you'll get starts even at
-40F, so long as your coolant is mixed for a temp that low.