It's basically a shorthand. So instead of having to write:
this.props.dispatch(toggleTodo(id));
You would use mapDispatchToProps as shown in your example code, and then elsewhere write:
this.props.onTodoClick(id);
or more likely in this case, you'd have that as the event handler:
<MyComponent onClick={this.props.onTodoClick} />
There's a helpful video by Dan Abramov on this here: https://egghead.io/lessons/javascript-redux-generating-containers-with-connect-from-react-redux-visibletodolist