In a recent campaign by Audi titled The Art of the Heist which involve placing advertisement on blogs, it has been proven that the amount of traffic from consumer generated media outperformed others despite its tiny share of media budget.

Just one-half of one percent of the media buy budget, Clark said, was spent on BlogAds — a firm run by panel moderator Henry Copeland, which sells ad space on some of the highest-trafficked blogs. Those ads, Clark said, ended up accounting for 29 percent of the traffic sent to the campaign’s landing page.

Another panelist, John Hiler — CEO of Xanga — cited an advergame campaign run on his site. Xanga users were encouraged to host the game on their Xanga blogs–which garnered 250,000 posts containing the game, and 3 million interactions with the game.

Most advertisers are not familiar or simply reluctant to buy ads on blogs, partly because it’s still new and there is not much results to be learned yet. Another part is because of its nature of allowing conversation to go on freely.

Your business is to take part on the conversation and respond to what people say about you, or do that after it’s too late. There’s no choice, you just can’t ignore the conversation because if will affect your business.

Blogs have relatively low reach compared to mass media outlets nowaday, but surely that is going to change in the future.

Link: MediaPost Publications.