While the blog format has had some ups and downs, there is one truth about it. It is here to stay. Blogging is going nowhere and it remains a potent force on the web. A force that can be used for online marketing, if you use it properly.
The reasons for this are numerous. First off, the search engines still love blogs. They get updated with new content frequently, and tend to accumulate backlinks quickly. Secondly, people love to follow blogs. They are "cults of personality". Lets face facts, people are sheep. They like to be led around and directed. As long as you do not let on that's what you're doing, you will have no problem.
When working with a blog; and trying to make money from it, the key to success is in your word. How you phrase things, how you tell people about things and most importantly how you sell them things. You must understand the psychology of selling without selling.
The real trick is in the soft sale. Getting traffic for your site is not a problem. The problem is making sure those people count. You need to master the art of selling something to someone, without them really knowing you're doing it.
A blog can be a powerful tool for making money online, but only if you use it properly. A blog is only as good as it's content and the people behind it. If you can master the techniques needed to make a blog succeed, it can provide a source of income for years.