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Lady Gaga generates 25 percent of Vevo's traffic

The singer's popularity is helping to drive millions of fans to start-up music video site.

NEW YORK--It's hard to measure just how big a cultural force singer Lady Gaga has become, but start-up music-video site Vevo took a stab at it on Wednesday.

Fittingly, Lady Gaga performed at the Vevo launch party in New York and the audience gave her a standing ovation. Vevo's managers are likely applauding the singer's ability to draw fans to the site. Greg Sandoval/CNET

Ted Mico, executive vice president of digital for Interscope/Geffen, a music label owned by Universal Music Group, said at the Digital Music East conference that Lady Gaga's videos account for a quarter of Vevo's traffic.

Vevo was created by three of the largest record companies--Universal Music, Sony Music Entertainment, and EMI Music. Warner Music Group is in negotiations to join as well.

The service was the label partners' response to the huge following that music videos attracted at YouTube. YouTube owner Google helped build Vevo. In addition, each time someone searches for a Lada Gaga clip on YouTube, they are sent to a Vevo Web page.

According to ComScore, Vevo attracted 35 million unique visitors last month. Thomas Hesse, the chief of Sony Music's digital operations, said that the site sees billions of page views but that, two months after its debut, the service is not yet profitable.

The record companies are still "building a business," Hesse said, and it sounds like Lady Gaga is certainly doing her part to help get the start-up off the ground.