Notice that the thumbnail didn't change, don't worry though, this is because at the Blend level we don't have this material set to really do anything. Remember this is the second material that is going to be blended. As it stands right now, we aren't blending anything.
Let's go back up to the Blend level now.
Now for the Mask, load into this channel a Gradient Ramp map. This is what it will look like (Fig.61).

Fig. 61
Now make these changes (Fig.62).

Fig. 62
Now, see where the middle slider is in the actual gradient image (Fig.63)?

Fig. 63
Double-click on this slider and change the colour to white.
Before you render away, change the Noise Size to 3. Here's your render (Fig.64).

Fig. 64
As you can see, we have blended 2 different materials together. It really is up to you on what you do with this. Here I have gone back into the 2nd material and set it's opacity to 0, making it invisible and here's what I get (Fig.65).

Fig. 65
Conclusion
I hope that this has helped you gain a little more insight into how the Material Editor works and how to set up basic lighting.
I will continue to write more tutorials on materials and lighting setups, but for now I'm done. Practice what you have learned; it really is the only way to know it.
Keep in mind, too, that these procedures are just for guidance; if you find a way or a method that gets better results then go with it. I never try to say that this is how things must be done, I just want to point you in the right direction and get you rolling.
See you next time!