Category Archives: LinkedIn ~ Patrick Nicholson

Where LinkedIn’s Revenue Comes From?

LinkedIn is “a place where people could build and engage with their professional networks, access shared knowledge and insights, as well as discover new business opportunities”.(6) As Linked in is a professional social networking website, generating revenue is high on it’s list of priorities. However LinkedIn is a free service, which poses the question, how does it make money? LinkedIn, being the intuitive and highly adaptable service that it is has figured a way to combine different revenue gaining ideas.


LinkedIn generates money in three ways:

  1. (Talent Solutions) Selling recruitment services to employers
  2. (Marketing Solutions) Selling premium advertising
  3. (Premium Accounts) Selling premium subscriptions to both employers and users

Ref – (1)


“Talent solutions” is basically the way in which recruiters and businesses have to the ability to search for and contact potential employees that have profiles on the network. This is the way in which the majority of LinkedIn’s revenue is generated. It can be an extremely powerful tool for both the employer and the employee. “Talent Solutions brought in $524 million in 2012, and accounts for 54% of the company’s $972.3 million in revenue for the year.” (3)


LinkedIn’s Marketing Solutions scheme allows them to generate a substantial amount of revenue without forcing the company to rely on advertisements. Marketing solutions comes second to Talent solutions in terms off gross income.  “Revenue from Marketing Solutions was $258 million in 2012, and accounted for roughly 26% of LinkedIn’s total revenue.” (3)


Premium subscriptions to LinkedIn is the third way that it can generate an income. This accounts for 20% of the revenue. These Premium subscriptions differ from standard subscriptions giving the user an enhanced use of the product. With this the user can:

  • Contact anyone on LinkedIn – response guaranteed*
  • Access expanded profiles of people outside of your network
  • See more profiles with every search
  • Zero in on leads with advanced search filters
  • Get the full list of Who’s Viewed Your Profile
  • Manage your contacts and profiles
  • Get full name visibility for all 3rd degree connections**

And a lot more



Figure 1: This is a graph of the revenue generated by LinkedIn and sourced from – (5)

The above graph also shows the growth of the breakdown of LinkedIn’s revenue generated. So now we can see the three pronged ploy that LinkedIn use to generate an income to enable growth and sustainability. As LinkedIn won’t be seen as attractive to the average Joe Blogs, it has the opposite effect on the high earning worker. As this is the case, LinkedIn’S marketing schemes and premium memberships tend to work as the user is intrigued with the service.

In terms of growth, LinkedIn’s users and sales may not be a colossal as Facebook or Twitters, however it is proportional to it’s competing social networks.


Figure 2: This is a graph showing the sales and user growth of LinkedIn comparing with Facebook and Twitter. Sourced from – (2)

It’s true that LinkedIn’s Growth rate and income has slowed considerably, however experts maintain that the company and service it provides is sustainable and will continue to survive in today’s social and professional networking world.

 – Patrick Nicholson 11346441












LinkedIn: Connecting the world’s professionals to make them more productive and successful


What do people find when they search your name in one of the everyday search engines such as Google? Or perhaps a more accurate question is, what do you want people to find when they search your name in Google? Through LinkedIn, people are given power to control what comes up first in Google search and indeed other search engines when their name is put into the search bar.

What is LinkedIn? I hear the question being asked. Linked in is one of the older social networks that in most cases operate on a more professional level than its competitors such as Facebook, Myspace, Bebo etc. Since it was established in 2003, Linked in has grown to a massive size.

LinkedIn operates the world’s largest professional network on the Internet with more than 277 million members in over 200 countries and territories.”(5)

LinkedIn is also available in 20 different languages at present. These include, “English, Czech, Danish, Dutch, French, German, Indonesian, Italian, Japanese, Korean, Malay, Norwegian, Polish, Portuguese, Romanian, Russian, Spanish, Swedish, Tagalog, Thai and Turkish.”(5).

LinkedIn is both a way to control the information that can be found about an individual or business, and an information system in its own right. It allows people to build up a professional personal profile where they can advertise themselves along with their skill sets and previous employed and qualifications. People build up “Connections” through using LinkedIn in a similar fashion that a Facebook user would build up “Friends”. This creates a web or network of people that they directly know, or that their connections know.  It allows Employers to post/advertise vacancies and job openings and on the opposite hand, allows people to search for possible employment. Job seekers can review the profile of hiring managers and discover which of their existing contacts can introduce them.” (1).

This is what the average LinkedIn profile looks like. From the way that it is laid out, you can clearly see current and past employment along with an education history. The Persons connections can also be clearly seen. At the top of the profile you can easily get in contact with the person who owns the profile. This is convenient for employers and employees respectively.


Linked in continues to grow and evolve with the every advancement in modern technology, adapting and bettering itself. It is available on multiple platforms and has integrated itself into the every day lives of millions of people on a professional level. There is simply no other tool that combines the social aspect of an information system with a professional nature to such a degree. Although it is necessary to have a LinkedIn profile, your chances of employment and connecting with other people with shared interests are certainly better with one.

One of LinkedIn’s mottoes sums it up pretty effectively.

Connect. Find. Be Found. Power your Career. Learn and Share. (8)










Patrick Nicholson 11346441