Monday, September 10, 2012

Linkedin Corporation (NYSE:LNKD) Targeting Enterprises for Revenue Growth

Linkedin Corporation(NYSE:LNKD) chief executive Jeff Weiner told Business Insider in an interview at the Citi Technology Conference that the networking site was really targeting enterprises.

He said that the company planned to grow by getting more revenues rather than raising prices for existing customers. While professionals seeking career and networking opportunities are obviously the core base, its target is the enterprise segment, with a special emphasis on recruitments.

Here are the highlights of the interview according to Business Insider:

Its flagship product, Recruiter, sells for $8,000/year per seat (per recruiter using it). That price was raised from $6,000 per seat and he's not thinking of raising it again anytime soon (though he left the door open).

LinkedIn currently has 12,000 enterprise customers. Over 2 million companies have posted company profiles on LinkedIn. Profiles are LinkedIn mini-sites that allow users to follow companies. Today LinkedIn announced changes that should make it easier for companies to use this feature.

Some companies, like Citi and IBM, have over half a million followers of their company profiles on LinkedIn.

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Its biggest enterprise customers, Weiner says, "are spending on the order of millions of dollars" a year with LinkedIn. On the other end, small companies might spend $25 a month.

LinkedIn now has 175 million members, worldwide and is seeing two new signups every second. There are over 600 million white-collar workers worldwide, so it still has a way to grow.

It now has sales offices in 25 cities around the world, in countries like Singapore, its Asia-Pacific hub; Brazil; and India. It has multiple offices in Europe, its biggest region beyond the U.S.

Mobile is growing fast in terms of engagement, though not so much in direct revenues. Last year 10 percent of unique visitors came to the site from its mobile apps. This year it is 23 percent.

Although 62 percent of its membership is international and growing faster than the U.S. yet, only about a third of the company's revenue is coming from international sources. Ultimately Weiner wants to see those numbers match better.

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