LinkedIn, the multinational on-line career site headed by previous Yahoo! Exec Jeff Weiner rakes in earning far beyond predictions and is immediately taking advantage of the company’s stellar performance.
LinkedIn currently has more than 200 million registered users, 200+ countries. Their latest earning report has just come out and it shows just how well LinkedIn is actually doing.
The company saw more than an 80% growth over 2012 and brought in nearly $304M. Expectations by analyst were set at $278M. LinkedIn provided the breakdown on their revenue generating services as follows:
* Talent Solutions (for corporate recruiters): $161M (up 90%)
* Marketing Solutions (advertising & employment opportunities): $83.2M (up 68%)
* Premium Subscribers (connecting headhunters & job opportunists): $59.4M (up 79%)
CEO Jeff Weiner attributes the astounding performances to Project Inversion. A project Jeff put in motion to that tweaked LinkedIn’s backoffice site infrastructure to affect the rate at which changes could be made to the LinkedIn site. Changes that have enabled LinkedIn to quickly modify their site based on newly implemented network data gathering techniques.
The success of Project Inversion has led to increased performace and usability of LinkedIn’s Hiring & Marketing Solutions, which surely then impacted the attractiveness and fondness of their site by users that also then chose to become Premium Subscribers. As a result, all 3 areas of LinkedIn, inclusive of their Hiring platform, Marketing platform, and Premium Subscriptions platform, all saw growth.
LinkedIn seems prepared to take utmost advantage of their current performance streak.
LinkedIn CFO Steve Sordello believe the earnings streak will continue and also believes that it’s time for LinkedIn to increase their prices. Steve has told analysts that North American and European customers using the Hiring solutions platform should expect to see a “mid-single-digit increase” price increase in Q2 2013, but should not expect an immediate fee requirement imposed. Only as such recruiters that use the Hiring solutions system renew their contracts with LinkedIn.