LinkedIn has another quarter of ‘sign engagement‘although it also exceeded $ 10 billion in annual revenue for the first time, according to the latest data from parent company Microsoft.
As you can see here, LinkedIn is still seeing the number of active sessions and the number of engagement in the app increase, while the revenue performance increases in line with the activity:
As per Microsoft::
“LinkedIn revenue increased by 46% (by 42% in constant currency), driven by the growth of Marketing Solutions by 97% (by 91% in constant currency)”
As more people turn to the platform as the U.S. economy wants to get back on track, with the effects of the vaccine opening up more areas, more brands are seen wanting to connect with decision makers via LinkedIn’s advertising tools, which improve the performance of Marketing Solutions increased, while also benefiting from the shift to online opportunities instead of physical encounters.
LinkedIn has also made a more active effort to connect with relevant brands and showcase its reach, which is clearly bearing fruit, based on these numbers.
In addition, LinkedIn also surpassed another important milestone, with platform revenue now exceeding $ 10 billion for the first time in the financial year, by 27%.
As per Microsoft CEO Satya Nadella:
“Our results show that as we perform well and meet customers’ needs in large and growing markets in different ways, we grow, as we saw in our commercial cloud – and in new franchises we have built, including gaming, security, and LinkedIn, which has surpassed $ 10 billion in annual revenue annually over the past three years. ”
Overall, Microsoft’s revenue for the quarter was up 21% year-on-year to $ 46.2 billion, while Microsoft’s total financial year revenue was $ 168.1 billion, up 18%, reflecting the continued strength of the technology giant emphasizes.
As more businesses become more dependent on digital connectivity, especially during the pandemic, all the major technology players have benefited, and Microsoft’s various divisions are delivering strong results, and LinkedIn is now becoming a major contributor to growth.
Which was not always the case. Back in 2016, when Microsoft LinkedIn acquired $ 26.2 billion, the professional social network was on track to generate $ 3.7 billion for full year. At that time, LinkedIn had about 430 million members, which has now increased to 774 million, while it covers ‘record levels’ almost every quarter since the merger of Microsoft.
It has helped increase overall ad exposure, while the platform has also developed a range of new advertising tools, particularly in terms of video content (according to LinkedIn users are 20x more likely to share a video on the platform than any other type of message), which increases the branding opportunities to use the platform to connect with relevant audiences.
Ideally, of course, LinkedIn would provide more specific data on active user accounts, as ‘members’ are not representative of the number of people who log in and browse the app each day. However, the available data does indicate that LinkedIn is on track to improve user engagement and promote membership, which may be worth considering in your process.
You can visit the full performance update of Q3 2021 from LinkedIn here.