The latest round of earnings reports saw one important trend emerge – companies such as Microsoft that are still struggling in getting their mobile strategy right, are feeling the pressure in terms of ensuring growth in a tough marketplace. Facebook’s results on the other hand, that surpassed expectations, was largely on the back of a sound, long term mobile strategy. One company that has been quick to learn the lesson here is LinkedIn.
Completing the loop on what it began last month, LinkedIn has now enabled its users to search, save and apply for jobs from their handheld devices.
Like Facebook, LinkedIn also beat market expectations in its latest earnings report. In the company’s three lines of businesses, Recruiting services generated USD 205.1 million, up 69 per cent from the year-ago period and represented 56 per cent of total revenue, up from 53 per cent a year ago. Premium subscriptions generated USD 73.0 million in the quarter, up 68 per cent from the year-ago period and represented 20 per cent of total revenue, up from 19 per cent a year ago.
Advertising generated USD 85.6 million, up 36 per cent from the year-ago period and represented 24 per cent of total revenue, down from 28 per cent a year ago. And that is one area that would be of concern to the company that has been working hard to establish itself as a content platform to encourage advertisers.
At present, over 30 percent of members who view jobs on LinkedIn come from mobile. Though that is a significant number, LinkedIn has not milked it at all for any advertising revenues.
To change this, LinkedIn is pushing mobile as the device of engagement for its users. Last month, the company launched the ability to search jobs on LinkedIn from mobile and from its ‘Jobs you may be interested in’. A company official explained that the experience of the last month was that LinkedIn users, who never viewed jobs on the desktop, were viewing and saving jobs on their mobile devices. On August 5, 2013, LinkedIn took a significant step to augment its mobile strategy and made it possible for LinkedIn members to directly apply for jobs that interest them, using their iOS or Android handsets. Users can use LinkedIn profiles to apply for the job without the need to attach resumes.
The ability to apply for jobs on mobile rolled out globally to LinkedIn’s English speaking members on August 5, 2013. However to truly take advantage of mobile as a platform, LinkedIn will also have to consider including featured phones in its offer as well as feature phones still dominate emerging markets, which at present form only 38 per cent of LinkedIn revenues, hence leaving scope for growth. Industry sources tell DMA that LinkedIn would be making more announcements for its mobile offer this year.