I don’t make a secret of the fact that I’m a *huge* fan of Linkedin. Here’s a quick rundown of why:
- It has a relatively wide Economic Moat, so any company should feel comfortable investing resources into building a talent pipeline on the platform. Typically, the danger in putting lots of time and money into building a talent solutions infrastructure on a social media platform is that the space is relatively new and unproven. Many firms are still figuring out how to monetize, and so there are concerns on if the ROIC will be there. With that said, Linkedin isn’t a fly by night dotcom of the 90s, nor is it a Groupon (a company built on a great idea but that has so far struggled to 1. Anyone not at least a little worried about the company’s price to earnings ratio isn’t being a savy investor, but the firm has shown continually solid growth. Further, while many companies can boast large, growing user bases and significant brand equity, when it comes specifically to professional networking no one else in the market really comes close to providing a comparable offering to LinkedIn. build a sustainable business model). It’s the real deal. 1
- I love what the company is doing to increase traffic. The site’s Influencers section is helping to position the organization as a major publishing platform. Depending on how successful this component of the offering ultimately is, it’s entirely conceivable that Linkedin becomes a repository of almost every professional’s resume on the planet (it already has 225+ million members in 200+ countries). If we can one day find everyone on Linkedin it will change recruiting as we know it.
- Linkedin understands how to identify talent. On need only mosey over to the company’s Talent Solutions blog to get a sense of how deeply they’ve dived into this space.
- Finally (and to be fair I can only make this statement anecdotally), I get the sense that executives are starting to migrate to the platform in greater numbers. In its infancy Linkedin was a place where earlier career and mid-level professionals created accounts (while those in the C-Suite didn’t see the value). As the platform has continued to grow (and social media channels have become more widely used across all segments of the 2.Dionne Kasian-Lew has a great article on the increasing importance of digital literacy here. population 2), however, its audience has expanded to include professionals at all levels. Large cap companies using the platform as a major component of its executive search may very well one day become the norm.
That’s my two cents for the day. Do you love Linkedin as much as I do?
As always, please share your thoughts in the comments section below.
If you have questions about something you’ve read here (or simply want to connect) you can reach me at any of the following addresses:
SomethingDifferentHR@gmail.com OR firstname.lastname@example.org