Business Networks and the Value of Linkedin

Linked is valued as $ 1 billion. See Om Malik‘s artice (or Techchrunch article). I agree with a valuation methodology based on users (even though its not the best), and don’t put much emphasis on per-subscriber revenue based valuation. However, the detailed analysis should of course look at both.

For me Linkedins’ value can be even much more than 1 billion. Where they lack is a strong marketing campaign where Premium Membership is transformed into a status symbol. Also the heavy users (500+ people) should be granted free access to some kind of a status and free extra services (with their earned status). There should be a schema similar to Credit Card business.

I am sure Linkedin has plans in these areas. I think these things are really hard to implement but doable in right hands. Hopefully, they will reach the right talent to make Linkedin the major player on online networks.

One Reply to “Business Networks and the Value of Linkedin”

  1. Yeap, one of the best online biz networking site that bring the people together to work on a common goal. I definitely think LinkedIn grew faster, now it faces challenges and will evolve over time. Facebook does not look so exciting -for me:) But both are expected to go public in the next 2-yrs if they don’t sell to a larger company before then.

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