According to the Bloomberg article of August 9, LinkedIn Corp (NYSE:LNKD) is planning to become a $1 billion business out of its marketing solutions product by 2017 in parallel to its expansion plans detailed in an internal document which was acquired by Bloomberg news. This vision is pushed by the on-going takeover of Bizo Inc. which will cost $175 million.
LinkedIn Corp (NYSE:LNKD), the world’s largest online professional network, is planning to expand its current media and content marketing products in attempt to increase its revenues. LinkedIn Corp (NYSE:LNKD) sees a potential of $50 billion business out of its marketing solutions including services helping businesses to get in touch with their customers and establish sustainable relationships. Bloomberg reported that LinkedIn Corp (NYSE:LNKD)’s revenue form marketing solution business in the second quarter was $106 million which is 44% higher from the previous year.
LinkedIn Corp (NYSE:LNKD)’s long-term vision including a $1 billion business requires developing a simple procedure to get to the audiences, nurture prospects and acquire customers through an integrated marketing and sales platform.
In the news release published by LinkedIn Corp (NYSE:LNKD) on the acquisition, it reads Bizo Inc., based in San Francisco, CA, is a company offering “technology and products that enable measurable display and social advertising programs specifically focused on professional audience segments” and “Since 2008, the company has been helping brands meet their marketing objectives by getting the right message in front of the right audiences on the web”.
Therefore, LinkedIn Corp (NYSE:LNKD)’s plan with its acquisition of Bizo is quite specific. According to Bloomberg, Bizo’s unit that identifies and keeps track of the sales prospects, which seems to be a narrow solution, might be closed after necessary transactions are over, however, its products “that target business customers by paying to promote content they might be interested in, or by displaying advertising” remain to be interesting for LinkedIn Corp (NYSE:LNKD)which tries to develop tools to help businesses with their marketing.
According to the analysts’ revenue estimates for LinkedIn Corp (NYSE:LNKD) surveyed by Bloomberg, the company will make a $2.17 billion in revenue this year as compared to the $1.53 billion of last year’s revenue, which is an indication that the company is on the right path.
This article has been written by Suman Hossein and edited by Serkan Ünal.