Ryan Roslansky, CEO of Microsoft’s LinkedIn subsidiary, spoke at a LinkedIn event in San Francisco on Sept. 22, 2016. Influencer marketing has grown significantly on TikTok and Instagram, offering lucrative opportunities for popular creators to promote brands. Now, LinkedIn is entering the arena.
LinkedIn now allows advertisers to pay to boost posts from users, including those with large followings. The product, called Thought Leader ads, was initially limited but has expanded this year in a bid to revitalize LinkedIn’s revenue growth, which has been stagnant in single digits since 2022. With over 1 billion members as of November, LinkedIn aims to leverage its user base for expansion.
The phenomenon of influencer marketing has mostly been seen in consumer apps, with Instagram and TikTok dominating social media marketing spending. LinkedIn, which launched a year prior to Facebook, is projected to capture only 4% of the market share, equivalent to $4.5 billion in marketing revenue. Despite its slow growth in market share, LinkedIn is optimistic about the potential of Thought Leader ads.
Thought Leader ads were introduced last year, allowing brands to amplify posts from their own employees. Mastercard, for instance, successfully promoted posts from its leaders in Singapore, generating significant engagement. With the expansion of Thought Leader ads, anyone can now boost their posts with the author’s permission.
LinkedIn’s strong first-party data makes it an effective platform for advertisers targeting specific audiences. The platform charges more for advertising due to its affluent user base, but brands are willing to invest in ads that yield business leads. LinkedIn aims to create a more engaging advertising format with Thought Leader ads, following successful implementations by companies like ClickUp.
LinkedIn is focusing on humanizing brands with Thought Leader ads, leveraging the influence of creators to drive engagement. The platform is expected to continue growing its marketing revenue, despite slower growth compared to Instagram and TikTok. Advertisers will soon have access to more data on ad performance, enhancing their ability to create effective ad campaigns on LinkedIn.
With potential uncertainty surrounding TikTok’s future, LinkedIn sees an opportunity to expand its market share and attract more advertisers. The platform’s emphasis on Thought Leader ads signals a shift towards more engaging and personalized advertising experiences. Agencies are closely monitoring developments in the social media landscape to capitalize on emerging opportunities.
Influencer marketing has become popular on platforms like TikTok and Instagram, allowing creators to make money by promoting brands. LinkedIn is now looking to enter this market by introducing Thought Leader ads, which allow users to pay to amplify posts from influencers. With over 1 billion members, LinkedIn is hoping to boost revenue growth by tapping into the influencer marketing trend. The platform’s strong first-party data and business-focused advertising options make it a valuable space for brands looking to target specific audiences. Thought Leader ads have shown higher engagement rates than regular ads, and LinkedIn is looking to expand this offering to involve more influencers. The platform is also planning to make more data available to advertisers, allowing them to track the success of their campaigns. LinkedIn’s entry into the influencer marketing space may provide an opportunity for brands looking to reach a more professional audience, especially as competitor TikTok faces potential challenges with a ban in the U.S.
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