https://uxdesign.cc/how-linkedin-passed-2bn-in-sub...
Created on: June 23, 2025
Created on: June 23, 2025
LinkedIn just crossed **US 1.7 billion the company disclosed for FY-2023. techcrunch.com reuters.com
What’s remarkable is that LinkedIn reached this milestone as a 22-year-old product that many considered “mature.” Rosie Hoggmascall’s UX Collective piece (the link you shared) looks at how they pulled it off, why subscriptions matter so much to the company, and where there’s still untapped upside. Below is a concise, paywall-free rundown.
Metric | FY-2023 | TTM Q2-FY-2025 (latest) | Δ |
---|---|---|---|
Premium-subscription revenue | $1.7 B | $2.0 B+ | ▲ ~18 % YoY |
% of total LinkedIn revenue | ≈12 % | ≈13–14 % | ▲ |
Premium subscriber base | +25 % YoY | “High-teens” % YoY | ▲ |
Premium is now LinkedIn’s fastest-growing line of business and gives Microsoft a recurring-revenue engine that’s largely insulated from ad-market swings. reuters.com
Move | What changed | Why it worked |
---|---|---|
Paid feature gating 2.0 | Made formerly “nice-to-have” free tools—Who Viewed My Profile depth, unlimited people search, advanced filters—trial-only, then paywalled. | Converts power users who have already formed the habit. |
AI-assisted career tools | Rolled out résumé rewrite, profile optimization, job-match explanations, and one-click “cold-outreach” message drafts—exclusive to Premium tiers. | Tangible, time-saving features justify the $39–74/month price more clearly than vague “insights.” |
Bundled value | Integrated LinkedIn Learning certificates, recruiter “express interest” boosts, and Sales Navigator credits into top tiers. | Raises ARPU while lowering perceived cost (one subscription vs. three). |
Growth loops in the feed | Subtle nudge copy (“Upgrade to contact Ahmed”) and “freemium friction” surfaces across the feed, job posts, and profile views. | Turns everyday browsing into continuous upgrade prompts without disruptive pop-ups. |
Missed potential (from the article) | Opportunity snapshot |
---|---|
Complex tier matrix confuses first-time buyers. | Simplify to a “Core” (career) and “Pro” (business) bundle, reducing decision friction. |
Feed relevance & spam still push some power users away. | Curate Premium-only ad-free or high-signal feed to defend engagement. |
Learning-to-career loop is disjointed (course discovery isn’t linked to live job postings). | Auto-recommend learning paths that unlock specific roles, then highlight recruiters hiring for them. |
Under-monetized emerging markets – current prices match US willingness-to-pay. | Local-price or “Lite” tiers (e.g., $4/month in India) to expand the funnel without cannibalizing core ARPU. |
LinkedIn’s $2 B subscription milestone is less about flashy new AI widgets and more about thoughtful UX and monetisation choreography—gating the right habits, bundling adjacent value, and letting AI move users toward clear professional wins. Yet, as Hoggmascall notes, there’s plenty of low-hanging fruit (pricing clarity, feed quality, localized plans) that could keep Premium on a double-digit growth clip for the next few years.