In a significant announcement, LinkedIn recently announced that they’ll be making sponsored updates available to Company pages. They’ve beta tested sponsored updates with a handful of test companies who’ve been utilizing this form of ad on the LinkedIn network.

What Are Sponsored Updates?

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The sponsored updates will work very similarly to sponsored updates on Facebook. Company pages will be the ones driving the ads, and they will appear right in LinkedIn users newsfeeds. This will place ads front and center in LinkedIn and will mark the most aggressive ad monetization strategy that the professional networking giant has attempted, to date.

This is a rather significant developments since LinkedIn is by far the largest professional networking sites on the Internet. With over 200 million users, the majority of which have qualified their job titles in place of employment, make for a very targeted audience with these types of ads.

Not only will this be a great source of revenue for LinkedIn, but they will also now compete with the ad dollars that are being used on other social networks such as Twitter and Facebook, which don’t have nearly as targeted user base as LinkedIn. This is particularly true when looking at companies that are looking for B2B advertising. The general feeling is that advertisers will jump all over the opportunity to at least test the LinkedIn sponsored updates since they’ll be so laser-targeted, unlike a sponsored tweet on Twitter.

 

Why LinkedIn is Great for Advertising

LinkedIn has proven their mettle as a powerhouse social network for recruiting, building business relationships and business networking. In this sense, they are ahead of their competing social networks, simply because LinkedIn is much more than a general social network, rather it is still very niche targeting in targeting business professionals.

LinkedIn’s advertising opportunities to this point have been extremely targeted and useful. However, ad placement has not been Ideal, which leads us to this latest development.

The sponsored updates will place these advertisements into targeted users newsfeeds. This will happen both on the desktop version of LinkedIn as well as mobile version of LinkedIn. And it will be targeted based on user. While users will have the ability to hide these posts, there will be no opting out, regardless of free or premium status LinkedIn memberships.