On top of that, the platform has added new tools like LinkedIn Live (a streaming service) and LinkedIn Learning (a library of educational resources).
During COVID-19, when our entire professional lives have migrated online and people are eager to learn everything they can to thrive during this sea-change, these features are helping to drive this increased engagement.
Why more engagement doesn’t equal more revenue for platforms
Increased social media usage creates more ad opportunities for the platform.
Social media platforms make money by selling advertisements. With more users and more sessions, there is more ‘real estate’ for those ads to live in. In other words, more eyes on LinkedIn means that LinkedIn can sell more ads to get in front of those eyes.
However, just as Facebook and other platforms have found, increased users and engagement doesn’t necessarily translate to increased revenue.
First off, users might not be engaging with the ads at the rates they did in the past. Second, many businesses are cutting their social media ad spend.
The fact that people are spending more time on LinkedIn during the quarantine doesn’t necessarily mean they are engaging with ads. In fact, socialbakers reported that social media users are engaging less with paid content than in the past.
In turn, businesses are cutting their spending, and this is cutting into platforms' revenue.