What is the target market for LinkedIn?

LinkedIn (NYSE:LNKD), one of the world’s largest professional networks with more than 400 million members worldwide, has had an enormous impact on business in recent decades. It was founded in 2003 as a way for professionals to connect with each other through their work-related interests. Since then, its popularity has grown significantly, allowing users from around the globe to network with colleagues and prospective clients alike.

It's not just a place where you go to look up job opportunities or advertise your services. In fact, there are many ways that LinkedIn makes itself useful for people looking to grow their business. For example, when searching for new hires, recruiters often use LinkedIn to find potential candidates. They also rely on this tool while conducting research into industry leaders and influencers. Plus, if a company wants to know what kind of connections they have within the workplace, it will be able to see which employees are influential and popular.

This means that companies using LinkedIn should always keep in mind the needs of both internal teams and external audiences. A well-targeted campaign could increase engagement levels, boost revenue, improve reputation, and even help build relationships between departments and outside agencies. However, if you don't understand exactly who you're trying to reach, you may end up wasting money without getting any results. That's why we've put together some helpful information below. 

We'll start off by explaining what is required before you begin building your LinkedIn ad campaigns -- including what type of data is needed and how much is necessary to make sure your ads are effective. Then, we'll explore different types of LinkedIn targeting options available so you can decide which ones best fit your business' goals. We'll finish off by discussing the future trends in targeted advertising and how those might affect your decision making process moving forward.

What is a good target audience size for LinkedIn?

When thinking about the ideal number of individuals to include in your target audience, consider the following factors:

Your budget. The higher you set your maximum spend per day, the less likely it is that you'll waste money by running ineffective ads. You can easily track all of your spending via AdWords, Google Ads, Facebook Advertising, etc., but you shouldn't try to stretch yourself too thin. If you're unsure whether or not you're reaching your goal, it would probably be better to lower your daily limit instead.

The amount of time you want to invest every week. This depends entirely on the nature of your business. Some companies focus heavily on sales, whereas others only care about brand awareness. Regardless of your exact situation, it's important to plan ahead because you can't expect to get immediate returns. Remember that you must allocate enough time to properly test your strategy to ensure it delivers optimal results.

Your desired return rate. This refers to the percentage of leads generated by your ads. For instance, if you'd like to generate 10% qualified leads after three months, you'll need to run at least 3 ads every month. Of course, depending on your overall business model, you may be able to drive more traffic to your website and convert visitors directly. But by setting these numbers first, you won't accidentally miss out on valuable leads due to poor performance.

Who is the target audience for LinkedIn?

Since its inception, LinkedIn has evolved dramatically. Its user base now includes everyone from CEOs to students, entrepreneurs to retirees, bloggers to politicians, investors to artists, and everything else in between. There's no denying that LinkedIn is used across multiple industries -- and that's precisely why marketers love it!

However, regardless of your specific niche, there are certain characteristics that define a person's profile. These traits are known as "demographics," meaning that they describe something fundamental about someone's background. For example, let's say you wanted to create an ad that attracts young men aged 25 to 35. By understanding the demographic makeup of LinkedIn users, you can effectively tailor your advertisements to attract them specifically. 

Below are several examples of common LinkedIn demographics:

Age. How old is your target audience? Are they millennials, Gen Z, Generation X, baby boomers, or older adults? Knowing this will allow you to adjust your messaging accordingly.

Gender. Do your customers prefer males or females? Understanding this will help you develop appealing visuals and copywriting that appeals to either group.

Location. Where do your customers live? Is it possible to narrow down your audience based on geographic location?

Education level. What education level does your customer fall under? From bachelor degrees to master's degrees, LinkedIn provides plenty of information about educational backgrounds.

In addition, LinkedIn offers extensive demographic analysis tools that you can utilize to learn more about your prospects. Just click on the link above to access these features.

How do I find my audience size on LinkedIn?

If you're already familiar with LinkedIn, finding your audience size isn't difficult. Simply log into your account and click on People & Companies in the left sidebar. Here, you'll be presented with a long page containing links to individual profiles and groups. Clicking on Group Memberships reveals additional details about the membership structure of various organizations. Simply scroll down until you find the section titled Company Size. To determine the total number of people associated with your organization, simply add up all of the names listed here.

What size do LinkedIn ads need to be?

Now that you know roughly how many people belong to your primary audience, you can move onto determining the appropriate size of your advertisement. Keep in mind that most advertisers choose to split their budgets evenly among all keywords. So, if you were planning to pay $5/day for 100 impressions, you wouldn't necessarily be expected to shell out $50/day for 500 impressions. Instead, you'd divide your budget equally between five keywords.

There are two main approaches to deciding how big you should make your LinkedIn adverts. One method involves estimating your conversion rates, which essentially determines how successful your ad campaigns are. Another approach focuses on the cost-per-click (CPC), which measures how much you're paying for clicks.

Cost per impression (CPI): Although CPI is less accurate than CPC, it can still provide an estimate of ROI. When calculating your CPI, multiply the estimated monthly budget by the average number of times your ads appear on the site. Doing so gives you an idea of how many impressions you receive every month. Finally, take half of this figure and divide it by 12 to arrive at your monthly CPM.

Cost per click (CPC): Similar to CPI, CPC shows you how much you're spending on clicks. Unlike CPI, however, CPC doesn't give you a sense of how efficient your ad is. Therefore, it's generally considered inferior to CPI. CPC tells you the price you paid for each click, so you can calculate how much you spent per lead.

For comparison purposes, here are a few sample costs according to the two methods mentioned above:

CPI = $10 / 1000 impressions

CPC = $4 / 1,000 clicks

As you can see, CPI tends to offer a more realistic picture of your actual ROI. However, CPC is easier to measure since you only ever pay once for every thousand clicks. As a result, it's usually recommended that you stick with CPC unless you have very little money to spend. Otherwise, you risk overestimating your ROI.

Both CPI and CPC offer a range of values, giving you insight into how much you should bid on each keyword. Typically, you'll want to aim for the middle ground. While bidding low can cause you to lose money, bidding high can prevent you from attracting relevant leads.

Finally, remember that it takes time for your ads to perform, so don't expect instant success right away. Give your ad campaigns some time to mature, and keep testing to maximize your chances of generating positive ROI.

Future trends in targeted advertising

Although social media continues to dominate online marketing, traditional platforms such as television and radio are slowly adapting to changing consumer habits. Some experts predict that digital advertising will soon overtake TV in terms of viewership. However, this trend hasn't yet taken hold on LinkedIn, despite the massive growth it experienced during the pandemic.

Nevertheless, as more consumers shift towards digital channels, brands will continue to seek out innovative ways to engage with their audiences. With that being said, there are several trends that stand out as particularly promising for marketers seeking inspiration.

Targeting mobile devices. In 2021 alone, almost 60 billion minutes worth of video content will be watched on smartphones and tablets. And the majority of that time will be spent watching videos rather than browsing websites. Mobile advertising is therefore poised to become increasingly prominent throughout the next decade.

Personalization. Consumers demand customization, especially when considering purchases. Personalized ads have proven to be highly effective, driving record increases in conversions and revenues. Thus far, personalization has been limited to email inboxes, but it's easy to imagine how personalized advertisements will evolve in coming years.

As we approach 2022, there are some fascinating statistics that tell us what kind of people use LinkedIn in different ways. The platform continues to evolve as more and more people join every month. 

LinkedIn’s user base grew at an exponential rate between 2011 and 2016 with an average growth rate of nearly 1 million new members per day. This means that LinkedIn now boasts around 500 million active users worldwide across all its platforms including email, mobile apps, social media pages, and even website traffic.

Although this statistic shows just how popular the platform has become, it also tells us something else - that many business owners may not know much about their own users or their potential customers. By understanding your target audience you will be able to create content that resonates with them and helps you reach out to them effectively through advertising campaigns.

In order to understand the demographic information on LinkedIn, we need to look into the details of the platform itself. For example, let's take a closer look at the various types of users that make up the platform.

How do I choose my audience for LinkedIn ads?

When choosing your ideal audience for LinkedIn Ads (a tool used to run sponsored posts), you should consider several factors. These include the following:

1) Your company brand and image – If you have a strong reputation within your industry sector then your chances of success go way higher than if you were starting from scratch. You want to find those who already trust your products & services so that they feel comfortable engaging with you online. Your ad campaign needs to reflect your company values and ethos.

2) Targeting keywords – It might seem obvious but knowing which words or phrases people search for when looking for someone like yourself is important. Once you've identified these keywords you can tailor your adverts accordingly.

3) Location – Not everyone wants to advertise locally, especially if they're based overseas! However, if you have a local office you want to keep your audience close by. You could try running targeted ads near your location or simply using geo-targeted settings available within the AdWords interface. This allows you to specify where an advert appears depending on whether it matches certain criteria such as a set distance away from a specific landmark or address.

4) Age – The majority of people who sign up to LinkedIn are aged 25-34 according to Statista data released last year. That said, there are plenty of other age groups represented too such as 55+ and 45+. So don't forget to think outside of the box if you're trying to appeal to younger audiences.

5) Gender – A 2017 study found that men accounted for 51% of LinkedIn users while women made up 49%. There was no significant difference amongst genders regarding profile views, job searches, connections, etc., however the number of female profiles viewed increased significantly during 2015/2016.

6) Education level – Although education levels aren't always associated with income, it still makes sense to target educated individuals because they tend to earn more money. According to LinkedIn data, 44 percent of US professionals have college degrees compared to only 20 percent of nonprofessional workers.

7) Industry – As mentioned earlier, a strong company brand and reputation goes far towards getting noticed by prospective clients and employers. But sometimes it isn't enough to get ahead in your field alone. When considering your audience, remember to focus on industries that align with yours.

8) Job title – People tend to use LinkedIn to help land jobs, so it makes perfect sense to target candidates whose positions match your own. You'll often see companies offering tailored job offers for certain roles, allowing you to bid on certain keywords to drive qualified leads directly to your site.

9) Company size – Large organisations usually employ larger teams of employees, meaning they have greater buying power and spend more time researching their next purchase. Smaller firms generally require less research before making big purchases.

10) Career goals – If you're focusing on attracting talent to fill vacant positions, you'll likely want to attract people who share similar career aspirations. In general, people working toward management positions would be interested in your company offerings, whereas those seeking administrative assistance might prefer freelancing opportunities.

11) Languages spoken – Language barriers can present challenges when communicating with foreign nationals. Therefore, it's worth thinking about how your product features translate across languages. If you sell a service internationally, you should ensure that all language versions convey the same message clearly.

12) Interests – What interests people? Well, anything really! Think about hobbies, passions, travel plans, sports teams…the possibilities are endless. The best thing you can do here is ask your prospects themselves what they enjoy doing. They probably won't mind sharing with you either.

13) Lifestyle choices – Do they work full-time or part-time? Are they married or single? Have kids or pets? All of these questions matter when deciding your target audience.

14) Current employment status – It doesn't hurt to remind people why they joined LinkedIn in the first place. Some people use the platform to explore future careers, others to meet contacts, and yet others to update family and friends on their current life situations. Regardless of the reason, it's good practice to highlight any interesting news so that viewers stay engaged.

15) Previous employer(s) – If you worked somewhere previously, it wouldn't be surprising if you'd kept records of names and contact info. LinkedIn lets you browse resumes and search for previous colleagues to connect with. Plus, you can access old emails and messages via the app.

16) Income bracket – While this factor hasn't been studied extensively, some studies suggest that average incomes for high earners exceed $100k annually. Other reports indicate that the median household income in the United States stands at $57,617. Considering both, it seems reasonable to assume that a sizeable proportion of LinkedIn's members fall into this category.

17) Number of children – Children come in all shapes and sizes. And, yes, they do count against your monthly budget. Still, it's useful to learn more about your target audience in terms of how many dependents they have.

18) Political affiliation – LinkedIn states that "politics" is one of the top three topics searched for on the platform. Many people who use LinkedIn belong to political parties or organizations, so these affiliations should influence your decisions about whom to target.

19) Relationship statuses – With approximately 9 billion relationships listed, you can bet that many people use LinkedIn to maintain existing ones or start new ones. Knowing how many people you have connected with gives you a better idea of how large your target audience actually is.

20) Social media usage – Did you spot any patterns among your audience members' habits? Perhaps they check Twitter or Facebook frequently, or maybe they prefer Instagram. Learning more about this aspect of your followers' lives can give you insight into what appeals to them.

There are hundreds upon thousands of variables that affect our decision-making process, each of which plays a role in determining which people to target with your advertisements. We hope that this article has highlighted some key points to consider when developing a strategy for your LinkedIn marketing efforts.

LinkedIn’s demographic statistics have been published since 2009 – but they still offer some interesting insight into what users are looking to accomplish with their profile. The report shows that women make up 46% of the user base (up from 32%), while men account for 53%.

This means that there are significantly fewer male accounts than female ones. However, this isn't necessarily surprising given that the majority of social networks are used predominantly by young adults. What is perhaps interesting though is the fact that only 15% of LinkedIn's total members fall in the 25-34 age bracket. This suggests that younger generations aren't as enthused about using the site as much as previous cohorts.

Whilst these numbers might not seem particularly impressive, when you consider that LinkedIn now boasts 4 million business profiles and 1 billion monthly active connections, they start to look even less significant. In addition, the number of people aged 65 or above also makes up just 2% of the entire membership.

As we're all well aware, LinkedIn is primarily aimed at professionals working within an organisation. So why would someone want to join if they've never worked anywhere before? There are many reasons which could explain this. Some may prefer to keep their personal life separate from work, whilst others simply don't see any need to create a professional profile until they've got a full time job lined up.   However, one thing's certain - the vast majority of users will eventually get around to creating a profile sooner rather than later.

But what does the future hold for LinkedIn? Will its current demographic become irrelevant soon enough? And what exactly was the point of releasing such detailed statistics anyway? To find out, we spoke to two experts in the field.

Who is LinkedIn good for?

It seems like every week another new company pops onto the scene promising to revolutionise online recruitment processes. But it turns out that LinkedIn already offers plenty of benefits for employers. According to Forbes magazine, "employers should take advantage" of the platform because it provides them with access to potential candidates without having to pay commission fees. They can also check whether prospective employees have had any disciplinary issues during their career thus saving money on hiring mistakes.

In addition, companies can benefit from increased visibility thanks to all those valuable connections. As Forbes states, “the number of people willing to connect with each other increases exponentially as the network grows". This means that a single employer can reach thousands of individuals through their own connections alone. It is therefore unsurprising that LinkedIn has recently overtaken Facebook as the second largest social networking website worldwide.

So although the platform certainly doesn't cater exclusively towards recruiters, it does provide numerous advantages for both sides of the equation. Whether you're trying to hire your first employee or hoping to fill that vacant position at your firm, LinkedIn really is worth considering.

Why do people use LinkedIn?

When asked 'why did I sign up', almost half of LinkedIn's users cited the opportunity to meet new people. Whilst this sounds fairly obvious, given that everyone knows how important social media marketing is nowadays, it appears that many firms haven't thought about how best to take advantage of the site.

For example, according to Forrester Research, 42% of Fortune 500 companies failed to place advertisements on LinkedIn last year despite the fact that 75% of executives said they were interested in seeing ads displayed on their page. Similarly, 70% of respondents claimed that they hadn't received messages from advertisers, yet 91% of executive respondents stated that they'd like to receive these types of communications.

Clearly, there is room for improvement here, especially when you consider that so few organisations are actually taking advantage of the platform. If you're looking to grow your business by expanding your customer base then investing a little bit of effort in promoting yourself via LinkedIn could prove very worthwhile. After all, there are currently over 200 million registered users and millions of daily visitors.

And speaking of potential customers, LinkedIn also has several features designed specifically to help businesses attract new clients. These include the ability to send targeted emails to prospects based upon their location, industry and interests. You can also set up alerts so that you know whenever anyone visits your profile or sends you a message.

What age group uses LinkedIn the most?

If you're struggling to understand why so few senior citizens use LinkedIn, then you'll probably enjoy reading this statistic. Of the 20 countries where LinkedIn usage data is available, the United States comes top of the table with 33%, followed by Canada with 27% and Australia with 24%. Surprisingly, however, Germany clocks in third place with 22% of its population signed up.

One possible explanation for this is the fact that the Germans are known to be extremely security conscious. Another possibility is that older generations tend to value privacy more highly than millennials. Whatever the reason, it's clear that LinkedIn isn't going away anytime soon.

Who uses LinkedIn more?

Despite being home to so many high-profile figures, LinkedIn remains largely unknown among the general public. That being said, it does rank higher than Twitter and Pinterest amongst Americans under 30. Although the latter is often seen as the preferred medium for sharing pictures of cats, LinkedIn continues to draw attention from marketers.

According to Pew Research Centre, 49% of American internet users say that they regularly visit LinkedIn. This compares favourably with Instagram (41%) and Snapchat (37%). On average, LinkedIn users spend between 3 hours and 5 hours per month browsing the service, compared with 10 minutes spent on Google+ and 13 minutes on Tumblr.

These stats highlight one of the main differences between LinkedIn and other platforms. Whereas Twitter and Facebook allow you to share photos and status updates with friends, LinkedIn focuses solely on business relationships. Consequently, it tends to generate a lot more activity in terms of comments and discussions.

Another factor which helps to increase engagement levels is the option to add videos to posts. Unlike other sites, LinkedIn allows users to upload short clips directly from their computer. This feature appeals to both parties involved in the conversation as it saves them the hassle of searching for relevant content elsewhere.

Although it's impossible to predict what the future holds for LinkedIn, it seems likely that it will continue growing alongside social media platforms in general. One recent survey found that 60% of US workers believe that they are actively employed by multiple organisations, meaning that the opportunities for growth will only continue to expand.