I used unique searchers for Google, which might not capture all of its unique users, but is probably close users search, as anyone using its other products most likely uses search, too. Some other networks to consider include Yahoo and Google. Twitter: $11.01 B market cap from 310 MM users = $35.52 per user LinkedIn: $26.2 B sale price from 443 MM users = $59.14 per userįacebook: $323 B market cap from 1.65 B users = $195.76 per user The results are interesting (B below stands for billions, MM for millions) I used market capitalization numbers and user numbers available as of June 15, 2016. I thought it valuable to look at a few other large networks that are monetizing customer data. Still, such a course measure gives us a very preliminary start on the value of customer data (at least as claimed by LinkedIn and accepted by Microsoft). Of course many users are more active and therefore more valuable in the LinkedIn network, and indeed some users might not even be real. LinkedIn Value per Customer: With a sale price of $26.2 billion and some 443 million users, a coarse measure of value is $59.14 per user. But what is that data worth in LinkedIn’s case? Was it a good value to Microsoft? I examine strategies for data monetization in my book, From Big Data to Big Profits: Success with Data and Analytics. Of course, we contribute data to get a service or benefit back. LinkedIn, like all social media and digital platforms, creates value from customer data. In my recent article of how Microsoft can create value from this transactions, many people rightfully raised the point that data contributed to LinkedIn is given in exchange for networking. The recent announcement of Microsoft’s acquisition of LinkedIn has raised many questions about how Microsoft will monetize this data.
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