On June 18, 2005 I started writing about Linkedin because I felt strongly that it would change the world. At the time, it had about 3 million users (compared to 24 million today). The first post I wrote is HERE.
So for more than three years, I’ve been studying Linkedin and been observing how people use it. Here’s my most shocking observation:
Linkedin is like a giant vault FILLED with gold. There are no security guards, so anyone can walk in. How much gold? $1,000,000,000 (one billion dollar’s worth). VCs indeed estimate that each user is worth $50, and there are 24 million users.
So what do people do when they walk into this vault filled with gold? That is, what do new Linkedin users do?
Well, they stand in awe at the amount of wealth contained in the vault (in Linkedin). “Wow, they say, this place is RICH! I feel really good, standing here! I feel like my career will go places. I feel I can learn so much. I feel I can open up new horizons for my career and/or business. This is really exciting.
Then — and this is the most shocking part! — they turn around and walk out the door WITHOUT TAKING ANY GOLD WITH THEM!
They go back to their regular daytime job, obey the same boss, endure the same daily drudgery and try as best they can to handle the daily stress of corporate America or corporate (insert your nation here).
I feel like telling them, “Hey! Why don’t you grab the gold and bring it with you?!”
In fact, I did suggest this several times in the form of questions on Linkedin Answers.
Some do get it, that Linkedin is a platform for economic expansion — not the mild, nice-to-be-in, vague social networking site that most believe it to be.
But most seem to argue that Linkedin is for “networking” and learning and sharing. “We’re one big family,” they seem to shout in unison.
I’ve nothing against that. Networking is good, learning is good, sharing is good and family is definitely good.
But my question is, “Is anybody going to grab the gold and walk out the door? Because if nobody is going to grab this gold within Linkedin, I’m going to help myself. In fact, I’ll need a few trucks to bring all this gold with me!”
Some will say, “Come on, Peter, what are you talking about? Where is the gold? Linkedin is about people. We’re 24 million people trying to connect and help one another.”
Well, put your hand in your pocket and pull out your wallet. The gold is right in there.
Every single person on Linkedin has a wallet (or a purse). Therefore, every Linkedin user has purchasing power. In fact, most Linkedin users are working every day, five days a week. They are making money so they can spend money.
Why shouldn’t they spend money on YOUR products and services?
Well, there are many reasons why they won’t buy products and services from you. Those are the same reasons you might never get rich by using Linkedin:
1. You don’t have product to sell
2. Your product is too narrowly focused
3. You don’t have a professional service to sell
4. Your professional service must be delivered in person (and Linkedin works best for services that can be delivered virtually, worldwide)
5. You are not an affiliate or representative for a company, and thus you are not selling any product or service for them
6. Etc.
For the above reasons, most people do not view Linkedin as a money-maker.
It doesn’t occur to people that they should create a product that they can sell via Linkedin. The main reason probably has to do with the fact that most careers are based on a professional service, not product.
People who work in offices or even in factories, are not creating a product that they own. They are performing a service. Even if their service results in a product (tangible or not), they do not have the legal rights to that product. For example, a consultant who creates a report for a client, CANNOT resell that report via the Web. It belongs to his corporate employer.
The major economic problem of Linkedin users is that they do not have a product to sell to the 24 million users of Linkedin.
However, as I’ve alluded several times already, the more subtle and indeed “invisible” problem is that people do not believe there is gold at Linkedin and that they can actually TAKE that gold and walk out the vault.
In future posts, I will write about how to (legally) “rob” the small bank that Linkedin really is.
