How Does Indeed Make Money?
A number of people have asked me this question in response to my post on Indeed from several weeks ago.
Fortunately Paul Forster, CEO of Indeed, has laid out the basics of Indeed's sponsored jobs offering in this post on Blog Indeed.
If you take a look at this Indeed results page, you can see what Paul is talking about.
The listing with the light blue background at the top of the search results is a sponsored advertisement. The sponsored listings on the right sidebar are additional sources of revenue.
It's a very natural revenue model. As Paul explains in his post:
The advertiser only pays for clicks on the sponsored advertisements, while clicks from the same jobs in our natural results continue to be free. Job seeker referrals are highly qualified because sponsored jobs are ranked by relevance as well as by bid. Conversion rates - from sponsored clicks to applications - are also extremely high because the advertisement landing pages are the individual job descriptions on the advertisers’ own websites.
Thanks for that explanation Paul. We are enthusiastic about Indeed's revenue system because, like the PPC systems invented by Overture and Google, it is a very natural extension of the search experience and advertisers have shown that they are happy to pay for performance.
June 5, 2006 05:43 AM, By Fred Wilson
Tags:
Comments (3)
Pay-for-performance is here to stay. Corporate clients demand it and local merchants understand it's value. Systems like ppc and ppl (pay per lead) allow the merchant to accurately gauge and compare their marketing efforts. Recently, we moved from a monthly subscription model to a per-lead model and found we had happier customers and more revenue in the door.
STeven Cox
Founder, CEO
Click For, Inc. - Local Search
Posted by Steven Cox , June 5, 2006 10:10 AM
I'm a little confused about why you didn't choose this as your logo: http://007google.com/Indeed.aspx
Posted by bobo , June 5, 2006 11:40 PM
MarketingMonger Podcast #22 - Interview with Paul Forster of Indeed
http://www.marketingmonger.com/2006/05/marketingmonger_podcast_22_interview_with_paul_forster_of_indeed.htm
Posted by Dimitar Vesselinov , June 5, 2006 09:21 AM