Pinterest: Pinning its way to success

Pinterest?firmly believes in pinning its users' ideas and assisting them in making decisions based on their interests.

Pinterest began as the dream of a disgruntled?Google?employee who wanted to create something different in the burgeoning app-verse of 2010, which now is known as an image sharing and social media website that allows users to save and find information on the internet through pinboards. Pinterest achieved unicorn status in 2015, with a total valuation of around $11 billion, and had a market capitalization of $23.3 billion as of December 3, 2021.

The site started on an invite-only basis, aimed at designers who could bring their creativity to the platform, and amassed 10000 users within a year of launch. By the middle of 2012, the service reached an average of 10 Million monthly users in the US, and the platform was able to get funding of $100 Million from the Japanese firm Rakuten.?Silberman, the key figurehead, led the company from strength to strength. The site continued to innovate and carve out its niche within social media. AI started to play a more prominent role in Pinterest's functionality, and the platform started branding itself as a "Visual discovery Engine."

?How does Pinterest make money???

Through advertising, the commercials come in the form of promoted pins, which blend seamlessly into the feed and are charged per action. It is now used as a marketing tool as it can help businesses grow, convert more leads, and improve website traffic. People say when they open Pinterest, they are in trouble. That’s because they spend hours on end browsing pictures and videos of their interest. It has partnered with companies like Shopify. Thus, users can buy whatever they like as a part of their discovery experience.?

Target market:

Pinterest statistics show that thirty-eight percent of Pinterest users are between 50 and 64 years of age, representing the platform's most considerable age demographic. Nearly 97% of queries carried out on Pinterest are unbranded. This implies that users do not search for a specific brand name when browsing Pinterest. A high percentage of unbranded searches indicates that Pinterest users are on the platform to find inspiration and new ideas. Pinterest's Gen Z audience has grown to nearly 21 million users. The platform is dominated by women, with six out of ten female users. Eighty percent of men who shop on Pinterest say it leads them to "something unexpected" that "surprises and delights them." This statistic demonstrates how men use the platform and how Pinterest as a whole remains a hub for product research and discovery.

Services and monetization:

Pinterest advertising is a powerful tool to incorporate into your digital marketing strategy. It combines a search engine and social media, making it a powerful marketing tool that understands its audience. It displays promoted pins based on users' interests, past activity, and website actions. Pinterest ad targeting is divided into five categories: demographics, interests, keywords, act alike audiences, and retargeting.

Pinterest is great for driving traffic and sales because pins can also link back to websites. Over 83 percent of weekly Pinterest users (Pinners) have purchased products from brands they discovered on the platform. And 72 percent of Pinners say Pinterest inspires them to buy even when they don't intend to. Pinterest generates 3.8 times more sales than other platforms, and 87 percent of Pinners have purchased due to Pinterest. Since Pinterest is great at driving traffic, it is one of the top companies in the United States with an 84 percent growth rate between 2019 and 2021. It has also increased its operating margins from -29 percent in 2017 to 15 percent in 2021, making the company profitable.?

Pinning its way to success

According to IAS Research, social shopping is on the rising trend. Nonetheless, the context influences purchase intent: 32% of respondents are likely to buy a product or service if the ad in their social feed is contextually relevant. In comparison to other social media platforms such as Facebook, which is focused on sharing personal information, the content on the Pinterest platform is focused on products, hobbies, and ideas that are more directly related to purchasing things. This increases the charm of Pinterest to advertisers. Users are more likely to buy products or services in today's social shopping era if the ad in their social feed is contextually relevant. Pinterest does the same thing, which explains why it has higher conversion rates than other social networking sites.?

It's time to elevate your social media game and begin using Pinterest for business!?