Social media sites are popular, but how are they profitable? Sites like Facebook realized early on, that in order to run a free networking page, they must adopt ads to pay for it. The newest site to jump on the ad bandwagon is Pinterest. Although the site has an estimated 47.1 million monthly users, the site decided to adopt “Cinematic Pins”. The “Cinematic Pin” is different than the automatic ads used by Facebook. The Facebook ad begins playing with sound immediately and then discontinues when it has been scrolled past. The Pinterest ad idea has the video advertisement play in relation to how fast the pinner scrolls through the page. They are attempting to take a less aggressive and more flowing tone to their advertisements. This way the advertiser can “tell their story with motion” says Tim Kendall, general manager of monetization for Pinterest in an interview with Mashable. In efforts to keep the advertising tailored to each unique pinner, not only can a pinner control the pace of the ads being presented to them but the newly enacted in-house creative service team at Pinterest, which they call the Pin-Factory. This new team has allowed them to be specific with what ads reach what users. They take the Pinterest user’s interest and style into account when composing the advertisements.
This development confirms that Pinterest is making a concerted effort to increase profits this year. Marketers have been presented with new pricing models, which allow them to pay for advertisements based on user engagement, such as how often the ad is clicked or pinned. The site will continue to develop and expand Pinterest marketing strategies and has already created tools, which allow brands to track their performance and popularity.
Blog By: Leah Griffin