Pinterest Launches Paid Ads In Form Of Promoted Pins.
After being operational for the past four years, Pinterest has finally decided to gain some revenue.
The social media company has begun to sell ad space, or has the company has decided to dubbed it “promoted pins,” towards selected marketers companies such as, Gap, Kraft, Target and ABC Family, Pinterest stated recently.
Previously announced during September, promoted pins will now begin to show up during Pinterest’s search and category feeds. The native advertisement unit is intended to be “tasteful, transparent, and relevant”, stated product manage Julie Black on the Pinterest blog.
Pinterest has said that this initial ad rollout will be a “test’. It plans to open up the platform towards more advertisers later on during this year.
“We plan to eventually make Promoted Pins available to lots of businesses, but for now we’re working closely with a small group of partners to learn as much as we can and incorporate their feedback into our future product plans,” head of partner marketing for Pinterest, Steve Patrizi, said.
The social sharing site hasn’t been in a rush to gain any revenue, focusing instead on cultivating its user base. Pinterest has become a sizable force in the social media industry, alluring a total of 34.9 million monthly unique visitors last year, according to data from research firm eMarketer. Around 86% of those visitors consist of females, and 75% of that usage comes from mobile devices, according to Pinterest.
With a substantial audience already in place, Pinterest is trying to gain some serious commitment from potential advertisers, somewhere between $1 million and $2 million per campaign, according to information provided by AdAge. This places Pinterest CPMs somewhere between $30 to $40, an aggressive price point compared to standard web advertising, or even other social ads. Pinterest declined to comment on these prices.
Social advertising is becoming an increasingly large part overall amount brands then to spend when it comes to advertisement each year, climbing up to 46.2% last year to reach $4.56 billion total, according to eMarketer. Facebook commands a massive 72.4% chunk of that sum, while twitter roughly a 9.2% share.