Image sharing and social network Pinterest is hoping for a big bump in its ad revenue following a landmark partnership with Amazon.
Pinterest has selected Amazon as its first ever partner for third-party ads. It means Amazon advertisers will be able to use Pinterest’s ad platform to reach the latter's 463 million monthly users.
And for consumers, it means that when they click on an Amazon ad on Pinterest, they’ll be taken directly to the Amazon checkout to make a fast and seamless purchase.
It's pretty significant. Pinterest has carved out a niche for itself as the social service for fashion and interiors inspiration. But it has struggled to turn that niche into revenue of the kind enjoyed by Meta, TikTok, YouTube et al.
The announcement came as Pinterest reported its Q1 2023 earnings, which exceeded the analysts’ expectations. The company reported revenue of $1.17 billion, up 78% year-over-year, beating the market estimate of $1.13 billion.
Bill Ready, CEO of Pinterest, said: "This milestone partnership will add to the great brands already on the platform and provide more comprehensiveness, shoppability, and a best-in-class buying experience for users, along with greater performance for brands and advertisers. It aligns with our goal of making every Pin shoppable, so that we can enable as many users as possible to bring their dreams to life.”