A couple weeks ago, news broke that the social media network Pinterest is worth $5 Billion after another $200 million funding round. The news is only the latest example of the rapid rise of the network, which now ranks 4th (behind Facebook, Twitter and LinkedIn) in eBiz's social networking ranking. So how will Pinterest's latest funding round impact your business?
Native Advertising
Just three days before news of Pinterest's worth of $5 billion broke, the company announced its first pilot program for native advertising. Under the name Promoted Pins, advertisers will be able to promote visuals of their brand in the category they wish.
So far, only specifically selected brands like Target and Gap can utilize Pinterest's native advertising. But that will soon change. The network has announced that the new money will flow into making promoted pins available to any business looking to target its audience on Pinterest. Provided detailed targeting options will be available, native advertising will significantly add to the network's potential as a marketing resource.
International Growth
Pinterest will allocate another part of the money to expanding the network beyond the United States border. Currently, only 30% of all Pinterest users are based in countries other than the US, a number that pales in comparison to Facebook (86%), YouTube (80%), and Twitter (78%).
To continue its growth as a company, Pinterest has to catch up in this regard, and they have committed to doing just that with the new funds. That's important for marketers looking to reach their audience on Pinterest, as the potential audience size will increase.
One important development to follow, particularly for smaller, localized marketers, will be whether the increased attention on international users will take away from the local audience. Specific targeting will become ever more important if Pinterest wants to keep its allure among local marketers.
The New Search Function
Finally, Pinterest announced the revamped search function Guided Search for its mobile apps, allowing users to add category filters to their keywords in order to more accurately find the pins they're looking for. The function will deliver more relevant search results, making it easier for marketers on Pinterest to target their pins and posts directly to the relevant audience.
It's important to note that this search function will also increase the necessity for businesses to tag their content appropriately. The search function will improve the relevance of your content for users searching for your pins; but they will find it only if it's tagged specifically enough in the appropriate categories.
That means if you are a retailer looking to display your furniture, be sure to describe the specific type of couch, its color, and other relevant details. With the new search, when a Pinterest user searches for couches, they will get the options to search for sectionals, loveseats, colors, and more. The more specific you are in describing your posts, the more easily they will get found.
If you need help jumping on the Pinterest bandwagon, contact us for more information on how to leverage the budding powerhouse for your business.
