SAN FRANCISCO: Pinterest's Promoted Pins are far more effective than other forms of online advertising at driving offline sales, new research has shown.
Oracle Data Cloud measured in-store sales for 26 Promoted Pin campaigns across major food and drink, household goods and beauty brands and found that these drove five times more incremental in-store sales per impression.
It reached this figure by using customer purchase and point-of-sale data and creating control and exposed groups to see whether exposure to digital ads led to more in-store purchases.
"Since businesses are so welcome on Pinterest (75% of the Pins saved comes from businesses), people are more likely to buy a brand's product in-store after simply seeing a Promoted Pin," according to Angela Reynar, head of advertising measurement at Pinterest.
That 75% figure highlights how the platform differs from its rivals and indicates how it will grow in future.
"Pinterest isn't a social network; we are really this catalogue of ideas," President Tim Kendall told FOX Business Network.
Consequently, he believes this will benefit it in certain parts of the world – such as China – where social media sites like Facebook are banned.
"[Users] are not there to share things with their friends and family, they are not there to find out what their friends and family are doing. So it's not this community planning tool," he said.
"Marketers want to be where people want to find them… What we see is a disproportionate number of our users come on to Pinterest to look for products and ideas and services.
Oracle Data Cloud measured in-store sales for 26 Promoted Pin campaigns across major food and drink, household goods and beauty brands and found that these drove five times more incremental in-store sales per impression.
It reached this figure by using customer purchase and point-of-sale data and creating control and exposed groups to see whether exposure to digital ads led to more in-store purchases.
"Since businesses are so welcome on Pinterest (75% of the Pins saved comes from businesses), people are more likely to buy a brand's product in-store after simply seeing a Promoted Pin," according to Angela Reynar, head of advertising measurement at Pinterest.
That 75% figure highlights how the platform differs from its rivals and indicates how it will grow in future.
"Pinterest isn't a social network; we are really this catalogue of ideas," President Tim Kendall told FOX Business Network.
Consequently, he believes this will benefit it in certain parts of the world – such as China – where social media sites like Facebook are banned.
"[Users] are not there to share things with their friends and family, they are not there to find out what their friends and family are doing. So it's not this community planning tool," he said.
"Marketers want to be where people want to find them… What we see is a disproportionate number of our users come on to Pinterest to look for products and ideas and services.
"In fact, based on [Mary Meeker's] data, 55% say they come to Pinterest for products and services and to shop. Only about 12% go to social networks for that purpose," he added.
Data sourced from Pinterest, FOX Business; additional content by Warc staff
