The recent announcement of a new ad partnership between Pinterest and Google signifies a significant development for both companies. This collaboration positions Google as Pinterest’s second major third-party ad partner, coming after its successful and enduring collaboration with Amazon, which was introduced to the public last year.
The strategic alliance between Pinterest and Google aims to foster substantial growth in ad revenue for the image-sharing platform. With Google’s extensive expertise in advertising and its gargantuan digital advertising network, this partnership holds immense potential for Pinterest to amplify its advertising capabilities and expand its market reach.
By teaming up with Google, Pinterest gains access to a large pool of advertisers who utilize Google’s ad platform and services. This partnership enables Pinterest to tap into Google’s unparalleled resources, including its cutting-edge technology, data analytics, and substantial ad inventory. As a result, Pinterest can enhance its targeting capabilities, ensuring that users receive highly relevant and personalized advertisements.
Moreover, Pinterest’s collaboration with Google is indicative of the platform’s continuous commitment to establishing mutually beneficial partnerships with industry giants. Pinterest recognizes the immense benefits gained from leveraging the expertise, resources, and immense user base of established third-party ad partners. The platform aims to leverage this strategy to drive its growth and secure a stronger foothold in the highly competitive digital advertising landscape.
Notably, the partnership with Amazon has proven to be a significant success for Pinterest, with the collaboration yielding increased ad revenue while offering a seamless shopping experience for users within the platform. Building upon this triumph, Pinterest seeks to replicate and expand upon its achievements with Google, further solidifying its position as a leading player in the evolving digital advertising realm.
In summary, the ad partnership between Pinterest and Google opens up a realm of possibilities for both companies. By leveraging Google’s extensive resources and expertise, Pinterest aims to boost its ad revenue and strengthen its market presence. This collaboration not only establishes Google as Pinterest’s second significant third-party ad partner, following its successful collaboration with Amazon but also showcases Pinterest’s commitment to fostering strategic alliances that drive growth and innovation.
Why we care. By collaborating with Google Ads, brands can significantly expand their reach and effectively connect with a highly engaged and valuable consumer base. This interaction holds immense potential in generating a higher return on investment (ROI) as well as boosting conversion rates.
How it works. Google’s Ad Manager will facilitate the display of advertisements on Pinterest. Whenever Pinterest users come across a Google Ad, they will be redirected to the advertiser’s website in order to finalize their purchase.
Timeline. A few weeks ago, Pinterest began implementing the new ad integration, and it is said to be yielding positive outcomes. Like the integration of Amazon, the integration of Google is anticipated to be gradually introduced over the course of several quarters.
International goals. Despite having 80% of its user base located outside the U.S., Pinterest generates only 20% of its revenue from these international users. However, executives remain hopeful that the partnership with Google will greatly contribute to increasing the average revenue per user in international markets.
What Google is saying. According to Pinterest CEO Bill Ready, the aim of this collaboration is to generate revenue from our currently untapped international markets. This will be achieved by allowing advertisements to be displayed on Pinterest through Google’s Ad Manager. Ready mentioned that we recently initiated this partnership, and the process is gradually gaining momentum. As expected, the demand for third-party ads is growing steadily.