Pinterest, a place for inspiration, is finally considered a shoppable destination, according to users of the platform.
During the company’s first investor day on Tuesday (Sept 19), the social platform reported that over half of its users view it as a prime shopping hub.
“We’ve made Pinterest more shoppable by enabling people to shop and buy across all surfaces of our platform,” the company said. As a result, Pinterest has seen a 50% year-over-year (YoY) surge in the number of purchasable items saved to boards.
To make this possible, Pinterest has been fostering partnerships with retailers, prioritizing collaboration over competition, and ensuring smooth transitions to their mobile applications and websites. Furthermore, the platform is expanding its shopping ad offerings, including the inclusion of its inaugural third-party partner, Amazon Ads. This expansion aims to tap into additional advertising budgets, satisfying advertisers’ demands for relevant commercial content and, in turn, deepening user engagement.
These initiatives are finding resonance among Pinterest users, particularly among Gen Z users, who are recognized as a rising force on the platform.
“Gen Z is an emerging powerhouse on Pinterest, representing our most engaged and fastest-growing audience,” the company said.
Gen Z accounts for 42% of monthly active users (MAUs). According to Pinterest, this rapid and expanding alignment with the product is attributed, in part, to Pinterest’s reputation as a positive environment where Gen Z users can envision their future lives and presents a significant opportunity for brands seeking to connect with this valuable consumer base.
As reported by PYMNTS in a collaborative study with Elan Financial Services, Generation Z seems to be embracing a “less is more” approach to the number of credit cards they carry. The report, titled “Credit Card Use During Economic Turbulence,” reveals that 45% of individuals in this demographic carry just one bank-issued credit card. This response not only stands out as the most common choice within Generation Z but also surpasses the preferences of all the other age groups surveyed.
The factors contributing to Generation Z’s tendency to carry a limited number of cards can differ. These reasons may encompass effective budget management or barriers to accessing financial products due to a lower credit score.
Across all age groups, Gen Z stands out with 50% of their total expenditure being charged to a bank-issued credit card during the specified period, marking the highest usage percentage.
These statistics regarding Gen Z’s credit card use align with further research conducted by PYMNTS, indicating that 52% of this demographic relies on borrowing money to meet their financial obligations. Furthermore, more than a third of Generation Z respondents disclosed that they had increased their credit card use in the year leading up to the survey.
Read more: Gen Z Carries One Credit Card and Uses It More Than Other Payment Methods
This news follows a previous report by PYMNTS in August which revealed that interest in shopping on Pinterest skyrocketed 50%.
On Tuesday (Aug. 1), as the company unveiled its earnings report, the social media platform announced that click rates and saves on posts associated with shoppable items surged by 50%, surpassing the growth rate observed in the first quarter.
Whether people would engage in shopping on Pinterest was a big question a year ago, CEO Bill Ready noted during a conference call with analysts. “We have answered that question definitively.”
Read also: Pinterest Says Interest in Shoppable Posts Jumped By 50%
Thanks to the dynamism exhibited by Pinterest users, the platform now holds the potential to furnish advertisers with thorough-funnel results.
Over the past year, Pinterest has introduced various ad formats, exceeding the total from the previous two years to enable brands to address various objectives, with a focus on lower-funnel marketing needs.
With their ad products, funnel solutions and platform, Pinterest believes it is positioned to continue growing its share in the $550 billion digital advertising space.
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