The business environment today is as competitive as it has ever been. Small and medium-sized companies are often at a disadvantage when they compete with larger companies in placing advertisements through traditional media like television, print, and online ad campaigns like pay-per-click in Google and other search engines. However, the game does not end here. Through social media, the playing field is evened out. Small and medium-sized companies with limited ad budget can be just as effective advertising on social media as larger companies with deeper pockets. The older consumers tend to respond to ads on Facebook, whereas the younger generation are more engaged in Twitter.
Another Big Player: Pinterest
Pinterest is another social media player that has joined the fray. Companies are advertising on Pinterest in an attempt to bridge the gap in advertising between the old and young. During the first half of 2020, the number of Pinterest users below the page of 25 doubled, and around 80 percent of mothers in the U.S. are Pinterest users. Pinterest has been around for 11 years, and since then, more than 240 billion pins have been posted by users. The platform is perfect to showcase a tremendous range of different products in a graphical nature. It is heavily used by businesses that have products and services to sell and for generating leads.
Advertising on Pinterest Produces Exceptional Returns on Investment
On the average, U.S. consumers who use Pinterest spend twice as much online each year when compared to the online spending of other Internet users. It is no surprise that marketers quickly took advantage of this lucrative channel of advertising. Pinterest ad campaigns are less expensive to run than ads on other forms of social media. Plus, the returns are greater. Industry reports showed that consumers who viewed ads on Pinterest are 70 percent more likely to make a purchase than consumers who viewed ads from other social media.
Businesses that export products have another piece of good news about Pinterest ads. Recent statistics showed that about half of all Pinterest users live outside of the U.S.
The Challenge of Pinterest
Pinterest is not without its own set of challenges that is different from challenges faced by other social media platforms. The cycle of conversion does tend to take longer than when advertising through other social media. Another challenge is figuring out from where the sale originated. This brings to light the unique challenges in refining ad campaigns and accurately measuring the outcome. All of this necessitates very careful planning.
Help From The Experts
Pinterest has introduced new tools intended to simplify the advertising process for users. However, even with these additional resources, getting advice from the experts is still the smartest way to get the most out of this dynamic advertising platform. With the addition of these new tools and metrics, Pinterest has evolved into a formidable player as a powerful advertising channel. It started as a way for advertisers to build their brand to gain brand recognition. Now, it has become a direct channel to sales.
It is great that Pinterest has added these valuable tools that allowed companies to create very effective ad campaigns. However, these changes can prove confusing to people who are unfamiliar with them. This is where seeking outside help from experts will help. A consulting company like pins4profit.com can provide advice from experts like Lindsay Shearer who will help clients maximize their returns on every one of their advertising dollars. Clients will see how their advertising budget is being spent and what kind of impact it had on their bottom line.
Shearer pointed out that in order to maximize the return from advertising on Pinterest, precision planning must be done. Pinterest is still refining its algorithms and it continues to evolve. He stated that having to wait longer to see the ROI from Pinterest ads makes it more challenging to arrive at an accurate measure. He gave an example of consumer shopping for beachwear for the summer. If advertising the traditional way, the company will promote beachwear to the target buyer when the summer season is near. However, if a buyer using Pinterest is the target, that buyer will look at beachwear ads way before the summer season. This delay makes the attribution of the sale very murky and presents a unique challenge to the company in tracking the sale.
The Difference In Pinterest
One must realize that Pinterest’s “cost per million impressions” is much less expensive than Google’s “cost per click” or promotions run on other social media platforms. One should also remember that in general, a conversion through Pinterest costs about 2.3 times less than the average conversion through other social media channels, like Facebook.
As a matter of fact, 98 percent of users on Pinterest did additional research on products or services that they saw on Pinterest. People who are into DIY, arts and crafts, and cooking are particularly drawn to it. 66 percent of users are looking for a product or service. One other piece of statistics that should be of great interest to small businesses is that 97 percent of the searches done on Pinterest are not attached to a brand. That means these users are not interested in a specific brand, but rather, on a type of product or service. If the small business can fill that niche, this gives the small business a chance to shine and to get a foot into the market.
Pinterest has tremendous market reach and presents huge potential to businesses in increasing sales while lowering ad costs. However, to make the most of it, businesses should still seek valuable advice from experts like Lindsay Shearer from pins4profit.com. Forgoing advice will be a mistake that a business cannot afford to make because valuable opportunities in converting an expanding base of Pinterest users into customers will slip through the cracks.