Sunday, March 11, 2012

Pinterest and money

To all the users who have used Pinterest recently, have you thought about how the social media website makes money? It doesn't cost anything to sign up and it does not have an established marketing platform like Facebook and Myspace does. The company says that it gets money from investors and venture capitalists to make it grow. This is normal for any starting business but the more important thing to notice is Pinterest needs to be able to find a way to get money flowing in for the future. Pinterest stated that they were not sure how they would generate money but they would get to it. To be completely honest, I would be a little nervous not knowing how I would generate revenue in the future. My guess would be they are hoping to go into partnerships with multiple companies in the future and be used as a marketing and advertising tool. If the companies they would be advertising for had products and services that were centered towards female customers, Pinterest would be a valuable asset and tool to use. But since Pinterest is geared more towards women, this may not be an option as of now. In order for the company to stay afloat, Pinterest needs to find a reliable and valuable way to generate revenue for the long run.

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