There was not only a rise in revenue but also an increase in the total number of users on the platform. But we’re sure the leading executives are happy as long as the figures continue to project in an upward direction.
As far as figures for users are concerned, well, the company managed to include 12 million more during Q3 and that shot up the count to 445 million each month. This is right where the firm was last year, making up for all the losses in a short period of time.
A lot of the growth was witnessed as coming from the category called ‘Rest of the World’ which featured at least 3 million more users in regions of both North America and Europe. While we agree that it still needs to make up slack as the number of active members in North America last year was at least 98 million, the growth here is being welcomed with open arms. And that’s especially true during times of economic uncertainty like today.
Remember, we’ve seen Pinterest go through some massive periods of decline Clearly, this is the place where it really needs to improve as growth is definitely occurring in other parts of the world other than the US and this is one of the most profitable markets for the platform. The divide between other global markets and the US is a huge margin and that needs to be overcome.
So where are these revenue figures coming from is a question on so many people’s minds? Well, the company is giving plenty of its credit to the video engagement section. The supply of videos by users on the platform is really increasing to new highs and we’re talking about them being three times more than what was seen in the recent past.
Next up, the app’s version of Stories, called Idea Pins is also generating a lot of options. It’s a huge winner for this as the platform hooks on to live streaming. This is yet to take off a lot in the western world but it’s certainly being outlined as a major chance for apps to focus more on e-commerce.
This just paves the way for more chances for Pinterest to make revenue as it was seen bringing in a staggering $685 during Q3, which is up by 8% when compared to last year. We are seeing the company still taking its precious time to expand ad tools and when that’s released with the likes of ads on the app, you can only imagine it to be a huge success. While it won’t be a global release just yet, nations to be given the first chance to witness the launch would be Columbia and Argentina.
As you can probably guess by now, it’s a major step in the advancements needed to really build up the app’s potential to generate revenue. Moreover, it’s going to take a lot of time for it to bring about major investments that produce fruitful results.
Other investments that the platform seems to be focusing on include the likes of better research and development while sales and marketing would also be another integral category worth mentioning.
Before we forget, another point worth a mention is how the number of users arising from Gen Z managed to grow in double figures, much higher than that observed for Q2. If the app really does increase the visibility and engagement it provided to the younger lot, we don’t see why it can’t come out on top as the most valuable tool to follow some happening trends.
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