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Pinterest Inc. SWOT & PESTLE Analysis

ID : 521069353| Nov 2021| 19 pages

COMPANY PROFILE -Pinterest Inc.

Business Sector :Image Sharing and Social Media

Operating Geography :United States, North America, Global

About Pinterest Inc. :

Pinterest is an image sharing and social media website based in the United States that allows users to save and find information (particularly "ideas") on the internet via pinboards made up of photographs and, on a lesser scale, animated GIFs and videos. The company is headquartered in San Francisco. Pinterest's development started in December 2009, and the prototype was released in March 2010 as a closed beta. Ben Silbermann, Paul Sciarra, and Evan Sharp established the site, which had over 478 million global monthly active users as of March 2021. It is a free website that requires the user to sign up to use it. Currently, the service is available via a web browser and apps for iOS, Android, and Windows 10 PCs. Pinterest's developers describe the service as a "library of ideas" that motivates users to "go out and do that thing," although it is not a "social network" based on images. It has a sizable fashion following as well. Pinterest was later dubbed a "visual search engine" in the future. It is mostly made up of "pins" and "boards." A pin is an image that has been submitted or linked to a website. Boards are groups of pins organised around a common theme, such as quotes, travel, or weddings. Numerous idea boards can be divided into parts, each of which has multiple pins. Persons can follow and unfollow other users and boards, which will populate their "home feed. “Outside of Pinterest, content can be located and uploaded to a board using the "Save" button, which can be downloaded to a web browser's bookmark bar or integrated by a webmaster directly on the website. With the opportunity to make their Idea Pins shoppable, earn commissions through affiliate links, and partner with brands on sponsored content, Pinterest introduced new ways for Creators to grow their businesses and earn money in July 2021.

Pinterest's Unique Selling Point or USP is that it reaches clients at a different stage of the purchase cycle than other platforms, and it has the world's largest dataset of ideas, with over 100 billion recipes, home hacks, style inspiration, and other things to try. The mission statement of Pinterest reads, "Pinterest's mission is to bring everyone the inspiration to create a life they love".

Pinterest Inc. Revenue :


$ 1,693 million - FY ending 31st December 2020 (y-o-y growth 48%)
$ 1,143 million - FY ending 31st December 2019

Competitive Analysis of Pinterest Inc.

SWOT
PESTLE
The SWOT analysis for Pinterest Inc is presented below in a matrix followed by the detailed analysis report:
StrengthsWeaknesses
1. Highly differentiated website due to inspiring content
2. Ensures transparency of takedown of offensive content
3. Continuously increasing large active userbase
4. Providing strong value proposition to Pinners (users)
5. Numerous innovations in software technology
1. Hostile and discriminatory work environment
2. Dependent on few large advertisers for revenue
OpportunitiesThreats
1. Increasing internet penetration in Asia Pacific
2. High growth in advertising audience
1. Censorship bans for unacceptable content
2. Competition from tech giants in internet industry
3. Boycott by advertisers over controversies
4. Third party websites using Pinterest data are vulnerable
SWOT & PESTLE (combined)
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Detailed SWOT Analysis of Pinterest Inc.

Strength

1. Highly differentiated website due to inspiring content: Pinterest sees a multiplication effect in terms of users and content. The content can be about daily activities such as home decoration or preparation for a marathon. Pinterest was one of the first websites that was intended to spread ideas. Majority of its visitors found the environment inspiring. The company ensured that the content was inline with the mission of the company. It is quick in blocking the content that is offensive. Unlike other social media sites, there is very little content on it that can be related to politics. As a part of its policy, Pinterest has banned political ads, developed inclusive beauty functionality, and rolled out compassionate search for users looking for mental health support. The users appreciate the sites effort in helping them lead a positive and healthy life.

The remaining section under "Strength" is available only in the 'Complete Report' on purchase.

Weakness

This section is available only in the 'Complete Report' on purchase.

Opportunity

1. Increasing internet penetration in Asia Pacific: Asia Pacific contains total population of 4.2 billion and in 38 member countries. It is one of the most diverse regions in terms of income distribution. In the last four years, the company has seen continuous growth in terms infrastructure required for ICT. For instance, around 94.2% and 96.1% of the population of the region is within the reach of a 4G and a 3G network respectively in 2021. It can be found as a large development as there was no 4G or 3G availability in 2011, in countries like Myanmar. In Myanmar itself 75% of the population is within the reach of a 4G signal. If we consider the accessibility of homes to fixed broadband, it has increased from 47.9% in 2017 to 53.4% in 2019. Thus, both mobile and fixed internet service availability has increased at a fast paced. The actual users of internet increased from 38.6% in 2017 to 44.5% in 2019. With this massive surge, social media usage is expected to increase proportionately.

The remaining section under "Opportunity" is available only in the 'Complete Report' on purchase.

Threat

This section is available only in the 'Complete Report' on purchase.

Major Competitors :

Major Brands :

  • Livesttar
  • Hackermeter
  • Jelly Industries, Inc.
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TABLE OF CONTENTS
DELIVERY AND FORMAT
WHY CHOOSE US?

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Check Out Analysis of Other Relevant Companies

References used in Pinterest Inc. SWOT & PESTLE Analysis Report

1. Interest 2021 Proxy and 2020 Annual Report - https://s23.q4cdn.com/958601754/files/doc_financials/2020/ar/Pinterest-2021-Proxy-and-2020-Annual-Report.pdf

2. Pinterest pays $20m to settle gender discrimination lawsuit | Pinterest | The Guardian - https://www.theguardian.com/technology/2020/dec/15/pinterest-to-pay-20m-to-settle-gender-discrimination-lawsuit

3. China blocks Pinterest: censorship watchdogs | HT Tech - https://tech.hindustantimes.com/tech/news/china-blocks-pinterest-censorship-watchdogs-story-XYgpys1ozYBF0eWjGI6naJ.html

4. More safeguards in revamped EU data transfer tools, EU justice chief says | Reuters - https://www.reuters.com/technology/more-safeguards-revamped-eu-data-transfer-tools-eu-justice-chief-says-2021-06-02/

5. AR And Social Media: Is Augmented Reality The Future Of Social Media? - https://www.forbes.com/sites/lilachbullock/2018/11/16/ar-and-social-media-is-augmented-reality-the-future-of-social-media/?sh=4dda4f99e141

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SWOT & PESTLE.com (2021). Pinterest Inc. SWOT & PESTLE Analysis - SWOT & PESTLE.com. [online] Available at: https://www.swotandpestle.com/pinterest-inc/ [Accessed 08 Dec, 2021].

In-text: (SWOT & PESTLE.com, 2021)

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Pinterest Inc. SWOT and PESTLE analysis has been conducted by Mohit Harishchandra Deshmukh and reviewed by senior analysts from Barakaat Consulting.

Copyright of Pinterest Inc. SWOT and PESTLE Analysis is the property of Barakaat Consulting. Please refer to the Terms and Conditions and Disclaimer for usage guidelines.

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