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A Review of Social Media’s Newest Sweetheart
Table of Contents
4	    What is Pinterest?
      Growth
      History
      How People Use Pinterest
      The Act of Pinning

7	    What’s Driving the Pinterest Craze?
      Digital Starts Reflecting Real Life
      A Shift from Creation to Curation

9	    The Data
      A Pinterest Snapshot
      The Average User
      Where Pins Come From
      Categories
      Location, Location, Location

14	   Opportunities for Brands
      You’re Already There
      It’s Connective Tissue
      There is Female Buying Power
      The Sheer Momentum

17	   Getting Started
      Rules of the Road
      Search Engine Optimization

20	   Risks
      Copyright Matters
      Beware of Brand Squatting

22	   Potential Game Changers
      Web Analytics
      APIs

24	   Case Studies
      Board of Man
      Chobani

27	   About Us
28	   Appendix
It seems you can’t go a day
                  without reading or hearing
                  about social’s newest
                  sweetheart – Pinterest. The
                 social network has exploded
                in the last few months as
               a visual platform ripe for
             brands that value the aesthetic,
         although it’s not without its risks.

There are a number of brands already testing
the waters, including Chobani, Gap, West Elm
and Michaels. While there is real value in the
platform, before jumping in, companies need
to understand the role Pinterest will play,
not just in their social mix, but also in their
entire marketing program.

To get a handle on the opportunities, we
needed to sift through the buzz, explore the
usage patterns and analyze the data. So we
worked with HPCC Systems from LexisNexis®
Risk Solutions – an open source, enterprise-
proven Big Data analytics provider.
001




What is Pinterest?
Pinterest is a “virtual pinboard” where
people can collect, organize and share
the things they discover on the Web.
The company says their mission is to
“connect everyone in the world through
the things they find interesting.” You
might even call it a visual search
engine.

Pinterest users organize their finds
(pins) into self-categorized image
boards, which can link back to the
source. For example, a user might have
a “Fashion” board, or a “Humor” board,
or a “Books Worth Reading” board.
001




Growth          Pinterest is the fastest growing website in history. In
                June 2011, the platform had around 400,000 users.
                Today, less than a year later, Pinterest has surpassed
                                                                                           429% growth
                10 million users. What’s most exciting about this
                                                                                   from September to
                growth is its organic spread – they achieved this in
                                                                                         December 2011.
                both beta and an “invites only” phase.
                                                                                             - ComScore



                             Ben Silbermann and Evan Sharp created

History           Nov.
                  2009
                             a website designed for visual collections.
                             Ben’s fiancée came up with the name
                             “Pinterest.”


                  Mar.
                  2010       “Closed Beta” launched




                  Aug.
                  2011       Named one of TIME Magazine’s “50 Best Websites of 2011”




                             $27MM in funding from Andreessen Horowitz, put value of
                  Oct.
                  2011       company at $200MM • Web traffic surpassed Etsy • More than
                             421MM page views



                  Jan.       Launched as one of Facebook’s first Open Graph Timeline apps •
                  2012
                             Named best New Startup of 2011 by TechCrunch




                  Feb.       Officially drove more traffic to retailers than LinkedIn,
                  2012
                             YouTube and Google+




5
001




How People         Pinterest reverses the concept of Google+ Circles. Instead of the user controlling
                   with whom they share content, Pinterest puts that control in the visitors’ hands.

Use Pinterest      Visitors can choose to select all or just some of the boards of another user. For
                   example, a guy may want to follow a girl’s “Books Worth Reading” board but not
                   care about her “Wedding Inspiration” board.


                   It’s a model that is reflected in the way people are using the platform. A recent
                   Engauge Power Panel study showed that 90% of people said they use Pinterest to get
                   ideas. Some even said that it makes them “feel like they can do anything.” The study
                   also indicated that Pinterest helps people:


                   •	   Get inspiration for their careers or hobbies (57%)

                   •	   Store images of things they dream of having (53%)

                   •	   Keep their thoughts and ideas organized (47%)

                   •	   Share their ideas with others (32%)



                   Pinterest is also becoming a place where people choose to hang out online. The same
                   study indicated that two-thirds of people using the platform use it between 8pm and
                   midnight and are on the site each day. 40% of users also indicated that they log on
                   multiple times per day.




The Act of         People can pin content in many ways:


                   •	
Pinning                 Uploading directly to Pinterest

                   •	   Using the Pinmarklet, a browser plug-in that lets people pin images on the fly

                   •	   Using a “Pin It” button (where available) – similar to the Like, Tweet, and Digg
                        buttons that let you share content to your social networks




6
002




What’s Driving the
Pinterest Craze?
There are a number of factors that are
converging at the same time to create a perfect
storm for Pinterest. First, our lives have a shared
fluidity to them that prompts us to talk, to share,
and to try new things – like holidays, the birth of
a child, marriages, and even home renovations.
Add to this a confluence of digital trends, like
the volume and availability of content, the rise
of niche communities and the growing comfort
and interest in curating and sharing content.
Pinterest has quickly become a solution that
gives people a frictionless way of doing all of
these things.

In fact, Pinterest’s user behavior and content
patterns are reflecting a shift in how content is
shared and consumed.
002




Digital Starts Reflecting Real Life
People are more open to, if not expectant of, experiences online that mimic real life ones. That’s why we see success in
commerce-driven social actions that do this. Remember “haul videos,” those show-and-tell shopping videos posted by
teens on YouTube? It was something teens started doing on the Web because it’s something they did in real life. Online,
it complements and socializes the shopping experience.


A couple of years ago, JCPenney took advantage of this trend, turning haul videos into a central component of their back
to school initiative. Not soon after, American Eagle and Forever 21 followed suit.


Facebook is the 100-pound gorilla in the room and most consumers’ central “personal brand” hub. Yet social commerce
will live and grow in other niche platforms too, like Pinterest, Tumblr, Instagram, Path and Meebo.




A Shift from Creation to Curation
Sharing images and content isn’t a new thing; the earliest social media
success stories relied heavily on users creating and sharing their own
content. Whether it was creating a photo album on Flickr, writing a status
update on Facebook, writing a blog post, or uploading a video to YouTube,
the social media world’s main focus centered on driving content creation.


With visual content front and center, Pinterest allows it to be consumed
more easily than text-based content. It’s this emphasis on visuals that has
helped improve the “shareability” of their content.


Now we’re seeing people shift more energy toward curating interesting
and compelling content. People stare into a fire hose of information every
day, and it’s having an impact. They’re actively seeking ways to not only
filter and organize what they find, but also to less stressfully consume
more content. That is the behavior Pinterest exploits.




8
003




The
Data
To understand the value of Pinterest, we need
to know two things: how people are using the
platform, so we can identify opportunities
and “white space,” and where it falls in a
consumer’s social media “consideration set.”

First, where it falls in the consideration set.
In Engauge’s Power Panel survey, we learned
that 60% of people are using Pinterest even
more than they did before. Yet only 38% said
that it meant they were spending less time on
other social networks. 61% indicated that they
weren’t actually changing their time spent
on other networks. What this tells us is that
people aren’t abandoning Facebook as their
“social hub.” Rather, their increasing use of
Pinterest is something different, and will likely
take away from other more niche networks.

The rest of the data in this paper covers how
people are using Pinterest - all data Engauge
uncovered using LexisNexis’ HPCC Systems Big
Data Platform.
003



A Pinterest     Methodology: We obtained the data below by reviewing
                publicly accessible Pinterest user profiles and cleaned,
Snapshot        processed and analyzed the data using the HPCC Systems Big
                Data platform.

                Keep in mind that this data represents a snapshot in time. The platform will
                continue to grow and evolve, and it’s our job to keep an eye on its progress and seek
                out the opportunities this data uncovers.



                   The Average User




                * Comscore, ** Econsultancy.com, *** Compete.com




10
003




Where Pins Come From
Somewhat surprisingly, of the pins we collected, more pins came from
user submitted content than from any other source.




     Top 10 Sources of Pins*

     User Upload                                                  59.05%    Source              % of Total      % of Top 10
                                                                            User Uploaded       7%              59%
             Etsy              9.36%
                                                                            Etsy                1%              9%
          Google              8.25%                                         Google              1%              8%
                                      Sources of Google Pins                Tumblr              1%              6%
                       Image Search                                82.9%    polyvore            0.5%            5%
                             Other            11.59%                        flickr              0.5%            4%

                     Google Reader        2.78%
                                                                            weheartit           0.3%            3%
                                                                            houzz               0.2%            2%
                     Google Search        2.73%
                                                                            bhg                 0.2%            2%
          Tumblr             5.88%                                          imgfave             0.2%            2%

        polyvore           4.51%                                           * The top ten sources of pins by number of pins with the
                                                                           percentage of total pins, and percentage of the top 10.
            flickr         4.26%

     We Heart It         2.89%

           houzz         2.065%

             bhg        1.89%

         imgfave        1.80%




Google seems to be the odd man out; among the top ten, it is the only
source that is just a search engine, so that raises the question: What
are people Googling? Our data suggests most people pinning Google
links are searching through Google image search and pinning an image
preview. For this reason, Google doesn’t carry the same weight as the
others on this list.




11
003




Categories           We used the Machine Learning Library from HPCC Systems to generate a list of
                     the top categories that boards fall into.




                      The 10 Most Popular Board Categories

                                               Fashion 2.76%

                                              Desserts 2.21%

                                                 Plain 1.92%

                                               Clothes 1.86%

                                              Birthday 1.13%

                                           Inspirational 1.12%

                                                Worth 1.12%

                                               Funnies 1.11%

                                                 Cute 1.02%

                                                Beach 0.97%

                     The next 10 categories: Kid, Romance, Entertaining,
                   Valentines, Cozy, Gadgets, Sayings, Easter, Patio, Vintage


                     What these categories are telling us is that if you’re in one of these big spaces,
                     you need to get in. It also tells us that there are unexplored spaces. Boards on
                     Pinterest are what users choose to make them. That means there is plenty of
                     undiscovered opportunity out there – see The Board of Man case study at the
                     end of this paper for an example. It also displays the weight and importance of
                     life stages in Pinterest, which just happens to be fundamental to relationship
                     marketing (see Valentines).




12
003



                         Location, Location, Location
                               Top 10 locations for Pinterest users
                                              Percent by Top 10 location

      Portland - 7%

                                                              Minneapolis - 10%
                                                                                                       New York - 22%
                                                                            Chicago - 8%

 San Francisco - 8%



     Los Angeles - 15%
         San Diego - 6%                                                                 Atlanta - 7%

                                                        Dallas - 7%


                                                     Austin - 10%




                              Top Pin Sources by Contrasting Cities
                           Top Pin Sources                            Top Pin Sources
                              California                                Minnesota
                             Percentage by Top 10                       Percentage by Top 10

                Uploaded by user               33%         Uploaded by user               30%

                etsy.com                       19%         google.com                     16%

                google.com                     12%         etsy.com                       16%

                flickr.com                     11%         flickr.com                      7%

                tumblr.com                      6%         polyvore.com                    6%

                weheartit.com                   5%         mommysavers.com                 6%

                marthastewart.com               4%         amazon.com                      5%

                wheatpaste.com                  4%         tumblr.com                      5%

                stylemepretty.com               3%         thekitchn.com                   5%

                polyvore.com                    3%         weheartit.com                   4%


13
004




Opportunities for Brands
One of Pinterest’s most distinctive characteristics
is the kind of interaction the platform invites
between user and brand. There’s an authenticity
that is created when fans of the brand are invited
to post and share. It becomes not just the brand’s
view, but also their influencers’ view of, and
experience with, the brand. It’s a very real and
substantive perspective. The platform also creates
a unique environment where a brand succeeds
based on the story they tell with their images.

That being said, there are a number of reasons
Pinterest is ripe for brand engagement now.
004




You’re          When Facebook and Twitter hit full swing,
                brands needed their own profile page to

Already         exist in the platforms. That’s not the
                case with Pinterest. Brands can end

There           up on the platform even if they don’t
                have a page, simply through people
                                                           Find out if you’ve been posted to Pinterest:
                finding and posting their imagery.
                                                             Just exchange your URL for amazon.com
                                                                             in this link:
                So help people out. Make sure
                                                            http://pinterest.com/source/amazoncom/
                your content and imagery is easily
                pinnable. Even if you’re not ready
                to create a Pinterest page, you can
                implement the “Pin It” button to allow
                customers to pin your products and other
                content to their boards.




It’s            Once upon a time, Facebook proclaimed their brand pages would make the website
                obsolete. Today, we know better. And Platforms like Pinterest are emphasizing why.

Connective      Social networks like Pinterest act as the connective tissue between a person’s social

Tissue          media experience and the brand’s “home base,” the website. It drives people from
                its platform back to the brand site – to more information, products, service and
                purchase. As a result, the website has never been more important. Neither have the
                social experiences that are adding life and exposure to those websites.


                                                                Zappos has a great example of
                                                                this with their TweetWall; this
                                                                aggregated content page features
                                                                product tweets from customers. On
                                                                this page, people can click through
                                                                to the website to learn more or buy
                                                                the product. Or, from the TweetWall,
                                                                they can pin content. It’s a great
                                                                multi-prong social effort that
                                                                showcases the way that social can
                                                                play hand-in-hand with the website.




15
004




There is Female Buying Power
While it’s interesting that millions of women were the first to jump
into this technology start-up, brands shouldn’t discount this figure
as some sort of disadvantage. Instead, they should embrace it.
Women control 80% of household discretionary spending
(according to the U.S. Census Bureau). Clearly, if women are
important to your brand, then you want to reach them here.




The Sheer Momentum
According to a January 2012 study by Shareholic, Pinterest has
surpassed content sharing power players LinkedIn, YouTube and
even Google+. That means there’s more Web referral traffic from
Pinterest than almost any other site. In fact, Pinterest is closing in on
Twitter and could exceed it in the near future.


Their base is now at 10 million users (January 2012), which is smaller than the top
social networks. Yet they have achieved a high rate of referral traffic with a user base
far smaller than that of LinkedIn and the others.




16
005




Getting Started
There’s no shortage of social platforms for
brands to create engagement. It can be easy to
attack every one with the same fervor. But it’s
important to take a step back and consider the
role that each platform plays.

Before hitting the road, a Pinterest strategy
needs to roll up into an overarching digital and
marketing strategy. Then, there are steps brands
can follow to get started the right way.
005




Rules of the Road
Goal                      What is the implementation goal? What can Pinterest provide the brand that is not
                          offered elsewhere across the Web?


Editorial Team            Who will participate in decision making for the platform and brainstorm board and
                          pin topics? How will legal play a part in agreeing on what can and cannot be shared on
                          Pinterest?
Team Structure            How often will the Editorial Team meet?
Audience                  Who are you trying to reach? (Demographics, psychographics)
Voice/Tone                What is the personality you intend to portray? (Funny, serious, friendly, informative)
Content Strategy          What boards will you create and what are the pins that best suit each board? (The
                          number of boards and pins on each)
Contribution Allocation   Who will contribute to each board? (Just the brand or will other people have rights to
                          add pins and collaborate?)
Pin Recommendation        Who will find, produce and recommend pins? Who will approve the pins prior to
& Approval	               uploading?
Community Managers        Who will monitor the page? How many people will monitor the community? (This will
                          need to be re-evaluated as page content and activity grows.)
Pinning Calendar          When will you post the boards and pins? (Timing and frequency)
Moderation Schedule       How often will boards be monitored? How often will the community manager respond to
                          comments?
Moderation Style          What will you monitor? Will you monitor the entire platform?
Moderation Keywords       What keywords will you monitor? Brand, industry, competitors, spokespeople,
                          executives? (This can be done via a Google search (Search string: “Pinterest: [keyword])
Response Matrix           What will you do if a user comments on a pin?
Monitoring Schedule       Who will monitor boards and how often?
Follow Strategy           Which user accounts will you follow to start? What is your ongoing strategy for
                          following users?
Crisis Plan               How will you react if there is a negative response to a pin or board?
Launch Plan               How will you bring people to your page? (Other social channels, .com sites, in-store
                          promotions, QR codes, email)




18
005




                Search Engine Optimization
                Pinterest can help build valuable backlinks (incoming links or links back to a website
                or Web page) that can seriously ramp up a site’s SEO efforts.


                No matter the method of posting content (Pinmarklet, “Pin It” button, etc.), a
                backlink is created to the originating content source. Think of these as “votes” in
                the eyes of the search engines. The more backlinks to your content, the better the
                chance a site has to be ranked higher in search engine results.




     The Power of Viral Syndication
                Once a user promotes a pinned item on their board, their followers can re-pin to
                their own boards. This process of re-pinning creates a viral syndication for the origi-
                nal content, with each re-pin creating a new, unique backlink from Pinterest to the
                site that provided the content. Each re-pin creates a new backlink. That means an in-
                teresting piece of content that goes viral could generate hundreds or even thousands
                of unique backlinks to the site that originally sourced the content.


                Without geeking out too much, suffice it to say that Pinterest is clearly in a learning
                mode. As they grow content, users and boards, we expect their linking policies will
                be more fluid and flex to best fit the needs of the platform and the community.




19
006




Risks
Social marketing experts have been preaching
to brands the benefits of letting their content
be free for years. And while we don’t want to
steer brands away from the fundamentals of
this philosophy, it’s important to understand the
risks and the rewards before jumping in.
006




Copyright         Pinterest’s growth and early adoption has not been without a few growing pains.
                  While no known court cases have been filed as of yet, there are rumblings and

Matters           concerns from photographers, stock image providers and others about concern
                  over their copyrighted content being sourced by non-owners. Since the potential to
                  go viral is so strong on Pinterest, there are concerns that original content is being
                  pinned and then re-pinned without the owner’s knowledge, or approval, which
                  creates a potential for thousands of copyright infringements from a single upload or
                  pin from the Web.


                  Pinterest has certain measures in place such as a Take Down Policy and an official
                  stance on copyrighted images. Even so, Pinterest, like ISPs, YouTube and others,
                  claims protection via the Digital Millennium Copyright Act (DMCA).


                  It’s also important to understand that the current Pinterest operator’s (Cold Brew
                  Labs) terms of service says they own what you post.


                  Images are already being pulled from your site and shared. If you haven’t thought
                  through how you feel about this and how it affects your business (positively or
                  negatively), then Pinterest should drive you to take a stand either way. For most
                  companies, the more their images are shared, the better it is for business. But, if you
                  are in the image business and need to take copyright terms seriously, you may want
                  to follow the Flickr model, meaning that photos uploaded or Pin-enabled should
                  include a Creative Commons license. Most corporate product images will most likely
                  be best protected under a Creative Commons license (Attribution-NonCommercial-
                  NoDerivs 3.0 Unported [CC BY-NC-ND 3.0]).




Beware            If you don’t have a Pinterest page secured, do it. Brand squatting, a lot like domain
                  squatting, is becoming an increasing hazard for brands. For example, http://pinterest.

of Brand          com/zappos is definitely NOT Zappos.


Squatting         With only a handful of major brands actually on Pinterest, it leaves a lot of
                  opportunities for regular people to grab your name, with good or bad intentions.
                  Either way, they don’t have your brand standards in mind. Our recommendation is
                  to grab your name, even if you don’t plan to use it right away.




21
007




Potential Game Changers
While Pinterest is clearly not having trouble
attracting users, there’s always room for growth –
and for improving the experience. For marketers,
two big additions need to happen to really blow
out the brand experience: an analytics platform
and an open API.
007




                       Web Analytics
                               For marketers to truly understand the value of this platform, they need
                                 the ability to measure. And, right now, there is no clean or easy way to
                                    understand the success of accounts, boards or pins. Websites are able
                                     to track referrals from Pinterest via tools like Google Analytics, but
                                      that’s about it. There’s really no way to track impressions of a pin
                                       or traffic to a page or board. Without an analytics platform, there
                                       isn’t a good way to test the life cycle of a pin, including virality,
                                       reach, engagement, and time of day best practices in the same way
                                       you can with Facebook analytics.




                                 APIs
                        The API bit is around the corner. In February, Pinterest announced an API, and
                    then quickly pulled all information about it. Still, certain parts of the API are publicly
     accessible. An open API would open the door to significantly more customization options and future
     integrations for Pinterest into other real estate on the Web.


     What is API? 

     “An application-programming interface (API) is a set of programming instructions and standards for
     accessing a Web-based software application or Web tool. A software company releases its API to the
     public so that other software developers can design products that are powered by its service.”
     — HowStuffWorks.com


     For example, Yelp uses Google’s API to layer their maps on top of their search results.




23
008




Case Studies
008
 Board
of Man


Unlike most startups, Pinterest’s early adopters weren’t
tech junkies. Instead, it attracted women, who found a
home using the site to find and share recipes, decorate their
homes, and share the images that moved and inspired them.
It started to look really female. So when men signed up, they
felt pretty out of place.


When Engauge’s Drew Hawkins joined Pinterest, it was part
lark, part experiment. Could you create a board that would
attract and engage men? He created “Board of Man” to
find out. Drew and his collaborators began pinning semi-
stereotypical “man” pins – lumberjacks, bacon, beer and
photos of Sean Connery. It was a test meant to see if it was
functionality that steered men away, or if it was simply an
issue of content.




What Brands Can Learn

Board of Man grew only slightly in its first few weeks. Gathering followers from all of its contributors, the board garnered
about 1,000 followers in a month, with several comments from men saying how Board of Man “got them off the bench”
with Pinterest.


Then, the board caught fire. Today, Board of Man grows by nearly 2,000 followers daily. Drew had uncovered an untapped
white space in the platform. The board proved to help men gain a common ground before creating their own space.


Drew learned that having a board with like-minded contributors helps build a community at a much quicker rate than
simply creating and adding to boards at an individual level. When a contributor added a pin, the content was shared among
all of their followers along with any other follower of Board of Man. It was a lesson in brand advocacy and the ways in which
leveraging online influencers as board contributors can help build a large community.


In Pinterest, audiences are built around one thing: content. Board of Man proved that men weren’t disinterested in Pinterest
because pinning was unmanly. They avoided the platform because there wasn’t any content that resonated with them.


Building a place for men to gather got them over the hump – they needed to be welcomed and have an example to follow.
Drew’s highly targeted board eventually resonated with thousands of men and helped shift the demographics of the fastest
growing websites out there.



25
008
                                                Chobani



While e-commerce brands could see Pinterest as a logical extension of their digital catalogues, some are using
the platform to tell a brand story. Chobani Greek Yogurt is leveraging the unique attributes of Pinterest, which
means developing an advanced version of their social media strategy, going beyond traditional status updates
and community management.


They created their Pinterest profile in October of 2011 and have forged a position as a brand leader on the
platform. They have a very clearly defined strategy that is markedly quieter than their heavily managed Facebook
and Twitter pages.


Chobani drives traffic to their own properties
from Pinterest by using boards like “Chobani
Kitchen,” which is one of their websites. Far more
impressive, though, is their ability to drive traffic
to external sites, like third-party blogs. Investing
in these relationships is a forward-thinking public
relations strategy. They understand the value of
tapping the people in the blog community who are
shaping the conversations around their product.


The main Chobani Pinterest account has 3,114
followers (as of March 1, 2012); that’s the number
of users who follow the whole set of their boards.
However, there are over 7,000 followers of their
“Chobaniac Creations” board.




What Chobani is Doing Right

•	   Humanizing their brand — They share relevant, valuable information that people want to discover.

•	   Promoting yogurt consumption through recipes — They drive interest in their category by aligning with their
     audience’s lifestyles. It’s also opened up an entirely new portfolio of imagery.

•	   Allowing users to self-select content — Chobani organizes their content by unique Pinboards. This lets their followers
     select the images and conversations that best fit them, be it Quotes, Recipes, or Inspiration.

•	   Limiting the number of pinboards and pins — More pins don’t equal a better board. This is a best practice of all
     brands’ social channels, but has become increasingly important for Pinterest. Followers respect the “quiet” fashion
     in which Chobani uses the platform. And as the number of strategically defined boards increases, so does the
     opportunity for future growth.




26
009




About Us
Engauge is a marketing
agency for the digital age.
Engauge is a full-service agency for the digital and social age.
We help grow our clients’ businesses by leveraging creativity
and technology to connect brands and consumers through
the most relevant content and channels.

The proliferation of content and channel opportunities
for both consumers and brands has forever changed the
communications landscape. What haven’t changed are
the core fundamentals of marketing: the ability to richly
understand a consumer; to derive a thoughtful insight; and
to create a big idea. For the past several years, Engauge has
helped lead its clients by staying true to these fundamentals,
while focusing on talent, technology, innovation and building
a dynamic range of capabilities – from the tried and true, to
social, mobile and whatever’s next.

Today’s marketing is assuredly more complex, but to us the
premise is still quite simple: listen to the client. Listen to the
consumer. And deliver big ideas at the right time and place.

For more information, contact:

Joe Koufman                      Engauge
Vice President, Business         1230 Peachtree Street NE
Development & Marketing          Suite 2200
404.601.4367                     Atlanta, Georgia 30309
jkoufman@engauge.com             engauge.com
Appendix

                          Pinterest: Data and Methodology
                                                    Quinn Chrzan1

                                                          Abstract
                        We discuss the methodology we used for obtaining and analyzing the Pinterest data.
                                    We also present data on the pin sources of an average user.



1. Introduction                                                      1.2. Data Analysis


1.1. Data Acquisition                                                The data we acquired was cleaned, processed, and
                                                                     analyzed using the HPCC Systems Big Data platform.
The bulk of the data discussed in this paper was obtained            We first cleaned and normalized the data, and then used
from spidering through Pinterest user profiles obtained              ECL to process the data so it could be analyzed. We used
from Google search results and scraping the relevant                 several built-in machine learning methods for generating
HTML. We also used frequency lists of gender and                     our results.
forename provided by the U.S. Census to help determine
the gender of Pinterest users. The scraping method was               2. Data
chosen because Pinterest did not have an API at the time
analysis began. After this project had started Pinterest             The average Pinterest user has 171 pins. With such an
briefly announced an API, then pulled all information                active user base, we are interested in first determining
about it, but left certain parts of the API publicly                 the content and distribution of those pins and then
accessible.                                                          analyzing the demographics of the users.

For the most part, the data we collected was unbiased.               2.1. Pins
The method we chose for collecting data did skew some
of the data on Pinterest users. Since we used Google to              2.1.1. Pin Distribution
get the list of users to begin spidering through, the users
we started with all tended to have a higher than average             We start by looking at the top sources for pins. We
number of followers. In our initial pull of data, number             collected 1,194,201 pins. Somewhat surprisingly, of the
of followers per user was heavily skewed toward the top.             pins we collected, more pins came from user submitted
While our final data was much less skewed, it still showed           content than from any other source. Table 2.2.1 shows
a slight bias toward a higher number of followers.                   the breakdown of the top sources for pins.




28
Appendix

                                                                   500
 Source                  % of Total          % of Top 10
                                                                   450
 User Uploaded           6.6                 59.05
                                                                   400
 Etsy                    1.04                9.36
                                                                   350
 Google                  0.92                8.25
                                                                   300
 Tumblr                  0.65                5.88
 polyvore                0.50                4.51                  250


 flickr                  0.47                4.26                  200


 weheartit               0.32                2.89                  150


 houzz                   0.23                2.06                  100


 bhg                     0.21                1.89                  50


 imgfave                 .20                 1.80                   0
                                                                     0    100   200   300   400   500   600   700   800   900   1000



Table 2.1.1: The top ten sources of pins by number of pins with
                                                                  Figure 2.1.1: Distribution of pin prices with a fitted Pareto
the percentage of total pins, and percentage of the top 10.
                                                                  distribution in red.

Google seems to be the odd man out; among the top
                                                                  We can use the fitted distribution as well as our data on
ten it is the only source that is just a search engine, so
                                                                  repins to develop an estimate for expected “pinability,”
that raises the question: What are people Googling? Our
                                                                  this tells us how likely an item is to be pinned and
data suggests that most people pinning Google links are
                                                                  repinned based on price. First, lets find the optimum
searching through Google image search and pinning an
                                                                  prices. Table 2.1.3 lists the price points that maximize
image preview.
                                                                  and minimize the chance of being repinned.

 Source                         % of Total
 Image Search                   82.9
 Google reader                  2.78
 Google Search                  2.73

Table 2.1.2 has the breakdown for the top Google sources.


2.1.2. Pin Prices


Next, we look out how pins are priced. Not surprisingly,
there is a large drop off in the number of pins as price
increases. As one might expect, the distribution of pins
follows a power law. Figure 2.1.1 shows the histogram of
the prices along with a fitted Pareto distribution.




29
Appendix

                                                              2.1.4. Pin Categories
      Maxima (USD)                 Minima (USD)
            1.00                         1.05                 We also want to know what people are pinning. We used
            1.50                         1.99                 the Machine Learning Library from HPCC Systems to
            2.00                         2.55                 generate a list of the top categories that boards fall into.
                                                              First we cleaned the board names and removed common
            3.00                         3.80
                                                              words, we then used an agglomerative hierarchical
            4.00                         5.80                 clustering algorithm for generating the categories. Table
            8.00                         8.99                 2.1.4 lists the top 10 categories in descending order
            9.00                         9.95
            9.99                         11.50                 Category               % of Total         % of Top 30

           12.95                         13.99                 FASHION                2.76               9.85

           22.00                         22.95                 DESSERTS               2.21               7.89

           25.99                         27.80                 PLAIN                  1.92               6.85

           29.50                         29.90                 CLOTHES                1.86               6.63

           29.99                         31.00                 BIRTHDAY               1.13               4.03

           34.95                         39.94                 INSPIRATIONAL          1.11               3.98

           42.00                         51.40                 WORTH                  1.11               3.98

           82.00                         88.00                 FUNNIES                1.11               3.96

           230.00                       248.00                 CUTE                   1.02               3.63

           250.00                       268.00                 BEACH                  0.97               3.46
                                                               KID                    0.93               3.34
Table 2.1.3: The local maxima and minima of the number of      ROMANCE                0.92               3.29
repins based on price.
                                                               ENTERTAINING           0.89               3.16
So what do these extrema tell us? It means if your item        VALENTINES             0.84               2.99
costs about a dollar, you’re much better off pricing it at     COZY                   0.77               2.74
$1.00 instead of $1.05, at least if you want it repinned.      GADGETS                0.67               2.4
We want to estimate our “pinnability” based on price. So
                                                               SAYINGS                0.66               2.37
we first need the coefficients for our Pareto distribution,
our fit from figure yielded coefficients: scale = 25.0183,     EASTER                 0.65               2.32
shape = 0.6010.                                                PATIO                  0.65               2.32
                                                               VINTAGE                0.59               2.1
We then fit a least squares polynomial to the average
number of repins based on price, and use this as our           DINNER                 0.57               2.05
weight function to calculate the expected value of             YUMMY                  0.57               2.05
“pinability” based on price. From this we find that            PRECIOUS               0.57               2.03
“pinability” drops off steeply after $5.00, so the optimum
                                                               PACKAGING              0.52               1.88
price for the average item on Pinterest is in the less than
$5.00 range.                                                   COLORS                 0.52               1.85
                                                               PLAYROOM               0.52               1.85
                                                               HAPPY                  0.5                1.80
                                                               LOOKS                  0.5                1.80
                                                               HOUSES                 0.46               1.65
                                                               ARCHITECTURE           0.44               1.58

                                                              Table 2.1.5: The most popular board categories.


30
Appendix

2.2. Users


Table 2.2.1 shows the statistics for the average Pinterest User.


                                                         Mean
 Followers                                                229.3
 Following                                                19.64
 Pins                                                   171.44
 Likes                                                    28.33
 Boards                                                    2.93

Table 2.2.1: Average of followers, following, pins, likes, and
boards over all users


The average user has ten times more followers than
people they are following. 17% of users are male,
16.13% of users have a Twitter account connected to
their Pinterest account, 16.34% provided a location, and
17.11% provided a description of themselves. The most
popular locations for Pinterest users are as follows:


 City                            % of Top 10
 New York                        22
 Los Angeles                     15
 Austin                          10
 Minneapolis                     10
 San Francisco                   8
 Chicago                         8
 Portland                        7
 Dallas                          7
 Atlanta                         7
 San Diego                       6

Table 2.2.2: Top locations and percent of Top10 by location.




31

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Engage Pinterest

  • 1. A Review of Social Media’s Newest Sweetheart
  • 2. Table of Contents 4 What is Pinterest? Growth History How People Use Pinterest The Act of Pinning 7 What’s Driving the Pinterest Craze? Digital Starts Reflecting Real Life A Shift from Creation to Curation 9 The Data A Pinterest Snapshot The Average User Where Pins Come From Categories Location, Location, Location 14 Opportunities for Brands You’re Already There It’s Connective Tissue There is Female Buying Power The Sheer Momentum 17 Getting Started Rules of the Road Search Engine Optimization 20 Risks Copyright Matters Beware of Brand Squatting 22 Potential Game Changers Web Analytics APIs 24 Case Studies Board of Man Chobani 27 About Us 28 Appendix
  • 3. It seems you can’t go a day without reading or hearing about social’s newest sweetheart – Pinterest. The social network has exploded in the last few months as a visual platform ripe for brands that value the aesthetic, although it’s not without its risks. There are a number of brands already testing the waters, including Chobani, Gap, West Elm and Michaels. While there is real value in the platform, before jumping in, companies need to understand the role Pinterest will play, not just in their social mix, but also in their entire marketing program. To get a handle on the opportunities, we needed to sift through the buzz, explore the usage patterns and analyze the data. So we worked with HPCC Systems from LexisNexis® Risk Solutions – an open source, enterprise- proven Big Data analytics provider.
  • 4. 001 What is Pinterest? Pinterest is a “virtual pinboard” where people can collect, organize and share the things they discover on the Web. The company says their mission is to “connect everyone in the world through the things they find interesting.” You might even call it a visual search engine. Pinterest users organize their finds (pins) into self-categorized image boards, which can link back to the source. For example, a user might have a “Fashion” board, or a “Humor” board, or a “Books Worth Reading” board.
  • 5. 001 Growth Pinterest is the fastest growing website in history. In June 2011, the platform had around 400,000 users. Today, less than a year later, Pinterest has surpassed 429% growth 10 million users. What’s most exciting about this from September to growth is its organic spread – they achieved this in December 2011. both beta and an “invites only” phase. - ComScore Ben Silbermann and Evan Sharp created History Nov. 2009 a website designed for visual collections. Ben’s fiancée came up with the name “Pinterest.” Mar. 2010 “Closed Beta” launched Aug. 2011 Named one of TIME Magazine’s “50 Best Websites of 2011” $27MM in funding from Andreessen Horowitz, put value of Oct. 2011 company at $200MM • Web traffic surpassed Etsy • More than 421MM page views Jan. Launched as one of Facebook’s first Open Graph Timeline apps • 2012 Named best New Startup of 2011 by TechCrunch Feb. Officially drove more traffic to retailers than LinkedIn, 2012 YouTube and Google+ 5
  • 6. 001 How People Pinterest reverses the concept of Google+ Circles. Instead of the user controlling with whom they share content, Pinterest puts that control in the visitors’ hands. Use Pinterest Visitors can choose to select all or just some of the boards of another user. For example, a guy may want to follow a girl’s “Books Worth Reading” board but not care about her “Wedding Inspiration” board. It’s a model that is reflected in the way people are using the platform. A recent Engauge Power Panel study showed that 90% of people said they use Pinterest to get ideas. Some even said that it makes them “feel like they can do anything.” The study also indicated that Pinterest helps people: • Get inspiration for their careers or hobbies (57%) • Store images of things they dream of having (53%) • Keep their thoughts and ideas organized (47%) • Share their ideas with others (32%) Pinterest is also becoming a place where people choose to hang out online. The same study indicated that two-thirds of people using the platform use it between 8pm and midnight and are on the site each day. 40% of users also indicated that they log on multiple times per day. The Act of People can pin content in many ways: • Pinning Uploading directly to Pinterest • Using the Pinmarklet, a browser plug-in that lets people pin images on the fly • Using a “Pin It” button (where available) – similar to the Like, Tweet, and Digg buttons that let you share content to your social networks 6
  • 7. 002 What’s Driving the Pinterest Craze? There are a number of factors that are converging at the same time to create a perfect storm for Pinterest. First, our lives have a shared fluidity to them that prompts us to talk, to share, and to try new things – like holidays, the birth of a child, marriages, and even home renovations. Add to this a confluence of digital trends, like the volume and availability of content, the rise of niche communities and the growing comfort and interest in curating and sharing content. Pinterest has quickly become a solution that gives people a frictionless way of doing all of these things. In fact, Pinterest’s user behavior and content patterns are reflecting a shift in how content is shared and consumed.
  • 8. 002 Digital Starts Reflecting Real Life People are more open to, if not expectant of, experiences online that mimic real life ones. That’s why we see success in commerce-driven social actions that do this. Remember “haul videos,” those show-and-tell shopping videos posted by teens on YouTube? It was something teens started doing on the Web because it’s something they did in real life. Online, it complements and socializes the shopping experience. A couple of years ago, JCPenney took advantage of this trend, turning haul videos into a central component of their back to school initiative. Not soon after, American Eagle and Forever 21 followed suit. Facebook is the 100-pound gorilla in the room and most consumers’ central “personal brand” hub. Yet social commerce will live and grow in other niche platforms too, like Pinterest, Tumblr, Instagram, Path and Meebo. A Shift from Creation to Curation Sharing images and content isn’t a new thing; the earliest social media success stories relied heavily on users creating and sharing their own content. Whether it was creating a photo album on Flickr, writing a status update on Facebook, writing a blog post, or uploading a video to YouTube, the social media world’s main focus centered on driving content creation. With visual content front and center, Pinterest allows it to be consumed more easily than text-based content. It’s this emphasis on visuals that has helped improve the “shareability” of their content. Now we’re seeing people shift more energy toward curating interesting and compelling content. People stare into a fire hose of information every day, and it’s having an impact. They’re actively seeking ways to not only filter and organize what they find, but also to less stressfully consume more content. That is the behavior Pinterest exploits. 8
  • 9. 003 The Data To understand the value of Pinterest, we need to know two things: how people are using the platform, so we can identify opportunities and “white space,” and where it falls in a consumer’s social media “consideration set.” First, where it falls in the consideration set. In Engauge’s Power Panel survey, we learned that 60% of people are using Pinterest even more than they did before. Yet only 38% said that it meant they were spending less time on other social networks. 61% indicated that they weren’t actually changing their time spent on other networks. What this tells us is that people aren’t abandoning Facebook as their “social hub.” Rather, their increasing use of Pinterest is something different, and will likely take away from other more niche networks. The rest of the data in this paper covers how people are using Pinterest - all data Engauge uncovered using LexisNexis’ HPCC Systems Big Data Platform.
  • 10. 003 A Pinterest Methodology: We obtained the data below by reviewing publicly accessible Pinterest user profiles and cleaned, Snapshot processed and analyzed the data using the HPCC Systems Big Data platform. Keep in mind that this data represents a snapshot in time. The platform will continue to grow and evolve, and it’s our job to keep an eye on its progress and seek out the opportunities this data uncovers. The Average User * Comscore, ** Econsultancy.com, *** Compete.com 10
  • 11. 003 Where Pins Come From Somewhat surprisingly, of the pins we collected, more pins came from user submitted content than from any other source. Top 10 Sources of Pins* User Upload 59.05% Source % of Total % of Top 10 User Uploaded 7% 59% Etsy 9.36% Etsy 1% 9% Google 8.25% Google 1% 8% Sources of Google Pins Tumblr 1% 6% Image Search 82.9% polyvore 0.5% 5% Other 11.59% flickr 0.5% 4% Google Reader 2.78% weheartit 0.3% 3% houzz 0.2% 2% Google Search 2.73% bhg 0.2% 2% Tumblr 5.88% imgfave 0.2% 2% polyvore 4.51% * The top ten sources of pins by number of pins with the percentage of total pins, and percentage of the top 10. flickr 4.26% We Heart It 2.89% houzz 2.065% bhg 1.89% imgfave 1.80% Google seems to be the odd man out; among the top ten, it is the only source that is just a search engine, so that raises the question: What are people Googling? Our data suggests most people pinning Google links are searching through Google image search and pinning an image preview. For this reason, Google doesn’t carry the same weight as the others on this list. 11
  • 12. 003 Categories We used the Machine Learning Library from HPCC Systems to generate a list of the top categories that boards fall into. The 10 Most Popular Board Categories Fashion 2.76% Desserts 2.21% Plain 1.92% Clothes 1.86% Birthday 1.13% Inspirational 1.12% Worth 1.12% Funnies 1.11% Cute 1.02% Beach 0.97% The next 10 categories: Kid, Romance, Entertaining, Valentines, Cozy, Gadgets, Sayings, Easter, Patio, Vintage What these categories are telling us is that if you’re in one of these big spaces, you need to get in. It also tells us that there are unexplored spaces. Boards on Pinterest are what users choose to make them. That means there is plenty of undiscovered opportunity out there – see The Board of Man case study at the end of this paper for an example. It also displays the weight and importance of life stages in Pinterest, which just happens to be fundamental to relationship marketing (see Valentines). 12
  • 13. 003 Location, Location, Location Top 10 locations for Pinterest users Percent by Top 10 location Portland - 7% Minneapolis - 10% New York - 22% Chicago - 8% San Francisco - 8% Los Angeles - 15% San Diego - 6% Atlanta - 7% Dallas - 7% Austin - 10% Top Pin Sources by Contrasting Cities Top Pin Sources Top Pin Sources California Minnesota Percentage by Top 10 Percentage by Top 10 Uploaded by user 33% Uploaded by user 30% etsy.com 19% google.com 16% google.com 12% etsy.com 16% flickr.com 11% flickr.com 7% tumblr.com 6% polyvore.com 6% weheartit.com 5% mommysavers.com 6% marthastewart.com 4% amazon.com 5% wheatpaste.com 4% tumblr.com 5% stylemepretty.com 3% thekitchn.com 5% polyvore.com 3% weheartit.com 4% 13
  • 14. 004 Opportunities for Brands One of Pinterest’s most distinctive characteristics is the kind of interaction the platform invites between user and brand. There’s an authenticity that is created when fans of the brand are invited to post and share. It becomes not just the brand’s view, but also their influencers’ view of, and experience with, the brand. It’s a very real and substantive perspective. The platform also creates a unique environment where a brand succeeds based on the story they tell with their images. That being said, there are a number of reasons Pinterest is ripe for brand engagement now.
  • 15. 004 You’re When Facebook and Twitter hit full swing, brands needed their own profile page to Already exist in the platforms. That’s not the case with Pinterest. Brands can end There up on the platform even if they don’t have a page, simply through people Find out if you’ve been posted to Pinterest: finding and posting their imagery. Just exchange your URL for amazon.com in this link: So help people out. Make sure http://pinterest.com/source/amazoncom/ your content and imagery is easily pinnable. Even if you’re not ready to create a Pinterest page, you can implement the “Pin It” button to allow customers to pin your products and other content to their boards. It’s Once upon a time, Facebook proclaimed their brand pages would make the website obsolete. Today, we know better. And Platforms like Pinterest are emphasizing why. Connective Social networks like Pinterest act as the connective tissue between a person’s social Tissue media experience and the brand’s “home base,” the website. It drives people from its platform back to the brand site – to more information, products, service and purchase. As a result, the website has never been more important. Neither have the social experiences that are adding life and exposure to those websites. Zappos has a great example of this with their TweetWall; this aggregated content page features product tweets from customers. On this page, people can click through to the website to learn more or buy the product. Or, from the TweetWall, they can pin content. It’s a great multi-prong social effort that showcases the way that social can play hand-in-hand with the website. 15
  • 16. 004 There is Female Buying Power While it’s interesting that millions of women were the first to jump into this technology start-up, brands shouldn’t discount this figure as some sort of disadvantage. Instead, they should embrace it. Women control 80% of household discretionary spending (according to the U.S. Census Bureau). Clearly, if women are important to your brand, then you want to reach them here. The Sheer Momentum According to a January 2012 study by Shareholic, Pinterest has surpassed content sharing power players LinkedIn, YouTube and even Google+. That means there’s more Web referral traffic from Pinterest than almost any other site. In fact, Pinterest is closing in on Twitter and could exceed it in the near future. Their base is now at 10 million users (January 2012), which is smaller than the top social networks. Yet they have achieved a high rate of referral traffic with a user base far smaller than that of LinkedIn and the others. 16
  • 17. 005 Getting Started There’s no shortage of social platforms for brands to create engagement. It can be easy to attack every one with the same fervor. But it’s important to take a step back and consider the role that each platform plays. Before hitting the road, a Pinterest strategy needs to roll up into an overarching digital and marketing strategy. Then, there are steps brands can follow to get started the right way.
  • 18. 005 Rules of the Road Goal What is the implementation goal? What can Pinterest provide the brand that is not offered elsewhere across the Web? Editorial Team Who will participate in decision making for the platform and brainstorm board and pin topics? How will legal play a part in agreeing on what can and cannot be shared on Pinterest? Team Structure How often will the Editorial Team meet? Audience Who are you trying to reach? (Demographics, psychographics) Voice/Tone What is the personality you intend to portray? (Funny, serious, friendly, informative) Content Strategy What boards will you create and what are the pins that best suit each board? (The number of boards and pins on each) Contribution Allocation Who will contribute to each board? (Just the brand or will other people have rights to add pins and collaborate?) Pin Recommendation Who will find, produce and recommend pins? Who will approve the pins prior to & Approval uploading? Community Managers Who will monitor the page? How many people will monitor the community? (This will need to be re-evaluated as page content and activity grows.) Pinning Calendar When will you post the boards and pins? (Timing and frequency) Moderation Schedule How often will boards be monitored? How often will the community manager respond to comments? Moderation Style What will you monitor? Will you monitor the entire platform? Moderation Keywords What keywords will you monitor? Brand, industry, competitors, spokespeople, executives? (This can be done via a Google search (Search string: “Pinterest: [keyword]) Response Matrix What will you do if a user comments on a pin? Monitoring Schedule Who will monitor boards and how often? Follow Strategy Which user accounts will you follow to start? What is your ongoing strategy for following users? Crisis Plan How will you react if there is a negative response to a pin or board? Launch Plan How will you bring people to your page? (Other social channels, .com sites, in-store promotions, QR codes, email) 18
  • 19. 005 Search Engine Optimization Pinterest can help build valuable backlinks (incoming links or links back to a website or Web page) that can seriously ramp up a site’s SEO efforts. No matter the method of posting content (Pinmarklet, “Pin It” button, etc.), a backlink is created to the originating content source. Think of these as “votes” in the eyes of the search engines. The more backlinks to your content, the better the chance a site has to be ranked higher in search engine results. The Power of Viral Syndication Once a user promotes a pinned item on their board, their followers can re-pin to their own boards. This process of re-pinning creates a viral syndication for the origi- nal content, with each re-pin creating a new, unique backlink from Pinterest to the site that provided the content. Each re-pin creates a new backlink. That means an in- teresting piece of content that goes viral could generate hundreds or even thousands of unique backlinks to the site that originally sourced the content. Without geeking out too much, suffice it to say that Pinterest is clearly in a learning mode. As they grow content, users and boards, we expect their linking policies will be more fluid and flex to best fit the needs of the platform and the community. 19
  • 20. 006 Risks Social marketing experts have been preaching to brands the benefits of letting their content be free for years. And while we don’t want to steer brands away from the fundamentals of this philosophy, it’s important to understand the risks and the rewards before jumping in.
  • 21. 006 Copyright Pinterest’s growth and early adoption has not been without a few growing pains. While no known court cases have been filed as of yet, there are rumblings and Matters concerns from photographers, stock image providers and others about concern over their copyrighted content being sourced by non-owners. Since the potential to go viral is so strong on Pinterest, there are concerns that original content is being pinned and then re-pinned without the owner’s knowledge, or approval, which creates a potential for thousands of copyright infringements from a single upload or pin from the Web. Pinterest has certain measures in place such as a Take Down Policy and an official stance on copyrighted images. Even so, Pinterest, like ISPs, YouTube and others, claims protection via the Digital Millennium Copyright Act (DMCA). It’s also important to understand that the current Pinterest operator’s (Cold Brew Labs) terms of service says they own what you post. Images are already being pulled from your site and shared. If you haven’t thought through how you feel about this and how it affects your business (positively or negatively), then Pinterest should drive you to take a stand either way. For most companies, the more their images are shared, the better it is for business. But, if you are in the image business and need to take copyright terms seriously, you may want to follow the Flickr model, meaning that photos uploaded or Pin-enabled should include a Creative Commons license. Most corporate product images will most likely be best protected under a Creative Commons license (Attribution-NonCommercial- NoDerivs 3.0 Unported [CC BY-NC-ND 3.0]). Beware If you don’t have a Pinterest page secured, do it. Brand squatting, a lot like domain squatting, is becoming an increasing hazard for brands. For example, http://pinterest. of Brand com/zappos is definitely NOT Zappos. Squatting With only a handful of major brands actually on Pinterest, it leaves a lot of opportunities for regular people to grab your name, with good or bad intentions. Either way, they don’t have your brand standards in mind. Our recommendation is to grab your name, even if you don’t plan to use it right away. 21
  • 22. 007 Potential Game Changers While Pinterest is clearly not having trouble attracting users, there’s always room for growth – and for improving the experience. For marketers, two big additions need to happen to really blow out the brand experience: an analytics platform and an open API.
  • 23. 007 Web Analytics For marketers to truly understand the value of this platform, they need the ability to measure. And, right now, there is no clean or easy way to understand the success of accounts, boards or pins. Websites are able to track referrals from Pinterest via tools like Google Analytics, but that’s about it. There’s really no way to track impressions of a pin or traffic to a page or board. Without an analytics platform, there isn’t a good way to test the life cycle of a pin, including virality, reach, engagement, and time of day best practices in the same way you can with Facebook analytics. APIs The API bit is around the corner. In February, Pinterest announced an API, and then quickly pulled all information about it. Still, certain parts of the API are publicly accessible. An open API would open the door to significantly more customization options and future integrations for Pinterest into other real estate on the Web. What is API?  “An application-programming interface (API) is a set of programming instructions and standards for accessing a Web-based software application or Web tool. A software company releases its API to the public so that other software developers can design products that are powered by its service.” — HowStuffWorks.com For example, Yelp uses Google’s API to layer their maps on top of their search results. 23
  • 25. 008 Board of Man Unlike most startups, Pinterest’s early adopters weren’t tech junkies. Instead, it attracted women, who found a home using the site to find and share recipes, decorate their homes, and share the images that moved and inspired them. It started to look really female. So when men signed up, they felt pretty out of place. When Engauge’s Drew Hawkins joined Pinterest, it was part lark, part experiment. Could you create a board that would attract and engage men? He created “Board of Man” to find out. Drew and his collaborators began pinning semi- stereotypical “man” pins – lumberjacks, bacon, beer and photos of Sean Connery. It was a test meant to see if it was functionality that steered men away, or if it was simply an issue of content. What Brands Can Learn Board of Man grew only slightly in its first few weeks. Gathering followers from all of its contributors, the board garnered about 1,000 followers in a month, with several comments from men saying how Board of Man “got them off the bench” with Pinterest. Then, the board caught fire. Today, Board of Man grows by nearly 2,000 followers daily. Drew had uncovered an untapped white space in the platform. The board proved to help men gain a common ground before creating their own space. Drew learned that having a board with like-minded contributors helps build a community at a much quicker rate than simply creating and adding to boards at an individual level. When a contributor added a pin, the content was shared among all of their followers along with any other follower of Board of Man. It was a lesson in brand advocacy and the ways in which leveraging online influencers as board contributors can help build a large community. In Pinterest, audiences are built around one thing: content. Board of Man proved that men weren’t disinterested in Pinterest because pinning was unmanly. They avoided the platform because there wasn’t any content that resonated with them. Building a place for men to gather got them over the hump – they needed to be welcomed and have an example to follow. Drew’s highly targeted board eventually resonated with thousands of men and helped shift the demographics of the fastest growing websites out there. 25
  • 26. 008 Chobani While e-commerce brands could see Pinterest as a logical extension of their digital catalogues, some are using the platform to tell a brand story. Chobani Greek Yogurt is leveraging the unique attributes of Pinterest, which means developing an advanced version of their social media strategy, going beyond traditional status updates and community management. They created their Pinterest profile in October of 2011 and have forged a position as a brand leader on the platform. They have a very clearly defined strategy that is markedly quieter than their heavily managed Facebook and Twitter pages. Chobani drives traffic to their own properties from Pinterest by using boards like “Chobani Kitchen,” which is one of their websites. Far more impressive, though, is their ability to drive traffic to external sites, like third-party blogs. Investing in these relationships is a forward-thinking public relations strategy. They understand the value of tapping the people in the blog community who are shaping the conversations around their product. The main Chobani Pinterest account has 3,114 followers (as of March 1, 2012); that’s the number of users who follow the whole set of their boards. However, there are over 7,000 followers of their “Chobaniac Creations” board. What Chobani is Doing Right • Humanizing their brand — They share relevant, valuable information that people want to discover. • Promoting yogurt consumption through recipes — They drive interest in their category by aligning with their audience’s lifestyles. It’s also opened up an entirely new portfolio of imagery. • Allowing users to self-select content — Chobani organizes their content by unique Pinboards. This lets their followers select the images and conversations that best fit them, be it Quotes, Recipes, or Inspiration. • Limiting the number of pinboards and pins — More pins don’t equal a better board. This is a best practice of all brands’ social channels, but has become increasingly important for Pinterest. Followers respect the “quiet” fashion in which Chobani uses the platform. And as the number of strategically defined boards increases, so does the opportunity for future growth. 26
  • 27. 009 About Us Engauge is a marketing agency for the digital age. Engauge is a full-service agency for the digital and social age. We help grow our clients’ businesses by leveraging creativity and technology to connect brands and consumers through the most relevant content and channels. The proliferation of content and channel opportunities for both consumers and brands has forever changed the communications landscape. What haven’t changed are the core fundamentals of marketing: the ability to richly understand a consumer; to derive a thoughtful insight; and to create a big idea. For the past several years, Engauge has helped lead its clients by staying true to these fundamentals, while focusing on talent, technology, innovation and building a dynamic range of capabilities – from the tried and true, to social, mobile and whatever’s next. Today’s marketing is assuredly more complex, but to us the premise is still quite simple: listen to the client. Listen to the consumer. And deliver big ideas at the right time and place. For more information, contact: Joe Koufman Engauge Vice President, Business 1230 Peachtree Street NE Development & Marketing Suite 2200 404.601.4367 Atlanta, Georgia 30309 jkoufman@engauge.com engauge.com
  • 28. Appendix Pinterest: Data and Methodology Quinn Chrzan1 Abstract We discuss the methodology we used for obtaining and analyzing the Pinterest data. We also present data on the pin sources of an average user. 1. Introduction 1.2. Data Analysis 1.1. Data Acquisition The data we acquired was cleaned, processed, and analyzed using the HPCC Systems Big Data platform. The bulk of the data discussed in this paper was obtained We first cleaned and normalized the data, and then used from spidering through Pinterest user profiles obtained ECL to process the data so it could be analyzed. We used from Google search results and scraping the relevant several built-in machine learning methods for generating HTML. We also used frequency lists of gender and our results. forename provided by the U.S. Census to help determine the gender of Pinterest users. The scraping method was 2. Data chosen because Pinterest did not have an API at the time analysis began. After this project had started Pinterest The average Pinterest user has 171 pins. With such an briefly announced an API, then pulled all information active user base, we are interested in first determining about it, but left certain parts of the API publicly the content and distribution of those pins and then accessible. analyzing the demographics of the users. For the most part, the data we collected was unbiased. 2.1. Pins The method we chose for collecting data did skew some of the data on Pinterest users. Since we used Google to 2.1.1. Pin Distribution get the list of users to begin spidering through, the users we started with all tended to have a higher than average We start by looking at the top sources for pins. We number of followers. In our initial pull of data, number collected 1,194,201 pins. Somewhat surprisingly, of the of followers per user was heavily skewed toward the top. pins we collected, more pins came from user submitted While our final data was much less skewed, it still showed content than from any other source. Table 2.2.1 shows a slight bias toward a higher number of followers. the breakdown of the top sources for pins. 28
  • 29. Appendix 500 Source % of Total % of Top 10 450 User Uploaded 6.6 59.05 400 Etsy 1.04 9.36 350 Google 0.92 8.25 300 Tumblr 0.65 5.88 polyvore 0.50 4.51 250 flickr 0.47 4.26 200 weheartit 0.32 2.89 150 houzz 0.23 2.06 100 bhg 0.21 1.89 50 imgfave .20 1.80 0 0 100 200 300 400 500 600 700 800 900 1000 Table 2.1.1: The top ten sources of pins by number of pins with Figure 2.1.1: Distribution of pin prices with a fitted Pareto the percentage of total pins, and percentage of the top 10. distribution in red. Google seems to be the odd man out; among the top We can use the fitted distribution as well as our data on ten it is the only source that is just a search engine, so repins to develop an estimate for expected “pinability,” that raises the question: What are people Googling? Our this tells us how likely an item is to be pinned and data suggests that most people pinning Google links are repinned based on price. First, lets find the optimum searching through Google image search and pinning an prices. Table 2.1.3 lists the price points that maximize image preview. and minimize the chance of being repinned. Source % of Total Image Search 82.9 Google reader 2.78 Google Search 2.73 Table 2.1.2 has the breakdown for the top Google sources. 2.1.2. Pin Prices Next, we look out how pins are priced. Not surprisingly, there is a large drop off in the number of pins as price increases. As one might expect, the distribution of pins follows a power law. Figure 2.1.1 shows the histogram of the prices along with a fitted Pareto distribution. 29
  • 30. Appendix 2.1.4. Pin Categories Maxima (USD) Minima (USD) 1.00 1.05 We also want to know what people are pinning. We used 1.50 1.99 the Machine Learning Library from HPCC Systems to 2.00 2.55 generate a list of the top categories that boards fall into. First we cleaned the board names and removed common 3.00 3.80 words, we then used an agglomerative hierarchical 4.00 5.80 clustering algorithm for generating the categories. Table 8.00 8.99 2.1.4 lists the top 10 categories in descending order 9.00 9.95 9.99 11.50 Category % of Total % of Top 30 12.95 13.99 FASHION 2.76 9.85 22.00 22.95 DESSERTS 2.21 7.89 25.99 27.80 PLAIN 1.92 6.85 29.50 29.90 CLOTHES 1.86 6.63 29.99 31.00 BIRTHDAY 1.13 4.03 34.95 39.94 INSPIRATIONAL 1.11 3.98 42.00 51.40 WORTH 1.11 3.98 82.00 88.00 FUNNIES 1.11 3.96 230.00 248.00 CUTE 1.02 3.63 250.00 268.00 BEACH 0.97 3.46 KID 0.93 3.34 Table 2.1.3: The local maxima and minima of the number of ROMANCE 0.92 3.29 repins based on price. ENTERTAINING 0.89 3.16 So what do these extrema tell us? It means if your item VALENTINES 0.84 2.99 costs about a dollar, you’re much better off pricing it at COZY 0.77 2.74 $1.00 instead of $1.05, at least if you want it repinned. GADGETS 0.67 2.4 We want to estimate our “pinnability” based on price. So SAYINGS 0.66 2.37 we first need the coefficients for our Pareto distribution, our fit from figure yielded coefficients: scale = 25.0183, EASTER 0.65 2.32 shape = 0.6010. PATIO 0.65 2.32 VINTAGE 0.59 2.1 We then fit a least squares polynomial to the average number of repins based on price, and use this as our DINNER 0.57 2.05 weight function to calculate the expected value of YUMMY 0.57 2.05 “pinability” based on price. From this we find that PRECIOUS 0.57 2.03 “pinability” drops off steeply after $5.00, so the optimum PACKAGING 0.52 1.88 price for the average item on Pinterest is in the less than $5.00 range. COLORS 0.52 1.85 PLAYROOM 0.52 1.85 HAPPY 0.5 1.80 LOOKS 0.5 1.80 HOUSES 0.46 1.65 ARCHITECTURE 0.44 1.58 Table 2.1.5: The most popular board categories. 30
  • 31. Appendix 2.2. Users Table 2.2.1 shows the statistics for the average Pinterest User. Mean Followers 229.3 Following 19.64 Pins 171.44 Likes 28.33 Boards 2.93 Table 2.2.1: Average of followers, following, pins, likes, and boards over all users The average user has ten times more followers than people they are following. 17% of users are male, 16.13% of users have a Twitter account connected to their Pinterest account, 16.34% provided a location, and 17.11% provided a description of themselves. The most popular locations for Pinterest users are as follows: City % of Top 10 New York 22 Los Angeles 15 Austin 10 Minneapolis 10 San Francisco 8 Chicago 8 Portland 7 Dallas 7 Atlanta 7 San Diego 6 Table 2.2.2: Top locations and percent of Top10 by location. 31