A Complete Guide To How Pinterest Makes Money.

The company, founded in 2010, previously received $1.5 billion in funding from 37 firms including Rakuten, Goldman Sachs (GS), and Andreessen Horowitz. It was valued at $12.3 billion during its last round of funding in 2017.

Pinterest makes its money through sponsored posts. Promoted pins are ads that look similar to user-generated posts (pins).

Pinterest plans to pursue opportunities for increasing revenue. One way it intends to do this is by expanding internationally, focusing on video and increasing ad capabilities, as well as pursuing its own e-commerce efforts.

Pinterest’s revenue model is based on the sale of “promoted pins,” which allows brands to pay Pinterest for increased visibility. The company has a unique way of generating revenue by employing a “pin” system instead of traditional links. This pin system integrates a “buy it” button that directs users directly to the merchant's site