Still, one investor, who hasn’t backed Pinterest but did partake in an early Facebook investment, tells us:
“If told I could only invest in early Facebook or Pinterest, I’d invest in Pinterest.”
This investor says he’d go long on Pinterest because he believes there’s more revenue upside for the picture pinning site than for Facebook.
“I like Pinterest as a business potential over Facebook. The valuation is high but the promise is significant. I think you’re going to see retailers turn it into an ecommerce retail catalogue.”
When you look at the environments Facebook and Pinterest are creating for users, advertisers seem to fit in the mix much better in the latter.
Facebook is place for hanging out with friends. And when you’re hanging out with friends, you might notice ads nearby or you might not. On Pinterest, people go to discover things they like. And when people find something they like, it often ends in a purchase.
If you’re having trouble getting your mind around the photo sharing site, read:
- A Non-Geek’s Guide To Pinterest >
- 22 Incredible Images That Show Why Pinterest Gets Billions Of Monthly Pageviews >