Why Pinterest's 100 million users are back and reshaping ecommerce

Justin Sullivan | Getty Images

It wasn’t too long ago that many were predicting the demise of Pinterest.

Even Business Insider was bearish on the social media platform, citing a report by AppData, which showed a massive decline in Pinterest users. At one point in 2012 Pinterest lost more than a quarter of its active users in a single month. Here’s a chart from that post:

Since then, however, Pinterest has gained favour again, breaking out of its niche to reach a 100 million users and capturing some great demographics along the way.

The recovery was also financial – in March this year it closed a funding round valuing it north of $US11 billion, placing it in the upper echelons of Silicon Valley.

Here’s a nice visual of Pinterest’s recovery. This is the amount of Google searches for Pinterest in the past 10 years:

But this is more than a good news story for Pinterest; it has repercussions over the entire ecommerce sphere.

The reason? The way Pinterest users use the service – to shop.

According to online shopping tool Shopify, 93% of Pinterest users use it to plan purchases, more than two million products are “pinned” every day, and the average value of sales from Pinterest is $US50.

So as the holiday season approaches, 100 million Pinterest users is music to a great many shopkeepers’ ears.

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