Has Pinterest broken a growth-crippling golden rule?
Interesting question here – why are we so concerned about Pinterest making money off our interactions when Facebook has been doing it for years – but with our much more personal information?
Is it because more people understand affiliate marketing – and have experienced the spammy nature of its content? Or is it that most people just don’t understand how Facebook makes money from them?
The interesting, or perhaps biggest risk I see Pinterest facing is in the relationships it will now have (or perhaps, NOT have) with brands.
The launch of Google + brand Pages saw its biggest growth spurt in users since it launched – as brands scrambled to create their own space – but what will brands now think about the affiliate relationship with Pinterest content?
Whether brands are using Pinterest in any kind of “subversive” manner (i.e. creating profiles called their company name for example and collating customer/product-related pins), even now they must be thinking twice that potentially, content they are creating for their own customers is funding another business, or worse still, is actually COSTING them money through the affiliate links Pinterest is adding.
Tough times ahead which, on the face of it but which could have a simple solution – search-indexed premium brand pages with customisation capabilities would more than offset the sparce revenues that affiliate marketing would generate.