Why are we so concerned about a report by LL Social that popular online pinboard Pinterest is making money off our interactions when Facebook has been doing it for years—but with our much more personal information?
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 (e.g., 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 are ahead on the face of it, but this could have a simple solution: search-indexed premium brand pages with customization capabilities would more than offset the sparse revenues that affiliate marketing would generate.
What are your thoughts?