1
00:00:02,400 --> 00:00:06,800
Speaker 1: Bloomberg Audio Studios, podcasts, radio news.

2
00:00:07,040 --> 00:00:10,119
Speaker 2: Let's dive deeper into Pinterest and those first quarter sales

3
00:00:10,240 --> 00:00:14,040
Speaker 2: use the growth with Pinterest CEO Bill Ready, Bill terrific

4
00:00:14,080 --> 00:00:17,600
Speaker 2: to have you on the program. The story seems quite clear,

5
00:00:18,120 --> 00:00:23,040
Speaker 2: Pinterest pushing into shopping and Pinterest focusing on gen Z users. Right.

6
00:00:23,280 --> 00:00:26,239
Speaker 2: My question to start, what is the relationship in the

7
00:00:26,280 --> 00:00:29,800
Speaker 2: activity between the shopping and the gen Z users.

8
00:00:31,160 --> 00:00:33,720
Speaker 1: Yeah, so you know, we're finding our best product market

9
00:00:33,720 --> 00:00:36,360
Speaker 1: fit in years. We've hit an all time high with

10
00:00:36,440 --> 00:00:39,159
Speaker 1: users more than half a billion users and as you noted,

11
00:00:39,880 --> 00:00:42,400
Speaker 1: gen Z is our largest demographic. It's now more than

12
00:00:42,479 --> 00:00:45,080
Speaker 1: forty percent of our platform, and it's our fastest growing

13
00:00:45,080 --> 00:00:48,720
Speaker 1: demographic as well. And at the core of that growth

14
00:00:48,760 --> 00:00:53,000
Speaker 1: with gen Z has been the rising actionability in the platform.

15
00:00:53,479 --> 00:00:56,320
Speaker 1: Pinterestes where gen Z goes to shop, and as we've

16
00:00:56,360 --> 00:00:58,720
Speaker 1: made Pinterest more actionable so that people who can get

17
00:00:58,720 --> 00:01:00,880
Speaker 1: to more of the things they're finding out on Pinterest,

18
00:01:01,280 --> 00:01:04,280
Speaker 1: we're seeing that work really well for users, where we've

19
00:01:04,280 --> 00:01:07,360
Speaker 1: accelerated user growth for seven straight quarters now, but it's

20
00:01:07,400 --> 00:01:11,200
Speaker 1: also cutting through for advertisers, where as you noted, revenue

21
00:01:11,200 --> 00:01:14,920
Speaker 1: group twenty three percent this quarter, nearly doubling our revenue

22
00:01:14,920 --> 00:01:17,479
Speaker 1: growth rate from last quarter, and so we're really seeing

23
00:01:17,520 --> 00:01:20,480
Speaker 1: this be quite synergistic between users finding the things that

24
00:01:20,480 --> 00:01:22,920
Speaker 1: they love on Pinterest and then advertisers finding this is

25
00:01:22,959 --> 00:01:25,200
Speaker 1: a great place for them to meet users that are

26
00:01:25,200 --> 00:01:26,720
Speaker 1: in market looking to shop and buy.

27
00:01:27,040 --> 00:01:28,920
Speaker 3: And let's just talk about some of the synergies that

28
00:01:28,959 --> 00:01:31,440
Speaker 3: you've managed to bring to bear with Amazon, with Google,

29
00:01:31,600 --> 00:01:35,120
Speaker 3: with those ad partnerships. Bill, how much of that advertising

30
00:01:35,200 --> 00:01:37,360
Speaker 3: optic is thanks to these third parties.

31
00:01:38,400 --> 00:01:41,200
Speaker 1: Well, you know, on the shop ability front, you know,

32
00:01:41,560 --> 00:01:44,119
Speaker 1: historically Pinterests has solved digital window shopping, but it's hard

33
00:01:44,160 --> 00:01:45,760
Speaker 1: to get to the things that you found on Pinterest.

34
00:01:46,400 --> 00:01:49,880
Speaker 1: We have opened the stores, and in doing that, we're

35
00:01:49,920 --> 00:01:53,600
Speaker 1: seeing that retailers broadly are finding great performance on Pinterest.

36
00:01:53,680 --> 00:01:56,440
Speaker 1: At the core of our revenue acceleration has been our

37
00:01:56,520 --> 00:02:02,000
Speaker 1: strength in low funnel actionability users that are clicking and buying.

38
00:02:02,200 --> 00:02:04,160
Speaker 1: We more than double the number of clicks we sent

39
00:02:04,200 --> 00:02:06,760
Speaker 1: to advertisers in Q four, and we did it again

40
00:02:06,840 --> 00:02:09,760
Speaker 1: in Q one. That is broad based, but we are

41
00:02:09,760 --> 00:02:14,080
Speaker 1: seeing our best strength with the largest, most sophisticated retailers

42
00:02:14,120 --> 00:02:17,560
Speaker 1: that provide really great buying experiences. We're quite pleased with that,

43
00:02:18,040 --> 00:02:20,160
Speaker 1: and we also see that the third party demand that

44
00:02:20,160 --> 00:02:22,640
Speaker 1: we've brought onto the platform is doing exactly what it

45
00:02:22,680 --> 00:02:25,360
Speaker 1: was intended to do, which is rounding out gaps in

46
00:02:25,400 --> 00:02:29,520
Speaker 1: our auction and bringing more great, shoppable, biable content onto

47
00:02:29,639 --> 00:02:32,360
Speaker 1: pinterest so that when users find what they're looking for

48
00:02:32,400 --> 00:02:34,200
Speaker 1: in Pinterest, they can easily click and buy it.

49
00:02:36,200 --> 00:02:38,920
Speaker 2: This was a milestone quarter in the sense that global

50
00:02:38,960 --> 00:02:42,760
Speaker 2: monthly uses past half a billion for the first time.

51
00:02:43,480 --> 00:02:46,080
Speaker 2: You've put a lot of emphasis on gen Z, So

52
00:02:46,240 --> 00:02:49,040
Speaker 2: look forward, what is the arc of user growth and

53
00:02:49,080 --> 00:02:52,720
Speaker 2: what drives it? What brings in you users to your platform?

54
00:02:52,800 --> 00:02:56,079
Speaker 1: Bill Yeah, So, as I mentioned, this is our seventh

55
00:02:56,080 --> 00:03:00,239
Speaker 1: consecutive quarter of accelerating user growth. We've accelerated in every

56
00:03:00,280 --> 00:03:04,320
Speaker 1: geography and with every generation that we track. Gen zs

57
00:03:04,360 --> 00:03:07,079
Speaker 1: are fastest growing in our largest but you have millennials

58
00:03:07,160 --> 00:03:10,000
Speaker 1: right behind that. So our improvement in the product has

59
00:03:10,040 --> 00:03:12,520
Speaker 1: been broad based, and it is that actionability at the core.

60
00:03:12,760 --> 00:03:14,560
Speaker 1: But I would say we are just getting going with that.

61
00:03:14,680 --> 00:03:17,880
Speaker 1: We see much more building momentum in that as we

62
00:03:17,960 --> 00:03:21,760
Speaker 1: look forward, and it's both the actionability as well as

63
00:03:21,760 --> 00:03:25,720
Speaker 1: the positivity that we're bringing into it. We've made tremendous

64
00:03:25,760 --> 00:03:30,320
Speaker 1: strides with AI, and AI is bringing more relevant recommendations

65
00:03:30,360 --> 00:03:32,120
Speaker 1: for users so they can take action on more of

66
00:03:32,120 --> 00:03:35,000
Speaker 1: what they find. But it's also the case that we're

67
00:03:35,040 --> 00:03:38,640
Speaker 1: tuning AI for positivity. We're tuning it to help users

68
00:03:38,840 --> 00:03:41,440
Speaker 1: feel better not just in finding what they're looking to

69
00:03:41,440 --> 00:03:43,520
Speaker 1: shop and buy, but in making sure that we're bringing

70
00:03:43,600 --> 00:03:47,400
Speaker 1: inspirational content to them. So we've done things like inclusive AI,

71
00:03:47,560 --> 00:03:51,720
Speaker 1: where we have skin tone filters so people can filter

72
00:03:51,840 --> 00:03:55,360
Speaker 1: for things that will reflect them and including diversity by

73
00:03:55,400 --> 00:03:58,920
Speaker 1: default in our feeds. We introduce body type AI where

74
00:03:59,080 --> 00:04:01,480
Speaker 1: people can select body types so that they can find

75
00:04:02,000 --> 00:04:05,280
Speaker 1: more things that fit well for them. And so we

76
00:04:05,320 --> 00:04:07,680
Speaker 1: want to make it so that every person on Pinterest

77
00:04:07,880 --> 00:04:11,560
Speaker 1: can see themselves on Pinterest, and so that's really leading

78
00:04:11,600 --> 00:04:18,360
Speaker 1: to great strides in both the relevance the representation and

79
00:04:18,960 --> 00:04:21,320
Speaker 1: in just people feeling positive when they spend time on Pinterest.

80
00:04:22,200 --> 00:04:25,520
Speaker 2: So last night on the Amazon Media called, Brian Ozowski

81
00:04:25,600 --> 00:04:28,640
Speaker 2: was asked about Timu and she In in the context

82
00:04:28,720 --> 00:04:32,160
Speaker 2: of competition with you guys a Pinterest a little bit different.

83
00:04:32,600 --> 00:04:36,680
Speaker 2: Would you talk about Timu and she In as potential partners?

84
00:04:36,680 --> 00:04:41,320
Speaker 2: Are you seeing any uplift from Chinese advertisers.

85
00:04:40,960 --> 00:04:44,560
Speaker 1: So so APAC cross border has been a contributor to

86
00:04:44,560 --> 00:04:47,400
Speaker 1: our growth, but it's a nice contributor, you know, it's

87
00:04:47,440 --> 00:04:50,800
Speaker 1: not overwhelming, but it's a nice contributor. But as I

88
00:04:50,839 --> 00:04:54,000
Speaker 1: mentioned before, our strength and retail has been broad based.

89
00:04:54,080 --> 00:04:58,120
Speaker 1: Retailers of all sizes are finding strength on Pinterest, and

90
00:04:58,160 --> 00:05:01,200
Speaker 1: it's because they're seeing that doubling of clicks that we

91
00:05:01,240 --> 00:05:03,080
Speaker 1: sent to advertisers a year on year in Q four

92
00:05:03,080 --> 00:05:06,360
Speaker 1: and again in Q one. And it's also because they're

93
00:05:06,400 --> 00:05:09,159
Speaker 1: able to meet hard to find shoppers like gen Z

94
00:05:09,480 --> 00:05:12,400
Speaker 1: on Pinterest, and they're meeting those shoppers in a really

95
00:05:12,440 --> 00:05:15,480
Speaker 1: unique moment because users come to Pinterest when they have

96
00:05:15,600 --> 00:05:17,440
Speaker 1: clear intent. More than half the users on the platform

97
00:05:17,440 --> 00:05:20,200
Speaker 1: we're here to shop, but they haven't yet decided what

98
00:05:20,400 --> 00:05:23,320
Speaker 1: to buy, so they're not necessarily searching for a specific

99
00:05:23,400 --> 00:05:26,160
Speaker 1: brand or a specific item where maybe the decision's already made.

100
00:05:26,320 --> 00:05:28,920
Speaker 1: They're coming here with much more general thoughts like cool

101
00:05:28,960 --> 00:05:32,320
Speaker 1: outfits for spring, what to wear to Coachella, And those

102
00:05:32,360 --> 00:05:36,480
Speaker 1: are great moments for advertisers to meet users because the

103
00:05:36,600 --> 00:05:39,400
Speaker 1: user has clear intent but hasn't decided yet what to

104
00:05:39,480 --> 00:05:42,240
Speaker 1: buy and again we're seeing that broad based across retailers.

105
00:05:42,440 --> 00:05:45,360
Speaker 1: China cross border is a contributor, but it's broad based

106
00:05:45,400 --> 00:05:46,359
Speaker 1: strength for retailers.

107
00:05:46,520 --> 00:05:48,800
Speaker 3: Focusing a little bit more on China for a moment, Bill,

108
00:05:49,040 --> 00:05:51,440
Speaker 3: I mean, this is a unique time in social media

109
00:05:51,480 --> 00:05:53,240
Speaker 3: more broadly, because it looks as though one of a

110
00:05:53,480 --> 00:05:57,000
Speaker 3: key social media player might be falling away. Do you

111
00:05:57,000 --> 00:05:59,040
Speaker 3: think more gen Z will come to you because of

112
00:05:59,080 --> 00:06:02,880
Speaker 3: TikTok actually being banned completely no longer existing in the US.

113
00:06:04,160 --> 00:06:06,560
Speaker 1: Well, when you look at why we are doing so

114
00:06:06,720 --> 00:06:09,479
Speaker 1: well with gen Z, it is because we are we

115
00:06:09,520 --> 00:06:11,800
Speaker 1: are doing something very different than the rest of social media.

116
00:06:11,800 --> 00:06:14,520
Speaker 1: For gen Z, most of social media has the user

117
00:06:14,560 --> 00:06:17,400
Speaker 1: in a lean back entertainment mode. We have the user

118
00:06:17,440 --> 00:06:20,960
Speaker 1: in a lean forward mode with intent and purpose and

119
00:06:21,640 --> 00:06:25,640
Speaker 1: I mentioned tuning for positivity. Gen Z sees Pinterest as

120
00:06:25,720 --> 00:06:28,680
Speaker 1: an oasis away from the toxicity they experience on much

121
00:06:28,680 --> 00:06:31,279
Speaker 1: of the rest of social media. They know that social

122
00:06:31,360 --> 00:06:35,039
Speaker 1: media has largely become comparative and performative. And if you

123
00:06:35,080 --> 00:06:36,760
Speaker 1: go talk to gen Z about why they spend time

124
00:06:36,760 --> 00:06:39,440
Speaker 1: on Pinterest, they'll say they go to other places on

125
00:06:39,480 --> 00:06:42,320
Speaker 1: social media and see what others want them to be

126
00:06:42,360 --> 00:06:44,200
Speaker 1: what others expect them to be, and then go to

127
00:06:44,240 --> 00:06:47,279
Speaker 1: pinterest to discover what they want to be and invest

128
00:06:47,320 --> 00:06:49,800
Speaker 1: in themselves with a small circle of friends. So that's

129
00:06:49,920 --> 00:06:53,080
Speaker 1: already winning with gen Z, and we're not sitting around

130
00:06:53,080 --> 00:06:56,200
Speaker 1: hoping for the demise of other platforms. We're just busy

131
00:06:56,240 --> 00:06:59,280
Speaker 1: building something that makes people feel more positive is and

132
00:06:59,320 --> 00:07:02,000
Speaker 1: to give them a great experience, and that's winning, particularly

133
00:07:02,080 --> 00:07:02,520
Speaker 1: of gen z.

134
00:07:03,440 --> 00:07:07,200
Speaker 3: Okay, So no clear ambition to capitalize in the uncertainty,

135
00:07:07,240 --> 00:07:10,400
Speaker 3: but clearly seeing the flow of gen Z. What really

136
00:07:10,440 --> 00:07:13,280
Speaker 3: always interests me, Bill is when you break down your

137
00:07:13,360 --> 00:07:15,880
Speaker 3: numbers in terms of average users and where they are.

138
00:07:16,120 --> 00:07:18,480
Speaker 3: You're so dominant in the rest of the world, do

139
00:07:18,520 --> 00:07:20,440
Speaker 3: you see us as the area of growth? Do you

140
00:07:20,480 --> 00:07:23,120
Speaker 3: see internationally more the area of growth. Where do you

141
00:07:23,160 --> 00:07:24,080
Speaker 3: see the expansion?

142
00:07:25,320 --> 00:07:28,320
Speaker 1: So it's a great question. As you noted, we have

143
00:07:28,360 --> 00:07:30,560
Speaker 1: approximately eighty percent of our eighty percent or more of

144
00:07:30,560 --> 00:07:33,679
Speaker 1: our use outside the US, but only approximately twenty percent

145
00:07:33,680 --> 00:07:37,600
Speaker 1: of our revenue outside the US. So the improvements we've

146
00:07:37,640 --> 00:07:40,840
Speaker 1: made from the user perspective have been broad based. As

147
00:07:40,840 --> 00:07:44,640
Speaker 1: I mentioned, we've accelerated users across every geography. On the

148
00:07:44,680 --> 00:07:47,920
Speaker 1: modernization side, we are much further along in the US

149
00:07:47,960 --> 00:07:50,400
Speaker 1: and we are now starting to deploy those things internationally,

150
00:07:50,400 --> 00:07:52,760
Speaker 1: and so we see international as a huge growth vector

151
00:07:53,480 --> 00:07:55,520
Speaker 1: for US, both in terms of what we will bring

152
00:07:55,560 --> 00:07:59,160
Speaker 1: to advertisers directly where we do first party selling, as

153
00:07:59,200 --> 00:08:01,240
Speaker 1: well as where we're bringing in new sources of demand,

154
00:08:01,280 --> 00:08:05,040
Speaker 1: either through third party demand like what we're doing with

155
00:08:05,080 --> 00:08:08,480
Speaker 1: our Google partnership in international markets or what we're now

156
00:08:08,520 --> 00:08:11,040
Speaker 1: doing with resellers in international markets where they can bring

157
00:08:11,080 --> 00:08:13,360
Speaker 1: more local demand, which is going to be great for

158
00:08:13,400 --> 00:08:16,160
Speaker 1: those advertisers, but also great for users that will find

159
00:08:16,160 --> 00:08:19,200
Speaker 1: more shoppable content as more of those advertiser those international

160
00:08:19,200 --> 00:08:21,520
Speaker 1: markets come onto our platform.

161
00:08:21,760 --> 00:08:24,280
Speaker 3: Bill, great to catch up with you. Thanks for spending

162
00:08:24,320 --> 00:08:27,600
Speaker 3: some time with us. Very funny pintra't ceo. Bill ready there,