WEBVTT - Lead Execs At Netflix Ads, Pinterest Content Share Their Strategies 0:00:07.960 --> 0:00:11.399 Welcome to another episode of Strictly Business, the podcast in 0:00:11.440 --> 0:00:13.880 which we speak with some of the smartest minds working 0:00:13.880 --> 0:00:18.079 in the media business today. I'm Andrew Wallenstein with Variety. 0:00:18.760 --> 0:00:21.080 We've got a two fur in today's episode, with two 0:00:21.120 --> 0:00:25.200 of the more interesting conversations that emerged from varieties Annual 0:00:25.360 --> 0:00:28.880 Entertainments of It at CES in Las Vegas earlier this month. 0:00:29.480 --> 0:00:32.440 There's a through line through these two interviews. It's they're 0:00:32.520 --> 0:00:37.960 both industry veterans who find themselves at new, high profile gigs. First, 0:00:38.040 --> 0:00:40.640 there's Jeremy Gorman, whom they have heard of from her 0:00:40.720 --> 0:00:44.360 days at Amazon or Snap. Now she's just months into 0:00:44.400 --> 0:00:48.080 her new job as President of Worldwide Advertising a Netflix, 0:00:48.440 --> 0:00:51.240 where she's leading the charge on the streaming services new 0:00:51.320 --> 0:00:55.600 ad supported tier. Then we'll check in with Malik Ducard, 0:00:55.680 --> 0:00:58.760 who's been at Pinterest for the past year as chief 0:00:58.840 --> 0:01:04.039 content Officer after distinguished stints at YouTube in Paramount. Stick 0:01:04.080 --> 0:01:07.119 around and we'll be right back. First with Jeremy Gorman. 0:01:15.200 --> 0:01:20.880 We're back with Jeremy Gorman. Full disclosure, you are a 0:01:20.959 --> 0:01:25.200 Variety alumnus. Am I mean technically this I'm I should 0:01:25.240 --> 0:01:29.520 recuse myself because this plight, but I will maintain objectivity. 0:01:29.600 --> 0:01:31.960 You have your Variety days were what like twenty years 0:01:32.000 --> 0:01:34.760 ago at this point, or to two thousand seven. I 0:01:34.800 --> 0:01:37.880 was there for the centennial, which is pretty remarkable for 0:01:38.000 --> 0:01:43.480 Variety that it's a hundred and seventeen year old brands. Anyway, 0:01:43.520 --> 0:01:46.000 you've gone on to some other things since, and the 0:01:46.040 --> 0:01:51.480 little companies like Amazon and Snap and I'm just curious 0:01:51.520 --> 0:01:54.400 to start. You know, a company like Netflix calls you up, 0:01:54.440 --> 0:01:57.920 they're not even in this business of advertising, and they 0:01:57.960 --> 0:02:00.320 say to you what they want to do. Are you 0:02:00.360 --> 0:02:05.160 like huh or oh, I see the opportunity here? You know, 0:02:05.240 --> 0:02:08.120 I think, like many people probably in this room, I 0:02:08.160 --> 0:02:10.720 was a Netflix fan to begin with, and then there 0:02:10.760 --> 0:02:14.160 was the announcement in April that that Netflix was getting 0:02:14.160 --> 0:02:16.840 into the advertising business, and my husband looked at me 0:02:16.880 --> 0:02:19.120 and said, you're going to do that job? And I 0:02:19.200 --> 0:02:21.200 was like, well, they have to call me first, and then, 0:02:21.280 --> 0:02:24.120 you know, then they did, and um I was I thought, 0:02:24.600 --> 0:02:28.280 what an amazing opportunity to reach this engaged audience with 0:02:28.320 --> 0:02:31.520 this extraordinary content in a place where marketers have never 0:02:31.520 --> 0:02:34.519 been able to reach them before. So it felt kind 0:02:34.520 --> 0:02:37.200 of like a no brainer. But it's it's just been 0:02:37.240 --> 0:02:40.239 a remarkable nine whole weeks, by the way, So it's 0:02:40.240 --> 0:02:42.799 been it's been really great. And I did say yes 0:02:42.919 --> 0:02:45.400 very quickly, and now my husband's very happy that he 0:02:45.480 --> 0:02:50.399 was right, all right, nostronomously married apparently, and so yes, 0:02:50.440 --> 0:02:54.280 as you mentioned the the ad based version of Netflix, 0:02:54.360 --> 0:02:59.360 you guys put out super fast with help some from Microsoft. Um, 0:02:59.440 --> 0:03:03.160 how would you characterize these nine weeks because obviously, when 0:03:03.160 --> 0:03:07.519 you move this fast, you're not necessarily loading up exactly 0:03:07.560 --> 0:03:10.000 everything you want to be doing. That's right, Yeah, I 0:03:10.000 --> 0:03:12.280 think that's part of what's been so interesting. Is there 0:03:12.280 --> 0:03:14.360 really kind of two choices when you make a decision 0:03:14.400 --> 0:03:17.079 of this magnitude. And I wasn't there when the decisions 0:03:17.080 --> 0:03:20.160 were made to do the ad supported tier, obviously, but 0:03:20.320 --> 0:03:23.519 you can either go very quickly and partner with somebody 0:03:23.560 --> 0:03:25.919 like Microsoft, who has been extraordinary and we're on the 0:03:26.040 --> 0:03:30.000 Zander stack, or take two years to do it perfectly. 0:03:30.040 --> 0:03:33.760 And so the nine weeks have been really exciting a 0:03:33.800 --> 0:03:36.800 lot of people, a lot of advertisers, marketers, analysts, everybody 0:03:37.040 --> 0:03:39.320 wants to hear more about what we're doing. I would 0:03:39.320 --> 0:03:41.120 say one of the things that's been interesting is we 0:03:41.160 --> 0:03:44.320 did launch with m v P. We joke a little 0:03:44.320 --> 0:03:46.120 bit and say we put the M in m v 0:03:46.200 --> 0:03:49.000 P because we did it so quickly for the minimum 0:03:49.040 --> 0:03:51.600 viable product, and we launched with fifteens and thirties, but 0:03:51.760 --> 0:03:55.160 is definitely not representative of our long term ambition. So 0:03:55.200 --> 0:03:57.720 it's been kind of it's both there's so much excitement 0:03:58.160 --> 0:04:02.400 but also people way for the innovation that will be forthcoming. 0:04:02.920 --> 0:04:06.760 Just you know, crawl, walk, run, really, so let's let's 0:04:07.000 --> 0:04:10.520 we we have an idea of what the crawl is, 0:04:10.800 --> 0:04:12.840 what is the what are you mentioned right now as 0:04:12.880 --> 0:04:16.400 you're restricted to fifteen and thirties, What are the next 0:04:16.440 --> 0:04:19.760 things that you're trying to bring onto the platform? I know, uh, 0:04:20.200 --> 0:04:24.000 I believe ted Surranda talked about there might be different tiers, 0:04:24.279 --> 0:04:26.359 not just one. What are some of the things that 0:04:26.400 --> 0:04:29.320 we could look for in three on the ad platform 0:04:29.600 --> 0:04:34.040 twenty seconds big innovation, not you know, we we did 0:04:34.080 --> 0:04:38.160 it in Spain already. Um, kind of sticking with the 0:04:38.200 --> 0:04:40.640 more standard AD formats in the short term, but then 0:04:40.720 --> 0:04:43.360 over the long term, I think really having the experience 0:04:43.360 --> 0:04:48.039 be more integrated into overall Netflix. Not necessarily from a 0:04:48.040 --> 0:04:50.320 product place my perspective, but what I mean by that is, 0:04:50.360 --> 0:04:53.280 I think we have so much tonnage in terms of 0:04:53.279 --> 0:04:57.200 hours time spent with the platform, binge behavior, et cetera, 0:04:57.520 --> 0:04:59.800 that it gives us a really unique opportunity to be 0:04:59.839 --> 0:05:03.760 a will to target really differently. UM. Examples of that 0:05:03.800 --> 0:05:07.040 would be not only by genre, which everybody can do, 0:05:07.080 --> 0:05:09.440 but I think different things, um in terms of dynamic 0:05:09.480 --> 0:05:13.760 insertion of ads near moments that are relevant to marketers. UM. 0:05:13.800 --> 0:05:15.760 I'm making this up as I as I talk here, 0:05:15.839 --> 0:05:18.560 but something like an advertiser that would want to be 0:05:18.600 --> 0:05:22.840 surrounded by uh, surrounding each gift giving moment no matter 0:05:22.920 --> 0:05:25.440 the content. We have the opportunity to do those kinds 0:05:25.480 --> 0:05:28.760 of things, uh, single show sponsorships, and then we are 0:05:28.800 --> 0:05:31.080 going to really change the world and allow people to 0:05:31.120 --> 0:05:34.480 target by age and gender. I hear that's a new 0:05:34.520 --> 0:05:39.880 innovation exactly, but that's new for Netflix to actually really 0:05:39.880 --> 0:05:42.560 just even the operation were even collecting that information is 0:05:42.600 --> 0:05:45.039 new for Netflix, and so getting to a place where 0:05:45.040 --> 0:05:47.480 we have scale so that we can targe target by 0:05:47.520 --> 0:05:50.440 age and gender. But I think the really creative things 0:05:50.880 --> 0:05:54.640 are content based. I mean I Netflix is going to 0:05:54.720 --> 0:05:57.360 be doing their earnings results in another week or two. 0:05:57.400 --> 0:06:00.960 This will be the first time they're talking about I 0:06:01.279 --> 0:06:05.080 assume they'll they'll share how things have progressed. There's been 0:06:05.120 --> 0:06:08.400 some data, third party data, not Netflix's own data, that 0:06:08.440 --> 0:06:12.920 have suggested that the initial uptake has been a little underwhelming. 0:06:13.520 --> 0:06:17.599 Uh are their concerns or is their patients or perhaps 0:06:17.640 --> 0:06:20.880 I'm mis characterizing it, and your data says you know, 0:06:21.120 --> 0:06:25.280 this new subscription is flying like hotcakes because we were 0:06:25.320 --> 0:06:27.920 reporting in a couple of weeks. I can't answer that directly, 0:06:27.960 --> 0:06:31.000 but I can tell you that we are. We're pleased 0:06:31.040 --> 0:06:33.720 with the growth that we're seeing in the tier, and 0:06:33.839 --> 0:06:35.760 I you would be able to tell if I was 0:06:35.920 --> 0:06:38.800 a concerned human. I wear it on my face. Yeah so, 0:06:40.120 --> 0:06:42.240 but yeah, good to know the future. We're not breaking 0:06:42.240 --> 0:06:44.760 it out, and given the timing with earnings, apologies, I 0:06:44.800 --> 0:06:47.880 can't be more more direct there. Okay, I mean I 0:06:47.920 --> 0:06:49.679 think the thing that people are going to be looking 0:06:49.720 --> 0:06:56.080 for analysts, investors is there is risk that too many 0:06:56.240 --> 0:06:59.919 subscribers who are already paying more than they might be 0:07:00.000 --> 0:07:03.000 paying on the ad supported plan could sort of downshift 0:07:03.279 --> 0:07:08.920 and you could essentially cannibalize that core audience. And that's 0:07:08.920 --> 0:07:11.720 where your subscribers are going to come from instead of 0:07:12.320 --> 0:07:14.280 new people coming on, because that's really the name of 0:07:14.320 --> 0:07:16.840 the game here. The growth of Netflix, I think has 0:07:16.960 --> 0:07:20.640 moderated somewhat after a rocket ride for many years. This 0:07:20.720 --> 0:07:24.480 will hopefully bring people in a new barrier, a lower barrier, 0:07:24.520 --> 0:07:28.600 I should say, So, are you seeing signs? Are are 0:07:28.640 --> 0:07:31.160 you I know you're not going to share data right now, 0:07:31.600 --> 0:07:36.120 but are there early indications that you are bringing in 0:07:36.200 --> 0:07:40.160 new people as well as maybe not as uh, you know, 0:07:40.440 --> 0:07:43.920 being such a cannibalizer. Yeah, it's it's really the whole 0:07:43.920 --> 0:07:46.920 goal of it is customer choice, So for people to 0:07:46.920 --> 0:07:50.120 be able to shift between plans and platforms essentially based 0:07:50.120 --> 0:07:52.560 on what they want to pay. And in this particular 0:07:52.600 --> 0:07:55.480 macro environment, I think you're going to see a reasonable 0:07:55.480 --> 0:07:58.840 amount of both people who want to consolidate their overall 0:07:58.880 --> 0:08:01.760 streaming bill inclusive of all of the other streaming services 0:08:02.080 --> 0:08:04.200 and say I want them all, but I want AD supported, 0:08:04.280 --> 0:08:06.840 or I want you know too, but no AD supported 0:08:06.840 --> 0:08:10.280 in these kinds of things. But historically with Netflix, people 0:08:10.880 --> 0:08:15.280 stay on the plan that they originally subscribe to. Is 0:08:15.320 --> 0:08:20.160 it conceivable that as you guys go out there with this, 0:08:20.480 --> 0:08:25.040 that we that essentially even people are paying less, you 0:08:25.080 --> 0:08:29.360 can monetize better because you're getting obviously the subscription fee 0:08:29.400 --> 0:08:31.840 that they pay plus the AD dollars that you reap 0:08:31.920 --> 0:08:35.559 from those eyeballs. Yeah, I think that that has been 0:08:35.600 --> 0:08:38.720 stated by read that our our expectation is for it 0:08:38.760 --> 0:08:41.960 to be at the very least revenue neutral. Okay, you 0:08:42.000 --> 0:08:45.360 mentioned Spain earlier. You guys are available now at seventy 0:08:45.920 --> 0:08:50.360 of the world of the ad twelve countries. Okay, and 0:08:50.440 --> 0:08:52.560 at this point, do you guys have a sense like 0:08:53.320 --> 0:08:56.120 three will we see that number grow? We are going 0:08:56.160 --> 0:08:59.240 to stay with the twelve. Well, we learn that it's 0:08:59.320 --> 0:09:02.280 the twelve large just ad markets and also places where 0:09:02.520 --> 0:09:05.880 Netflix has penetration enough to have certain different tiers of 0:09:05.920 --> 0:09:08.320 service versus one or two tiers of service. So we're 0:09:08.320 --> 0:09:10.520 gonna stick with that plan for now while we learn um. 0:09:10.679 --> 0:09:14.840 But long term, I think any any major AD market 0:09:14.960 --> 0:09:18.120 that can also support the multiple tiers will be things 0:09:18.120 --> 0:09:21.240 that will look at. But yeah, the twelve for now, 0:09:21.920 --> 0:09:24.280 and there are seven whole people on my team and 0:09:24.320 --> 0:09:29.080 so I wouldve is just fine for now. In front 0:09:29.080 --> 0:09:32.520 of this crowd, you may start getting resumes, so you know, uh, 0:09:32.600 --> 0:09:38.040 what about if you're great, I'm Jeremy and Netflix. Um, 0:09:38.120 --> 0:09:42.080 what about I From what I've heard, not one percent 0:09:42.200 --> 0:09:46.280 of the content is uh does have advertising in it? 0:09:46.640 --> 0:09:49.760 You guys still need to work out some licensing. Has 0:09:49.880 --> 0:09:53.280 that progressed? Yeah, that's progressing kind of as we speak 0:09:53.360 --> 0:09:56.600 day by day, renegotiating deals that we made a long 0:09:56.640 --> 0:09:59.320 time ago. But the vast majority of content that people 0:09:59.480 --> 0:10:03.240 watch gularly is available on the AD tier service. UM. 0:10:03.320 --> 0:10:05.120 And by that, I mean, you know, people tend to 0:10:05.120 --> 0:10:07.920 watch the same things that are is like geiste. Uh, 0:10:08.040 --> 0:10:12.600 Wednesday right now, for instance, has over a billion streaming hours. 0:10:12.679 --> 0:10:16.640 Has anybody seen Wednesday? It's so great? Uh? Okay, yeah, 0:10:16.679 --> 0:10:19.640 I guess mathematically speaking, if it's over a billion hours, 0:10:19.679 --> 0:10:23.200 then many of you have seen Wednesday. Um. And so yeah, 0:10:23.200 --> 0:10:25.480 all of those, the original content and the majority of 0:10:25.520 --> 0:10:27.679 things that people watch are available on add tier. And 0:10:27.720 --> 0:10:30.679 then we're just going to continue to negotiate and hopefully 0:10:30.679 --> 0:10:34.360 have everything available. But it's between eighty five and nine 0:10:35.040 --> 0:10:39.200 content is available on the AD tier depending on the country. UM. 0:10:39.240 --> 0:10:42.680 There's been some criticism that you guys came to market 0:10:42.800 --> 0:10:47.120 with a pretty high CPM. UM, are you pleased with 0:10:47.160 --> 0:10:50.360 where you have sort of set the bar at this point. Yeah, 0:10:50.559 --> 0:10:53.000 you know, I think, like anything, it's a marketplace we 0:10:53.080 --> 0:10:55.559 have we we didn't know what we didn't know. There 0:10:55.600 --> 0:10:59.439 weren't any subscribers on the ad supported tier when we started, obviously, 0:10:59.760 --> 0:11:03.679 so from a supply demand perspective, the premium CPMs are 0:11:03.679 --> 0:11:06.200 reflective of two things. One is that we just couldn't 0:11:06.320 --> 0:11:09.400 take that many advertisers. We certainly didn't want to disappoint anybody. 0:11:09.440 --> 0:11:13.280 But then secondarily, the premium content environment in which the 0:11:13.280 --> 0:11:16.040 ads run I think warrant a high CPM. But I 0:11:16.040 --> 0:11:19.600 think we're certainly humble enough to very much understand that 0:11:19.640 --> 0:11:22.200 we are top of market, and in addition to that 0:11:22.200 --> 0:11:24.959 that the market will more or less dictate to us 0:11:25.520 --> 0:11:28.240 what what are reasonable CPMs. And then in addition, with 0:11:28.280 --> 0:11:31.600 these innovations on top of the fifteen and thirties will 0:11:31.600 --> 0:11:34.320 warrant the high CPM over time, But right now, with 0:11:34.360 --> 0:11:37.440 fifteens and thirties and limited targeting, it's really, you know, 0:11:37.520 --> 0:11:40.480 just a byproduct of demand. There's a lot of demand. 0:11:41.000 --> 0:11:44.559 So who are could you characterize the kinds of advertisers 0:11:44.559 --> 0:11:46.680 that are in this first wave and perhaps what the 0:11:46.720 --> 0:11:49.800 second wave could look like? Sure? Yeah, my favorite part 0:11:49.840 --> 0:11:52.360 of this, and thank you for asking, UM, is that 0:11:52.440 --> 0:11:56.640 it's really across the board. So we're seeing CpG companies, 0:11:56.800 --> 0:12:02.240 luxury companies, automotive companies. I could go on and on, retail, etcetera. 0:12:02.520 --> 0:12:04.640 But we're seeing a broad swath and I think that's 0:12:04.679 --> 0:12:07.880 not only important to signify the demand that's coming into 0:12:08.320 --> 0:12:10.680 people wanting to reach this incremental audience that they haven't 0:12:10.679 --> 0:12:13.560 been able to reach before, but also really good for 0:12:13.600 --> 0:12:16.720 our member experience that you're not just like and another 0:12:16.800 --> 0:12:19.880 car and another car and another car. Um. It's it's 0:12:20.000 --> 0:12:23.080 very there's a wide variety of advertiser types and I 0:12:23.080 --> 0:12:26.040 think we'll continue to see that in various moments of 0:12:26.080 --> 0:12:28.760 when people need things. So at the outset, you know, 0:12:28.880 --> 0:12:31.959 right before holiday, very retail heavy, not dissimilar to what 0:12:32.120 --> 0:12:35.400 many of you experience. I'm sure right now you know, 0:12:35.640 --> 0:12:39.200 tax etcetera. So we're following a very normal pattern. But 0:12:39.600 --> 0:12:42.240 it is a broad swath of demand. There's also a 0:12:42.280 --> 0:12:47.800 broad swath of players in this Marketplaceself, Disney, plus everyone's 0:12:47.920 --> 0:12:51.160 doing the ad thing. Is this a rising tide lift 0:12:51.160 --> 0:12:55.560 all boats or is it? You know what? It's this 0:12:55.600 --> 0:12:58.000 is more Darwinian than that, and you know one player 0:12:58.040 --> 0:13:00.240 needs to take an early lead. I think it's a 0:13:00.360 --> 0:13:03.960 rising tide rises all boats situation for connected TV in general, 0:13:04.000 --> 0:13:08.240 for ad supported streaming services, for customer choice, each of 0:13:08.280 --> 0:13:13.079 the companies is really compelling another company to make extraordinary content. 0:13:13.520 --> 0:13:17.120 And while this isn't a specific add discussion or add 0:13:17.200 --> 0:13:18.960 point that I'm about to make, one of the things 0:13:18.960 --> 0:13:21.120 I think is most interesting is that five of our 0:13:21.160 --> 0:13:24.360 most popular shows of all time we're last year in 0:13:25.120 --> 0:13:28.080 two when competition had never been more fierce. And I 0:13:28.120 --> 0:13:32.000 think that is really a reflection of everybody making everybody better. 0:13:32.200 --> 0:13:34.280 And I think we can all agree that streaming content 0:13:34.400 --> 0:13:37.880 just continues to be exceptional. Um. And then as the 0:13:38.040 --> 0:13:42.680 linear market changes or flattens, we're giving advertisers and customers 0:13:42.679 --> 0:13:45.240 a place to go. We had I don't know if 0:13:45.240 --> 0:13:46.680 you were in the room at the time. Jeff Green 0:13:46.760 --> 0:13:49.520 from the trade desk was out here earlier. I tried 0:13:49.559 --> 0:13:52.880 to broker a deal, Oh thank you, in an auction 0:13:52.880 --> 0:13:57.120 based diamond ademic CPN format, which I learned in nursery school. 0:13:57.320 --> 0:14:00.719 Yeah didn't, didn't we all? Um? You know he's out 0:14:00.760 --> 0:14:03.840 here talking about Galileo, this first party data product for 0:14:03.880 --> 0:14:08.240 advertisers I mean, does does Netflix need something like that? 0:14:08.640 --> 0:14:10.000 The way I think the way he put it with 0:14:10.040 --> 0:14:12.360 something like the Netflix needs the open Internet more than 0:14:12.400 --> 0:14:14.720 the open Internet needs network. Maybe I have that wrong. 0:14:15.160 --> 0:14:20.480 You tell me, what does does Netflix need the Open Internet? UM? 0:14:20.520 --> 0:14:23.160 I think I don't know. That's a hard question to answer. 0:14:23.240 --> 0:14:24.480 But you did scare me when you said he was 0:14:24.480 --> 0:14:26.160 talking about Galileo. I thought I was going to have 0:14:26.200 --> 0:14:29.200 to talk about philosophers or no. No, no, no, that's 0:14:29.240 --> 0:14:32.800 just a product. I think the open Internet needs Netflix, 0:14:32.800 --> 0:14:37.120 and Netflix needs the open Internet. Okay, safe answer? UM, 0:14:37.400 --> 0:14:42.040 thank you. In our remaining thirty seconds, what in twenty 0:14:42.200 --> 0:14:44.880 three you know, if we're back on this stage, uh, 0:14:45.360 --> 0:14:49.240 twelve months from now, what growth story do you hope 0:14:49.280 --> 0:14:51.280 to be sort of telling? You know? Do you have 0:14:51.320 --> 0:14:53.960 a projection of where you see how much growth you're 0:14:53.960 --> 0:14:57.080 gonna get for this new ad tire? What I hope 0:14:57.120 --> 0:14:59.920 to see is that we have enough subscribers on the 0:15:00.040 --> 0:15:02.560 add here that advertisers are getting what they want in 0:15:02.680 --> 0:15:06.560 targeted environments and genre based targeting. UM. I think that 0:15:06.640 --> 0:15:08.960 we have all of the opportunity in the world. There 0:15:08.960 --> 0:15:12.560 are so many people who love Netflix. UM that giving 0:15:12.720 --> 0:15:15.120 different price points to get more people on the service 0:15:15.640 --> 0:15:17.560 is a win for everybody, and I hope that there 0:15:17.560 --> 0:15:19.480 are a lot of customers in the audience next year 0:15:19.520 --> 0:15:21.840 who are on the basic with ADS plan. I will 0:15:21.880 --> 0:15:23.800 hold you to that next year. At this time next year, 0:15:23.840 --> 0:15:26.240 this time I will be here. Thank you, Jeremy, thank you. 0:15:29.680 --> 0:15:38.440 We'll be back in just a minute, and we're back 0:15:38.560 --> 0:15:42.760 with Malik du Karg. I'm really happy to have our 0:15:42.760 --> 0:15:45.080 next guest with us. I've known Malik a long time. 0:15:45.240 --> 0:15:48.400 I've known you going back to your Paramount days, your 0:15:48.440 --> 0:15:52.520 YouTube ways, always a content guy, but at the intersection 0:15:52.920 --> 0:15:55.480 of content in tech. And then of course I heard 0:15:55.560 --> 0:15:57.760 about a year ago you going over to Pinterest and 0:15:57.800 --> 0:16:01.080 I was like, okay, that's interest ding, which I don't 0:16:01.120 --> 0:16:06.160 think of Pinterest as video programming and such. So what 0:16:06.240 --> 0:16:08.640 was the mandate when you got brought in as the 0:16:08.720 --> 0:16:11.840 chief content officer? Um so, so happy to be here. 0:16:11.880 --> 0:16:14.840 First of all, what's up Andy? Hi? Everyone? Um So, 0:16:15.160 --> 0:16:18.880 I've been at Pinterest now for a little bit over 0:16:18.920 --> 0:16:22.160 a year, and the mandate is to to really work 0:16:22.280 --> 0:16:29.400 with uh incredible teams, partners, creators, publishers, brands, curators to 0:16:29.920 --> 0:16:36.280 really build healthy and thriving content ecosystem UM with video 0:16:36.520 --> 0:16:40.800 very much UM as a core focus of the platform. 0:16:41.080 --> 0:16:45.000 So we've been building out tools for for creators, for example, 0:16:45.080 --> 0:16:49.200 and for publishers to really upload and share their video. 0:16:49.360 --> 0:16:53.080 Video has been been growing really rapidly on the platform UM, 0:16:53.120 --> 0:16:55.280 and a big part of what I do is to 0:16:55.280 --> 0:16:59.200 to help fan the flames and UM encourage that ecosystem 0:16:59.240 --> 0:17:02.280 to to continue to grow. So let's talk about some 0:17:02.320 --> 0:17:05.199 flames for some publishers and creators. Would have been some 0:17:05.280 --> 0:17:07.560 top deals that you've brought in in this first year 0:17:08.080 --> 0:17:10.320 UM so. One one of the deals, and I think 0:17:10.359 --> 0:17:13.680 it's a good example of a model for for deals 0:17:13.720 --> 0:17:16.920 that we have continued to do, is our relationship with 0:17:17.280 --> 0:17:21.000 Taste Made. So Taste Made is a publisher UM who 0:17:21.040 --> 0:17:24.680 have a really great presence on Pinterest across a lot 0:17:24.680 --> 0:17:28.919 of categories like food and and home UH and Taste 0:17:28.920 --> 0:17:32.439 Made is a great partner because they not only create 0:17:32.600 --> 0:17:36.440 great original content that we structured this deal around UM, 0:17:36.520 --> 0:17:40.280 but they also center creators UM as a focus. So 0:17:40.280 --> 0:17:43.960 when you look at the Taste Made presence on UM Pinterest, 0:17:44.040 --> 0:17:48.359 you very much see UM creators creators who are food 0:17:48.440 --> 0:17:53.359 creators and home decre creators UM as the fuel that 0:17:53.400 --> 0:17:56.280 really drives what they do. So a big part of 0:17:56.359 --> 0:18:02.640 that relationship is UM supporting that constituent. UH. The deal 0:18:02.720 --> 0:18:04.600 is a deal in and of itself, but it's also 0:18:04.680 --> 0:18:08.080 a model for other deals that we've done with folks 0:18:08.200 --> 0:18:14.119 like Refinery twenty nine and um Blavity and also End 0:18:14.160 --> 0:18:15.480 Them All. I think End Them All is a good 0:18:15.480 --> 0:18:18.800 example where we worked with them in France, Italy and 0:18:18.840 --> 0:18:23.199 Spain UH to to really highlight some of the participants 0:18:23.200 --> 0:18:26.879 on Master Chef UM and to to go behind the 0:18:26.920 --> 0:18:30.000 scenes and to to catch up with these participants to 0:18:30.080 --> 0:18:34.719 actually unpack the recipes UM that they won with on 0:18:34.760 --> 0:18:37.480 the show, and to to really offer that up to 0:18:37.720 --> 0:18:40.560 our users are pinners, to be able to do those 0:18:40.600 --> 0:18:43.960 recipes themselves. So it sounds like video is not, you know, 0:18:43.960 --> 0:18:46.280 it's not you're making some sort of hard left. It's 0:18:46.359 --> 0:18:50.360 really organic in the sense that it the very themes 0:18:50.400 --> 0:18:55.080 that make Pinterest. Pinterest programming plays on that absolutely, and 0:18:55.080 --> 0:18:58.480 I would say that there are really three things that 0:18:58.920 --> 0:19:04.080 make pinterest unique and and differentiated amongst platforms that that 0:19:04.160 --> 0:19:08.000 are out there. The first is intent when a pinner 0:19:08.160 --> 0:19:12.040 and and pinners are our users come through the front 0:19:12.080 --> 0:19:15.920 door of of pinterest. UM, they're coming with an intent 0:19:16.160 --> 0:19:19.959 to to do something. UM. It isn't a passive entrance. 0:19:20.000 --> 0:19:23.800 They're coming to be inspired, to search for an idea, 0:19:24.200 --> 0:19:26.879 to make something, to do something, to bake something, to 0:19:27.000 --> 0:19:30.840 shop for something. So intent is really key. I think 0:19:30.840 --> 0:19:35.000 that the the other big differentiator of the platform is 0:19:35.080 --> 0:19:41.960 it's positivity and its inspiration. UM. Pinterest foundationally was built 0:19:42.520 --> 0:19:47.560 on on a notion of pinners want to be inspired 0:19:47.800 --> 0:19:51.760 and UH. Having a platform that we call and it 0:19:51.840 --> 0:19:57.240 is the positive corner of the Internet UM really really 0:19:57.280 --> 0:20:02.080 resonates with our our pinners and creators who UM come 0:20:02.160 --> 0:20:05.480 to the platform for that UM. And then the third 0:20:05.520 --> 0:20:10.639 thing is that pinterest is really a juggernaut of human curation. 0:20:11.280 --> 0:20:15.280 And I think it's you know, wonderful that we're here 0:20:15.320 --> 0:20:20.439 at at CS at a consumer electronics conference, UM with 0:20:20.520 --> 0:20:25.919 a platform and we center human curation. And what I 0:20:25.960 --> 0:20:29.640 mean by that is, UM, every day we have millions 0:20:29.840 --> 0:20:34.639 of pinners who are saving content, saving videos, saving images 0:20:35.080 --> 0:20:40.600 to their boards. And when they save these UM images 0:20:40.640 --> 0:20:45.040 and content, UM, they're doing it around home decre projects 0:20:45.160 --> 0:20:49.000 or birthday party, uh sort of design setups that they 0:20:49.040 --> 0:20:52.720 have coming and and that really does two things. One, 0:20:53.320 --> 0:20:58.000 it helps them to visualize and realize uh, the sort 0:20:58.040 --> 0:21:01.680 of inspiration that they want to move inspiration to real life. 0:21:01.920 --> 0:21:04.280 But it also gives us a ton of information and 0:21:04.400 --> 0:21:10.080 signals around um, this shoes goes with this dress, goes 0:21:10.160 --> 0:21:13.440 with this successory, and we're able to see that through 0:21:13.640 --> 0:21:18.400 the boards that UM pinners put together. So when you're 0:21:18.400 --> 0:21:22.359 talking about positivity and inspiration, I can't help but think 0:21:22.920 --> 0:21:25.040 there's obviously you know, and I know you guys necessarily 0:21:25.040 --> 0:21:28.280 consider yourselves a social network, But when you're talking about 0:21:28.320 --> 0:21:31.280 publishers and creators and programming, you're gonna be lumped in 0:21:31.359 --> 0:21:36.119 with the Facebook, Twitter, Instagram, TikTok's of the world, where 0:21:36.880 --> 0:21:39.919 positivity and inspiration seems to be in very short supply. 0:21:40.320 --> 0:21:45.000 I would assume that helps you with particularly advertisers. Absolutely, 0:21:45.119 --> 0:21:51.480 brand safety on Pinterest is absolutely core and central, and 0:21:51.880 --> 0:21:55.320 I think it goes back to this notion that when 0:21:55.880 --> 0:22:00.000 a pinner comes to Pinterest, we want them and they 0:22:00.040 --> 0:22:05.720 do leave feeling better than how they came in. And um, 0:22:05.760 --> 0:22:07.119 you know, when when I when I got to the 0:22:07.160 --> 0:22:10.199 company h a year ago, like when when I was elsewhere, 0:22:10.240 --> 0:22:14.480 I always like peered over and was really impressed by UM, 0:22:15.280 --> 0:22:21.480 this platform that really designed around UM inspiration and positivity 0:22:21.560 --> 0:22:27.199 and with policies that UM we're we're progressive UM for 0:22:27.280 --> 0:22:32.320 example banning weight loss ads and UM before any other platform, 0:22:32.440 --> 0:22:37.600 but banning political misinformation and climate misinformation UM. But but 0:22:37.640 --> 0:22:41.520 I wanted to understand, like, how, uh, from a technical 0:22:41.560 --> 0:22:45.000 standpoint does it does it really work? And Uh, it's 0:22:45.040 --> 0:22:48.560 baked into the math of the system. It's baked into 0:22:48.840 --> 0:22:53.040 um our algorithms. When when the system UM is at 0:22:53.040 --> 0:22:57.800 a crossroads and is making a decision between, uh, someone 0:22:57.880 --> 0:23:00.720 searching for a piece of content, is it going to 0:23:00.840 --> 0:23:03.520 give them a video that's just gonna be time spent 0:23:04.080 --> 0:23:06.000 or will it give them a video or piece of 0:23:06.040 --> 0:23:10.560 content that's time well spent. The system chooses time well 0:23:10.640 --> 0:23:16.119 spent because the system has captured what inspiration is UM 0:23:16.720 --> 0:23:20.280 really sort of algorithmically and mathematically. And I believe that 0:23:20.600 --> 0:23:25.240 algorithms don't just happen. Algorithms are a choice, and platforms 0:23:25.240 --> 0:23:30.040 have a responsibility. And from from a foundational standpoint, that's 0:23:30.080 --> 0:23:35.639 how we've really built pinterest up. How does the monetization 0:23:35.800 --> 0:23:38.160 work now that I guess you're talking probably even here 0:23:38.200 --> 0:23:41.119 at CES two advertisers about a whole different sort of 0:23:41.240 --> 0:23:45.959 kind of content. Yeah, so we when when when when 0:23:46.000 --> 0:23:50.160 you look at pinterest Because of that intentionality, because pinners 0:23:50.280 --> 0:23:54.960 are coming with a mindset to do UM, it makes 0:23:55.040 --> 0:24:02.000 monetization really seamless and in fact of pinners UM see 0:24:02.119 --> 0:24:06.840 Pinterests as a place to to shop. UM. So with that, 0:24:06.920 --> 0:24:12.640 we have made shopping a really core component to the platform. UM. 0:24:12.720 --> 0:24:17.280 So that's through building out UM product pens UH and 0:24:17.400 --> 0:24:20.840