PayPal Offers $45 Billion For Social Photo Sharing Network Pinterest
PayPal Holdings Inc. To acquire Pinterest Inc. to the social network for $45 billion, according to reports from both Reuters and Bloomberg (each cites anonymous people familiar with the matter).
Its sources say the pandemic and resulting acceleration in e-commerce adoption has left PayPal in a position to fund the deal “mostly through equity.”
PayPal stock is up 36% in the past 12 months, giving the OG fintech brand a market capitalization of about $320 billion.
Pinterest has grown its audience to over 400 million monthly active users.
This audience could be incredibly profitable for PayPal, given that Pinterest’s user base is over 60% female and made up of the 45% of people in the US with an annual household income of more than $100,000.
Pinterest reports that members who visit Pinterest weekly spend 2x more than non-Pinterest users each month and have an 85% larger basket.
Pinterest has been dipping its toes in the e-commerce pool; In fact, the visual social network has made it clear that it intends to provide a storefront to online sellers.
Announcing the launch of the list of new features released today, Pinterest said,
“Pinterest is creating a product that is rooted in inspiration, inclusivity, and positivity for Pinners, creators, and brands.
These newest features address the changing needs and expectations of online creators and consumers, and empower everyone to inspire, build, and reach new audiences; engage with a community around shared passions; Earn money through original content to become a storefront for merchants.”
Rumors coincide with the release of more Shoppable Idea Pins and Creator Rewards
News of the potential acquisition broke just as Pinterest announced the launch of:
- Redesigned home feeding Through the “Browse” and “Watch” tabs.
- Takesa new interaction tool available on iOS and Android for beginners and creators around the world.
- Creator rewardsis Pinterest’s first in-product monetization software for content creators.
- Augmented reality integration For Idea Pins, via AR Experience.
- Content creator assetsa new 100-episode content series featuring 10 different Pinners.
- Tagging Amazon Associates Program products For US Pinners, who can now add affiliate links from Amazon and earn commission on qualified purchases.
Pinterest adds visual search to video content
Pinterest said of the new Idea Pins AR integration,
“…Creators now have the option to make their Idea Pins automatically shoppable by enabling shopping recommendations on their Idea Pins. The Similar Store feature uses Pinterest’s visual search technology to recommend product Pins that are visually similar to the content within the Pin, Which gives Pinners the ability to shop what they see.”
And about rewards for content creators, Pinterest explained,
The new program is Pinterest’s latest initiative to pay creators to share their passions and inspire meaningful engagement through their content.
Access to Creator Rewards is available in the US through the all-new global Creator Hub, where creators can manage their presence on Pinterest with tools, tips, and insights.”
New Pinterest features start rolling out on iOS, Android, web and desktop today.
even in A year broke the record for mergers and acquisitions-This is definitely one to watch.
Editor’s note: PayPal said in a One sentence for a statement Reuters On Oct. 25, it said it was not seeking to acquire Pinterest, which sent shares of the social platform down more than 12%.
Featured image: joklinghero/Shutterstock.com
- PayPal’s Pinterest Pursuit is set to tip 2021 into a record-breaking merger and acquisition yearAnd the bloomberg
- Paypal in $45 billion bid to buy Pinterest-sourcesAnd the Reuters
- Pinterest for BusinessAnd the pinterest
- Pinterest introduces “Takes” and new ways to watch, discover and shopAnd the pinterest