Pinterest, the go-to platform for inspiration and shopping, has joined the growing list of tech companies leveraging the power of generative AI to revolutionize advertising. At its annual Pinterest Presents advertiser event, the company announced the launch of advanced AI-powered features within its Pinterest Performance+ suite, following in the footsteps of industry giants like Google and Amazon.
These new features aim to enhance advertisers’ creative capabilities by transforming basic product images into eye-catching lifestyle imagery. Advertisers can now seamlessly replace plain, flat, or white backgrounds with vibrant scenes that draw more engagement, making their ads not just informative but visually captivating.
Why Generative AI Matters for Advertisers
The new generative AI tools, available starting this week, offer a game-changing opportunity for advertisers to level up their Pinterest Product Pins. This enhancement is designed to increase click-through rates and boost ad performance, all while saving time and creative effort.
While Pinterest’s move into generative AI isn’t entirely new in the world of digital advertising, it is quickly becoming an essential part of the advertiser toolkit. With brands like Amazon and Google already offering similar AI-powered background enhancements, advertisers now expect these capabilities as part of their marketing strategy. Pinterest’s move ensures its platform remains competitive in this rapidly evolving space.
Advertisers can create lifestyle imagery using simple prompts, allowing them to add context, emotion, and a compelling narrative to their product offerings. Instead of static images, products can now be displayed in more dynamic and relatable settings, instantly capturing the audience’s attention.
Walgreens: A Case Study in AI Success
One of the earliest adopters of Pinterest’s generative AI was Walgreens, a well-known drug store chain. Walgreens tested the technology across 50 products in various categories and saw significant improvements in their campaign performance. By leveraging AI-generated backgrounds that fit seamlessly into Pinterest’s aesthetic, Walgreens achieved a 55% increase in click-through rates (CTR) and reduced its cost-per-click (CPC) by 13%.
This shift from standard white backgrounds to Pinterest-native, AI-enhanced visuals allowed Walgreens to engage users in a more immersive way, directly leading to better ad performance. This success story highlights the potential for other advertisers to achieve similar results with AI-driven imagery.
Enhanced Ad Automation for Faster Campaign Creation
In addition to its generative AI capabilities, Pinterest is also offering advertisers enhanced automation features to streamline their campaign creation process. According to the company, these new features allow advertisers to reduce input by 50%, making it quicker and easier to launch high-quality campaigns.
Early tests of this automation technology have shown promising results. Advertisers using Pinterest Performance+ saw a 64% reduction in cost per action (CPA), a 30% boost in conversion rates, and an impressive 1.8x return on ad spend (ROAS). These statistics underscore the efficiency and effectiveness of Pinterest’s AI and automation combination, giving advertisers more power with less manual effort.
Advertisers can also mix and match the suite’s tools based on their specific needs, whether they are focused on driving consideration, conversions, or catalog sales.
Promotions and Deals: Driving Sales with Personalized Offers
Pinterest is also expanding its capabilities beyond product imagery. The platform is rolling out Promotions, a set of tools that allow advertisers to offer discounts directly to Pinterest users. These promotional tools are being made available on request to advertisers in key markets, including the U.S., U.K., Canada, Australia, France, Germany, Mexico, Brazil, and Japan.
Advertisers can further enhance their campaigns with Personalized Promotions and Deals modules, which surface targeted sales and discounts to Pinterest users based on their browsing habits and preferences. This personalized approach increases the likelihood of converting users who are already interested in similar products or brands.
New Bidding Strategy: Optimizing for Value
Another key enhancement Pinterest is offering is an update to its Performance+ bidding system. Advertisers now have the option to optimize for the highest value, rather than just clicks or conversion volume. This change is designed to prioritize the quality of the engagement, helping advertisers focus on meaningful actions that lead to greater returns on investment.
Pinterest Performance+: A Holistic Solution for Advertisers
The addition of generative AI and advanced automation features is a strategic move by Pinterest to ensure its platform remains an indispensable tool for advertisers. With a growing suite of products that cater to diverse advertising objectives, Pinterest continues to innovate in a way that aligns with both user expectations and advertiser demands.
As generative AI becomes a standard part of the digital marketing landscape, Pinterest’s early adoption of these technologies positions it as a key player in the space. Advertisers can now look forward to leveraging AI not just for aesthetics, but for driving tangible business outcomes—from higher click-through rates to increased conversions and stronger returns on ad spend.
For advertisers looking to enhance their campaigns and connect with audiences in a more visually compelling way, Pinterest’s new suite of tools offers a fresh, AI-driven approach that’s both powerful and easy to use. The future of advertising on Pinterest is smarter, faster, and more personalized, paving the way for a new era of creative marketing.
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