Michael Pachter of Wedbush put out an interesting PRISM (Progress Report for Internet and Social Media) note on Pinterest over the weekend.
The bottom line is that Pachter believes this could be a much bigger company a few years out given the revenue opportunity to help brands connect with their likeliest consumers (and sell them stuff). His executive summary below:
Elevating itself to the top of the social media heap through innovation, Pinterest is redefining the way consumers discover products and services in the ever-evolving online economy.
Social bookmarking scrapbook website that allows users to link or “pin” images, videos and articles to a pinboard
Founded in 2009 in San Francisco, California by two former Yale classmates
Currently employs 200 people and attracts 70 million users
Partners with websites such as Target, Zappos, Nestle, Walmart and Hearst
Its platform promotes content distribution, product discovery and e-commerce
Generates more sales per visit than social media peers
Live in the UK, France and Italy; planning to roll out to ten more countries by end of 2013
Completed $225 million raise in October 2013 led by Fidelity Investments, valuing the company at $3.8 billion
We anticipate revenues approaching $500 million by 2016 could justify $8.2 billion valuation