Updated Jul 24

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Revamping Ads with AI

Pinterest Unveils Generative AI Tools for Enhanced Product Imagery to Advertisers

Pinterest rolls out generative AI tools that allow advertisers to transform basic product images into captivating lifestyle visuals, aiming for higher clickthrough and conversion rates.

Pinterest has unveiled new generative AI tools tailored for advertisers to enhance product imagery in their Product Pins, aiming to increase click‑through rates. Launched during the Pinterest Presents advertiser event, this feature is part of the Pinterest Performance+ suite, which integrates automation with AI to transform plain backgrounds into dynamic lifestyle images.

This move is part of a broader trend among tech companies like Google and Amazon, who have already introduced similar generative AI capabilities to their platforms. Almost a year ago, Amazon rolled out technology enabling advertisers to alter product image backgrounds using descriptive prompts, and Google soon followed with tools to modify background colors and scenes.

The generative AI feature is not just about enhancing aesthetics but also about performance metrics. For example, Walgreens, an early adopter, tested this technology on 50 products across various categories. They found a 55% increase in click‑through rates and a 13% reduction in cost‑per‑click when using AI‑generated backgrounds compared to standard white backgrounds.

Pinterest's AI and automation tools aim to simplify and accelerate the ad creation process, requiring 50% less input from advertisers. This efficiency, coupled with the versatility of the Pinterest Performance+ products, has shown promising results. Initial tests reported a 64% decrease in cost per action, a 30% increase in conversion rates, and a 1.8x return on ad spend.

Additionally, Pinterest is rolling out new Promotional tools that allow advertisers to offer discounts directly on the platform. These tools will be available in numerous countries, including the U.S., U.K., Canada, Australia, France, Germany, Mexico, Brazil, and Japan. Personalized Promotions and Deals ads modules will surface sales and discounts to Pinterest users, providing more targeted marketing opportunities.

Performance+ bidding in Pinterest will now include an option to optimize for the highest value, rather than focusing solely on clicks or conversions. This feature is available globally, enabling advertisers to set objectives for Consideration, Conversions, or Catalog Sales.

Overall, Pinterest’s foray into generative AI and enhanced automation is a significant step toward transforming how advertisers interact with their audience on the platform. By offering these advanced tools, Pinterest not only boosts its competitive edge in the digital advertising arena but also empowers advertisers with more effective, creative, and efficient ways to engage potential customers.