Pinterest Launches Innovative Ad Formats Ahead of Holiday Season
Pinterest has unveiled a suite of new advertising tools designed to better engage Gen Z shoppers and capitalize on retail media opportunities. Announced during the company’s Pinterest Presents summit, these tools aim to enhance visibility for advertisers on the platform, particularly in the lead-up to the crucial holiday shopping period.
At the center of this announcement is the introduction of Top of Search ads, currently in beta testing. These ads will appear in the top 10 results of Pinterest’s search and in the Related Pins section. This strategic placement addresses the platform’s observation that 45% of user clicks occur within the top 10 search results, despite 96% of those searches being unbranded.
Gen Z at the Core of Pinterest’s Strategy
Gen Z users now comprise half of Pinterest’s user base, signaling a shift in how younger demographics are engaging with the platform. According to internal research, 39% of Gen Z consumers prefer to begin their shopping journeys on Pinterest. This trend positions the platform as a viable alternative to traditional search engines for product discovery, especially among younger shoppers.
However, Pinterest has historically lagged in effectively monetizing this user behavior. The newly introduced Top of Search ads are intended to bridge this gap. Early testing results are promising, showing a 29% increase in average click-through rates and a 32% higher likelihood of attracting new users.
Local Inventory Ads Go Mainstream
Another key component of Pinterest’s ad expansion is the broader rollout of local inventory ads. These enable merchants to showcase products that are in stock at nearby retail locations. The goal is to drive foot traffic by emphasizing local availability and pricing.
Canadian Tire Company, the first retailer in Canada to test this format, reported a 16.5% increase in store visit rates by incorporating local inventory ads into its digital strategy. This rollout follows the introduction of the “where to buy” link feature, which allows users to access product availability information without needing to visit a third-party retailer’s website.
Pinterest Media Network Connect Enhances Ad Integration
To further streamline ad operations, Pinterest is introducing the Media Network Connect tool. Accessible through the Pinterest Ads Manager interface, this tool allows media networks to securely share first-party audience data, product catalogs, and conversion metrics with advertisers.
This development aligns with the growing trend of retail media networks becoming a dominant force in digital advertising. Pinterest has already established partnerships with major players like Instacart and Kroger Precision Marketing. For instance, the collaboration with Instacart enables ads on Pinterest to be shoppable through the grocery delivery platform.
Building Momentum Amid Growing Competition
Despite flat user growth in the United States, Pinterest continues to expand its global footprint. In Q2 2025, the company reported a 17% year-over-year increase in global revenue and an 11% gain in the U.S. and Canada. These figures suggest that Pinterest’s investments in advertising infrastructure are starting to pay off.
With these new tools, Pinterest is positioning itself not just as a social media platform, but as a serious player in the competitive retail media landscape. By focusing on Gen Z behaviors and enhancing local shopping capabilities, Pinterest is carving out a unique space in the broader e-commerce ecosystem.
A New Chapter in Social-First Advertising
As holiday shopping ramps up, the timing of these new ad offerings could prove critical. Marketers looking to engage younger audiences may find Pinterest’s evolving suite of tools an attractive proposition. With features like Top of Search ads, local inventory integrations, and Media Network Connect, advertisers now have more ways than ever to capture user attention and drive conversions directly from the platform.
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