As Business Insider points out, the social site has yet to share how it plans to make money. That's kind of an important thing for a business that's presumably adding employees as fast as it's adding users (28 million visitors come to Pinterest each month). For retailers, the boom of Pinterest (and a source of enormous potential revenue for both parties) is obviously turning shareable images into cold, hard cash: Getting users to pin and repin your products and, eventually, click through to your website and purchase. If Pinterest wants to continue supporting this kind of growth, and continue delivering a great experience to users, it needs to get smart about taking advantage of larger companies' desires — and fast.
The problem? Because so many people use Pinterest for inspiration rather than keeping track of a wish list, there's no distinction between what's actually shop-able and what's just a photo of a blazer from three seasons ago that's now nowhere to be found in the sea of e-commerce. There are more than a handful of savvy start-ups aiming to cash in on that loophole, creating versions of Pinterest that look strikingly similar, but with a more direct goal of what insiders call "discovery commerce." So, just like on Pinterest, you browse around for any image that catches your eye — but, in the case of most of these competitors, you can pull out your credit card and make the product your own in just a few clicks.
Take a second to read the article after the jump, because this is an important facet of the future of social media. For now, none of these smaller companies are really at a level to compete with Pinterest...yet. Depending on what Pinterest is able to do in this second stage of its development, it may be only a matter of time. (Business Insider)