Pinterest has put out its Q2 2023 performance update, which shows some concerning signs for general platform growth, though it is growing, which is a positive trend.
Users: It added 2 million more users in Q2, taking it to 465 million monthly actives.
That's the platform's slowest rate of growth in a year although again, it is growing, which in itself is good news after the platform suffered a drop in usage following the pandemic bump.

In Q1 2021, at the height of the COVID lockdowns when most everyone sought alternative shopping options, Pinterest rose to 478 million users before sliding back over the next year to 431 million. Since then, it's been steadily regaining its footing, so while its growth has slowed in this quarter, it is maintaining an upward trajectory, though slower growth will logically spook the market.

What's particularly alarming in this regard, however is that Pinterest is actually trailing behind in its most lucrative markets of user bases. In the US growth has actually stalled, and in Europe usage has declined- all new users in the entire region hail from the 'Rest of the World' category.

Which doesn't bring nearly as much revenue to the app.
Pinterest is clearly dependent on the North American market, and while global expansion will bring new opportunities, as you can see in these charts, the revenue impact of those pales in comparison to its key centers.

The fact that EU users seem to be losing interest is worrying enough, but Pinterest actually needs some growth in the US to make revenue hike worthwhile. It hasn't risen its US user base for practically a year now, and that's something that'll be pressed further as analysts look to project the app's future potential.

But for now at least, Pinterest is keeping revenue growth going, with a 6% year-over-year gain to $705 million for the period.
It's steady, and it's not likely to blow anyone away. But along with cost-reduction measures, Pinterest is keeping its margins growing and its business opportunities, which will keep it firm for now amidst shifting market conditions.

In terms of usage, Pinterest says that sessions, impressions and Pin saves all grew faster than MAUs, which it says is a sign it's "deepening engagement with our user base". In other words, Pinterest may not be adding a heap of new users but those that are using the app are in there for longer and do so more frequently-so it's in a better position to monetize its most engaged audience.
Though once again, you'd like more of these users to be in the U.S. and EU, but 465 million engaged shoppers is still a very valuable audience, which many retailers, in particular, will be interested in.

Pinterest also indicates it's seeing solid growth in usage among younger audiences:

In Q2, Gen Z were our largest contributor to overall engagement growth and the fastest growing cohort, growing double digits and accounting for a larger portion of our overall mix." 

That's also a good sign for future success but much of this is projecting forward, the immediate results reflecting more of a holding pattern for the app.

Pinterest also says it's seeing growth in engagement in many of the key verticals, such as men's apparel, autos, health, and travel again and shows expanded opportunity.

Auto marketing has become a bigger area of focus for the app, in an odd niche many would not expect and is worth pointing out in this context since Pinterest does see a lot of engagement in several verticals outside of its normal DTC focus.

What do these results mean for marketers?

Anyway, Pinterest is still a potentially valuable consideration for lots of brands; actually, you have to go check the app out for yourself to see how it could play into your opportunities and what brands in your niche are doing.

It is composed of 465 million users, a very diverse group, and using something like Pinterest Trends might help understand what people engage with, and how that can be applied to your business.

It is not exploding with new users, and some of the growth numbers here are a concern. But with such a huge group of users coming to the app with shopping intent, there still are loads of opportunities for the right brands.