Why User-Generated Content (UGC) is Powerful in Online Marketing

You might have heard about User-Generated Content but perhaps you don’t think it’s applicable to your business. However, if you are a brand who is experiencing:

• Low post engagement
• Slow growth
• Underperforming ads
• Lack or loss of community

… and of course, lower sales than expected

This blog post is for you.

Marketing trends, well, they are ALWAYS changing. ROI is always a big convo in the marketing industry – what is the return on investment?!

If you’re a small to medium sized business, implementing a strong User-Generated Content (UGC) program is the most important part of a killer marketing strategy, and will be the best way to bring the attention back to where it belongs: your amazing product!

Dig into why and how UGC works and can help turn your metrics around and deliver the results you’re looking for.

Why UGC Works

User-generated content (UGC) has become incredibly popular lately, and for good reason! From social media posts to online reviews, UGC is everywhere and is being used by brands to sell more and build brand loyalty.

Brands are leaning into paid UGC to compliment organic UGC created by customers. If you’re new to UGC, check out this post where we break down exactly what UGC is and how you can use it as a business owner or brand.

Whether it’s paid or organic, UGC works for a few specific reasons, so let’s explore the reasons behind the effectiveness of UGC in online marketing today. (Watch our FREE Masterclass on how to unlock the power of UGC for your business.)

Why User-Generated Content is Powerful

UGC Feels Authentic

One of the main reasons UGC style content works so well is that it feels authentic. UGC style content usually features a person sharing their experience with a product or service, and it acts as a word of mouth recommendation.

Customers are much more likely to trust content created by other people vs highly produced marketing campaigns. According to a recent report on the State of UGC by Tintup “93% of marketers agree that consumers trust content created by customers more than content created by brands. People trust people.

This doesn’t really come as a surprise, marketers have long been seeing shifts in online marketing that highlight the fact that customers are tired of traditional advertising.

Authenticity is a key factor in building trust with consumers, and UGC is a great way to achieve this. When consumers see other people like them using and enjoying a product or service, they are more likely to trust the brand and make a purchase.

UGC is Review Style

Tapping into authenticity, another reason why UGC works is the less polished, more raw and real review style. When users share their experiences with a product or service, they often share the emotional reasons why they loved the product so much.

You’ll often hear things like: 

“This product changed my life, I’m so happy I tried it!”

“I struggled so much until I found X, now I’m so confident.”

“I now have time to spend with my family and do the things that light me up.”

Since people purchase first through emotional processes and then rationalize later, the emotional connection created by UGC style content can be powerful and can have a huge impact on someone’s decision to purchase. This is the basis of why User-Generated Content is so powerful!

Social Proof

Social proof is the idea that people are more likely to do something if they see others doing it. UGC works because it provides social proof that is then used by brands in a variety of ways.

You’ll often find customer reviews on the checkout page because they are a powerful tool to convince someone to buy. Many consumers will spend significant time reading reviews before a purchase.

In some cases, people will go to a brand’s social media channels to research first before visiting their website. So it’s important to integrate UGC into both social media and website marketing strategies.

Shared Values

Another reason why UGC is so powerful is because it can create a sense of belonging and shared values. People want to feel like they’re a part of something, and the hype created by UGC can help brands create a sense of community and brand loyalty.

This can often be achieved by brands paying Influencers to create UGC style content, but also organically (and perhaps more powerfully) by customers creating UGC that shares their experiences with a product or service. This contributes to a larger conversation and community of shared interests and values.

Get Results With User-Generated Content (UGC)

UGC works because it is authentic, creates an emotional connection through personal reviews, provides social proof and creates a sense of belonging and shared values.

Brands that incorporate UGC into their marketing strategies can expect to increase trust, brand recognition, and loyalty. Done right, UGC will also help brands decrease ad spend and increase sales.

If you’re ready to start reaching out to UGC Creators, we have a FREE Email Outreach Template for you. This email template is the perfect intro for reaching out to content creators you want to hire for your marketing or brand awareness campaigns. We’ll show you what to say & how to say it to get the conversation started, setting you up for immediate success. 

We also have a FREE MASTERCLASS that covers how UGC works & how to get started. Watch this free UGG training for business owners now!