The Power of User-Generated Content in Marketing

Business View
9 Min Read
The Power of User-Generated Content Marketing

We see close more than a hundred each day. Whether we are on YouTube, Instagram, or Pinterest, ads have found a way to disrupt the experience. But how many of them do we click on? If we were to buy a laptop, instead of going to different brand sites to compare, we prefer to go on social media and check customer reviews instead. We watch brand comparison videos to figure out what we want. This is because we know a brand will always claim to be the best among its competitors, but is it the best choice for us? And when we see someone like us having used it and approve of it, we have confidence in the product’s capabilities. That is the power of user generated content. Let us dive deeper into this topic.

What is user generated content?

User generated content is exactly what the name suggests. It is published content that an unpaid contributor provides to the company website. It is text, videos, images, reviews, etc. created by people instead of the brands. 

The importance of user-generated content in content marketing

User generated content is becoming a crucial element of content marketing strategies. With the integration of social media in the marketing picture, UGC can be performed in many styles and formats across the platforms. UGC helps influence engagement and increase conversions. In this digital era when every brand is on the internet, brands might struggle to come out on top. UGCs can vouch for a brand’s quality and authenticity without spending any money on this promotion. According to research, 86% of consumers are more likely to trust a brand that shares UGC compared to 12% who are likely to purchase a product promoted by influencers.

UGCs can come from three cohorts: your customers, brand loyalists, or employees. UGC also helps build brand loyalty. UGCs create an opportunity for interaction between brand and consumer while developing audience/business relationships. UGCs act like word of mouth. They are more authentic and rarely contrary to the claim being made. It acts as social proof. The proof that someone has already used a product and been satisfied with the result makes more people want to invest in it, as the risk of buying something lackluster is reduced. The biggest benefit of UGC is reaped by the company, as it is quite cost-effective. Hiring an influencer is generally quite expensive. 

Types of user-generated content 

UGC is mainly divided into two major types: paid UGC and organic UGC. 

Paid UGC: Paid user generated content is content that influences and content creators share with you by paying them. This is just as authentic as Organic UGC, just that you are paying for this. This kind of content marketing is especially helpful for newer emerging brands that don’t have enough customers sharing organic content yet. You can either contact the creators or your own or accept their offer to promote you. 

Organic UGC: Organic user generated content is content that your real customers share of their own accord. This is the most authentic type of content that can contribute to the content marketing of your brand. Reviews, ratings, and testimonials are some of the most commonly generated organic UGC. A positive rating on Google can imply a brand’s authenticity to interested consumers. Many brands take positive testimonials to showcase them on their website. Another common form of UGC is photos. This is when a customer shares a picture while using the product or showing the results of the product. They can tag your account or use your company in the hashtag while sharing this picture on social media. Youtube videos and social media videos too act as a UGC.

YouTube videos with product hauls, product reviews, or product ranking can feature more than one brand in a single piece of content. Twitter posts and blogs too can serve as UGCs. Utilizing user generated content is a smart practice for businesses as it is cost-effective and authentic, but there are some things companies should take care of first. If you have decided to display a UGC, make sure you have their consent. Reach out to them, thank them for their review, and ask them if they are okay with you displaying their content. Consent is a mandatory element to share UGC. Even when you have their permission, make sure to always credit the original creator. Giving credit where it is due makes space to build better relationships with your customers and gets them excited about future products. 

Why is user generated content effective? 

User generated content is effective for numerous reasons. It attracts organic traffic and improves the company’s reputation in the market. But there are more reasons than that. Let us explore why user generated content is so effective.

  • Builds trust: In the case of paid content marketing, influencers and content creators are paid to review a product. This somehow makes them obliged to like the product. Even if they are allowed to be honest in their review, there is a subconscious bias that is hard to shake off. In the case of organic UGC, there is no requirement for the reviewer to be conscious of the brand. This calls for an authentic review that gains people’s trust, as they are aware the creator has no agenda attached to this review. It builds genuine trust towards the brand among the audience.
  • Reaffirms authenticity: Many newer brands often pay creators to review their products positively in a desperate attempt to gain customers. This has ruined the appeal of paid content among buyers. UGCs are the preferred source for brand comparison before purchase. UGCs build the authenticity of the brand.
  • Enhances Engagement: UGC encourages increased interaction among the audience. When audiences see content from real people, they’re more likely to engage by liking, commenting, sharing, or even creating their content in response. It is a helpful element in content marketing.
  • Boosts Conversion Rates: UGCs are proven to increase consumer conversion. When people see other people buy and enjoy a product, the risk of the product being disappointing is gone. It is easier for a customer to invest their money in something they already know is good because an unbiased person has vouched for it.
  • Cost-effective Marketing: The biggest plus point of UGCs is that they bring the brand a lot of profit without having to spend a ton. 

Conclusion

With more and more people spending a chunk of their time on social media platforms, user generated content (UGC) in content marketing has stood out as a powerful strategy for brands looking to deepen their engagement with audiences and leverage authentic customer experiences. That was our view on the power of user generated content in marketing.

 

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