User-generated content (UGC) is on the verge of becoming a large stick for brands looking to trim advertising costs yet build credibility. 79% of consumers say that UGC heavily influences purchases, much more than branded content, according to a 2024 report released by Stackla.
On the other hand, businesses incorporating UGC have a possible 29% conversion rate boost compared to businesses using nothing but expert ads.
So how do you nicely get UGC for your brand and reap its full benefits?
1. Reward Those Who Create Content For Your Brand Without Making it Feel Like Transaction
Humans like sharing their own stories—if given the right incentive.
Offer small but adequate rewards: discounted prices, early access, or public appreciation.
Instead of directly paying them for the UGC content, offer loyalty points or distinctive features on your social media.
Without paying directly, it maintains the authenticity of the content.
Highlight user content in your formal marketing—this makes the customers feel important and invites others to join.
Keep in mind not to offer pay for every piece of content to ensure your brand is promoted in a meaningful way, not for those looking for a quick cash reward.
However, you can consider payment if the content is exclusive to align with the campaign you are targeting.
2. Make Sharing Easy & Seamless
Less friction through simple tools, e.g., branded filters, templates, or hashtags.
Make it easier to encourage content through your site, product packaging (QR codes to submission pages), or auto-post-purchase emails.
TikTok’s “Duet” and Instagram’s “Remix” encourage users to create on top of your content, fueling organic engagement.
3. Host Challenges, Contests & Campaigns
Host a hashtag challenge where customers share their experiences.
Make contests simple: ask customers to post a photo or video, tag your brand, and use a campaign hashtag.
Ride trends—leveraging viral sounds or trending formats can push your brand’s UGC further.
Ensure winners get tangible rewards to foster long-term engagement.
4. Build a Community, Not a Customer Base
Actively interact with UGC that users have produced through commenting, sharing, and thanking the users.
Build a branded community (e.g., Facebook Groups, Discord, or private IG accounts) where customers feel they belong.
Emphasize customer stories beyond product usage—how your brand impacts their lifestyle.
5. Work With Nano- & Micro-Influencers
Consumers trust what individuals say more than they do traditional advertising (92% of consumers, according to a 2023 Nielsen study).
Work with influencers who already adore your brand and have engaged followers.
Don’t spend a lot of money, but give free products, affiliate commissions, or early access in exchange for content.
6. Use UGC in Paid Ads for Increased ROI
Facebook and TikTok’s automated ad systems favor genuine, real-world content over high-production, glossy ads.
UGC-based ads tend to perform better than brand-made content in engagement and cost value.
Retargeting UGC videos to warm audiences assists in building trust and driving conversions.
Final Thoughts
Instead of spending thousands on ads, companies should spend it on turning customers into their best word-of-mouth marketers. UGC is not only cost-effective—it builds credibility, creates engagement, and ultimately leads to brand loyalty.
The secret is to create a system where customers naturally want to share their stories. Companies that do it right will not only reduce ad spending but also gain a loyal base that promotes them organically.
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