What is User-Generated Content? And Why is it Important?

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The future of marketing is here, and it’s all about user-generated content in 2022.

Contents
What is UGC and how does it work in ecommerce?UGC drives traffic and engagementUGC builds trustUGC encourages customer loyaltyUGC can improve your SEO ranking and increase website trafficUGC is cost-effectiveUGC is easy to get started withYou can use UGC for marketing and customer serviceUGC is here to stayYou can use UGC to tell your brand storyHow can you use UGC to increase sales and engagement on your website or storefront?There are a few things you can do to encourage customers to generate UGC for your business.Once you have some UGC content on your website or storefront, be sure to use it in the right places.Monitor how UGC is affecting your sales and engagement metrics, and adjust your strategy as needed.Reposting user-generated content (UGC) can help to extend the reach of content while showing appreciation to the creators.Sometimes businesses will receive negative user-generated content (UGC).Use user-generated content (UGC) across all channelsWhat is Shoppable UGC?5 easy steps how you can use UGC for your ecommerce business to boost sales and grow the size of customer base.Conclusion Read Next The Future of E-commerce: Trends to Watch in 2023How to Personalize Your Ecommerce Store for More SalesHow to Create a Bolder Branding StrategyHow to Take Your Ecommerce Business to the Next Level With Data-Driven DesignThe 12 Biggest Ecommerce Mistakes (And How to Avoid Them)How to Use Product Reviews and Testimonials to Boost Sales (The Right Way)4 Steps to Mastering the MVP Development Process

In this in-depth guide you’ll learn:

  • What is UGC in ecommerce?
  • Why is UGC so important?
  • Why do brands need UGC?
  • Find successful examples of how big brands use UGC to stand out from the crowd
  • Step-by-step process how you can use UGC for your ecommerce business to boost sales and grow the size of customer base (5 easy steps).

Let’s dive in.

What is UGC and how does it work in ecommerce?

So let’s begin with what is user-generated content? And why should you care?

User-generated content, or UGC for short, is any type of content that is created by users/customers, as opposed to the site’s owners or employees.

In ecommerce, UGC can take many forms, from customer reviews and ratings to photos and videos of products in use.

Why is it important? Because UGC is authentic and engaging.

It gives your customers a voice and allows them to express themselves in a way that traditional advertising can’t.

Plus, it helps build trust and loyalty among your customers.

If you’re not using UGC yet, now is the time to start!

And here are just a few reasons why: 

UGC drives traffic and engagement

Studies have shown that websites with user-generated content see up to 80% more traffic than those without.

And when users are engaged and interacting with your site, they’re more likely to stick around and buy something from you. 

UGC builds trust

Customers are far more likely to trust the information they find on social media networks than information they find on corporate websites.

This is because user-generated content is seen as being more authentic – it’s coming from real people rather than from a faceless corporation.

Studies have shown that UGC is generally more trusted than traditional advertising; 92% of consumers trust peer recommendations over advertising, according to Nielsen.

When your customers see that you’re transparent and open about what’s going on behind the scenes, it builds trust between you and them. 

UGC encourages customer loyalty

Once customers have become engaged with your brand online, they’re much more likely to stick around for the long haul.

They’ll be less likely to switch over to a competitor who doesn’t offer the same level of interactive engagement.

UGC can improve your SEO ranking and increase website traffic

Since UGC is often linked to by other websites, it can help improve your SEO ranking and drive more traffic to your site.

A study by BuzzSumo found that when a brand published user-generated content on its site, its web traffic increased by an average of 6.7%.

Twenty-five percent of search results for the world’s top 20 largest brands are links to user generated content and thirty-four percent of bloggers post opinions about products and brands.

Erik Qualman

UGC is cost-effective

User-generated content is a great way to get free marketing for your business.

All you need to do is provide a platform for your customers to create and share content, and then promote it across your channels.

UGC is easy to get started with

There are lots of different ways to incorporate user-generated content into your marketing strategy.

You can start small by encouraging customers to submit product reviews or running photo contests.

As you get more comfortable with UGC, you can try hosting online chats or creating an ambassador program.

You can use UGC for marketing and customer service

User-generated content is not just for marketing – it can also be used for customer service.

For example, you can use social media to quickly resolve customer complaints or issues.

You can also use UGC to create FAQs or how-to guides on your website.

UGC is here to stay

User-generated content is not a passing fad – it’s here to stay. In fact, 78% of consumers say that user-generated reviews have influenced their purchasing decisions.

You can use UGC to tell your brand story

When customers share their stories about how they use your products or services, it helps humanize your brand and make it more relatable. 

This is a great way to connect with potential customers who might not be familiar with your brand yet.

How can you use UGC to increase sales and engagement on your website or storefront?

UGC increases sales and engagement on your website or storefront in a few ways. 

  1. it helps to build trust and credibility with potential customers. They are more likely to buy from or engage with a business that has third-party validation from customers who have had a good experience.
  2. UGC helps to humanize your brand and make it more relatable to customers.
  3. It acts as a powerful form of social proof, demonstrating that other people have found success with your product or service and encouraging others to do the same.

There are a few things you can do to encourage customers to generate UGC for your business.

  1. make it easy for them to do so by providing clear instructions and/or buttons on your website or storefront. 
  2. offer incentives for customers who contribute content, such as discounts or entry into contests.
  3. make sure that you are actively engaged with the UGC that is being generated for your business, thanking customers who contribute and engaging with their content.

Once you have some UGC content on your website or storefront, be sure to use it in the right places.

For example, feature customer photos and reviews prominently on your homepage, in your product descriptions, and in other areas of your site where they will be seen by potential customers.

You can also use UGC in your marketing materials, such as ads, email newsletters, and social media posts.

Monitor how UGC is affecting your sales and engagement metrics, and adjust your strategy as needed.

If you find that UGC is having a positive impact, continue doing what you’re doing!

If you find that it’s not having the desired effect, try experimenting with different tactics until you find something that works well for your business.

Reposting user-generated content (UGC) can help to extend the reach of content while showing appreciation to the creators.

When possible try crediting users by tagging them in posts or using their @username so they get notified when their post is shared again!

Responding to user-generated content (UGC) helps show that you’re paying attention and care about what people are saying about your brand – both the good and the bad!

It also helps create a community around your brand where customers can feel like they’re part of something larger. Not only does this encourage customer loyalty but it can also lead to even more user-generated content!

Sometimes businesses will receive negative user-generated content (UGC).

This can be tricky because responding negatively could inadvertently amplify the negativity while ignoring it could lead people to think that you don’t care about your customers’ experiences.

Try reaching out privately to the customer who created the post if possible and try to resolve the issue offline – this way you can avoid airing any dirty laundry publicly!

Use user-generated content (UGC) across all channels

including website, print collateral such as brochures & pamphlets), social media posts across all channels), tradeshows/events (ePosters/signage). Any place where you communicate with potential & current customers!

To summarize:

  • Use UGC wherever possible to increase trust & credibility with potential customers, humanize your brand & act as social proof; 
  • Make it easy for customers to generate UGC (instructions/buttons on site + incentives); 
  • Engage with UGC actively; 
  • Monitor impact on sales/engagement metrics; adjust strategy if needed;
  • Repost UGC for extended reach;
  • Respond positively to UGC;
  • Use across all channels; 
  • Leverage user-generated story submission platforms

What is Shoppable UGC?

Shoppable UGC, or user-generated content that can be directly purchased, is a relatively new and growing phenomenon in the online world. 

While it’s been around for a few years, it’s only recently that platforms have been created that make it easy for users to buy the products they see in photos and videos. 

This type of content is a great way for brands to connect with their customers and create a more personal connection with them.

One of the first platforms to make shoppable UGC popular was Instagram. 

In 2013, the company released a feature called “Instagram Shopping,” which allowed users to click on a product in a photo and be taken to a page where they could buy it. 

Since then, other social media platforms have followed suit. Facebook has “Facebook Shop” and Twitter has “Twitter Shop.” These platforms allow users to buy products without ever leaving the app.

There are also several platforms that are specifically devoted to shoppable UGC. One of these is “LikeToKnowIt.” 

This platform allows users to follow their favorite brands and receive notifications when they post new shoppable content. 

When users see a product they like in one of these posts, they can simply click on the link and be taken directly to the page where they can buy it.

Shoppable UGC is becoming an increasingly popular way for brands to market their products.

 It allows customers to connect with brands in a more personal way and makes it easy for them to buy the products they see. 

If you’re looking for a way to connect with your customers and sell more products, shoppable UGC may be the answer you’ve been looking for.

5 easy steps how you can use UGC for your ecommerce business to boost sales and grow the size of customer base.

  1. Identify the types of UGC that would be most relevant to your ecommerce business. This might include user-generated reviews on Yelp or Amazon, images or videos of products or customers using your products, or customer-generated content on social media platforms.
  2. Collect and curate the best UGC content from across the web. Make sure to credit the creators of the content where appropriate.
  3. Use the UGC content to create engaging visuals for your website or social media platforms. You can also use it to generate new content ideas for blog posts or product descriptions.
  4. Share the UGC content with your followers and customers on social media and on your website. Let them know that they can contribute their own UGC as well.
  5. Monitor and analyze the performance of your UGC marketing campaign. Tweak your strategy as needed to maximize its impact.

Conclusion

So why do brands need UGC? There are three primary reasons: trust, connection, and feedback. 

When customers see that other people have had positive experiences with a brand, they are more likely to trust that brand themselves. 

UGC also helps brands create a more personal connection with their customers. 

By featuring customer testimonials and stories on their website or social media pages, brands can make their customers feel like they are part of the family.

Finally, UGC is a great way for brands to learn what their customers want and need

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