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What Is UGC: Meaning, Importance, and How To Use It for eCommerce

Updated: Nov 20

UGC meaning, importance, and how to use it for eCommerce

UGC stands for user-generated content. It’s also known as user-created content or customer-generated content. But what does it even mean, right?


UGC is any form of content (videos, images, text, etc.) created by users of a product rather than the brands themselves. 


Let’s say you have a coffee maker you constantly use and love. You could create a video about it yourself or write a review for it online, and that would become a UGC. Sort of like creating a review.


But how does it work out for eCommerce brands? Glad you asked because people consider UGC the holy grail of marketing for eCommerce. It’s much more than that, and we’ll dig into it all here.


UGC Meaning in eCommerce


In eCommerce, businesses can use user-generated content in their marketing mix.


They take the content generated by the users of their product and market it across various marketing channels like websites and social media.


Like the one above. It’s a high-converting UGC video we created for one of our clients. 


Here’s a better picture of how it’s done…


If you’re a brand selling vacuum cleaners, you can ask your existing customers to create content about it in any form (video, image, text, etc.) and market that content to your audience. 


Easy, right? But not really. 


Importance of User-Generated Content in eCommerce

UGC is the most authentic form of marketing content in eCommerce

Now that you know the definition of UGC, it’s time to explore what makes it so important in eCommerce.


In case you didn’t know, user-generated content is the bread and butter for many eCommerce brands out there. Because it’s usually the most effective and high-converting marketing technique among others. 


Sometimes, it’s for good reasons. Sometimes, it’s for the bad because desperate businesses tend to misuse the greater potential of UGC.


There are also incompetent agencies that misuse UGC. Stay away from them. If you ever need help with UGC ads, only go for the top UGC agencies that specialize in eCommerce with a proven track record of boosting ROI.


Now, here’s the question of the day: what makes UGC so powerful, especially in eCommerce?


There are multiple reasons, and we’ll discover them now.


It’s AUTHENTIC Content

Show us something as authentic as UGC. We’ll wait.


It can’t ever get any more authentic when someone talks genuinely about a product they’ve used in real life. And people tend to trust the words of an actual user of a product rather than the brand making it.


When your customers speak, there’s no way you can polish their content. It’s just as raw as it can get!


But mind you, your business will definitely take a hit if the user-generated content talks negatively about your brand. And that’s for good reasons, too. Because it ensures the survival of only the most genuine, trustworthy businesses.


That means less competition for you as long as you do business with good intentions.


UGC Is the Best Ever Social Proof There Is

When customers say something nice about your product, you can use that content in your marketing mix.


Such user-generated content will act as social proof, demonstrating to your audience that others have bought and enjoyed your products.


Social proof helps to alleviate concerns and hesitations potential customers have. And when they see actual people endorsing your product, they’ll be more likely to make a purchase.


Spends Less, Reaps More!

Do you love a marketing technique that spends less and brings more? Well, we know you do.


UGC is just the right marketing technique for such ROI. We’ve done it and seen how cost-effective it can be for eCommerce brands. And no, don’t trust our claims, trust the numbers…

eCommerce UGC video ad campaign result

These are the results we generated for a supplement brand with just UGC video ads. Of course, a lot of other factors come into play like effective copywriting, catchy hooks, engaging edits, etc. 

UGC video ad campaign for eCommerce

But the bottom line is, it all worked out incredibly well! 


If you’d like someone to help you out with UGC ads, we’re here. Apply to work with us by filling out our short application form, so that we can make sure you fit our criteria.


UGC Takes Personalization to Another Level

Let’s say you’re selling a haircare product for people with curly hair. If you can find someone with similar hair to use your product and create a UGC video for it, you can market that content by targeting people with curly hair. 


So whenever someone with a similar hair type comes across that UGC ad, they’ll instantly connect with the person on the video. They’ll see someone like them on screen, stop to find out what they’re talking about, and be driven to check out the product that helps curly hair.


That’s personalization at its best. Combine this with all the other points we came through, and you have a powerful marketing technique at your disposal!


The Best Way To Use UGC for eCommerce

Market with UGC on major social media channels like TikTok and Meta

The best way to make use of UGC is to incentivize users to create video UGC and use that content in your marketing mix.


However, while you’re at it, you should also make sure to find users or creators who share similar physical/mental characteristics as your target audience.


Wrap up the content with hooks/headlines, edit for engagement, and get it out there on major social media platforms like TikTok and Meta.


It’s all a lengthy process that must be done with extreme precision and creativity. If that sounds like a challenge to you, we’re here to help out.


You already saw the quality of content we create and the results we yield. If that interests you and you need to witness similar numbers for your business, just get in touch.


We currently only work with select brand that meet our criteria. Want to know if you qualify? Fill out the application form today!


Conclusion

Well done if you made it to the end of this blog post. Because now you know a lot more than 50% of eCommerce businesses that are just pumping out ineffective UGC videos and burning money.


Don’t hesitate to give user-generated content a try. It might just work out for you the way you do it. But if it doesn’t, we’re always here to help.


Good luck!

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