What Is User Generated Content + How Does It Benefit Small Businesses
DATE: OCTOBER 4TH 2023
TIME: 4 MINUTE READ
SUBJECT: MARKETING
Unless you live under a rock, you’ve probably heard about the major impact UGC (User Generated Content) is having on social media accounts across all platforms. Whether you are on Tik Tok, Instagram, or even Facebook, we see this content being used daily, and you probably do too. But, you might not know it or even be able to recognize it when you see it. We will dive into what UGC is, why it's a goldmine for businesses, and how you can harness its potential to fuel growth and success in your own business marketing… buckle up ;)
FIRST THINGS FIRST… WHAT IS UGC?
UGC stands for User Generated Content. This encompasses any content — graphics, text, images, and videos — created by ordinary individuals rather than big brands or influencers. Companies frequently enlist the participation of regular people, not influencers or celebrities, to produce videos that review their products, showcase unboxing experiences, or simply engage in conversations about their offerings.
The other major difference? Influencers aren’t the ones that post this type of content, the brand does. Meaning you can pay someone to create a video, photo or graphic of your product and they will send it back to you to post on your account, not theirs. This means that contributors don’t necessarily have to align with a brand in order to create posts for them — opening up the world of content creation for smaller businesses with modest marketing budgets (that probably don’t have the cash to justify a $3,000 instagram post), and get your name out there with ad-like posts, created by people who your customers can relate to… which is all that matters. Isn't the point of social media connection anyways? ;)
WHY IS IT A GOLDMINE FOR BUSINESSES?
BUILDING CUSTOMER CONFIDENCE
The real magic of user-generated content (UGC) lies in its ability to boost customer confidence. UGC serves as a powerful influencer in the eyes of potential buyers. When customers see ordinary people like themselves using or endorsing a product, they instantly connect with it. Unlike pricey influencers who sometimes come off as oversaturated in their promotions, UGC videos offer an authentic and relatable glimpse into how everyday individuals genuinely use and perceive a product AKA connecting and building confidence in your business.
BUDGET-FRIENDLY
Another reason why businesses are turning to UGC is its cost-effectiveness. In this context, cost-effectiveness means achieving the same marketing impact without shelling out big bucks to high-profile influencers. This budget-friendly approach makes UGC an attractive strategy for businesses aiming to make the most of their marketing budgets.
TIME-SAVING
Creating videos and content for your business can be a time-consuming endeavor, especially when you're already swamped with daily operations. Outsourcing this task not only saves you time but also frees you up to focus on other essential aspects of your business. Having individuals who craft compelling videos and authentic reviews for you to share allows you to invest your precious time elsewhere. No more creating your own videos, when you can have someone else do it for a fraction of the price.
FOSTERING BRAND LOYALTY
Promoting your products and having others champion your projects are two entirely different ball games. Think about all the businesses bombarding you with ads and targeted messages daily. When friends and family recommend something, you're more likely to pay attention and trust their judgment. As a consumer, you tend to have more faith in people than faceless brands. UGC content bridges that trust gap and introduces your customers to real-life individuals who genuinely use and enjoy your products.
EXAMPLES OF SOME GREAT BRAND UTILIZATION OF UGC CONTENT:
Sometimes we just need to see things before we are sold, and we get that. So here are some examples we have seen recently that can be considered UGC content.
1. TRY ON + HOW TO USE
2. INFORMATIONAL
3. UNBOXING + AESTHETIC
There are so many different categories you can get when asking for or creating UGC content, and some of them are listed above in those examples. If you need something specific, that can happen. Not only do most creators create the idea behind the video (so you don’t have to) they also create the script. You literally don;t have to do much other than explain your goals to them and what you want the video to promote.
In a world where trust and authenticity reign supreme, user-generated content has become an essential tool for small businesses striving to thrive and compete. By embracing UGC, businesses can build trust, conserve resources, and nurture deeper connections with their audience. This, in turn, propels them toward growth and success in today's marketplace. So, never underestimate the power of UGC—it could very well be the catalyst your small business needs to soar to new heights.