15 Stats About User-Generated Content that You Can’t Ignore
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Content MarketingContent Marketing Analytics

15 Stats About User-Generated Content that You Can’t Ignore

When it comes to different types of content marketing, UGC is one of the most profitable strategies. But how can brands use the power of user-generated content effectively? Read on to find out.

Team PepperTeam Pepper
Apr-26,-2021 3 min read
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User-Generated Content or “UGC” is content that has been created by the users of a brand and not the brand itself. It could well be created by unpaid fans who want to promote the brand, simply because they believe in it. 

The next wave of the Web is going to be user-generated content. – John Doerr, Venture Capitalist.

UGC can range from blog posts, images, videos, selfies to even memes. Now think back to the times you ate at your favorite restaurant and shared a post on Instagram or when you tweeted about a product you liked and the brand retweeted you. All of these are examples of UGC and the massive role it plays in content marketing today.

The Power of UGC

When it comes to different types of content marketing, UGC is one of the most profitable strategies.

UGC is a type of content strategy that uses different content types such as music, video, graphics, and text. In a UGC, a content creator will be an individual or maybe a group of people that create content and showcase their latent through various content. Unlike traditional marketing or advertising, the brand does not showcase the product or services. A completely random person can make content over the product or service and make a video or an article about it and tell about its benefits.

In the past, only B2C companies incorporated UGC strategies as the content creators would directly advertise to potential customers. But in recent times, we can see that many B2B companies have also incorporated this strategy into their marketing mix.

Benefits Of UGC

  • Social media is a powerful tool, and UGC helps any brand expand its presence and grow its network using social media.
  • People can trust any content created by fans, customers, or employees rather than companies.
  • UGC strategy is very cost-effective and gives a high ROI.
  • People think that UGC content is authentic and will be willing to purchase through UGC content.
  • UGC helps create a strong community that trusts everyone’s decisions and reviews, which helps create a great brand.
  • When utilized appropriately, UGC empowers commitment and develops your potential clients. It improves SEO, supports your lead generation strategies.
  • UGC also helps you to boost your social media presence, growth, and reach.

15 Stats About User-Generated Content

Recommendations or Referrals

The best way to sell your products and services is through recommendations and referrals. User-Generated content is all about recommendations and referrals. If one customer likes it, they will give good reviews and recommend your services or products to their friends and family.

When we look at the content marketing analytics related to UGC, we can see that around 92% of the consumers prefer to purchase products that are recommended to them, especially when it comes from someone they know and trust. According to a study, 84% of consumers would not give much attention to direct advertising; rather, they would prefer peer-to-peer recommendations or referrals.

Millennials and their Purchasing decision

We all know that millennials are the driving force of purchasing goods and services online. Learning about their purchasing decisions is vital for every organization. When it comes to UGC, millennials contribute more than 70% and act as the most significant content drivers. 

Also, according to one research, around 79% of the people, UGC plays a major factor in their purchasing decision. UGC plays such an important factor that at least 41% of the people will go through multiple UGC reviews before purchasing the product or service.

Social Media and Word Of Mouth Marketing

When it comes to different types of content marketing, social media marketing and word of mouth marketing go hand in hand with UGC marketing. Various content marketing analytics tell us that to have better UGC marketing, a brand needs to have a good social media presence. 

It was found that social media can influence the purchasing decisions of at least 74% of the consumers. It was also seen that word-of-mouth marketing is very important to add to your marketing strategy as it gives twice the sales and profits compared to paid advertising.

Lower Cost and a Higher ROI

Every company wants to lower its selling cost and see a rise in its ROI. Similarly, every marketer will want to spend less and see a higher conversion rate. It was found that user-generated content has a lower cost compared to a traditional advertisement.

It has a 50% less cost and has a four times higher click-through rate which results in a 29% higher conversion rate. Therefore, if you want to see a rise in potential leads, UGC is the right choice to add to the marketing strategy.

Exposure and Engagement

Every brand wants to get exposure and reach out to customers in a short amount of time. User-generated content is the best way to achieve maximum exposure in a short period. According to a study, around 50% of the customers said that they get brand awareness through UGC content instead of advertisements.

The same goes for engagement; social media apps like Instagram, Twitter, or YouTube are a great way to keep your customers engaged with the brand. You can see at least a 50% rise in engagement level through UGC.

Impact on Brands

48% of customers say that user-generated content is a great way for them to discover new products and brands see a 29% increase in web conversions when websites feature UGC.

These are surely important statistics that push brands like Coca-Cola, Lays, AirBnB, GoPro to position their marketing strategies on UGC. When your customers create content for you, not only is it authentic, it also means you save on the cost of production and distribution for a piece of content that you have to create.

Employees as Brand Ambassador

Every company knows that its most significant asset is its employees. There is nobody better than the employees to promote the company’s products and services. 50% of the people on social media regularly post about their companies’ products and services.

According to LinkedIn, where they talk about turning employees into brand advocates, says that every content that an employee post has twice the higher engagement. Remember that the company’s follower base is only 10% of your employees’ overall network.

Conclusion

After looking at various stats of UGC, we can conclude that there are a lot of benefits from implementing content marketing techniques into our marketing strategies. There was not a single statistic that could prove that UGC is not suitable for a company.

With the rise of digital life, every company is moving towards digital marketing. Every company is trying to leverage untapped markets by implementing various types of content marketing strategies. Looking at the above stats about user-generated content and content marketing analytics, you should also start implementing content marketing techniques to your marketing strategies.

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