There is no doubt in the fact that user-generated content has become a significant part of our lives. Almost all of us look at products' images by other customers and read what they are saying about that particular product.
Even if these images are of low quality or the reviews have multiple grammatical or spelling errors, they are trustable. Why? Because they are coming from a real user of the product and not the brand which is trying to make a sale.
If, as a business owner or marketing manager, you still need any more proof around the value of user-generated content, we have collected 37 UGC statistics.
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These statistics will help you see how UGC can benefit you monetarily, what other marketers are doing about it, how users feel about it, and what those users do about UGC.
We hope that these statistics will convince you to implement user-generated content strategies in your business.
Table of Content
Monetary benefits of user generated content
User-generated content is not just for the users. Businesses benefit from it, too. Let's see how.
1. The inclusion of user-generated content in social media ads results in a 50% reduction in cost-per-click.
2. Incorporating user-generated content in social campaigns leads to a 50% increase in engagement.
3. Websites that feature user-generated content yield a 29% increase in web conversions for companies.
Takeaway: UGC helps you save costs as it reduces cost-per-click. It also drives engagement, meaning your website visitors spend time on your website and interact with the content. Such visitors are more likely to convert into customers.
Market trends related to user-generated content
Market trends help you understand how other businesses are reacting to a new trend. In the statistics mentioned below, we will see how other businesses are leveraging UGC and what strategies they are implementing to make UGC work for them.
1. A majority of marketers, specifically 68.2%, acknowledge that social contests and campaigns have a positive impact on boosting engagement and conversions.
2. 78.51% of marketers are allocating investments towards video content in 2024, given their intention to enhance their presence on TikTok, Instagram, and YouTube, the three platforms they plan to increase activity on.
3. The significance of ratings and reviews to conversion rates is recognized by 69.08% of marketers.
4. Companies that have implemented Facebook and Instagram ad campaigns utilizing consumer-generated photos have observed a click-through rate (CTR) increase of up to 50% compared to brand-created images. Consequently, this has resulted in a 5X Return on Ad Spend for such companies.
5. 95% of marketers state that personalized emails have led to an improvement in their email open rates.
6. 83% strongly believe that authenticity holds great importance for their brands.
7. As part of their marketing strategy, user-generated content is utilized by over 86% of companies in today's business landscape.
8. Links to user-generated content comprise 25% of the search results for the top 20 largest brands worldwide.
9. 53.73% of marketers concur that influencer content leads to higher conversion rates compared to brand-generated content.
Takeaway: Active presence on social media, social contests, influencer marketing, and personalized emails are a strong strategy to build authenticity, drive engagement, and make your audience trust your brand.
What do consumers feel about user-generated content?
User-generated content is from users and for users. But what do they feel about it? Do they prefer one type of UGC over another? How do they interact with it? Let's find out.
1. Traditional advertising lacks the trust of 84% of millennials.
2. Websites rank among the preferred sources of information for 35% of millennials prior to making a purchase.
3. A majority of 60% users believe that companies should provide additional avenues for them to express their opinions online.
4. A significant portion of consumers, approximately 68.75%, have made purchases based on what they encountered on social media.
5. When making purchasing decisions, a vast majority of 82% of shoppers consider user-generated content to be of utmost importance.
6. 67% of consumers (73% of Gen Z and 70% of Millennials) emphasize the significance of brands delivering personalized experiences to them.
7. 84% of millennials state that user-generated content (UGC) on company websites has an impact on purchasing decisions.
8. 68% of millennials believe that user-generated content serves as a reliable indicator of the quality of a brand or service in general.
9. Millennials perceive user-generated content (UGC) to be 35% more memorable compared to content originating from mainstream sources.
10. The impact of authenticity on consumer choices is deemed significant by over 90% of individuals when selecting brands to like and support.
11. 57.03% of consumers believe that stock photography should be substituted with real customers and diverse teams to better represent authenticity.
Takeaway: Traditional advertising methods are not trustworthy anymore. Users of this generation rely on websites and user-generated content to make their purchase decisions. They also want more options to share their opinions.
What do users do to create (or with) user-generated content?
The statistics listed below show what users would do when they make a new purchase or experience something new. These stats will also tell you how they interact with the UGC. Besides, since all users are not the same, you will also see how users of different generations interact with UGC. Let's dive in.
1. 62% of individuals would be inclined to share a post about their new car.
2. 65% of individuals would be willing to share their positive experiences with health or beauty
products through posts.
3. 91% of millennials make purchases solely based on recommendations from their friends.
4. 85% of people express their willingness to share a post about a positive dining experience at
a restaurant.
5. 89% of people express their inclination to share a post about a positive experience at a travel destination.
6. The age group ranging from 25 to 54 is responsible for generating 70% of all user-generated content (UGC) produced by consumers.
7. The generations of Gen Z and millennials consume a larger amount of user-generated content compared to the Gen X and Boomer generations.
8. Gen Z YouTube viewers exhibit a stronger preference for user-generated content (UGC) compared to professional videos, surpassing the preference of older generations.
9. On average, consumers dedicate approximately 5.4 hours per day to engaging with user-generated content.
10. In 2020, 42% of people used social media to conduct research on brands and products.
11. At least once a month, 64% of millennials recommend a product or service through social media platforms.
12. Before making a purchasing decision, a significant majority of 70% of consumers take into account reviews or ratings generated by other users (UGC).
13. A minimum of 41% of users will review four to seven user-generated content (UGC) reviews in order to acquire valuable insights about a product.
Takeaway: Most user-generated content comes from the youth and they are more likely to share their positive experiences. They also spend a significant part of the day interacting and engaging with user-generated content on social media. Moreover, UGC has become an important source of information to get insights about the product or service.
What can you do as a brand to make the most of UGC?
As a brand, it is important for you to understand how you can implement user-generated content correctly. Here are few tips that will help you:
Pay attention to mobile content marketing:
Mobile content marketing is important for user-generated content (UGC) because, let's face it, everyone's on their phones these days! Since most people access content through their mobile devices, it's crucial to optimize UGC for mobile platforms.
That way, you can reach a wider audience and get more engagement. Mobile-friendly UGC campaigns make it easy for users to share, participate, and create content on the go.
Be 100% authentic:
Authenticity is important because it builds trust, loyalty, and meaningful connections with customers. In a world saturated with marketing messages, authenticity helps your brand stand out.
When you stay true to your values, keep your promises, and have genuine conversations, customers feel that genuine connection. It's like creating an emotional bond that lasts. Being authentic humanizes your brand, makes it relatable, and builds a tribe of loyal customers.
Make your website safe from cyber attacks:
Having a website that has strong security measures protects the brand’s reputation and earns the trust of the visitors. A secure website means visitors' sensitive information stays safe and sound, reducing the risk of identity theft or data breaches.
When a brand takes cybersecurity seriously, it creates a safe online space that boosts visitor confidence and makes their experience better.
Have a strong social media presence:
In today’s date, having a solid social media presence is key for a brand because it connects you with your audience. Social media gives you a platform to share your brand values, interact with customers, and show off your products or services.
It boosts your brand's visibility, drives traffic to your website, and helps you build a loyal community of fans. Plus, you can keep up with the latest trends, gather feedback, and stay relevant in this age.
Leverage A Platform To Manage UGC:
Using a UGC platform can be a total game-changer for brands. It helps you collect, organize, and make the most out of user-generated content (UGC). With this tool, you can effortlessly curate and show off UGC on your website and social media. It saves you time, keeps everything legal and consistent, and boosts user engagement.
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