User-Generated Content (UGC): Why it matters

Updated on April 26, 2024
In this article
In this article

In the digital age, businesses, especially new ones, need to establish a strong social media presence to effectively attract and engage with customers. Not only can it increase brand awareness and reach, but it can also facilitate direct communication, portray the brand’s personality, serve as a tool for market research, help manage crises, and indirectly contribute to SEO.

Yet, where do you get your content for your Instagram Stories or TikTok Ads from?

User-Generated Content (UGC) offers a cost-effective way to promote your brand on social media. In this article, we will discuss why User-Generated Content might be the most relevant type of content you need to scale your eCommerce brand.

What is User-Generated Content (UGC)? 

User-Generated Content, in short UGC, can be everything: images, blog posts, comments, or videos. Yet, most commonly in social media marketing, UGC takes the form of Video Ads. UGC leverages the fact that social media users expect to see actual user content rather than be bombarded with annoying video ads. Brands can make use of this, and utilize authentic User-Generated Content, thereby providing social media users with what they expect.

In addition, UGC is usually way cheaper than creating “professional” ad content. Since the production of content is outsourced to social media freelancers that have little to no production costs at all. The price for a UGC Video Ad starts as low as 59€ at UGC platforms such as

UGC thereby constitutes an authentic and cost-effective way to not only advertise to your customers but also to connect with them on an emotional level.

Benefits of User-Generated Content 

Effortless content creation

By delegating content creation to users, you tap into their knowledge of what content resonates best. The level of creative control you provide to your creators, such as adhering to a script or letting them freely express themselves, can be decided based on your brand’s needs.

Low cost content creation

In comparison, 15-30 second video ads produced by “professional” agencies cost around 300€ per ad. At a UGC Ad starts at 59€ already. That is 80% less than you have to spend for your marketing content. You can use that saved money to directly advertise your ad with a budget of 240€ and come up with the same overall costs when you order a “professional” ad without any marketing budget. And as already mentioned, users on social media expect user-generated content rather than attention-seeking advertisements. Even when you are unsure if UGC content is the right content for promoting your brand, the needed low financial resources should be worth trying.

Authentic content creation

You’ve probably been there. When you get obvious ads suggested on social media, you often feel a sense of distaste before you even know what it’s about. But what if the ad looks like a normal post? And what if the person in the video quite sympathetically tells you how their experience with the product was? People are used to interacting with other people because we like to listen to others. And that’s exactly one of the recipes for success for UGC Ads. They appear natural and authentic and therefore inspire a kind of trust in other users.

Optimized content for social media platforms

Social media platforms are naturally aimed specifically at user content. As briefly mentioned above, in retrospect, it’s no wonder that UGC ads perform so well on various social media platforms. After all, these platforms were built to present content from personal users in the most appealing way possible. Social media is called social media because it is “social” and because we enjoy watching how other people behave on the Internet. With that in mind, it’s easy to see why User-Generated Content is used so intensively in marketing campaigns.

Customizable content creation

Customizability is a significant benefit of user-generated content (UGC) video ads. Brands can tailor the content to their specific preferences while maintaining control over the produced content. This enables alignment with brand identity, messaging, and creative direction, ensuring that UGC video ads resonate with the target audience and effectively convey the desired message. Additionally, customization provides the opportunity to optimize UGC video ads for different platforms and marketing channels, maximizing impact and engagement potential. With the support of UGC platforms like, brands can fine-tune the content to meet their exact specifications and goals, ultimately driving engagement and achieving marketing objectives.

5 ways to utilize user-generated videos for your brand 

  • Organic social media content,
  • Social media ads (Instagram, Facebook, TikTok, …),
  • Embed authentic UGC videos in your emails/newsletters campaigns,
  • Embed UGC testimonial videos on your website,
  • Transform User-Generated Videos into captivating “how-to” content for informative and engaging instructional experiences.

Examples of User-Generated Content for eCommerce brands

Case Study: Dunkin’ Donuts Austria &

Dunkin’ Donuts Austria aimed to generate a substantial amount of content for Instagram Reels. They chose – the Austrian-based solution for UGC marketing.

The objective centered around highlighting their excellent coffee offerings across all their outlets. It was crucial to not only present the store ambiance and variety to viewers but also to bring attention to the flavor experience itself.

The UGC campaigns initiated by Dunkin’ have significantly improved customer interaction on social media platforms. These organic interactions boosted Dunkin’s social media presence and led to increased brand awareness as well as led to higher conversion rates.

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User-Generated Content (UGC): Why it matters 7

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How to get started with Nano and create your first Video Ads starting at 59€?

Go to their homepage and register as a brand for free. Then start by creating your first order. You can then provide Nano with your product details and what kind of content you want to receive. This could include:

  • Honest review,
  • UGC Video Ad,
  • UGC Premium Video,
  • 360° Showcase.

You can add additional features such as background music, animations, voice-overs, and further engaging services to your liking. After creating your first campaign, Nanos creators will then apply for your campaign with example videos. You then have the power to select which creators you’d genuinely want to generate content for your brand.

Even after making a decision on your preferred creators, Nano offers a secondary review feature. This allows you to further adjust the videos you receive from your selected creators, thus ensuring your video ad truly aligns with your brand.

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About the author
Barbara Jankowska
Meet Barbara Jankowska, an upbeat and curious writer who originally comes from Poland. She moved to Berlin to pursue her Master's degree in International Marketing, where she developed her skills in research and analysis. Always eager to learn more, Barbara remains up-to-date with the latest trends and enjoys exploring new topics. Currently, Barbara is participating in an Erasmus exchange program in Porto, where she is discovering the unique culture and traditions of Portugal. Barbara's natural positivity and love of discovery make her a valuable new member of Wonnda. Her research and analysis skills, coupled with her ability to write engaging and informative content, ensure that she provides her readers with valuable insights and fresh perspectives on a range of topics.
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