Glossary
What is UGC (User-Generated Content)?
What is UGC (User-Generated Content)?
UGC, or User-Generated Content, is content created by everyday customers or hired UGC creators that features a brand's product or service. Unlike influencer content, UGC is typically brand-distributed (used in paid ads, product pages, and social feeds) rather than posted to the creator's own audience. UGC creators are hired for their content production skills, not their follower count.
UGC vs Influencer Content
The key distinction is distribution. Influencer content is posted to the creator's audience for organic reach. UGC is produced for the brand to distribute through its own channels, primarily paid advertising. UGC sees 4x higher click-through rates in paid ads compared to brand-produced creative. It looks and feels authentic, which resonates in ad placements where polished brand content is often skipped.
How Brands Use UGC
Brands commission UGC creators for product review videos, unboxing content, testimonial-style clips, and how-to demonstrations. These assets are then used as Facebook/Instagram ad creative, website product page content, email marketing assets, and social proof on landing pages. UGC creator rates typically range from $150 to $500 per video, significantly less than influencer partnerships because no audience reach is included.
Building a UGC Strategy
Smart brands use both UGC and influencer content. Commission UGC creators for ad assets at lower cost, then invest in influencer partnerships for organic reach and awareness. The content serves different parts of the funnel: influencer content builds awareness and consideration, while UGC drives conversion through paid channels.