Benefits of UGC and Why It Matters
The main benefits of user-generated content are trust, purchase confidence, authenticity, lower production cost and a steady supply of content. It matters because shoppers rely on other people’s experiences when deciding. In a 2017 TurnTo and Ipsos survey, 90% of shoppers said UGC influences their purchase decisions.
Why UGC matters now
Customers see more ads than ever, and they trust them less. UGC gives them what an ad can’t: a real person showing how a product works in real life. For brands in trust-driven categories like jewellery, healthcare, beauty and food, that is often the deciding signal. If you’re new to the term, read what is user-generated content first.
The 6 benefits of user-generated content
1. It builds trust. People trust other customers more than brand messaging. In a 2023 EnTribe survey of US consumers, 86% said they were more likely to trust a brand that publishes UGC than one that relies on influencers. Independent Indian research points the same way: a 2024 study in the International Journal of Business Excellence found that UGC influences consumer trust, which in turn influences buying decisions.
2. It raises purchase confidence. Seeing a product used by someone real reduces the fear of choosing wrong. In the TurnTo survey, about 73% said UGC increases their purchasing confidence.
3. It helps shoppers choose between brands. A Bazaarvoice survey of 3,000 online shoppers found that 85% use visual consumer-generated content as the tie-breaker when deciding between multiple brands. For photo- and video-led products like jewellery and fashion, that matters.
4. It feels authentic. About 63% of shoppers in the TurnTo survey said UGC creates a more authentic shopping experience. Authentic content also blends into the social feed instead of interrupting it, which is why it works well as paid social creative.
5. It costs less than studio production. A creator filming on a phone is usually far cheaper than a crew, a location and a post-production schedule. The saving is greater when you need many variations to test in ads.
6. It gives you a steady supply of content. One studio shoot produces a fixed set of assets. A group of creators and customers can produce a stream of new angles, faces and formats, which supports your content strategy and social calendar.
Benefits at a glance
| Benefit | What it does for the business | Best channels |
|---|---|---|
| Trust | Reduces hesitation before purchase | Product pages, reels, reviews |
| Purchase confidence | Shows real-life use | Product pages, ads |
| Tie-breaker effect | Helps you win comparisons | Marketplace listings, Instagram |
| Authenticity | Fits the platform | Reels, Shorts, paid social |
| Lower cost | More testing for the same budget | Ad creative |
| Content supply | Keeps channels active | Social, email |
A caution on the statistics
Be careful when quoting UGC numbers. The figures above come from US surveys, several commissioned by companies that sell UGC or review tools, and the TurnTo study is from 2017. They show a clear direction, but I couldn’t find India-specific percentages, so treat them as indicative. Your own results will vary, so test UGC against your existing content and track what changes.
Where UGC needs care
- Permission and credit. Ask before reposting customer content.
- Claims. Creators shouldn’t make health, safety or result claims you can’t support. This matters most for healthcare, wellness and beauty.
- Brand fit. Authentic doesn’t mean off-brand. Brief creators on tone, colours and what to avoid.
- Volume without direction. A pile of random UGC doesn’t build a brand. A plan does.
Turn the benefits into a system
The benefits above come from UGC that is briefed, produced and tested deliberately, not collected by chance. If you want to grow trust with UGC videos, work with a team that handles creator briefs, production and ad testing in one place. Akkenna, a holistic branding agency in Coimbatore, plans UGC alongside brand identity and content strategy, so the videos feel real and still look like your brand.
Frequently asked questions
What is the biggest benefit of UGC?
Trust. Shoppers give more weight to real people’s experiences than to brand messaging, which makes UGC useful at the decision stage.
Is UGC better than influencer marketing?
They do different jobs. Influencers bring reach, and UGC brings credibility and cheap creative. In the EnTribe survey, 90% of US consumers said they would prefer to see brands share content from actual customers. Many brands use both.
Does UGC improve conversion rates?
It can, mainly through trust and confidence, but results depend on your product, audience and how the content is used. Test it against your current creative.
Can small businesses use UGC without a big budget?
Yes. Start with reviews and customer photos you already receive, then commission a few creator videos for paid campaigns.
Is UGC safe for regulated categories like healthcare?
Only with care. Follow advertising rules, avoid unverified claims and get written permission from anyone who appears.
Want UGC that builds trust for your brand?
A short brand audit shows where real-people content could support your channels. Book a brand audit with the Akkenna team.
