What is User Generated Content (UGC)?

The digital landscape is rapidly changing, and so is our relationship with social media. What was once a mere act of self-expression, content creation has now evolved into a money-making endeavour thanks to the growing popularity of user-generated content (UGC).

From social-media platforms like Instagram and TikTok to blogs, UGC has become ubiquitous, profoundly impacting industries, businesses, and individuals alike. But what exactly is UGC?

To put simply, UGC includes any form of content made by consumers about a product, service or business. So, for example, a video you post of your new shoes on Instagram is a form of UGC. Other forms include testimonials, comments, photos and blog posts.

We’re certain you’ve produced UGC without even realising it!

But it doesn’t end there. As mentioned above, UGC has emerged as a form of business. So, if we dive deeper, we’ll find that there are two types of UGC: organic UGC and paid UGC.

Organic UGC

These are content created voluntarily by the consumers, simply because they feel inspired to share a good word about the business with their followers.

Paid UGC

As the name suggests, paid UGC is where a person is paid to create content for a business. A popular example are brand deals where businesses pay content creators to make videos about their products or services. However, just the fact that someone is paid to talk about a product does not make their content any less credible or genuine.

If anything, people are more likely to buy a product if it has been recommended by someone they know and trust. Indeed, INSG has reported that 34% of Malaysian online shoppers consider suggestions from influencers and content creators before buying a product. So, it can be quite an effective marketing strategy to convert views into sales.

It comes as no surprise, then, that more and more businesses in Southeast Asia are investing in UGCs. It is certainly not surprising that many Internet users are leveraging their content-creation skills to become UGC creators too.

If you are a business looking to tap into the wonders of UGC for your marketing campaigns, the Cult Workspace Credits is a flexible and cost-effective solution that can be tailored to your marketing needs.