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Business insider reports huge advantages for companies that use UGC over those who do not.

BazaarVoice, an online marketing company for retailers, reported these numbers:

  • Shoppers that interact with CGC are 97% more likely to convert with a retailer than customers who do not. Brands see a 78% lift in conversion rates when customers interact with CGC.
  • Revenue per visitor for retailers increases 106% when customers interact with CGC versus those that do not. For brands, revenue per visitor sees a 75% lift due to CGC.

I hate speculating why something is working, and often times these methods tend to just be trends- something that are having their day in the sun and will die down after they become over used. That said, isn’t it appealing to have your customers create your content for you on social media? Doesn’t everyone win? You don’t need real models because you have real women making content for your dress’es advertising.

It’s hard to inspire this in people who aren’t already doing it, but it’s clearly a worthwhile marketing strategy that needs little time investment but rather an audience who is very social media savvy.

If I had to make a prediction, however, the need for marketers to own the rights to UGC is going to be coming down the pipeline. Even though dozens of articles have been written oup about the great marketing advantages of engaging customers with UGC, only a handful discuss the importance of UGC ownership.

This data than is still owned by the user, and pushed forward to the social networks, who get a better understanding of your customer than you can have.¬†Owning the UGC makes it easier for you to control it’s use, it’s publication, and control the metadata gained from using the post on your own (the analytics). It’s very hard to have analytical data on other people’s posts- and at best you have a repost that could be requested to be taken down on a whim. You’re probably not at a point of worrying about these things yet and neither are larger companies, just something I have been thinking about.

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