E-commerce trends
IGC vs UGC: which strategy for your e-commerce business?
Julie Cauville
December 15, 2022
Julie Cauville
December 15, 2022
Investing in traditional advertising is becoming more challenging due to the ever growing costs and the oversaturated market. Since the iOS 14 update, D2C brands have been forced to think outside the box, developing the most creative ways to advertise to their audiences. In an effort to be more creative while reaching the masses, they've discovered the power that IGC and UGC hold. Influencer-generated content and user-generated content have equally become the key elements to a successful marketing strategy that yields better results. And the reason for it? The content is much more relatable than a traditional advertisement. This advertising method has helped improve conversion rates and boost sales for digitally native vertical brands (DNVBs) looking for a way to make a name for themselves while up against the major competition.
Top-rated fashion brand Fashion Nova collaborated with female music artist Cardi B. in November 2018 with its "Party with Cardi" collection, which included a special event featuring the rapper and several other music artists, including Saweetie. It was so successful that items sold out within seconds! Not only did this mean major sales for the business, but it also led to a tremendous amount of organic user-generated content from those who managed to snag pieces from the event. In addition, since its successful collaboration with Cardi, the fashion brand has partnered with many other celebrities and mega influencers, including Teyana Taylor and Megan Thee Stallion. The brand has successfully built an empire by relying on influencer and user-generated content.
It's important to understand that IGC and UGC differ from one another, although both can bring tremendous value to your brand and business. Let's face it – influencer communities are often much more prominent. These people tend to have a massive following that occasionally consists of millions of people who care about their thoughts, feelings, and opinions, which is impressive. It's also great for brands that want to reach new people and target a massive audience. And when you choose to work with influencers, you will usually have more control over what they say in the content created, especially if you're paying them to do so. But UGC still has its perks. UGC is often cheaper and, at times, will cost you absolutely nothing.
Of course, you're probably asking yourself, "Which is better – user-generated or influencer-generated content?" The answer will depend on a few different factors, including the size of your business, what you sell, who you're trying to reach, and how much you can afford to spend.
Source: Influencer Marketing Hub
When using influencer-generated content to advertise to consumers, you have the ability to get your brand's name out there. These individuals have thousands and, at times, millions of people following them who will see the content they've created. When you have them creating content where they're saying good things about your brands, it leads to more web traffic that converts. People will want to buy the items they saw their favorite influencer(s) discussing on social media. If you aim to get more people interested in your brand, it's a good idea to reach out to influencers.
American Eagle might not be new to the fashion industry, but the brand is bringing life back to its products and gaining more sales than ever due to its partnership with popular social media influencer Addison Rae. The company used Addison Rae to advertise its new line of Mom Jeans, which resulted in thousands of regular TikTok users posting themselves doing try-on hauls. The genius approach has benefited American Eagle, enabling them to use both influencer and user-generated content to their advantage to strengthen sales.
💙 Bigblue Tip: By providing a branded experience for customers with the help of Bigblue, Nutrivita boosted delivery satisfaction by 95%. Improving the experience often leads to better reviews and organic user-generated content that helps brands grow. Focus on doing what you can to bring joy and excitement to your clients to receive more user-generated content than ever.
Instead of paying out of pocket to get people to make content for you as you'd normally need to do with influencer-generated content, user-generated content comes naturally. People are more likely to create videos and posts on social media about their experiences with a brand when it's a genuinely good one. If you can exceed expectations, customers will look forward to generating content about your products and sharing that content with others. The best way to exceed expectations? Offer high-quality products and an incredible unboxing experience that will leave a better impression on your customers.
💙 Bigblue Tip: Provide custom packaging like FROM FUTURE to offer a pleasant surprise to your customers. The company managed to boost buyer satisfaction by 89% within just four months, meaning you have the potential to do the same!
Need an example of a famous UGC marketing strategy? Si Si La Paillette uses FAQs to create viral videos on TikTok. These videos work wonders for the company for several reasons. First, they’re responding to important questions that consumers have and want the answers to before they buy. However, they’re also creating valuable, insightful content and connecting with more consumers, which benefits the brand.
Use Si Si La Paillette’s Strategy to Get the Content You Need
One thing you might notice when you first start posting to platforms like TikTok is that consumers often have questions. Use this to your advantage, answering questions with video content that broadens your reach and helps your brand get more views. If possible, have influencers replying to some of these questions with their own video content, which will boost views even more. By using this effective marketing strategy, you can spend less and still see incredible results.
Check out how Si Si La Paillette uses FAQs from consumers to create content that goes viral on TikTok
The decision may be tough when deciding which to use, user-generated or influencer-generated content. Both have their pros and cons and can help brands of all sizes make a name for themselves, even dealing with a lot of competition.
Of course, it comes down to what you can afford, working within your budget, and using what you feel will work best for your business model. Most importantly, it helps to know that you can use a little bit of both in your marketing strategy to achieve the best possible outcome. Plenty of brands are already combining both options to get the greatest return on their investment while boosting sales.
Check out this list of some of the pros and cons of each type of content to help you decide which to use for your next marketing campaign.🔽🔽🔽
✅ Pros of IGC
❌ Cons of IGC
✅ Pros of UGC
❌ Cons of UGC
💙 Bigblue Tip: Use a combo of user-generated and influencer-generated content to bolster your marketing efforts. Search for influencers with decent followings who typically share their thoughts and feelings about brands like yours! Connect with them and continue to provide an incredible experience to all to improve your chances of getting more user-generated content created.
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