UGC = user-generated content

What is UGC?

Content made by people rather than a brand. In advertising, it's mainly short phone videos that look like a recommendation from someone you know.

Updated

Three things people mean by UGC

UGC originally meant customer reviews and photos. Today, brands commission it from creators to use in ads.

UGC content

what it is

Anything people outside a brand create about a product: reviews, photos, videos and comments. It feels more trustworthy than advertising from the brand itself.

UGC video

what brands commission

A short video filmed on a phone that looks like a recommendation from an ordinary person. The brand commissions it and runs it as an ad.

UGC creator

who makes it

Someone who makes videos for brands. Unlike an influencer, they don't need a large audience because the video runs in the brand's ads rather than on their profile.

UGC creator vs. influencer

Both make videos for brands, but the brand buys something different from each. From an influencer, it buys access to their audience; from a UGC creator, it buys a video for its own ads.

Influencer

Publishes the video on their own profile

  1. Makes a video
  2. Publishes it on their profile
  3. Their followers see it
  4. New posts push it down a few days later

You pay forreach within their audience

  • The price grows with follower count.
  • Reach, impressions and discount codes are tracked.

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UGC creator

The brand launches the video as an ad

  1. Makes a video
  2. Delivers it to the brand
  3. The brand launches it in its Meta account
  4. Meta shows it to new people for as long as it sells

You pay fora video that sells

  • The video matters, rather than follower count.
  • Purchases and revenue generated by the video are tracked.

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The differences, point by point

AreaInfluencerUGC creator
What you pay forreach within their audiencea video to use in your own ads
Where the video runson their profilein your ad account, often under their name as a Partnership Ad
Do they have to publish it?yes, that's the pointno, it doesn't even need to appear on their profile
Follower countdetermines the pricedoesn't matter; the video does
How long the video workswhile the post is freshwhile it sells as an ad
What's measuredreach, impressions, discount codespurchases and revenue from the ad

A UGC video's value comes from ads rather than a profile

A creator's followers see a profile post once. Meta shows the brand's ad to new people every day for as long as the brand funds it. Adjust the numbers and compare the cost too.

Post on the creator’s profile400views, once · < 1 %
Ad in the brand’s Meta account200,000views per month · > 99 %
Price of one influencer postbarterfree product, no fee
Ads for the same money–Small accounts film in exchange for a product. But only their followers see the video.

Ads show the video to 500× more people than a profile post, every month. Followers have little bearing on the video’s value.

Illustrative calculation. Assumptions: around 20 % of followers see a profile post; profiles with up to 5 000 followers mostly post in exchange for a product (barter); those with up to 10 000 post for a product or a small fee; larger profiles charge 5 to 15 € per 1 000 followers; and 1 000 Meta ad impressions in Slovakia cost around 5 €.

That's why UGC creators don't even need the video on their own profile.

  • Ads create the value, rather than the post

    The video earns while the brand runs it as an ad, rather than just leaving it on a profile.

  • Partnership Ad without a post

    The ad can run under the creator's name without the video appearing on their profile.

  • No audience or feed needed

    You just need videos that sell.

Make videos but don't have a big audience? That's fine.

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The most common UGC video formats

Most UGC ads use a few proven formats. Good creators combine them and test different hooks: the first seconds of a video.

  • Review

    The creator talks about their own experience with the product as if telling a friend.

  • Unboxing

    Unpacking the product and sharing a first impression. Works for products where packaging and detail matter.

  • How to use it

    A short tutorial or routine showing how simple the product is and exactly what it does.

  • Before and after

    Results after using the product for a while. With cosmetics and supplements, be careful about which claims you can make.

  • Problem and solution

    The video opens with a problem the viewer recognises and shows the product as the solution.

  • Three reasons why

    A quick list of benefits. Easy to make variants with a different order or a different first reason.

Why UGC works in ads, and when it doesn't

Why it works

  • It doesn't look like an ad

    It feels like a recommendation from someone you know, so people don't immediately skip it in their feed.

  • You can test lots of variants

    It's cheaper and faster to produce than a studio video.

  • Meta finds the right people

    It selects the audience based on the creative. Different faces and angles appeal to different people.

When it doesn't work

  • A script that misses the customer

    The video doesn't address why people actually buy the product.

  • Every video looks the same

    Meta treats them as one creative and shows them to the same people.

  • Choosing a winner by taste

    The brand chooses videos based on what it likes rather than purchases, or doesn't test them at all.

We choose videos based on purchases rather than taste. You pay only from those that sell.

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UGC collaboration: what it means for each side

In a UGC collaboration, a brand commissions videos from a creator. Payment is agreed between them: per video or as a share of the sales it generates.

For brands

For creators

  • Find out how much a UGC creator earns with fixed fees and revenue sharing.
  • You don't need followers or an expensive camera to start.
  • In the My Laura app, you make videos for brands that really invest in ads. For creators

Frequently asked questions

What does UGC stand for?

UGC stands for user-generated content. In marketing, it means reviews, photos and videos by people outside a brand, and today especially short videos that brands commission from creators for their ads.

What is a UGC video?

A short video, usually 15 to 60 seconds, filmed on a phone to look like a recommendation from an ordinary person. Brands mainly use it as an ad on Facebook and Instagram.

What does a UGC creator do?

They make videos for brands based on a brief. They propose or adapt a script, film the product in an everyday setting and deliver a video the brand runs in its ads.

What is a UGC ad?

An ad that uses a UGC video instead of studio creative. It often runs as a Partnership Ad under the creator's name, which usually improves results.

Does a UGC creator need lots of followers?

No. The video runs in the brand's ads rather than on the creator's profile, so follower count doesn't matter. What matters is whether the video sells.

What's the difference between a UGC creator and an influencer?

An influencer sells reach within their audience: they publish a video on their profile and are paid based on follower count. A UGC creator sells the video itself: the brand runs it as an ad in its Meta account, and its value depends on how much it sells.

Does a UGC creator have to publish the video on their profile?

No. Most of the video's value comes from the ad the brand runs with it. Even with a Partnership Ad running under the creator's name, the video doesn't need to appear on their profile.

What is a UGC collaboration?

An agreement between a brand and a creator to make videos. Payment can be per video or a share of the sales it generates. It also includes a licence specifying where and for how long the video may be used.

Pay only for videos that sell.

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