User-Generated Content (UGC) is transforming online shopping by building trust and boosting sales. Here’s why it’s important and how to use it effectively:
- What is UGC? It’s content created by customers, like reviews, photos, and videos. 90% of shoppers trust UGC more than traditional ads.
- Why it works: UGC increases conversions by up to 24% and 80% of buyers prefer real customer photos over stock images.
- How to get UGC: Offer rewards like discounts, loyalty points, or public recognition for reviews and social media posts.
- Where to use UGC: Add it to product pages, emails, and social media to build trust and drive engagement.
- Tools for UGC: Apps like Loox help collect, display, and track UGC on Shopify stores.
UGC isn’t just content – it’s modern word-of-mouth marketing. Start using it to connect with your audience and grow your business.
How to Leverage User-Generated Content for Your Shopify …
Understanding UGC in eCommerce
User-Generated Content (UGC) has changed how online trust is built. Here’s a closer look at the different types of UGC and how they can shape your eCommerce strategy.
Types of UGC
UGC comes in many forms, each contributing differently to the customer experience:
| UGC Type | Description | Impact |
|---|---|---|
| Customer Reviews | Written feedback and ratings | Gives detailed insights about products |
| Photo Reviews | Customer-taken product images | Shows how products are used in real life |
| Video Content | Unboxing and product demo videos | Provides a more dynamic product view |
| Social Posts | Brand mentions and hashtags | Builds community engagement |
UGC as Social Proof
Customer reviews are now a major factor in buying decisions, and brands like Glossier have tapped into this by turning everyday customers into brand ambassadors. By encouraging users to share their looks with the #glossier hashtag, the brand not only creates a sense of community but also uses UGC to influence purchasing decisions.
UGC Performance Data
The numbers back it up. Take Transavia Airlines‘ #VeryBadPic campaign in March 2018, for instance. Customers were asked to share their worst holiday photos for a chance to win a round trip for two. The campaign led to over 1,600 Instagram posts.
When customers share their experiences, they create content that builds trust in ways traditional marketing simply can’t match. UGC has become a powerful tool for modern eCommerce strategies.
Getting More Customer Content
Now that we’ve looked at how UGC builds social proof, let’s dive into some practical ways to encourage more customer-generated content.
Rewarding Customers for Sharing Content
X NIHILO, an Australian fashion brand, increased UGC in October 2024 by introducing a tiered rewards program. Customers earned points for sharing product photos and leaving reviews.
| Reward Type | Benefit | Example Implementation |
|---|---|---|
| Immediate Discounts | Instant incentive | 10% off the next purchase for reviews |
| Loyalty Points | Ongoing engagement | 250 points for sharing on social media |
| Exclusive Access | VIP treatment | Early access to new collections |
| Featured Content | Public recognition | Customer spotlight in an email newsletter |
These rewards can also serve as a stepping stone for larger social media campaigns to deepen engagement.
Social Media Campaigns That Work
Aloha, a plant-based protein company, uses a simple but effective approach: offering 10% off for written reviews and 20% off for reviews that include photos or videos.
Letterfolk’s #LetterfolkDOTM campaign is another great example. Their “Design of the Month” contests encourage customers to share Instagram stories featuring their tile mat designs. This approach not only keeps the content flowing but also strengthens brand loyalty.
Building Follow-Up Systems
MVMT watches takes UGC to the next level with its #jointhemvmt campaign. Here’s how they do it:
- Post-purchase emails: Automated requests for reviews.
- Package inserts: Cards with social media handles and hashtags.
- Social proof notifications: Highlighting recent customer submissions.
Typeform also encourages UGC through its template program. Customers can earn annual subscriptions, social recognition, and even featured placements for their contributions.
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Showing UGC on Shopify Stores
Product Page Content
Adding user-generated content (UGC) to your product pages can increase both trust and sales. Place visual reviews close to the add-to-cart button, and include written reviews in a dedicated section below the product details. This approach provides strong social proof. For instance, Caddie Wheel saw a 43% boost in conversion rates after integrating shoppable UGC profiles. A dedicated UGC gallery can take this impact even further.
Customer Content Showcase
Black Milk Clothing creates a monthly lookbook featuring customer photos, offering vouchers of up to AU$50 for content that gets selected.
Each piece in your UGC gallery should:
- Link directly to the product page
- Include real customer stories
- Show clear and practical product uses
- Align with your brand’s style
UGC isn’t just for your website – it can also work wonders in email marketing campaigns.
Email Marketing with UGC
Incorporating UGC into email campaigns can significantly increase engagement. For example, Aeva Beauty combines product images with customer testimonials in their emails, while Bite offers targeted discounts, like AU$5 off, to address specific customer needs. These strategies demonstrate how emails with UGC can enhance trust and drive conversions. Research shows 86% of consumers are more likely to trust brands that feature UGC over influencer content.
To maximise results, segment your email campaigns based on:
- Purchase history
- Products viewed
- Interaction with previous UGC
- Location within Australia
Data reveals that 58% of shoppers who engage with testimonials are more likely to make a purchase and tend to spend 3% more on average.
UGC Tools for Shopify
Shopify UGC Apps
Easily manage user-generated content (UGC) with tools designed to collect, organise, and showcase customer reviews. One standout option is Loox, used by over 100,000 merchants across 180 countries. Loox specialises in gathering visual reviews, with 68% of customers submitting reviews and more than 25% including photos or videos.
“I use Loox product reviews across all of my marketing channels, including social, blog posts, email, and paid ads. They play a significant role in attracting new customers, strengthening our brand presence, and increasing loyalty.” – Tiffany Anzalone McCasland, City Bonfires
Choosing the Right UGC Software
When picking a UGC tool, consider these factors:
- Performance: Opt for platforms that utilise CDNs to ensure fast media delivery.
- Display Options: Look for features like photo and video galleries, review carousels, product page widgets, pop-ups, and trust badges.
- Pricing: Choose a plan that fits your business size and order volume.
| Plan Type | Monthly Orders | Price (AUD) |
|---|---|---|
| Beginner | 100 | AU$12.99 |
| Scale | 300 | AU$39.99 |
| Unlimited | Unlimited | AU$299.99 |
Once you’ve selected a tool, a quick setup process will have you up and running in no time.
Setup and Installation Guide
Loox is a no-code platform, making it simple to set up in just a few clicks. It works seamlessly with all Shopify themes and offers 24/7 support.
For instance, BlendJet generated an extra AU$7.5 million in sales, while Volant reached AU$2 million in revenue in their first year.
“This success wouldn’t have been possible without Loox’s world-class solution. We’ve collected thousands of reviews across our stores and the photo reviews are crazy powerful.” – Daniel, Volant
To maximise your results, ensure the UGC tool integrates directly with Shopify, matches your brand’s aesthetic, automates review collection, and provides robust analytics.
Tracking UGC Results
Success Metrics
To gauge how well user-generated content (UGC) is working, focus on metrics that highlight engagement and conversions. For instance, UGC can boost conversion rates significantly, with an average increase of 161% across eCommerce stores. The apparel sector sees even higher results, reaching 207% on average.
Key performance indicators to track include:
- Visitor interaction with UGC widgets: Check how often users engage with features like review sections or photo galleries.
- Sales comparison: Look at the difference in sales between customers who interacted with UGC and those who didn’t.
- Customer reviews: Monitor the volume and ratings of reviews. Data shows that 94% of reviews typically fall in the 4–5 star range.
Testing Content Placement
Strategically placing UGC on your site can amplify its effectiveness. With over 55% of online shoppers interacting with UGC before making a purchase, placement is critical.
| Placement Area | Objective | Key Metric |
|---|---|---|
| Product Pages | Review widgets | Product conversion rate |
| Homepage | UGC galleries | Time on site |
| Cart Page | Customer photos | Cart completion rate |
Take Hurom as an example. They shifted their UGC videos from focusing on discounts to emphasising health benefits. This change led to a 36% decrease in cost per acquisition (CPA) and a 2.5× boost in return on ad spend (ROAS) over a year.
Once you’ve optimised placement, it’s time to evaluate UGC’s effectiveness across multiple platforms.
Multi-Channel Performance
Analysing UGC performance across different platforms helps refine your approach. A great example is NielsenIQ’s Unroll.me app campaign. By using micro-influencers to create engaging TikTok content, they achieved:
- A 75% drop in CPAs
- Over 100,000 monthly app installs
- Consistent results across major platforms
“Leveraging user-generated content (UGC) is crucial for building credibility and trust. Examining UGC performance is key to unlocking its full potential.” – Debajyoti Mal, Business Strategy
To track UGC-driven traffic and conversions, use UTM parameters in Google Analytics. Setting up a unified dashboard can also simplify the process, helping you identify trends and fine-tune your strategy.
Conclusion
User-generated content (UGC) is reshaping how brands build trust and connect with their audience. The numbers speak for themselves – 79% of online shoppers read reviews before buying, and UGC on product pages can increase conversions by 24%.
Real-world examples highlight its influence. Take GoPro, for instance. By showcasing customer content on Instagram, they’ve cultivated a thriving community of adventure lovers who share their stories and experiences.
For Shopify store owners, the takeaway is clear: focus on creating experiences that naturally encourage customers to share content. Timing and strategy matter here. With 6–8.5% of customers responding to post-purchase content requests, refining your outreach is essential. You can also offer incentives like loyalty programmes or targeted email campaigns, which can deliver impressive returns – AU$36 for every dollar spent.
“User-generated content is a way for you to learn from your customers and for them to learn from each other.” – Aimee Millwood, Director of Content at Yotpo
