From consumers to content creators: how UGC is redefining brands and businesses

Jelly – Digital Agency

In 2025, UGC has established itself as a powerful tool for building trust and forging bonds between brands and consumers. This shift reflects a change in the way brands communicate and position themselves in the market, moving from content creators to facilitators of genuine experiences.

In this article, we'll look at how UGC is redefining marketing strategies, driven by technology and the growing demand for authenticity.

What is UGC and why does it matter?

According to Henning-Thurau et al., 2004, user-generated content (UGC) refers to any positive or negative statement made by former, current or potential customers about a product or organisation that is distributed online to a large number of people or organisations. That said, it's worth stressing that UGC, unlike traditional content, stands out for its authenticity and closeness, which makes it especially valuable to modern consumers.

For brands, UGC is a chance to connect with their audience in a direct, human way. Content created spontaneously by consumers conveys a sense of transparency that conventional advertising campaigns often lack. Instead of investing in highly polished, staged productions, brands can benefit from real content that reflects genuine experiences and resonates with the audience.

Why is UGC growing?

UGC has been growing steadily. A recent study by the Capgemini Research Institute, titled “What Matters to Today's Consumer 2025“, reveals that the number of social media consumers seeking advice from influencers has risen from 50% the previous year to 70% today. Several factors are behind the continued rise in the use of user-generated content, including:

• Growing scepticism towards traditional advertising: as consumers become more critical and selective, they start to value content they see as authentic and relevant.
• The rise of social media and how easy it is to create content: platforms such as Instagram, TikTok and YouTube encourage people to share their experiences, allowing anyone to become a content creator.
• Technological advances, such as Artificial Intelligence (AI), which make content curation and personalisation easier: AI tools allow brands to quickly identify the most relevant content and make sure it's aligned with their communication strategy.

According to a study by GeistM, a digital marketing and technology agency, 85% of consumers trust UGC more than brand-produced content, and 70% say this type of content directly influences their purchase decisions. These figures show how important it is to build UGC into marketing strategies, as authentic, consumer-created content not only strengthens trust in the brand but also has a direct impact on purchase decisions, delivering more effective and longer-lasting results. The data shows that including UGC in marketing strategies is becoming ever more crucial.

The benefits of UGC for brands and businesses

UGC is a powerful tool for brands and businesses looking to build authentic, relevant connections with their audiences. By encouraging consumers to share their experiences, opinions and creations, brands boost credibility, drive engagement and build genuine, vibrant communities. UGC also cuts content production costs and strengthens how closely consumers identify with the brand, creating a sense of belonging and loyalty. Let's look at the main benefits of this strategy and how some brands have made the most of its potential:

1. Greater credibility and trust-building UGC provides genuine social proof, strengthening trust in the brand. According to a Nielsen study, 88% of consumers trust recommendations from people they know. A success story: Gymshark, the British sportswear brand, has thrived by building an authentic community through UGC and influencer marketing. The brand runs in-person events and works with influencers who share its values, which strengthens its relationship with consumers. Gymshark focuses on inspiring customers to share their own experiences, boosting authenticity and organic reach. This approach has been key to the brand's growth and audience loyalty.
2. Engagement and community-building UGC doesn't just engage consumers, it turns them into brand ambassadors. Brands such as GoPro and Nike use user-created content to build emotional ties, fostering a genuine, lasting connection. One effective way to build active, participatory communities is to run campaigns that motivate consumers to share their experiences. Coca-Cola's “Share a Coke” campaign, for example, personalised cans with common names, encouraging consumers to share photos with their own names on them. The success was clear, with millions of shares around the world.
3. Better use of resources and lower costs Producing your own content can be expensive and time-consuming. According to a study by Keevee, by making use of UGC brands can save up to 50% on production costs and double their return on investment (ROI) compared with traditional content.4. Personalised experiences with AI Using AI to analyse UGC makes it possible to create highly personalised campaigns, segmenting audiences based on their preferences and behaviours. Tools such as Stackla and Yotpo allow brands to identify the most impactful content, improving campaign effectiveness. According to Skeepers, Europe's leading provider of shopper engagement solutions, hyper-personalised UGC delivers an increase of up to 29% in conversion rates, showing that consumers respond positively to content that matches their preferences.5. Crisis management and transparency Sharing authentic consumer experiences during a crisis can help limit the damage to a brand's reputation. By encouraging customers to share feedback, especially about things that went wrong and how they were resolved, brands demonstrate transparency and a commitment to continuous improvement.

Future trends and best practice

The future of digital communication lies in the growing adoption of artificial intelligence for content curation and moderation, ensuring the quality and safety of interactions. Short, authentic videos are on the rise, making the most of emerging platforms such as BeReal and Lemon8, which foster a more genuine and dynamic environment.

User-generated content is taking centre stage in sustainability campaigns, promoting eco-friendly and community-minded practices, and its use goes beyond the digital world, being built into physical activations and personalised packaging. Influencer partnerships are following the same path, incorporating UGC to reinforce authenticity and create more genuine connections with the audience.

In short, UGC isn't a passing trend but an established strategy that keeps evolving alongside technology. The brands that make the most of this approach will be at the forefront of digital communication, cultivating strong, loyal communities through authenticity and collaboration. Harnessing the potential of UGC with AI tools will ensure a more agile, personalised and effective approach in 2025 and beyond.