The Importance of User Generate Content and What Buy Now Pay Later Services Do to Help

Mar 8, 2022

eCommerce platforms should incorporate user-generated content strategies as this type of content is one of the most valuable and affordable for brands around the world. In this article, we will discuss user-generated content in more detail, share its importance, and outline how you can introduce buy now pay later services to support your profitable user-generated content strategy.

What is User-Generated Content?

User-generated content (UGC) refers to brand-driven content created by consumers that is then shared to their social media channels, brand websites, review pages, and other digital platforms. User-generated content encompasses written reviews, YouTube videos, social media posts, reels, podcasts, and various other forms of digital media shared by consumers.

Typically, user-generated content is delivered by loyal customers that want to share their favorite brands and products with their followers, new shoppers that have had positive recent experiences with a particular brand or online store, employees that work for a brand, or influencers that brands partner with to increase brand awareness and sales. 

All successful eCommerce stores have a user-generated content strategy as they aim to maximize the delivery of user-generated content by their audiences. This can include referral programs, loyalty discount codes, and affiliate marketing tactics to name a few. You must consider how best to incorporate a variation of said strategy as this will ensure faster user-generated content publishing than waiting for consumers to naturally do so.

Why is User-Generated Content Important?

eCommerce success rests on the positive referrals or recommendations of your consumers to their social media following, including friends, family, and individuals that are influenced by them. UGC is one of the most powerful tools at a brand’s disposal to reach new customers as it requires very little financial investment. A UGC strategy aims to encourage existing customers to organically highlight your products and services authentically. Below, we discuss some of the most important benefits of UGC.

It Grows Trust

As UGC, in most cases, comes from actual customers, it serves as a testimony to positive connections that consumers have had with an eCommerce store. Whether it be written testimonials or unboxing videos, UGC serves as a foundation from which new consumers can assess the trustworthiness of online stores. Based on the UGC seen by these consumers, they can confidently make informed buying decisions that present very little risk. This can build trust among new consumers before they have even purchased from your online store.

It Influences Individuals

UGC, in the hands of an influencer, can impact a wealth of new consumers that may have been previously unaware of a specific brand or product. Influencers hold tremendous marketing power, and the most successful eCommerce businesses take advantage of influencer marketing strategies to develop high-quality UGC content that appeals to massive social media followings. Businesses owners and their marketing teams can establish UGC guidelines for these influencers, outlining demands to shape content in a way that appears as authentic and genuine as possible. This can have a positive effect on sales as more consumers aspire to use the products of their favorite social media personalities.

How Buy Now Pay Later Services Can Support Your UGC Strategy

UGC is bound to bring in a monopoly of new consumers, but businesses still need to provide those consumers with efficient shopping experiences to ensure that they register a sale. At checkout, buy now pay later (BNPL) services prove to be the most effective means of encouraging sales and converting shoppers. This is because the best BNPL solutions offer zero interest on repayment plans so that consumers can affordably purchase products in their carts. The ability to circumnavigate credit checks also works in a customer’s favor, enabling businesses to appeal to a wider consumer base. Introducing BNPL at checkout can positively influence your UGC campaigns as it facilitates the conversion of new consumers arriving at your online store. 


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About the author
Chris Lloyd
“ChargeAfter is amongst our top rung of partnerships, and they enable us to deliver consistent. The conversion uplifts ChargeAfter creates helps drive strong value for DXL Group and our customers.”