UPSTIR Blog
2025-06-11 12:00 Creative tips

What is an UGC ad (and why it converts)

User generated content ads are not just videos made by your customers. They are one of the most powerful tools for building trust and driving conversions. But only if you use them the right way.

So what exactly is a UGC ad?

What is UGC in the context of ads

A UGC ad is a video that feels like it was created by a real person. Think TikTok style talking to the camera, casual product demos, or honest reactions. The key is authenticity.

But here is the twist. Most UGC ads are not random videos from happy customers. They are intentionally scripted and shot by creators or agencies to feel natural. It is a smart blend of strategy and storytelling.

UGC ads vs influencer content

The difference is subtle but important.

Influencer content is made for the influencer’s audience.

UGC ads are made for your brand and your goals.

UGC creators license the content to you. That gives you control over how and where the content is used. You can run it as an ad, test multiple versions, and optimize for performance. Influencer content, on the other hand, lives on their feed, not yours.

Why UGC ads work

Here are three reasons brands love UGC ads.

  1. They feel relatable. Real faces, real voices, a casual tone. Viewers lean in instead of scrolling past. The trust factor is instant.
  2. They look native. UGC blends into the feed. It does not feel like an ad. That makes it more watchable and more clickable.
  3. They are fast and flexible. You can produce UGC quickly, test different hooks, and use it across formats like Reels, TikTok, YouTube Shorts, or Meta ads.

When to use UGC ads

Use UGC when:

  • You are launching a new product
  • You need to test new hooks or creative angles
  • Your current ads are losing steam
  • You want to scale quickly on Meta or TikTok
  • You need fast, fresh creative that still performs

If your audience is on social media and you sell online, UGC should be part of your mix.

A quick example

We helped a skincare brand launch a simple UGC ad. One creator. One testimonial style script. Shot on an iPhone.

That ad delivered a 42 percent higher click through rate and dropped their cost per click by 31 percent compared to their polished lifestyle video.

Final thought

If you are still running static images or traditional brand videos, you are likely missing a big opportunity. UGC ads are personal, fast, and made to perform.

Want to avoid the five most common video ad mistakes?

Download our free guide at upstir.co/5-video-ad-mistakes

It is 14 pages of real tips to help you improve your hooks, lower ad costs, and create content that actually works.