How Much Does User Generated Content Cost (Video Edition)

Understanding the Value of UGC

One of the most sought after marketing tools within the ecommerce landscape in 2023/2024 is User Generated Content regardless of business size. This tool has been seen to have become an essential tool in ecommerce brands marketing arsenals due to its seamless ability to engage and build credibility and trust amongst target audiences. This authentic means of content curated by consumers themselves is what makes UGC such a powerful tool.

Cost of User Generated Content: Factors to Consider

Let's delve into the factors that need to be taken into consideration in order to ensure that you are charged optimal rates when acquiring user generated content of your choice.

Type of content included

The first variable is that of the type of content being created. Different types of content require different levels of expertise when it comes to the creation. For example, if your brand seeks a high quality video it may be comparatively more expensive than that of a single product review in the form of a photograph.

Creator

The second variable is that of the expertise of the content creator themselves. If you are targeting content creators that have smaller followings and have just started their UGC career then you may be charged less as compared to those UGC creators with large audience bases that are backed by a significant amount of experience. This has a direct co relation to the audience size and engagement these creators have built.

Quantity for the campaign

The third variable is a simple one to follow along with, the larger the quantity of content the more brands may end up paying. Here's a tip for you, when buying content in bulk try to seek long term packages that may not only provide you with a discount on the total bill but at the same time guarantee consistency as you develop a long term contract with the creator.

Exclusivity

The final yet most critical is exclusivity. If as a brand you are seeking for creators that create content exclusively for you, the chances are you incur higher costs. However, sometimes this could prove beneficial for larger sized brands that are looking to build on their authenticity and exclusivity.

How to Collect UGC videos

Now that we have understood the factors that have an influence on how much cost brands would incur when acquiring their User Generated Content, let's delve into the three key channels through which brands can acquire this user created content:

Individuals Creating UGC

One of the most direct means of acquiring UGC, is through the simple process of identifying social media content creators on the various social platforms such as Instagram, TikTok, Snapchat etc. These individuals can be reached out to directly by your brand or through referrals from other brands. The cost incurred often varies due to the above mentioned factors when working with individual content creators. On an average content can be charged anywhere between 20 - 200$ per video, and the brand has to ship products for free.

UGC Agencies

Another source that simplifies the process is the newly come up UGC agencies. These agencies are essentially a platform that serves as a network of content creators across all social media platforms with established audiences. This becomes the ideal option if your brand requires either a large volume of created user content or if you're looking for established and credible creators. On average, packages start at 500$ and grants you access to roughly 1000 UGC creators per month. However, there is no guarantee as to whether these creators would work with you or not.

Additionally, this becomes beneficial if your marketing teams do not have enough time. The reason this is time effective is because, brands are required to invest time towards paperwork between brands and creators, the actual curation of content itself and more.

UGC Featured Platforms

Lastly, we have platforms and marketplaces. These are platforms through which brands can directly purchase in bulk user generated content through various packages and becomes the go to choice for those brands looking for a quick and easy way to acquire created content in bulk. For example, at Billo on an average, packages start at 1000$ for 12 videos and is on the slightly higher end.

Conclusion

As we can understand UGC is a powerful and cost effective tool that gives ecommerce brands like yours the ability to engage audiences while building credibility. It is important to remember that the cost of UGC varries depending on the type of content you require and the quantity and expertise being demanded by the creators. Start incorporating UGC into your marketing strategy today!