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All Hail the New King of Ecommerce Conversion: User-Generated Content

Increased leads and traffic to your store’s website are nice things to see but let’s be honest, what really matters to an ecommerce business is conversion and sales. If there aren’t enough people choosing to buy from you, something is going wrong.

Growing Market, Growing Challenges

The below graph shows how large the global ecommerce opportunity is right now. In just 6 years, the market has increased by an astonishing 173% in growth and this upward trend is set to continue.

However, with market growth comes fierce competition, snowballing consumer expectations and squeezed margins as shoppers become ever-more savvy and shop around for the best prices.

If your ecommerce business has already taken care of the basic and essential factors for a smooth online transaction (smooth, secure payment process, great representations of your product, product reviews, cart abandonment email triggers) is there anything more you can do to encourage purchases through your website?

Yes! Turn your Online Shop into a Social & Interactive Experience

Ecommerce brands that are still relying on written testimonials and product demos to evidence the real-world value of their products are missing a trick. User-generated content is the way out of this.

Otherwise referred to as ‘UGC’, user-generated content basically refers to content you show but don’t create, because your end-users or customers create it for you.

Most of us associate user-generated content with campaigns or competitions on social media like the above #BurnSelfie challenge from Doritos.

User-Generated Content is your Store’s Missing Conversion Factor

Our Co-founder & CMO at radd, Natalie Staub. Senior Lecturer in Ecommerce marketing at London-based University has been tracking ecommerce trends for years. Now, radd’s own research and proven case-studies show us that user-generated content is the missing conversion factor for many ecommerce businesses.

Research states 92% of consumers around the world trust earned media signals such as advice from family and friends more than most other forms of advertising and messaging. This probably isn’t a huge surprise for ecommerce sellers who have done their homework - this is why so many of us pay close attention to our customer reviews and keep satisfaction rates high.

Increasingly, brands are turning to user-generated content to help them build shopper confidence; this makes sense, as almost 90% of US shoppers say UGC is the most influential part of their purchase decision-making.

Given the huge impact of UGC on consumer choice, you’d think it would appear somewhere along an ecommerce website’s transaction journey. But this hardly ever happens! Most brands relegate user-generated content to designated campaign pages or their social channels - but why not the website’s transaction process?

How radd.’s AI-Driven UGC Videos Transform Conversion at the Point of Purchase

Our team at radd. have developed the simplest way for eCommerce brands to boost conversion. With just one line of code, our customers benefit from brand-customized user-generated videos on their website.

We leverage sophisticated AI algorithms to personalize the videos individual shoppers see based on their historical engagement with your website and you can embed them at any point in your conversion journey.

BarryM is a leading British cruelty-free cosmetics company specializing in on-trend make up and nail products. Since integrating radd.’s user-generated videos they’ve already seen conversions improve by 27% - the user-generated stories have a click-through rate of 47%!

To put this into perspective, the average click through rate for a call to action is usually below 5% at best.

If you’re interested in trying out radd.’s user generated stories for your own website, we’d be happy to arrange a two month trial with you. Just drop us a line here with your details and we’ll get back to you.


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