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12th February 2025 - 12 mins read

10 UGC Myths Debunked: Here’s what you need to know

UGC ads are having a moment. Every brand, from startups to industry giants, is leveraging creator-made content to drive engagement and sales. But here’s the kicker: a lot of marketers still aren’t fully sold on UGC. Some think it’s too raw, others believe it’s only good for brand awareness (spoiler: it’s not), and a few still hold onto the idea that “polished” ads perform better.

If you’ve been skeptical, this one’s for you. We’re busting the biggest UGC myths and showing why brands that embrace it are winning.

1. Myth: UGC Ads Look Unprofessional

A lot of brands hesitate with UGC because they think it looks too “raw” or “unpolished.” But that’s exactly why it works. Social media isn’t a glossy magazine; it’s a place where real, relatable content wins.

  • Authenticity Over Aesthetics – UGC isn’t about cinematic production. It’s about storytelling that feels real, which is why audiences trust it more than traditional ads.
  • The Proof is in the Performance – Some of the highest-performing ads are simple, selfie-style videos. Think about TikTok trends—unfiltered, engaging, and straight to the point.
  • Polished Yet Organic – The secret sauce? The right creators and smart editing. UGC doesn’t mean sloppy—it means strategic storytelling with an organic touch.

Here are some examples of Top Performing UGC Ads that have a raw, unpolished look:

@vanilla_bey Lien de l’appli en bio ! Ig : vanaa_bey #pourtoi #fyp #foryou #swipewipe ♬ Sability - Ayra Starr

2. Myth: UGC Only Works for B2C Brands

It’s easy to assume that UGC is just for trendy skincare brands or viral TikTok products. But that’s far from the truth. UGC is just as powerful for B2B, SaaS, and fintech—if not more. Why? Because at the end of the day, people trust people, and that applies whether you're selling a moisturizer or a marketing automation tool.

  • Customer Testimonials = Trust Builders – A genuine testimonial from a real user carries more weight than any polished brand statement. SaaS and fintech brands are leveraging UGC through video testimonials, case studies, and customer success stories.
  • Product Walkthroughs That Convert – Explaining a complex tool? UGC creators can break it down in a way that feels natural and engaging—way more compelling than a corporate demo video.
  • Proof in Action: UGC for B2B – Look at brands like Slack and HubSpot—they use user-generated success stories to showcase how real businesses thrive with their tools.

3. Myth: UGC Ads Don’t Convert Like Studio Ads

Traditional ads might work on billboards, but on social media? UGC is king. People scroll fast, and studio ads often get skipped because they scream “ad.” UGC, on the other hand, blends in naturally, leading to more clicks, more engagement, and better ROI.

  • UGC Ads Feel Like Recommendations, Not Commercials – Social media is built on trust and word-of-mouth. When users see real people talking about a product, they’re more likely to pay attention and take action.
  • The Performance Gap: UGC vs. Studio Ads – UGC-style content has been shown to increase CTR by 3x and decrease CAC by up to 50%, proving that raw, authentic content is a performance driver.
  • Success Stories Speak for Themselves – Brands like SwipeWipe and Photoroom have scaled massively by leaning into relatable, creator-driven UGC ads.

4. Myth: UGC Is Just for TikTok

TikTok may have put UGC on the map, but it’s far from the only place where UGC ads thrive. Meta, YouTube Shorts, Snapchat, and even LinkedIn are leveraging creator-driven content to drive engagement and sales.

  • UGC Works on Every Platform – Instagram Reels, Facebook Ads, YouTube Shorts, and even LinkedIn videos are seeing higher engagement with UGC-style content. Social media isn’t just about entertainment—it’s about authenticity.
  • Adapting UGC for Different Feeds – A TikTok-style ad might need slight tweaks for Instagram or YouTube, but the core formula stays the same: real people + real experiences = real conversions.
  • Brands Winning With Multi-Platform UGC – Many brands repurpose UGC across multiple channels to get the most out of their content. A creator video that starts on TikTok can drive sales on Instagram, boost engagement on Facebook, and even serve as a powerful YouTube ad.

5. Myth: Any Creator Can Make a Good UGC Ad

Some brands think any creator with a phone can make a great UGC ad but that’s like saying anyone with a pen can write a bestseller. There’s a method to making UGC ads work.

  • Being a Creator ≠ Being an Ad Expert – A great UGC creator knows how to hook attention in the first 3 seconds, deliver a clear message, and guide viewers toward action. It’s more than just filming a product—it’s about storytelling and persuasion.
  • Messaging & Brand Fit Matter – Not every creator is the right fit for every brand. Finding someone who aligns with your audience, voice, and goals is key to making UGC ads actually work.
  • Ramdam Takes the Guesswork Out of UGC – We connect brands with creators who specialize in performance marketing, so every video has the right mix of authenticity and conversion power.

6. Myth: UGC Is Just Another Word for Influencer Marketing

A lot of people think UGC is just a fancy term for influencer marketing, but trust us, they’re not the same. Here’s why:

  • UGC Is Ad-Centric, Influencers Are About Influence – UGC is designed for ads and optimized for performance, while influencers are about building relationships with their audience over time.
  • Performance vs. Engagement – UGC is made to convert, while influencer marketing is about engagement and community building. The focus of UGC is on driving clicks, installs, and purchases.
  • Strategic Use of Both – Brands don’t have to choose one over the other. UGC can deliver immediate results, while influencers can build the trust and relationships needed for long-term loyalty. Use them together to create a powerful marketing strategy.

7. Myth: UGC Is Only for Brand Awareness, Not Performance

UGC isn’t only for getting your brand noticed; it’s actually a game-changer for performance marketing. Here’s why:

  • Direct Impact on Conversions – UGC has a direct link to installs, purchases, and ROAS—it’s a proven driver of results in performance marketing.
  • Full-Funnel Magic – UGC is more than just the first touchpoint. It works throughout your funnel, guiding users through awareness to conversion and improving your overall marketing ROI.
  • Case Study: Swipewipe’s Top 10 App Store Success – After a successful UGC campaign, Swipewipe saw a massive boost in installs, driving them to the Top 10 in the App Store. This success shows that UGC doesn’t just help with brand awareness; it can power real performance and drive market success.

8. Myth: Brands Lose Control Over UGC Ads

Some brands worry that UGC means handing over control of their ad campaigns, but that’s just not the case. Here’s how you can maintain control without stifling creativity:

  • Final Approval Is Always Yours – Brands get to approve every piece of content before it goes live, ensuring it stays in line with your brand identity and objectives.
  • Balancing Freedom and Control – Creators are awesome at making things feel authentic, but you don’t have to sacrifice your brand messaging. A little guidance ensures both worlds mesh together.
  • Structured Briefs Set You Up for Success – When you give creators clear guidelines and expectations, they have the flexibility to create while still sticking to your brand’s vision.

9. Myth: UGC Ads Are Cheap and Easy to Produce

Yes, UGC ads might seem like a quick and cost-effective solution, but making great UGC takes more than just snapping a few photos. Let’s dive into why:

  • Strategy Is Key – UGC isn’t just about having content. It’s about having the right content that’s aligned with your brand goals, and that means thoughtful creator selection and continuous optimization.
  • Random Content Won’t Cut It – There’s a big difference between content that was created randomly and content that’s backed by data and research, optimized to drive engagement and conversions.
  • How Ramdam Streamlines Success – Platforms like Ramdam make the process seamless by helping brands connect with the right creators, while also ensuring that every piece of content is optimized for performance and results.

10. Myth: UGC Will Be Replaced by AI Avatars

There’s a growing buzz around AI avatars, but they won’t be replacing human creators anytime soon. Here’s why real human connection still trumps AI:

  • AI Enhances, But Doesn’t Replace UGC – AI is a great tool to optimize and assist content creation, but it won’t replace the authenticity and trust that comes from real people making content.
  • Consumers Know the Difference – People can tell when content is generated by AI vs. when it’s created by a real person. Authenticity is what drives connection, and that’s something AI can’t replicate.
  • The Future of UGC Is AI-Assisted, Not Replaced – The future of UGC will be about combining AI and human creativity to produce even more powerful and engaging content, not AI taking over the whole process.

Ramdam Takes the Guesswork Out of UGC Ads

If there’s one takeaway from this article, it’s this: UGC isn’t just a trend. But success with UGC doesn’t happen by accident. It takes the right creator, a strong concept, and the right strategy to turn a simple video into an ad that drives installs, purchases, and ROAS.

That’s why Ramdam exists!

We help brands tap into the best UGC creators, with zero guesswork. No more scrolling through endless creator profiles, no more worrying about whether your ads will look “too raw” or “too polished”—we match you with creators who get it. And we don’t stop there.

Our AI-powered brief generator helps you craft clear, conversion-focused briefs in minutes, ensuring creators deliver content that aligns with your brand goals. Plus, with budget optimization tools, we match you with the right creators based on your needs, maximizing performance while keeping costs in check.

And when it comes to legalities and approvals? We’ve got that covered too. Brands get 1-year usage rights on platforms, meaning you can scale your campaigns without worrying about contract loopholes or unexpected fees. From concept to execution, we make UGC stress-free, optimized, and results-driven.

In a nutshell

The way people engage with content has changed, and the way brands advertise needs to change with it. UGC isn’t some passing phase; it’s how modern audiences connect, discover, and buy. The brands that embrace it aren’t just keeping up; they’re leading the charge. Those that hesitate? Well, they’ll be the ones wondering why their polished, studio-shot ads aren’t hitting like they used to.

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