How to Create Effective UGC Ads

The polished, perfectly-lit studio ad is losing ground. Today’s most effective advertisements don’t look like ads at all - they look like a post from a friend. This is the power of user-generated content, and it’s become one of the most reliable ways to build trust and drive sales on social media. This guide will walk you through exactly how to find authentic content, get permission to use it, and turn it into high-converting UGC ads for your brand.

What is a UGC Ad, and Why Does It Work So Well?

User-generated content (UGC) is any content - photos, videos, reviews, testimonials - created by real people rather than by the brand itself. A UGC Ad is simply what happens when a brand gets permission to take that authentic content and put paid advertising spend behind it. The goal isn't to create something from scratch, it's to amplify a genuine customer story that's already been told.

But why is this so effective? It comes down to one word: trust. Consumers are hardwired to be skeptical of traditional advertising. We’ve seen thousands of perfectly curated commercials, and we know the brand is presenting its ideal self. UGC bypasses this skepticism entirely because the message comes from a peer, not a corporation. It feels less like a sales pitch and more like a trusted recommendation.

Here’s what makes UGC ads outperform typical brand creative:

• Authenticity: It’s raw, it's real, and often filmed on a smartphone. This lo-fi, unfiltered feel stops the scroll because it blends in perfectly with the content people are already consuming from friends and family.
• Social Proof: When potential customers see that real people are already using and loving your product, it lowers their purchase anxiety. It’s a powerful signal that says, "Hey, this is a safe choice. Other people like you have tried it and are happy."
• Relatability: People see themselves in the creators. Unlike celebrity endorsements or staged ads with models, UGC features everyday people in realistic settings, making the product feel more accessible and aspirational in a down-to-earth way.

How to Find Authentic UGC for Your Ads

Your future best-performing ads might already exist, floating around on social media. You just have to know where to look. Sourcing content can be broken down into actively finding it, encouraging it, and commissioning it.

1. Search Your Existing Community Content

This is the most authentic type of UGC because it was created without any prompting from your brand. It’s pure, unpaid enthusiasm. Start your search here:

• Tagged Posts & Mentions: Systematically go through every photo and video where your account has been tagged on Instagram, TikTok, and Facebook. Check your mentions on X and Threads. Your customers are already doing the work - don't let it go to waste.
• Branded Hashtags: Do you have a hashtag associated with your brand? Search for it! You'll often find a treasure trove of content that you didn't see through tags alone.
• Comments & DMs: Scour your comment sections and direct messages. Customers often share photos or gushing reviews privately. A kind message thanking them and asking permission to share their feedback publicly can turn a simple comment into a powerful testimonial ad.
• Reviews: Look through reviews on your website or third-party sites. While these are often text-based, a five-star review with a powerful quote can be turned into a simple but effective static image ad.

2. Proactively Encourage Your Audience to Create UGC

If your community isn’t generating enough content on its own, it’s time to give them a gentle nudge. You can incentivize content creation in a few ways:

• Run a Contest or Giveaway: This is the classic strategy. Offer a compelling prize (like a big gift card or a year's supply of your product) in exchange for followers posting a photo or video with your product and using a specific hashtag. Make the rules clear and the entry process simple.
• Create a Campaign Hashtag: Launch a campaign encouraging people to share how they use your product in their daily lives. For example, a coffee brand could create #MyMorningRitual and ask users to post creative videos of their coffee routine.
• Just Ask: Sometimes, the simplest approach is the best. Post on your Stories or feed asking followers to send in videos of them unboxing your product or using it for the first time. The request itself makes your community feel more involved.

3. Partner with Creators to Make UGC-Style Content

Not all UGC has to happen organically. One of the most common and effective tactics is to pay creators specifically to produce content that *looks* and *feels* like organic UGC. The content is genuine because they are using your product, but you're paying them for their time and an asset you can use in ads.

• Find Micro-Influencers: Search for creators in your niche with smaller but highly engaged followings (think 1,000 - 50,000 followers). Their content often feels more authentic and less "sponsored" than a post from a mega-influencer. Search relevant hashtags or see who is following and engaging with your brand already.
• Brief Them on Style, Not Scripts: Give your partnered creators clear guidelines about the campaign goal (e.g., “show the product’s ease of use”) but avoid overly restrictive scripts. The creative freedom is what makes the end result feel genuine. Ask them to film just as they would for their own channels.

The Golden Rule: How to Legally Get Permission

This is the most important step in the entire process. You can never use someone’s content in a paid ad without their explicit written permission. Not only is it a legal risk (copyright infringement), but it’s also a quick way to damage your brand's reputation. Going about it the right way is simple and shows that you value your customers' contributions.

Follow these steps every single time:

1. Reach Out Personally: Start by leaving a positive comment on their post like, "This is amazing! We love how you've captured this." Then, follow up with a direct message. Don't use a generic, robotic response. Compliment them on their specific photo or video to show you're not a bot.
2. Be Clear and Specific: Your message needs to state exactly what you want. Avoid vague language like "Can we share this?" Instead, say something specific: "We love your video so much, we'd like to ask your permission to feature it in our paid advertising campaigns on Instagram and TikTok."
3. Offer Compensation: Using content for paid advertising is a commercial transaction. You should always offer something in return. This could be a generous gift card, free products, or a modest cash payment (e.g., $50 - $250 for a nice organic video from a regular customer). Compensation builds goodwill and respects the creator’s work.
4. Get Confirmation in Writing: Once they agree, get their confirmation saved in writing. For smaller-scale usage, a clear "Yes, you can use my video for your ads in exchange for the $100 gift card you mentioned" in a DM is good documentation. For larger campaigns or partnerships with creators, a simple one-page licensing agreement that outlines usage rights (where and for how long you can use it), compensation, and formal consent is the safest route.

How to Turn Great UGC into a High-Converting Ad

Once you've sourced a great piece of content and secured the rights, the next step is to edit it for performance. The key is to add layers that guide the viewer toward a specific action without sacrificing the content's native feel.

Start with a Strong Hook

You have less than three seconds to capture someone's attention. The opening frame or visual needs to immediately stop them from scrolling. An even better approach is to add a text overlay hook that creates curiosity or states a bold claim. Great hooks often leverage:

• Questions: "Why did I wait so long to try this?"
• Pain Points: "If you struggle with frizzy hair, watch this."
• Surprising Results: "I was shocked this worked in just one week..."

Tell a Clear Mini-Story

The best performing UGC ads often follow a simple but effective narrative arc: Problem -> Solution -> Result. They show a 'before,' introduce your product as the 'hero' that solves the problem, and then show the positive 'after.' A great example is a customer showing their stained white shirt (problem), applying your stain remover (solution), and pulling the clean shirt out of the wash (result). This simple story is incredibly persuasive.

Edit Like a Creator, Not a Corporation

Resist the urge to over-produce the video. Keep the edits snappy and aligned with the styles trending on TikTok and Instagram Reels. Here's a quick checklist:

• Add On-Screen Captions: Most users watch videos with the sound off. Burn captions directly into the video so your message is understood with or without audio.
• Keep it Short and Punchy: Aim for 15-30 seconds. Get to the point quickly, show the value, and end with a call to action.
• Use Native Text Styles and Trending Audio: Edit the video using the text fonts and styles available within Instagram or TikTok. When appropriate, use popular sounds or music directly from the platform's library to make the ad feel even more native.

End with a Clear Call-to-Action (CTA)

Tell the viewer exactly what you want them to do next. A simple text overlay at the end like "Link in Bio to Shop!" or "Grab Yours Now" reinforces the button CTA on the ad itself. Make your instruction obvious and easy to follow.

Final Thoughts

Creating effective UGC ads all comes down to finding genuinely authentic content, responsibly getting permission, and editing with a light touch to feel native to social platforms. When you move away from glossy perfection and instead embrace the real stories from your happy customers, you're not just creating an ad - you're building a trusted brand.

Once you’ve got a library of killer UGC videos, keeping track of it all alongside your other content can become its own challenge. At Postbase, we built our platform for the modern era of social media, where short-form video is king. With our visual calendar, you can easily plan where your UGC ads fit alongside your organic Reels, TikToks, and Stories, helping you see your entire strategy across all channels in one clean view. For more details, go see Postbase.