The Power of User-Generated Content in Building Trust

Reviews and customer content shape purchase decisions. What credible research says, and what Indian brands must get right on disclosure and permission.

Encompass Ideas cover: The power of UGC in building trust, covering authenticity over perfection, social proof, transparency and trust that converts to ROI.

Customers want proof that a brand deserves their time and money. User-generated content (UGC) such as reviews, customer photos and creator posts supplies that proof. This post looks at what credible research says about it, and where the figures come with limits.

What the research says

  • Edelman's 2025 brand trust report (15 markets, 15,042 respondents, over 1,000 in India) ranked sources that shape opinion before purchase: friends and family 84%, customers like me 80%, customer reviews 68% and influencers 58%.
  • Bazaarvoice's Shopper Experience Index (8,000+ consumers in seven markets including India, September 2024), as reported by NetInfluencer, found retailer-site user reviews influenced purchases for 47%, against 23% for product demo videos, 11% for brand social content and 10% for influencer posts.
  • Northwestern's Spiegel Research Center found that even five reviews can lift purchase likelihood by 270% compared with none, and that likelihood peaks at average ratings of 4.0 to 4.7 stars rather than a perfect 5.0. Verified-buyer badges improved purchase odds by 15%. The research dates from 2017.
  • A 2019 Stackla (now Nosto) survey found 79% of consumers said UGC highly impacts purchase decisions. Stackla sells UGC tools and the survey is old, so treat it as directional.

Vendor-reported lifts, such as Bazaarvoice's claim of a 144% higher conversion rate when shoppers engage with UGC, come without a published method. We do not rely on them.

Why imperfect content can work

The Spiegel finding is a useful hint: shoppers seem to trust a mix of ratings more than flawless ones. Real photos and honest reviews look like the customer, not like an ad. Authenticity does not mean low effort. It means content that reflects real use.

Using UGC in your influencer strategy

  1. Invite customers to share real photos and reviews, and make it easy to do so.
  2. Ask creators to show genuine use of the product, not a script.
  3. Reshare customer content across channels, with permission.
  4. Track which content leads to clicks, saves and purchases, and do more of it.

Rules Indian brands should know

  • Disclosure: ASCI's influencer guidelines (effective 14 June 2021) require a clear label such as Advertisement, Ad, Sponsored, Collaboration or Partnership wherever there is a material connection, including free products. The label must be upfront, not hidden behind 'see more' or buried in hashtags.
  • Scale of the problem: an ASCI study (September to November 2024) found 69% of the top 100 influencers did not comply with disclosure rules, and compliance rose to 93% after ASCI intervened.
  • Endorsements: the CCPA's 2022 guidelines say an endorsement must reflect the genuine and reasonably current opinion of the endorser.
  • Permission: the person who takes a photo is generally its first copyright owner, and posting on a platform licenses the platform, not other brands. Ask before reusing customer photos or videos.

We are not lawyers. Have counsel review how these rules apply to your campaigns.

Final thoughts

The evidence points one way: people trust other people more than they trust brand messaging. Earn that content honestly, label paid collaborations clearly and ask permission before you reuse it.

Sources

Edelman, 2025 Trust Barometer Special Report: Brand Trust, June 2025: edelman.com

NetInfluencer on Bazaarvoice Shopper Experience Index, September 2024: netinfluencer.com

Spiegel Research Center, Northwestern University: spiegel.medill.northwestern.edu

Stackla (Nosto) survey, 20 February 2019: nosto.com

Mondaq, summary of ASCI influencer guidelines: mondaq.com

Exchange4media on ASCI influencer study, 6 February 2025: exchange4media.com

Mondaq on CCPA 2022 guidelines: mondaq.com

Asia IP Law on copyright and social media content, 31 August 2020: asiaiplaw.com

Where to go next

Explore our Influencer & UGC Marketing service, or read about the rise of influencer marketing .

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