Shoppers are increasingly relying on user-generated content (UGC) for product discovery and purchase decisions, with personalised offers becoming key drivers of sales across multiple product categories, says the annual Shopper Experience Index from Bazaarvoice.
Omnichannel shopping reigns supreme, with 88% of shoppers wanting a seamless shopping experience across different channels, with four out of five preferring a blend of in-store and online shopping. Three quarters of consumers engage in online-to-offline shopping behaviour, where they research products online before buying them in physical stores (webrooming), while 59% do the opposite (showrooming). Over a third (39%) of consumers use social media for product discovery and research, while 31% are purchasing directly through these platforms.
In 2021, over half (55%) of respondents said they never shopped on social media. This year, that number dropped to just 24%. Instagram (69%), YouTube (62%), and TikTok (50%) are used most by Gen Z for product discovery, while Facebook (66%) is most popular for Millennials.
More than half of consumers, self-identified creators, are eager to share opinions when rating products. Last year, half (46%) of respondents identified as “passive consumers”, who tend to consumer opinions rather than sharing their own. This year, that number dropped to just 28%. This is good news for shoppers, 86% of whom say they engage with creator content before making a buying decision.
Plus, consumer trust in fellow consumers is on the rise. Some 65% of global shoppers rely on UGC, such as ratings, reviews, photos, and videos in their buying decisions. Nearly half of shoppers find user reviews on retailer websites the most influential content when researching the products online. Gen Z is highly influenced by UGC, with 80% considering it crucial in their decision-making process. However, generation impacts what type of content they prefer. Baby Boomers rely more on traditional UGC-like ratings and reviews, while Gen Z prefers visual content like photos and videos from social media influencers.
Personalised offers drive 45% of shoppers to complete purchases online. They resonate even more strongly with Gen Z, 61% of which find these tailored offers impactful. Electronics (47%), apparel (42%), and health and beauty (39%), are the product categories for which personalised offers are most influential.
“This year’s study reinforces that to succeed today, brands and retailers must meet their customers wherever they shop—especially on social platforms, where consumer engagement and comfort with purchasing are on the rise,” said Zarina Lam Stanford, cmo at Bazaarvoice.
“The demand for user-generated content is higher than ever, and it’s a powerful tool for creating genuine connections that influence purchase decisions. As consumers shift from passive observers to active content creators, brands have a unique opportunity to harness authentic voices and build trust across all touchpoints.”
Bazaarvoice is among the leading providers of full-funnel authentic user-generated content (UGC) and social commerce solutions. Its annual Shopper Experience Index is based on a survey of more than 8,000 global shoppers.
To view the report, visit the Shopper Experience Index.
Top: Demand for user-generated content is increasing says a new consumer report.
