A report led by Experian suggests that User Generated Content will have a major role to play in the lifes of people in the UK - Post-recession, as consumers are looking for trust.

As disposable income is tightening across the UK and the world, internet users are spending lesss time on transactional sites and more on social networking sites. Analysis into the report by Hitwise suggests that in March 2009 “content-driven websites attracted 138 per cent more visits than transactional websites. Furthermore, brands that have incorporated UGC and social media into their sites are seeing increasing web traffic and conversion rates compared to those yet to embrace Web 2.0.”

If this reports is as accurate as they are suggesting it brings up a great debate on UGC for brands. I bet that over half of the content that is generated by users for brands will not see the light of day, pity as I would love to see a Big Name Brand have some balls and take UGC as far as possible.

Further on from this Experian goes on to say “As consumers take up Web 2.0 over transactional sites, Experian’s Insight report suggests that those brands that are best positioned to take advantage when the economy improves will be those that meet the growing demand for interactivity through UGC and social media tools.

Forward thinking retailers from fashion to DIY are already attracting customers to their websites with everything from review sections, videos and ‘how to’ forums. According to a industry research, 77 per cent of online shoppers now seek customer product reviews before purchasing.

Robin Goad, commented: “The growth in content driven sites such as news, entertainment and social networks over retail and transaction-based websites illustrates how consumer behaviour in the ‘real’ world is being replicated online. The demand for UGC across the online world provides a clear opportunity for transactional websites to drive consumers to their sites through more interactivity. Furthermore, we fully expect to see UGC break out of online and feed into all marketing and advertising channels in the next few years.”

Hmm, UGC in ATL campaigns, maybe we will get our robots to generate the content for us?