3. The market of UGC

The UGC market has grown exponentially in importance and value in recent years. As of 2021, the market was valued at USD 3.58 billion, illustrating the massive scale of its impact across multiple industries. The potential for further growth is substantial, with projections indicating that the market could expand at a Compound Annual Growth Rate (CAGR) of 26.6% to reach USD 18.65 billion by 2028.

One of the driving forces behind this surge in market value is the diverse range of industries that have adopted UGC as a key component of their marketing strategies. These industries span Retail and E-Commerce, Travel and Hospitality, Entertainment, and Food and Beverage. Each sector has found unique ways to leverage user-generated content, which has contributed to the rapid expansion of the UGC market.

Despite the global phenomenon that is UGC, its adoption and effectiveness can vary depending on geographical, cultural, and regulatory factors. North American and European markets, for instance, have been early adopters of UGC-based marketing strategies, often leading the way in innovation and implementation.

To illustrate the utility of UGC further, consider the case of Iceland's tourist office, which collaborates with Shaaare for a targeted marketing campaign. The campaign enlists pico, nano, and micro-influencers (essentially Shaaare users) to post photos or videos featuring various Points of Interest (POIs) in Iceland.

In return, these influencers could win tickets to popular attractions like museums or the Blue Lagoon, or even earn points convertible into holiday vouchers in the form of ERC20 tokens.

The finality of this operation brings more clients and visitors to Iceland: everyone wins!

These UGC materials then serve a dual purpose: they not only incentivize content creation but also provide the tourism office with authentic, ready-made testimonials and advertisements.

Shaaare is created in order to level the playing field, helping everyone to access this technology equally.