January 14th, 2025

Denisa Lamaj

UGC Usage Rights: The Ultimate Guide for Brands

Did you know that featuring user-generated content on e-commerce product pages can boost conversions by 161%, directly enhancing sales performance?

But for brands, leveraging UGC comes with its own set of challenges—especially when it comes to usage rights.

Without proper usage rights in place, brands risk legal penalties, damage to their reputation, and strained relationships with creators.

This guide will help you understand everything about UGC usage rights, common pitfalls, and why a UGC creator platform like Influee offers the ultimate solution by simplifying the process and giving brands full content ownership.

What Are UGC Usage Rights?

When brands buy UGC content, they also need to secure usage rights to legally use it. UGC (User-Generated Content) usage rights are the permissions required to use content created by others, whether it comes from customers, influencers, or fans of the brand.

These rights aren’t automatically granted just because someone posts about your product, tags your brand, or features your service in their content.

Instead, UGC usage rights must be explicitly negotiated or agreed upon, usually through a contract or formal agreement.

This ensures that both the creator and the brand are on the same page about how the content will be used.

These rights typically cover three aspects:

  • How the content will be used: For example, in paid ads, social media posts, newsletters, or on a brand’s website.
  • Where the content will appear: This could range from local campaigns to global promotions.
  • How long the content can be used: The duration could be a few months, a year, or indefinitely, depending on the agreement.

Why Are UGC Rights Important?

Respecting UGC rights is critical for brands to avoid legal issues, maintain a positive reputation, and build strong professional relationships. Here’s why:

  • Professional Relationships: Securing proper UGC rights is more than a legal step—it shows creators that their work is respected. When you establish clear and fair agreements, you build trust and encourage long-term collaborations.
  • Brand Reputation: Unauthorized use of UGC can seriously damage your brand’s image. When creators call out brands for misusing their content, it often leads to public backlash, negative press, and a loss of trust from both creators and customers. Respecting rights positions your brand as ethical and trustworthy.
  • Infringement Penalties: Using UGC without permission can result in copyright infringement fines, ranging from a few hundred to tens of thousands of dollars per case. Paying for the proper rights protects your brand from these financial and legal risks.

Paying for UGC rights is essential to maintaining good relationships with creators, ensuring they feel valued and fairly compensated. UGC statistics highlight how impactful user-generated content can be for brands, making it even more important to treat creators ethically.

Additionally, it grants your brand the legal protection and flexibility to use the content as needed, without risks or limitations.

By respecting and paying for these rights, you safeguard your brand while securing valuable, authentic content.

For How Long Should UGC Rights Be Granted?

Content rights on Influee vary based on the agreement between the Client and Influencer. They can either include Full Usage Rights, granting the Client a nonexclusive, worldwide, and irrevocable license to use the content perpetually for specific commercial purposes or No Usage Rights, prohibiting reuse after the collaboration.

Each collaboration establishes these terms individually, ensuring clarity and alignment between both parties.

In the industry standard, rights are typically limited to 6–12 months. After this timeframe, brands must pay additional fees to continue using the content, a structure that benefits creators but can result in hidden costs for brands that depend on older material.

Here’s a quick breakdown of UGC usage rights:

  • Perpetual Rights: Brands can use UGC without time restrictions. Perfect for long-term campaigns or evergreen content, these rights are included by default on Influee.
  • Organic Use Rights: These rights generally have no set time limitations. The content remains on social media platforms or other unpaid channels indefinitely unless the brand decides to remove it.
  • Paid Ads UGC Rights: These are typically restricted to a defined time frame. After the initial period, a renewal is required for continued use. Alternatively, some agreements may offer unlimited usage for an additional premium built into the creator's rate.

How Much Do UGC Usage Rights Cost?

When working with individual creators, the cost of UGC usage rights can vary widely depending on the type of content and how long you plan to use it.

Here's a breakdown of the industry-standard costs, based on a base rate of $180:

  • Organic Usage Rights: These are generally included in the base rate, meaning brands can use the content organically on social media for an indefinite period without extra costs.
  • 1-Year Usage Rights: For longer advertising needs, brands pay an additional 30–50% of the base rate, which translates to $54–$90. This gives them the right to use the content in paid ads for a full year.
  • Paid Ads Usage Rights:
    • 3-Month Paid Ads Rights: If the content is used for paid advertising, brands typically pay an additional 20–30% of the base rate, or $36–$54.
    • 6-Month Paid Ads Rights: For extended advertising campaigns, brands pay an extra 25–40% of the base rate, which equals $45–$72
  • In-Perpetuity Rights: If brands want to secure lifetime usage rights for their content, they typically pay 100–150% of the base rate. This translates to $180–$270, ensuring the content can be used indefinitely across all applicable channels.

While these are averages, brands often encounter hidden fees for additional services like exclusivity, specific scripts, or custom hooks, significantly increasing the final cost of a single collaboration.

How Influee Offers More Affordable Pricing

In comparison, Influee offers a simple and transparent pricing model. The cost per video starts at €35, and this price includes all rights—whether you need the content for:

  • Paid ads.
  • Organic posts.
  • Additional scripts or hooks.

Influee’s pricing model stands out from traditional negotiations by removing upsells, renewal fees, and hidden costs, offering a more transparent and cost-effective alternative to working with individual creators.

While UGC prices typically range from $150 to $212 per deliverable, Influee’s flat pricing allows brands to scale their UGC campaigns efficiently without exceeding their budget.

How to Get Instant UGC Usage Rights

Obtaining UGC rights from individual creators is often a time-consuming and expensive process. Industry pricing for usage rights typically ranges from 20–150% of the base rate, depending on factors such as the duration and type of rights (e.g., paid ads, organic use, or perpetual usage).

Negotiating these rights involves contracts, back-and-forth communication, and added costs for renewals or upsells, making scaling campaigns across multiple creators even more time-consuming.

Influee makes the process simple and hassle-free. With the platform, brands automatically get full rights to all the content, so there’s no need for long negotiations or paying extra fees.

Whether the content is for paid ads, organic posts, or multi-market campaigns, it’s all included in the transparent pricing.

Designed for busy brands, Influee takes care of creator management, legalities, and logistics, ensuring you get ready-to-use UGC quickly and efficiently.

Operating in 23+ markets worldwide, Influee allows brands to scale their campaigns with ease, saving time and money while ensuring all rights belong to them from the start.

FAQ

What Are the Usage Rights for UGC Videos?

Usage rights for UGC videos define how, where, and for how long a brand can use content created by others. These rights typically fall into categories like paid ads, organic use, or perpetual rights.

For example, a brand may negotiate the rights to use a video in a social media ad for six months or to post it on their blog indefinitely. Without securing the proper rights, brands risk legal issues such as copyright infringement or disputes with creators.

What Are Creator Usage Rights?

Creator usage rights refer to the ownership and control that creators retain over the content they produce. Even if a creator shares their work on social media or tags a brand, they still own the copyright to that content.

Brands must negotiate usage rights with the creator before using the content for commercial purposes, ensuring clear permissions are in place to avoid misunderstandings or legal trouble.

Are Usage Rights the Same as Copyright?

No, they’re not the same. Copyright automatically gives creators complete ownership of their work. Usage rights, on the other hand, are permissions granted by the creator to the brand.

These permissions dictate how the brand can use the content—whether for a specific campaign, platform, or duration. Without copyright, creators lose control, but without usage rights, brands cannot legally use the content.

What Is the Usage Rights Clause?

A usage rights clause is a specific section in a contract that clearly outlines the terms for using a creator’s content. It typically includes details like:

  • Duration: How long the content can be used (e.g., six months, one year, indefinitely).
  • Type of Use: Where and how the content will appear (e.g., social media ads, email campaigns).
  • Geographical Scope: Whether the content is used locally, nationally, or globally.

This clause protects both the creator’s intellectual property and the brand’s ability to use the content as intended.