I recently heard of a brand that made over $2M with AI-generated UGC ads.
That’s why I spent the rest of the week testing AI UGC ad generators.
Based on my tests, the winner is Arcads.
This tool is easy to use; it creates ridiculously realistic ads in just minutes. No technical skills are needed.
Let me show you how to use it and what types of results I got.
Disclaimer: This post has affiliate links at no cost to you.
My Results
Here are some of the UGC ads I created with Arcads AI:
Also, it creates regular ads very well:
How to Use Arcads
Now, let me show you how to use it and how to get results like this.
Step 1: Create an Account
First, go to the Arcads website and sign up.
Answer a couple of questions related to your business.
Then, pick a plan.
I went with the Starter plan to give it a good test.
Once you’ve purchased a plan, add your product.
For example, I added my friend’s clothing brand logo and shirt as the product.
After this step, you’ll see the main dashboard.
This is where you create your ads.
Step 2: Create Ad Script
To create an advertisement using AI, you need to create a script.
The easiest way to write a good script is to follow this simple structure:
- Hook: Start with something that grabs attention.
- Problem: Explain what issue the product solves.
- Solution: Show how the product helps.
Call to Action: Tell people what to do next, like “click the link” or “try it now.”
Keep your sentences short and natural, like how people talk on TikTok.
Before I show the UGC Ad creation options, let’s create a traditional ad first.
I chose to create a video ad with the new Sora 2 Pro model.
Here’s my input:
Ever wish your tennis tee looked good off the court too?
Most tennis shirts scream, ‘I just left practice.’ Not exactly what you want when you’re grabbing coffee after a match.
This one’s different — it’s built for the game, but looks clean enough for brunch, errands, or just chilling courtside.
Serve style and comfort. Tap the link and get yours now.
Also, to let the AI know what the product looks like, I added this image.
Then I just hit create.
The tool just asks to confirm the creation.
And off we go.
One thing I didn’t like was that the AI didn’t provide any input on how long the creation would take.
But after a couple of minutes, it was ready.
Here’s the first ad I created:
I love it.
It’s so realistic, and it sounds so real and accurate.
Just like I wanted.
The only problem in this one is that it’s cut short.
I accidentally told the AI to make it just 8 seconds in length.
I’ll retry the exact same ad, but this time, I’ll make it 12 seconds (which is the max length, by the way.)
Here’s the second clip:
That’s already a lot better.
I also like the fact that the tennis shot movement looks so natural.
But still, the problem seems to be that the ad is cut short. However, now there’s clearly a completion at around 10–11 seconds. So I can just cut out the rest.
Next, I tried the Talking Actors feature.
There’s a huge list of viral TikTok/Reels-style actors you can choose from.
You can filter the actors based on the filters, too.
I chose Thomas as my actor.
I hit send and waited for a couple of minutes for the ad to create again.
That’s so good. It looks realistic and exactly like one of those viral TikToks.
But in this mode, the problem is that you can’t, for example, place a product in the hands of the person talking.
Other than that, what a wonderful piece of technology this is.
Notice that if you use a PRO actor, you need to upgrade to the PRO plan.
This wasn’t my favorite surprise. Without any guidance, trials, or anything, I’d have to pay $2,000+ for the tool to use all the actors.
Also, you only get to create 10–20 videos per month with the $100 plan. This is not a lot, since most of the time you have to do multiple runs before you find the optimal one.
However, for the UGC ads, this is really good. Most of the time, the AI nails the videos in one or two attempts.
As a bonus, let me show you a cool beta feature on Arcads to boost your UGC ads.
That’s called the Unbox POV feature.
Just pick that from the list in the chatbox and drop your product image to the view:
Then choose a template:
I went with the good old table option, where I’ll unpack the product.
Here’s the result I got:
I mean, it’s not 100% there yet, but there are really cool and usable elements I could take from it as a b-roll.
I’d say it’s 7/10. Some parts look unnatural, but some parts just look like professionally edited clips of me unboxing the product.
Core Features
- Turn any script into a video ad using AI actors
- Choose from over 300 avatars with different looks and styles
- Add your own voice or use text-to-speech
- Generate several ad versions at once
- Adjust voice speed, tone, and emotion
- Works in multiple languages
Pros
- Very fast to create videos
- Much cheaper than hiring UGC creators
- Good variety of actors and voices
- Looks realistic enough for TikTok and Reels
- It lets you test many versions quickly
- Decent lip sync and audio quality
Cons
- Some features don’t always work as shown
- Limited options for showing real products
- You can’t edit your videos at all
- Some voices still sound robotic, but only very little
- Pricing is very high, and there’s no free trial
- A lot of it just feels like it’s in the beta mode/not fully working
Pricing
You can’t find the price information on the homepage, but you’ll find it as you sign up.
- Starter Plan: €100 per month
- Creator (Popular) Plan: €200 per month
- Pro Plan: Custom pricing (contact for details)
Benefits of Using AI for UGC Ads
The biggest benefit of AI-generated UGC ads is speed.
You can make and test multiple video versions in minutes instead of waiting weeks for creators.
It’s also much cheaper since you don’t need to hire people or shoot new footage.
Once your script is ready, each video costs very little to produce.
AI also tends to keep your brand consistent. Every video follows the same tone, message, and style, without the risk of creators interpreting it differently.
Testing is easier, too. You can change a few lines or visuals and instantly see what performs best.
And since tools like Arcads support multiple languages, creating localized versions for different markets is simple.
Drawbacks of Using AI for UGC Ads
The main drawback is authenticity.
Real people still feel more relatable and trustworthy, and AI can’t fully replicate natural emotion or humor yet.
Some videos might look slightly off or lack that human touch. Also, AI is notorious for not adding any value to the internet. It for sure can’t do better than real teams with real creativity.
It’s restricted by what’s already out there, and performs at best close to that.
So if you want to stand out, there’s no way to do that with AI.
There’s also the issue of transparency. If viewers realize a video was made with AI, it might hurt trust.
Some ad platforms have rules about synthetic content, so it’s important to stay compliant.
And while AI tools are cheaper overall, credit-based pricing can add up fast if you’re running a lot of tests.
To Take Home
Arcads.ai is one of the best tools right now for creating UGC-style ads fast.
It’s not perfect, but it saves a huge amount of time and money while letting you test ideas instantly.
If you want to scale your ads, experiment with new hooks, or validate creative angles before hiring real creators, Arcads is worth trying.
Perhaps use it to create a test campaign, see what sticks, and then hire a team to take that to the next level!