Global Virtual Influencers Market Share, Business Strategies By Type (Non-human, Human Avatar), By Offering (Solutions, Services), By End-use (Food & Entertainment, Sports & Fitness, Banking & Finance, Travel & Holiday, Fashion & Lifestyle, Others), Region and Companies – Industry Segment Outlook, Market Assessment, Competition Scenario, Trends and Forecast 2025-2034

Report Overview

The Global Virtual Influencers Market size is expected to be worth around USD 170.2 billion by 2034, from USD 6.1 billion in 2024, growing at a CAGR of 39.5% during the forecast period from 2025 to 2034. In 2024, North America held a dominant market position, capturing more than a 40% share, holding USD 2.4 Billion revenue.

Virtual influencers are digitally created personas that utilize artificial intelligence and computer graphics to simulate human-like interactions and influence across social media platforms. These entities are crafted by companies, ranging from startups to large corporations, to promote products, services, and messages.

The virtual influencers market is a rapidly growing segment within the digital marketing and AI-driven industries. This market benefits from the convergence of social media trends, the increasing influence of digital content, and advancements in AI and CGI technologies. Virtual influencers are being adopted by brands for advertising campaigns, collaborations, and influencer marketing strategies.

Several driving factors contribute to the rapid expansion of the virtual influencers market. The increasing reliance on social media platforms for marketing purposes is one of the primary catalysts. Virtual influencers offer brands a unique advantage in terms of consistency, control over content, and the elimination of human error or controversies that can often arise with traditional influencers.

According to Forbes, 58% of respondents follow at least one virtual influencer, and 75% of Gen Z are particularly engaged with them. This trend is not just about following; it’s driving consumer behavior too. 35% of consumers have purchased a product promoted by a virtual influencer.

YouTube is a key platform for these digital personas, with 28% of US consumers following them there, highlighting the significant role influencer-driven videos play in consumer engagement. In fact, 91% of video views on YouTube come from influencer-related content.

Data from Influencer Marketing Agency provides deeper insights into user motivations. While 58% of users follow at least one virtual influencer, 24% of users weren’t even aware of their existence, indicating room for further awareness. The motivations behind following vary: 27% of users are drawn to the content itself, 19% to storytelling, and 15% find inspiration in these digital personalities.

Interestingly, the 35-44 age group stands out for being more trusting and finding virtual influencers relatable, scoring 6.5/10 and 6.2/10 respectively. Social media preferences also differ, with YouTube taking the lead at 28.7%, closely followed by Instagram at 28.4%, and TikTok at 20.5%.

Key Takeaways

• In 2024, the Human Avatar segment dominated the global Virtual Influencers Market, accounting for more than 65% of the market share.
• The Solutions segment also held a significant position, with over 57% of the market share in 2024.
• The Fashion & Lifestyle segment contributed over 30% to the global Virtual Influencers Market in 2024.
• The US Virtual Influencers Market was valued at USD 2.3 billion in 2024, reflecting a robust compound annual growth rate (CAGR) of 58%.
• North America was a dominant force in the global market, capturing more than 40% of the market share in 2024.
• According to the Economic Times, 58% of individuals follow at least one virtual influencer, showcasing the growing popularity of this digital trend. The reasons for following virtual influencers are varied: 27% follow for content, 19% for storytelling, and 15% for inspiration.
• In a study by gov.uk, it was found that 10% of female consumers purchase counterfeit goods endorsed by social media influencers, highlighting concerns about the influence of online personalities.

Analysts’ Viewpoint

The virtual influencers market presents lucrative investment opportunities, particularly in the development of new AI technologies, CGI tools, and platforms for managing virtual influencers. Investors are also showing interest in companies that specialize in creating and promoting these digital personas. As the market matures, there is potential for significant returns in areas such as virtual content production, digital asset management, and influencer marketing platforms.

Moreover, collaborations between virtual influencers and traditional media companies are set to increase, creating cross-industry investment avenues​. Governments around the world are recognizing the potential of AI and digital innovation, offering support through grants, subsidies, and regulations that foster the growth of industries like virtual influencers.

In regions like the U.S. and the EU, policies aimed at promoting AI research and development, as well as digital content creation, are indirectly benefiting companies involved in the creation of virtual influencers. Additionally, some governments have recognized the economic potential of digital personas in tourism, entertainment, and e-commerce sectors, further driving market growth​.

AI’s Impact on the Market

AI has a profound impact on the virtual influencers market by enabling the creation of increasingly sophisticated digital personas. Through AI, virtual influencers can now analyze and respond to audience behavior, optimize their content strategies, and even collaborate with human influencers in ways that were previously unimaginable.

AI also supports continuous improvements in the realism of virtual influencers, making them more relatable and capable of influencing consumer behavior. This fusion of AI and marketing technology is expected to redefine how brands interact with their audiences in the years to come​.

US Virtual Influencers Market

The US Virtual Influencers Market was valued at USD 2.3 billion in 2024, with a robust CAGR of 31.58%. This is due to the growing focus of brands on authenticity and sustainability in their marketing efforts in the U.S. region. This is leading to the development of virtual influencers that resonate with the socially conscious consumers across the globe.

Moreover, the U.S. has a well-established digital infrastructure that includes high speed internet and widespread adoption of social media platforms. This infrastructure supports the seamless integration and widespread use of virtual influencers in marketing campaigns.

In 2024, North America held a dominant market position in the global Virtual Influencers Market, capturing more than a 40% share. North American consumers are highly engaged with the digital content and social media. Brands in this region tend to leverage the virtual influencers in marketing campaigns. The region also has a large advertising markets, where brands are willing to invest heavily in innovative marketing strategies, including the use of virtual influencers, to stand out in ta competitive landscape.

Type Analysis

In 2024, the Human Avatar segment maintained a dominant position within the virtual influencer market, capturing more than 65% of the market share. This prominence can be largely attributed to the increasing demand for virtual influencers that exhibit a high degree of realism and relatability, which resonates well with consumers on a personal level.

Human avatars are designed to mimic human interactions, making them ideal for brands aiming to establish a genuine connection with their audience​. The lead of the Human Avatar segment is reinforced by its adaptability across various digital platforms and its capability to deliver tailored and impactful marketing messages.

These avatars leverage cutting-edge artificial intelligence and computer-generated imagery to offer interactive experiences that are both engaging and cost-effective compared to traditional human influencers. This technological integration not only enhances the user experience but also allows brands to execute more complex and creative marketing strategies without the logistical constraints associated with real-life personalities.​

Moreover, human avatars are instrumental in sectors where the personal touch is crucial, such as fashion and lifestyle, where they act as trendsetters and brand ambassadors. By employing these digital personas, brands can explore innovative presentation styles and storytelling techniques, further solidifying the human avatars’ role in driving forward the virtual influencer market​.

Offering Analysis

In 2024, the Solutions segment held a dominant market position, capturing more than a 57% share of the Global Virtual Influencers Market. This substantial market share is driven primarily by the increasing demand for comprehensive and innovative virtual influencer solutions that integrate seamlessly into broader marketing strategies.

These solutions typically include advanced content creation tools and platforms that enable brands to design and develop engaging digital content efficiently and effectively​. The leading position of the Solutions segment is further reinforced by the technological advancements in AI and CGI, which enhance the capabilities of virtual influencers, making them more realistic and interactive.

Such technologies allow virtual influencers to engage with audiences in a way that mimics human interaction, making digital campaigns more relatable and effective. The integration of these advanced technologies into virtual influencer solutions not only improves the quality of interactions but also expands the range of activities virtual influencers can perform, such as real-time communication and personalized content delivery​.

Moreover, the Solutions segment benefits from the growing trend of digital-first marketing strategies. As brands continue to prioritize digital channels to reach their target audiences, the demand for robust solutions that can manage and optimize virtual influencer engagements grows. These solutions provide brands with the necessary tools to measure campaign effectiveness, track engagement metrics, and refine strategies in real time, thereby ensuring maximum impact and return on investment​.

Overall, the dominance of the Solutions segment in the virtual influencer market is expected to continue, driven by the ongoing advancements in technology and the increasing integration of digital influencers into comprehensive marketing strategies. The segment’s growth is indicative of the market’s shift towards more integrated and technologically advanced marketing approaches, leveraging the unique capabilities of virtual influencers to create more dynamic and engaging digital experiences​.

End Use Analysis

In 2024, the Fashion & Lifestyle segment secured a leading position in the virtual influencer market, capturing over 30% of the market share. This dominance can be attributed to the sector’s swift adoption of virtual influencers as both trendsetters and brand ambassadors, which has resonated strongly with both brands and consumers alike.

Fashion brands leverage these digital entities to showcase their products in an engaging and visually appealing manner, enhancing consumer interaction and brand visibility​. For instance, Miquela Sousa is a virtual influencer that was created by the startup Brud. She has a 2.7 Million followers on Instagram and has partnered with major brands like Prada, Dior, Calvin, BMV, and many more. This creates the needed perspective and engage the customer through effective story telling that is capable of brand recall.

The effectiveness of virtual influencers in the fashion and lifestyle sector is largely due to their ability to create highly tailored and aspirational content that aligns perfectly with the aesthetic and emotional appeal brands aim to project. This alignment is crucial in industries driven by trends and personal expression, where the visual component of marketing can significantly influence consumer decisions​.

Moreover, the scalability of virtual influencers – being able to participate in an unlimited number of campaigns simultaneously without the logistical challenges that human influencers might face – makes them a cost-effective solution for fashion brands looking to maximize their outreach. This scalability, combined with the ability to generate unique, customizable appearances and narratives for these influencers, allows for highly targeted marketing strategies.

Key Market Segments

By Type

• Non-human
• Human Avatar

By Offering

• Solutions
• Services

By End-use

• Food & Entertainment
• Sports & Fitness
• Banking & Finance
• Travel & Holiday
• Fashion & Lifestyle
• Others

Drivers

Growing need for continuous customer engagement

Virtual influencers are capable of engaging with the consumers around the clock, thus providing a consistent presence that human influencers can’t match. This availability tends to ensure that the brands can maintain the ongoing interactions with their audience regardless of the time zones or schedules.

Moreover, the virtual influencers can also interact with the customers in real time by responding to their comments, messages and trends as it occurs. This urgency tends to help in building a stronger connection with the audience and keeps it engaged with the brand.

Restraint

Consumer skepticism

Consumers could doubt about the authenticity of virtual influencers as compared to the human influencers. As the virtual influencers are AI generated and lack real life experiences, some of the users may find it challenging to trust their endorsements and recommendations.

Additionally, building an emotional connection with an audience is crucial for the influencer marketing. Human influencers can share personal stories and experiences that tend to resonate with their followers. Virtual influencers, on the other hand, may struggle to create the same level of emotional engagement, leading to skepticism about their relatability.

Opportunities

E-commerce integration

Virtual influencers could analyze consumer behaviour and preferences to provide personalized product recommendations. This tailored approach enhances the shopping experience and increases the likelihood of purchase.

Additionally, in collaboration with augmented reality (AR) technology, virtual influencers can offer virtual try-ons for products like clothing, accessories, and cosmetics. Consumers can visualize how items will look on them, thus leading to a higher engagement and conversion rates.

Challenges

Maintaining the relevance

The digital and social media landscapes are characterized by rapidly changing trends and consumer preferences. Virtual influencers must continuously adapt to these shifts to stay relevant and engaging. Failure to keep up with the trends can result in a loss of audience interest.

Virtual influencers need to consistently produce fresh and engaging content to maintain their appeal. However, creating a high quality content that tends to resonate with the audiences needs significant time and resources. Stale or repetitive content can quickly lead to audience fatigue.

Growth Factors

The virtual influencer market is experiencing robust growth, driven by several key factors. First, advancements in artificial intelligence (AI) and computer-generated imagery (CGI) have significantly enhanced the realism and interactivity of virtual influencers, making them more appealing to both brands and consumers​.

This technological evolution allows virtual influencers to engage with audiences in deeply personalized ways, mimicking human nuances and behaviors more accurately than ever before. Additionally, the growing integration of virtual influencers in digital marketing strategies highlights their ability to reach expansive and diverse audiences effectively.

Brands are increasingly recognizing the cost-efficiency of virtual influencers, who can operate continuously across various platforms without the logistical challenges of human influencers. This aspect is particularly valuable in a digital landscape where the demand for fresh and engaging content is incessant​.

Latest Trends

Several emerging trends are shaping the future of the virtual influencer market. There is a notable shift towards hyperrealistic avatars, which are being adopted by high-end brands for premium branding and advertising campaigns. These avatars offer an enhanced level of detail and realism, which is crucial for creating authentic and relatable marketing content​.

The market is also seeing a significant shift with influencers expanding into interactive and immersive experiences, such as virtual events and digital concerts. These platforms provide unique engagement opportunities that traditional marketing channels cannot, further driving the appeal and effectiveness of virtual influencers​.

Business Benefits

Virtual influencers offer a myriad of business benefits, making them an attractive option for modern digital marketing strategies. Their ability to consistently generate engagement around the clock without the need for breaks or downtime is a primary benefit.

Moreover, virtual influencers can be precisely tailored to fit any brand’s aesthetic and ethical standards, ensuring brand messages are conveyed without the unpredictability associated with human endorsers​.

Another significant advantage is their global reach and scalability. Virtual influencers are not limited by geography; they can interact with international audiences, speak multiple languages, and personalize content to cultural nuances, which is a game-changer for brands looking to expand their global footprint​.

Key Regions and Countries

• North America
  • US
  • Canada
• Europe
  • Germany
  • France
  • The UK
  • Spain
  • Italy
  • Russia
  • Netherlands
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • South Korea
  • India
  • Australia
  • Singapore
  • Thailand
  • Vietnam
  • Rest of APAC
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • South Africa
  • Saudi Arabia
  • UAE
  • Rest of MEA

Key Players Analysis

One of the leading player in the market, Lil Miquela, created by Trevor McFedries and Sara DeCou, is a pioneering virtual influencer who has made a significant impact on social media, fashion, and music. Often described as a “21-year-old robot living in LA,” Lil Miquela is a computer-generated character with over 2.5 million followers on Instagram.

Another significant player is Shudu Gram, created by Cameron-James Wilson, is known as the world’s first digital supermodel. Shudu is a hyper-realistic virtual influencer who has worked with renowned brands like Cosmopolitan, Vogue, Balmain, and Smart Car.

Top Key Players in the Market

• Aww Inc.
• Kizuna AI
• Lu of Magalu
• Lil Miquela
• Shudu
• Noonoouri
• Aitana Lopez
• Imma
• Rozy
• Leya Love
• Kyra
• Milla Sofia
• Yuna
• Brud Inc.
• The Diigitals
• Other Key Players

Recent Developments

• In November 2024, ISBA and the Influencer Marketing Trade Body has announced the launch of the fourth version of their Influencer Marketing Code of Conduct. The Code, first launched in 2021, has been fundamentally rethought, with commitments divided into themed sections which detail the best practices expected of brands, talent and influencer marketing agencies, and influencers themselves.
• In February 2024, Coach has launched a new campaign,”Find Your Courage”, pairing virtual influencer imma and celebrities including Lil Nas X, Camila Mendes, Youngji Lee, Kōki, and Wu Jinyan to showcase its new Spring collection.
• In October 2023, Global luxury car maker BMW has launched a new campaign for its upcoming iX2 model, which features virtual influencer Lil Miquela and exposes her digital senses and experiences the joy of driving.
• In August 2023, Xhadow Media Pvt. Ltd., a pioneering player in the realms of Artificial Intelligence (AI) and 3D visualization technologies, has taken a leap into the future by unveiling their latest creation – ‘Sanvii’, the first female virtual influencer on Instagram in India.

Report Scope