Virtual Influencers Are Redefining Brand Engagement in 2025

What if your brand’s most impactful influencer isn’t even real?

In 2025, one of the fastest-growing and arguably most intriguing trends in marketing is the rise of virtual influencers—AI-generated personas that exist only online, yet command massive engagement and shape purchasing decisions across digital spaces. With over 60% of Gen Z and Millennials following virtual creators, the phenomenon is moving from a novelty to a strategic necessity for forward-thinking brands.

These pixel-perfect personalities are rewriting the rules of influencer marketing, erasing the boundaries between fiction and consumer relationships. They’re not just a futuristic curiosity—they’re outputting major ROI and reshaping regional marketing playbooks across industries.

So, how do virtual influencers really work and what does it mean for your brand strategy?

Let’s dive into the trend redefining digital engagement today.

Table of Contents

1. What Are Virtual Influencers?

Virtual influencers are computer-generated characters created using CGI, motion capture, and artificial intelligence. They are designed to resemble real-life personalities, complete with stylized appearances, backstories, personality traits, and curated social media profiles.

These influencers “live” on platforms like Instagram, TikTok, and YouTube, and they can appear in brand commercials, create product unboxings, and engage with audiences in real-time via comments and DMs, all managed by human creative teams or AI systems.

Unlike traditional influencers, virtual influencers don’t sleep, age, or fluctuate in brand values. They deliver message consistency, offer full creative control, and open new storytelling formats that are unbound by the limits of the physical world.

2. Why Virtual Influencers Matter Now

In an age where authenticity, personalization, and creative content rule, virtual influencers offer an intriguing mix of control and credibility—especially among digital-native audiences.

Here’s why we’re seeing exponential growth now:

  • Gen Z Trust: A Morning Consult survey reveals that 54% of Gen Z prefer virtual influencers over traditional celebrities due to their perceived consistency and alignment with digital culture.
  • Creator Economy Explosion: With over $250 billion projected in the creator economy by 2028 (Statista), brands face pressure to partner with influencers who can maintain high output while avoiding controversy or burnout.
  • Advancements in AI & CGI: New tools make it easier and more affordable to generate photorealistic avatars capable of dynamic engagement.
  • Marketing ROI: Virtual influencers often outperform real-life counterparts in engagement metrics. Lil Miquela, one of the most famous virtual influencers, once achieved 200k likes per Instagram post and worked with brands like Calvin Klein and Prada.

3. Industries Leading Adoption

Fashion & Beauty

Luxury and streetwear brands are merging digital design with influencer culture. Take Balmain’s virtual army, or Shudu Gram, a virtual supermodel who has worked with brands like Fenty Beauty and Ellesse. These avatars are used for lookbooks, digital try-ons, and global campaigns—transcending body, race, and geography.

Automotive

Car manufacturers have entered the metaverse runway. BMW collaborated with virtual influencer Zhi, a Chinese digital sensation, to release concept cars in Asia. Platforms like Unreal Engine help blend vehicles into sci-fi aesthetics, appealing to younger, tech-savvy consumers.

Entertainment & Music

Virtual idols like Aespa (South Korea) combine real and virtual band members, creating a fan experience that’s both immersive and interactive. These groups generate merchandise, engage fans with unique content loops, and host VR live concerts.

Consumer Electronics

Brands including Samsung and LG now use virtual brand ambassadors for product launches in APAC regions, enabling region-specific languages, dialects, and cultural nuances without overburdening physical marketing teams.

4. Real-World Examples and Brand Case Studies

Case Study 1: Prada ft. Rozy

South Korean virtual influencer Rozy has worked with over 130 brands, including Prada, Shinhan Bank, and AmorePacific. At just 22 years old (in the digital world), this AI influencer generated more than $1M in ads in 2023 alone. What makes Rozy particularly impactful is her cultural alignment—serving region-specific fashion micro-trends, making her more relatable than international stars.

Case Study 2: Budweiser’s Digital Avatar DJ

During the 2022 FIFA World Cup, Budweiser India launched a virtual DJ called Simba—hosted exclusive Spotify playlists and AR experiences. The campaign reached over 10 million impressions and helped reposition Budweiser among younger, nightlife-attuned demographics.

Case Study 3: LVMH’s Noonoouri

Paris-based Noonoouri—an animated fashion icon with over 400k Instagram followers—was signed to Warner Music in 2023 and dropped a digital single. This cross-pollination between fashion, music, and NFTs underlines the versatility of virtual influencers when backed by story-first brand strategy.

5. Fresh Ideas: How Your Business Can Leverage Virtual Influencers

Here are some accessible, forward-thinking strategies businesses can implement now:

  • Co-Create a Niche Virtual Influencer: Instead of licensing an existing avatar, create a highly niche one for your industry, like a virtual wellness yogi or FinTech guru—especially powerful for startups.
  • Geo-Targeted Persona Marketing: Tailor virtual influencers with dialed regional personas to local culture—think an LA streetwear enthusiast or a Tokyo-based tech blogger.
  • Augmented Retail Assistants: Use digital influencers as conversational AI agents on websites or in-store touchpoints, leading personalized product recommendations in a stylish format.
  • Educational Avatars for Brands: In B2B or service industries like insurance or healthcare, use digital influencers as friendly, neutral-faced educators to demystify complex products or services.

6. Regional Differences and Cultural Impact

Culture is everything in marketing—and virtual influencers can adapt faster than any human influencer to fit local values.

For example:

  • Japan: There’s a strong association with anime culture, making hyper-stylized, kawaii personas more accepted.
  • Brazil: High mobile usage and digital connectivity allow creators like Any Malu, a local virtual star, to flourish with humor and regional language.
  • U.S. & UK: The line between reality and idealism is delicately managed. Consumers favor virtual influencers with emotional depth and “flaws” to emulate authenticity.

Even in communities that emphasize diversity and body positivity, AI is beginning to align with emerging movements—like creating avatars that represent neurodiverse or physically disabled identities.

7. Data, Tools, and Technologies Driving the Trend

Key Stats

  • 72% of marketers plan to use virtual influencers in campaigns by 2026 (HubSpot 2023).
  • Virtual influencer content receives 3x higher engagement than traditional sponsored posts (HypeAuditor).
  • The estimated market size of virtual humanoids is projected to reach $44 billion by 2030.

Tools of the Trade

  • MetaHuman by Unreal Engine: Build ultra-realistic 3D characters with lifelike facial expressions.
  • Daz 3D and Blender: Popular for independent creators building avatars on a budget.
  • Hour One: AI video tool that turns text content into video with virtual presenters.
  • Instagram Filters + VFX tools: Offering DIY branded AR overlays for small businesses.

8. Key Takeaways and What’s Next

Virtual influencers are not a replacement for human connection—but a radical extension.

Businesses embracing this trend in 2025 are gaining unmatched control over brand messaging, innovative storytelling freedoms, and the chance to reach a generation native to the digital illusion. As the technology matures, we can expect hyper-personalized virtual creators by zip code and psychographic profile, opening high-utility gateways for local businesses and mega brands alike.

If your marketing plan doesn’t consider a digital influencer today, your audience might already be following someone else’s tomorrow—no matter how human they appear.

Next week: We explore hyper-personalized AI in email and content marketing—delivering 1:1 brand intimacy at scale.