Virtual influencers - a growing trend in 2024

As we navigate through the dynamic terrain of digital marketing in 2024, an extraordinary trend is emerging, one that is reshaping the essence of influence and brand promotion – the rise of virtual influencers. This phenomenon is not just captivating the masses but is also redefining the economics of marketing campaigns. Virtual influencers, with their captivating digital charisma, are commanding staggering fees of Rs 5-10 lakh per campaign, significantly outpacing the Rs 40,000-1 lakh earned by traditional human influencers.

At the forefront of this digital revolution are Kyra and Naina, virtual personas created by Futr Studios and Avtr Meta Labs. These entities are more than mere digital constructs; they represent a blend of art and technology, captivating audiences on platforms like Instagram with millions of views. Kyra, for instance, with over 241K followers, is redefining digital engagement, earning more than her human counterparts with similar followings.

The surge in virtual influence is driven by the unparalleled creative freedom and storytelling potential these digital beings offer to brands. Companies like Boat and Titan Eyecare are leveraging this innovation for its cost-effectiveness and faster market reach. Realme India's chief marketing officer highlights the ability of these virtual influencers to craft narratives beyond the limitations of the real world.

The evolution of virtual influencers stems from earlier forms of digital avatars. Over the years, advancements in 3D modelling and AI have transformed these avatars into complex, lifelike personalities. This technological progress has established virtual influencers as key players in social media influence, offering unique advantages over human influencers. They are available 24/7, can be tailored to fit any brand's needs, and are free from the physical and ethical constraints that limit human influencers.

However, this does not come without challenges. The creation and maintenance of these virtual influencers rely on sophisticated technologies like Unreal Engine, Autodesk Maya, and advanced AI models. They also demand continuous technological advancements for realistic interaction and effective lip-syncing.

The economic impact of virtual influencers is profound. Their ability to generate substantial engagement and appeal to niche audiences opens up new avenues for monetization and innovative marketing strategies. This has led to significant collaborations with major brands, creating immersive and engaging content that translates into tangible financial gains.

Yet, the use of virtual influencers raises ethical considerations, such as the potential for deepfakes and unrealistic beauty standards. It's imperative for the industry to address these challenges and ensure ethical usage of these technologies.

Brands can either partner with agencies like to to create their own customised VI, or collaborate with existing ones.

To create one, brands start with a 1-3 month concept development phase, focusing on design, personality, and backstory, blending creativity with market research to match the target audience and brand ethos.

Next, a 2-4 month technical phase involves 3D modelling and animation, using tools like Autodesk Maya or Adobe Character Animator, costing between $10,000 to $100,000. After creation, a 1-2 month content strategy phase aligns the influencer with the brand's digital marketing, involving social media planning and content scheduling. Ongoing investment is needed for content production and social media management.

Alternatively, collaborating with existing virtual influencers requires identifying a suitable one within 1-2 months, followed by a 1-6 month collaboration for content co-creation. Costs range from a few thousand to over $50,000, depending on the influencer's prominence.

Both approaches vary in timeline and cost based on project scale, customization, and campaign goals. The success hinges on strategically aligning the virtual influencer with the brand’s identity and audience preferences for an effective digital marketing campaign.

Overall, the ascent of virtual symbolizes the dawn of a new era in brand storytelling and audience engagement, where virtual and real coexist and can represent an innovative strategy.