Newsletter

Sign up to our newsletter to receive the latest updates

Rajiv Gopinath

Humanizing Brands The Rise of Virtual Influencers and AI Personas

Last updated:   March 07, 2025

Next Gen Media and Marketingvirtual influencersAI personasbrand engagementmarketing trends
Humanizing Brands The Rise of Virtual Influencers and AI PersonasHumanizing Brands The Rise of Virtual Influencers and AI Personas

Humanizing Brands: The Rise of Virtual Influencers and AI Personas

Introduction: The Paradox of Digital Humanity

In an era where consumers increasingly seek authentic connections with brands, a seemingly contradictory trend has emerged: the rise of virtual influencers and AI personas as brand ambassadors. These digital entities—computer-generated characters with distinct personalities, narratives, and social media presences—are reshaping how brands connect with audiences. With Lil Miquela, the pioneering virtual influencer, amassing over 3 million Instagram followers and securing partnerships with luxury brands like Prada and Calvin Klein, this phenomenon represents more than a passing novelty. According to Gartner research, by 2024, AI identification of emotions will influence more than half of the online advertisements we see. This convergence of advanced AI, changing consumer expectations, and the blurring lines between physical and digital realities is fundamentally transforming brand-consumer relationships. This article examines how virtual influencers and AI personas are humanizing brands, the psychological and strategic dimensions of this trend, and its implications for the future of brand identity.

1. The Evolution of Brand Anthropomorphism: From Mascots to Metaverse Personalities

The humanization of brands has evolved dramatically in the digital era:

a) Historical Context and Acceleration

  • Traditional brand mascots (Tony the Tiger, Michelin Man) represented early attempts at brand personification.
  • Jennifer Aaker's landmark research on brand personality dimensions established the theoretical foundation for humanizing brands.
  • The digital acceleration has transformed static mascots into dynamic, interactive personas with continuous narratives.

b) The Virtual Influencer Ecosystem

  • Computer-generated influencers exist on a spectrum from openly artificial (Lil Miquela, Lu do Magalu) to hyperrealistic (Imma, Shudu).
  • Brand-owned virtual influencers (KFC's Virtual Colonel, Renault's Liv) function as proprietary assets rather than partners.
  • Virtual ambassadors now populate specific market niches: fashion (Noonoouri), sustainability (Maya), and gaming (Riot Games' Seraphine).

2. The Psychological Impact: Why Virtual Entities Create Real Connections

Counterintuitively, artificial personas often forge authentic connections with consumers:

a) The Uncanny Valley Advantage

  • Professor Masahiro Mori's "uncanny valley" hypothesis has been inverted by strategic design choices that embrace rather than disguise artificiality.
  • Virtual influencers that acknowledge their non-human status create a transparency paradox—their artificial nature is perceived as more "honest" than human influencers presenting idealized versions of themselves.

b) Parasocial Relationship Formation

  • Research from the Oxford Internet Institute shows parasocial relationships (one-sided connections with media figures) can be equally strong with virtual entities.
  • Consistent character development and narrative continuity create stronger emotional bonds than occasional endorsements.
  • Example: Lu do Magalu, a Brazilian virtual influencer with over 25 million followers, generates higher engagement rates than human influencers through consistent narrative development and consumer interaction.

3. Strategic Applications: Beyond Novelty to Brand Architecture

Forward-thinking brands are integrating virtual personas into comprehensive brand strategies:

a) Risk Mitigation and Control

  • Virtual personas eliminate reputation risks associated with human influencers while maintaining perfect brand alignment.
  • Example: KFC's Virtual Colonel allows the brand to maintain consistent messaging without dependency on human representatives.

b) Cross-Cultural Brand Scaling

  • Virtual ambassadors can be culturally adapted for different markets while maintaining core identity.
  • Example: Alibaba's AIMEE serves multiple Asian markets with subtle cultural adaptations while maintaining brand consistency.

c) Metaverse Brand Extension

  • Virtual influencers provide natural bridge points between physical products and metaverse experiences.
  • Example: Balenciaga's collaboration with digital-only fashion platform Fortnite extended their luxury brand into virtual environments through specially designed avatar clothing.

4. Implementation Challenges: Navigating the Human-Digital Boundary

Despite growing acceptance, significant challenges remain:

a) Ethical Considerations and Transparency

  • The European Union's AI Ethics Guidelines emphasize the importance of disclosure when consumers interact with AI entities.
  • Brands must balance the immersive illusion with transparent communication about a persona's virtual nature.

b) Cultural Sensitivity in Design and Representation

  • Virtual entities risk perpetuating stereotypes if not carefully designed with diversity considerations.
  • Several brands have faced criticism for culturally insensitive virtual personas, highlighting the need for inclusive development processes.

c) Measuring ROI Beyond Novelty

  • The high development costs of sophisticated virtual influencers require clear metrics beyond initial PR impact.
  • McKinsey research indicates that while virtual influencers generate 3x higher engagement rates initially, sustaining this advantage requires continuous narrative investment.

5. Future Trajectories: The Next Evolution of Brand Personification

The field is rapidly evolving toward more sophisticated applications:

a) Generative AI and Dynamic Personalization

  • Next-generation virtual personas will leverage generative AI to create dynamic, personalized interactions with individual consumers.
  • Example: Soul Machines' digital people can adapt their communication style based on real-time consumer emotional signals.

b) Voice-Based Brand Personas

  • Voice assistants are evolving from functional tools to brand embodiments with distinct personalities.
  • Example: JP Morgan's development of a branded AI assistant that maintains the bank's professional persona while delivering personalized financial advice.

c) From Influencers to Companions

  • Virtual entities are evolving from promotional vehicles to ongoing consumer companions and service interfaces.
  • Example: Samsung's NEON avatars function as persistent virtual companions that maintain consistent brand experiences across multiple touchpoints.

Conclusion: Redefining Authentic Brand Connections

The rise of virtual influencers and AI personas represents a fundamental shift in how brands build connections in the digital age. Far from diminishing authenticity, these digital entities are creating new forms of transparency, consistency, and emotional engagement when strategically implemented. As AI capabilities advance and consumer comfort with virtual interactions increases, the distinction between human and digital brand representatives will continue to blur. Successful brands will be those that leverage virtual personas not merely as promotional novelties but as integral elements of cohesive brand architectures that span physical and digital environments. The future belongs to brands that can balance technological innovation with emotional intelligence, creating virtual presences that resonate with genuine human needs and values.

Call to Action

For marketers seeking to explore virtual personas as brand strategy elements:

  • Conduct ethnographic research to understand your audience's readiness for virtual brand representatives.
  • Develop clear ethical guidelines for virtual persona development that address transparency, cultural sensitivity, and data usage.
  • Explore strategic partnerships with established virtual influencers before committing to proprietary development.
  • Prioritize consistent narrative development over technical perfection to build meaningful consumer connections.