One of the influencer marketing trends that is increasing in popularity is the use of virtual influencers. Driven by the steady rise in the popularity of AI and metaverse technology, computer-generated influencers work just like normal human beings. They can generate content, interact with their audiences, and even endorse brands. In this article, we look at the use of virtual influencers and whether they are the future of influencer marketing or a fad.

Who are Virtual Influencers?

Virtual influencers refer to computer-generated personalities created using AI, virtual motion capture, and advanced CGI (Computer-Generated Imagery). These can be in the form of human-like characters or nonhuman-like. Also known as AI influencers, they are often created and managed by creative agencies. However, brands also create AI influencers who act as their mascots or spokesmodels.

How Virtual Influencers Work

Virtual influencers usually work in the same way as human influencers. They offer brands an innovative and unique way to connect with audiences. However, their interactions with brands and engagement with followers aren’t fundamental. For instance, an AI influencer may partner with a hair salon. They will post pictures of their new hair stylists with everything, including their fake trip to the salon, on their Instagram stories.

Reservations on Virtual Influencers on Brands

One of the questions about virtual influencers is if this is the future of influencer marketing. According to a 2022 survey, half of the respondents agreed they would not mind following AI influencers. However, many agencies and brands are still cautious about engaging virtual influencers. This is because the technology also poses certain risks to brands. These include:

Brand Reputation and Safety

While many are still attracted to virtual influencers due to their costs and ease of use, they face several controversies. For instance, Caryn Marjorie, an influencer, created a virtual influencer who was a replica of herself. Many have found the AI influencer to be demeaning and encouraging antisocial behavior.

People also have difficulty understanding how AI systems work, which advertisers and agencies can find challenging. That means any brand that wants to engage virtual influencers may need clarity on this. Otherwise, virtual influencers may be a disaster for brands.

Need for Authenticity and Transparency

Many social media users still struggle to differentiate between genuine and AI-generated images in social media content creation. According to one study, 61% of respondents could accurately do so online. Technological advancements have led to the development of social media content creation tools that can create replicas of humans and worsen the situation.

According to the FTC, virtual influencers must disclose brand sponsorships like their human counterparts. Additionally, ad agencies such as Ogilvy demand more transparent rules on AI-generated content. Many brands use influencer marketing because of its authenticity. They want real people to connect directly with their audiences, something their virtual influencers may be unable to do. Virtual influencers cannot provide an honest review or interact with the product.

Audience Sentiments

Virtual influencers can impact people’s feelings toward a particular brand. While we have seen an explosion in the popularity of AI tools, these tools still create characters with strange effects that can put people off. For instance, the majority of AI influencers are racially ambiguous. 

While this is seen as a way of appealing to a broader audience, it may also work against a brand. Some consumers may find the brand using shortcuts to reach a wider audience instead of focusing on its key audience. This is one area where beauty brands have faced criticism.

How Brands Can Leverage Virtual Influencers

There are several tips that brands can use to make the most out of influencer marketing. These include:

• Combine virtual and real influencers. Brands should run campaigns involving human and AI influencers to balance authenticity and innovation.
• Use data-driven stories. The story behind the AI influencer can make or break the campaign. Therefore, they should leverage AI to create stories for virtual influencers that resonate deeply with their target audiences.
• Experiment with different niches. Virtual influencers can tap into a particular demographic, helping to increase curiosity and engagement.

What is the Future of Virtual Influencers?

Virtual influencers have undoubtedly revolutionized influencer marketing. They can easily add a fresh twist to marketing campaigns and grab customers' attention. However, there is much to understand about the technology since it's still early.

While AI influencers may not completely replace human influencers, they will continue to play a vital role in digital marketing. They offer brands many benefits, such as creative control, freedom, and versatility. They also enable brands to tap into a growing audience that values creativity.

Therefore, brands must ensure they vet virtual influencers just as they do with traditional influencers. They should consider the benefits and risks this form of marketing can bring to their brands. 

Brands should also A/B testing to see if the idea meets the expectations of their audience and whether it is in line with their core values. They should consider if virtual influencers entertain their audiences or if they prefer serious real-life collaborators. By doing that, they can quickly determine whether virtual influencers are the right option for their brands.

Once they choose virtual influencers, they must be transparent with their audience. They should disclose to their audience that they are running a virtual influencer campaign that will closely monitor interactions between the influencers and their audience.

Conclusion

With continued technological advancement, virtual influencers will likely evolve to become more interactive and relatable, just like humans. That means virtual influencers are the future and not a fad. Therefore, brands need to incorporate them into their social media marketing campaigns. However, they should combine them with human influencers rather than relying on them alone. Brands that take advantage of this influencer marketing trend will likely lead the way in the new social media marketing method.