North America Virtual Influencer Market Size Likely to Expand at a CAGR of 21.5% By 2033

The CMI Team’s most recent market research predicts that from 2024 to 2033, the North America Virtual Influencer Market will grow at a CAGR of 21.5%. In 2024, the market size is projected to reach a valuation of USD 1,873.7 Million. By 2033, the valuation is anticipated to reach USD 10,811.2 Million.

North America Virtual Influencer Market: Growth Factors and Dynamics

• Rising Popularity of social media: The expansions in usage and the level of daily engagement on websites such as Instagram, TikTok, and YouTube are significantly fuelling the need for virtual influencers to be able to engage different audiences and do it frequently. Since they are digital native consumers, brands tend to appreciate them more in how they use them to advertise to social media users. This is especially true given how footage advertising in the form of videos has become a norm these days.

• Cost Efficiency: Virtual influencers tend to be more economical than human influencers. Since there is no need for the virtual influencer to be physically present, brands cut down on logistics costs such as transportation, accommodation, etc. In addition, the creation and operation of a virtual influencer are capital intensive in the initial stages. However, such an investment can reap benefits for a long time since the marketing campaigns can be reusable and adjustable.

• Brand Control: When it comes to Brand engagement, virtual influencers are second to none since everything about their character, attitude, and even communication, behave, and convey, is under absolute brand control. It reduces possible differences in the values held by the brands and those of the influencer or the scandals resulting from the influencer. Brands also avoid discrepancies in the messages sent across, ensuring a more strategic marketing approach since the results are the same.

• Technological Advancements: Thanks to the advances in AI, CGI, and deep learning, the realism and relatability of virtual influencers have greatly increased. Such enhancements allow for heightened interactivity and, therefore, content that is a sophisticated level of realism; the virtual influencers are capable of performing better in engaging the audience by looking more human. These enhanced consumerism attitudes.

• Younger Audience Engagement: Virtual influencers’ rise of popularity in North America can be attributed to the younger generations, particularly Gen Z and millennials, who are more digitally inclined and receptive to digital technologies. In these young generations, the novelty and creativity of virtual influencers make their appeal compelling enough for brands targeting an audacious audience.

• Diversification of Content: They can also be created and modified for each burn with high precision to reach a certain target group. This is why they can produce content relevant to a certain group of people within a market such as fashion and beauty or gaming and technology, which increases their scope and effectiveness in the cutthroat world of digital marketing.

North America Virtual Influencer Market: Partnership and Acquisitions

• In 2023, a virtual influencer called Rina was featured by Nylon Korea in their Cheer Up K-Fashion campaign. The partnership maximized the usage of Rina’s influence on social media and as a result, the fashion house’s brand awareness and presence internationally increased significantly.

• In 2023, Calvin Klein teamed up with Lil Miquela, and the cost of this fashion advertising was literally out of this birth by combining fashion in the real world and the virtual one. Such landmark collaboration proved that virtual influencers can indeed threaten the traditional concepts of brand ambassadors and promote a fusion of two extreme ends in fashion marketing – high fashion and technology, digital.

Report Scope

North America Virtual Influencer Market: COVID-19 Analysis

The COVID-19 pandemic had a significant positive impact on the North American virtual influencer market due to the aggressive shift of consumer engagement into a digital form. There were lockdowns, social distancing practices, and suspension of physical activities, so brands sought other ways to reach their consumers, hence increasing the need for virtual influencers.

These AI-adoptable characters made it possible for businesses to keep up with the demand for content as more and physical shoots, which were hard to do as many places were closed during the pandemic, were no longer an option. On top of that, the extended use of phones, tablets and social media by users when in lockdown posed a very favorable condition for virtual influencers to operate.

These influencers, who are regarded as more flexible and responsive than human ones, comfortably took up the space left by the human influencers and gained a massive following. Fashion, entertainment, and e-commerce brands began incorporating virtual influencers into their marketing campaigns as these ladies offered safer and more effective advertising approaches, which led to the rise of this segment in the country.

List of the prominent players in the North America Virtual Influencer Market:

• Lil Miquela – Created by Brud
• Shudu Gram – Created by The Digitals
• Imma – Created by Aww Inc.
• Noonoouri – Created by Joerg Zuber
• Blawko – Created by Brud
• Bermuda – Created by Brud
• Lu do Magalu – Created by Magalu (Magazine Luiza)
• Knox Frost – Created by Influential
• Aliona – Created by Aww Inc.
• Koffi – Created by Koffi Labs
• Zoe Dvir – Created by Zoe Dvir (self-created)
• Rozy – Created by Sidus Studio X
• Maya – Created by Maya HD
• Thera – Created by Axis Mundi
• B – Created by Project B
• Others

The North America Virtual Influencer Market is segmented as follows:

By Type

• Non-human
• Human Avatar

By Offering

• Solution
• Services

By End-Use

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

Regional Coverage:

North America

• U.S.
• Canada
• Mexico
• Rest of North America