North America Virtual Influencer Market 2024–2033

Reports Description

According to current market research conducted by the CMI Team, the North America virtual Influencer Market is expected to record a CAGR of 21.5% from 2024 to 2033. 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.

The North American virtual Influencer Market is growing as an emerging segment within digital marketing. AI-developed personalities typically synthesize advanced CGI and deep learning technologies to engage audiences across social media.

Some virtual influencers are Lil Miquela and Shudu Gram, who are highly relatable and permit brands to recreate consumer interactions with curated, controlled content perfectly aligned with brand values. As social media use has grown, the market has grown, benign and scandal-free cheaper options have become available, and target demographics have completely understood.

Following the pandemic, the market is expanding faster thanks to advancements in AI, the introduction of virtual influencers into virtual events and the metaverse, and a greater emphasis on authenticity and sustainability. As brands incessantly look for innovative ways of engaging tech-savvy audiences, the North American virtual Influencer Market is expected to show remarkable growth.

North America Virtual Influencer Market – Significant Growth Factors

The North America Virtual Influencer Market presents significant growth opportunities due to several factors:

• Technological Advancements: Advances in AI, CGI, and machine learning have improved the scene greatly and made virtual influencers realistic and human interaction very easy. Therefore, many industries are embracing the growing trend.

• Social Media: Since social media is the norm, virtual influencers are viable brands as they bring people closer and convey engaging and customizable content that cuts across distance.

• Cost Benefits: With the adoption of virtual influencers, building a coherent communication strategy across a range of avatars quickly and efficiently is possible because such agents are relatively cheaper than real people. This also helps eliminate the drawbacks associated with real influencers, such as budgets and logistics, which traditional influencer marketing must work around.

• Integration with the Metaverse: Even though the metaverse is still in progress, there is a chance a virtual influencer will play a significant role in it and even assist in creating the brand by creating engaging and interactive experiences for the brand and its consumers.

• Expansion into niche areas: Usually, such influencers can be found in a particular segment, such as in sections, wellness, gaming, sustainable fashion, and the like, and one can expect a high level of interaction from the focused and interested crowds.

North America Virtual Influencer Market – Key Developments

In recent years, the North America Virtual Influencer Market has experienced several important changes. Organizations have aimed to increase their geographical footprint and implement synergies to enhance their offerings and profitability. Some examples of overall key developments in the North America Virtual Influencer Market include the following:

• In 2024, Fenty Beauty, offered by Rihanna’s brand, took a step towards inclusivity in the beauty industry thanks to a partnership with a virtual influencer called Noonoouri. This association also strengthened Fenty Beauty’s objective of showcasing different beauty by representing the different shades.

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

• In their Cheer Up K-Fashion campaign in 2023, Nylon Korea featured a virtual influencer named Rina. 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 2022, Sunkist boldly presented KAI, a colorful and eccentric virtual character, as the candy brand’s mascot ‘spokesfruit’. The campaign was playful and humorous, with KAI’s irresistible appeal enhancing the brand storytelling and engaging the audiences creatively.

These important developments have enabled companies to enhance their services, strengthen their geographical reach, and take advantage of the opportunities for growth in the North American virtual Influencer Market. Due to the underlining competition within the sector, such trends will likely rise further.

COMPARATIVE ANALYSIS OF THE RELATED MARKET

North America Virtual Influencer Market – Significant Threats

The North America Virtual Influencer Market faces several significant threats that could impact its growth and profitability in the future. Some of these threats include:

• Trust Issues: The issue of trust could present a major problem for virtual influencers as consumers embrace message credibility; the overreliance on virtual characters may incite some reluctance, ultimately getting why they are used and growing audience skepticism towards them in the long run.

• A close look at regulations: Because AI is thought to improve marketing and promotion, rules that limit how ads can be used will likely slow the growth of this part of the economy because they could hinder the market.

• Dependence on Technology: This market’s adoption of advanced technology shows that technological failure, a cyber-attack, or a sudden shift in AI and CGI technologies can disrupt its operations.

• Influencers Influence: The age of virtual influencers is upon us, but due to their advantages, they may find it difficult to take over the markets without the intimacy and unpredictability of real people – influencers – limiting their use.

• Saturation of Market: As more brands and creators approach the concept of virtual influencers, the phenomenon could get out of control, resulting in a decrease in creativity and people’s attention, hence possibly lessening their score levels.

Category-Wise Insights

By Type:

• Non-Human Virtual Influencers: In virtual platforms, non-human virtual influencers are characters generated artificially exclusively through artificial intelligence and computer graphic works. Even though they are devoid of human beings, they are anthropomorphized to talk and behave like people. Various developments are in place in the United States and Canada, including a growing focus on developing realism through computer alteration of images, incorporation of the event in the metaverse and virtual events, and the enhanced creation of appealing content targeting audiences.

• Human Avatars: Human avatars refer to virtual reproductions of actual persons and are typically designed using advanced C.G.I. and I.A. technology to make the digital character look realistic, a virtual influencer. They have the characteristics of human beings but contain extensions of technology that make them closer to women if not clones. Trends include the usage of human avatars for interacting with brands in a more personalized manner and including them in virtual reality and augmented reality environments. They also address the void in influencer marketing that stems from the conventional and digital age restriction to two-dimensional images and offering something different.

By Offering

• Solution: In North America, the virtual influencer market provides solutions focused on creating and managing AI personas that can reach audiences using social networks and other digital outlets. These solutions are based on state-of-the-art computer graphics and deep learning technology, so they can create intricate characters that embody the brand and convey the intended message precisely. The trends observed have been integrating virtual influencers into the marketing campaigns, in this case, with more engaging and interactive elements and influences targeting the audiences and creating better bonds with the brands.

• Services: Virtual influencer market North America services design, develop, and manage virtual influencers and prepare them for implementation with advertising campaigns. It includes making content, running social networks, and participating in virtual events. The trends help show shifts in offering packages toward more personal and engaging experiences, for instance, the metaverse voice of the virtual influencer interactions and targeted, tailored content, elevating the overall marketing strategies.

By End Use

• Food & Entertainment: Food & Entertainment depicts virtual influencers who come up with interesting content relating to food, restaurants, and entertainment. They also take part in oven shows occasionally or advertise new food. This demographic is rising owing to the consequent appreciation for active and participative adventures. Virtual influencers are engaged in such events held virtually and engage with the brands about their product launches to drive the consumers into action.

• Sports & Fitness: In Sports & Fitness, on the other hand, virtual influencers endorse workouts, sporting activities, and health-related products. They give customized fitness plans and keep the audiences busy training them online. The emergence of establishments that promote fitness outreach from a distance, such as fitness advice and training, has sparked this. The fitness industry relies on the availability of virtual influencers to advertise them and incorporate them in strategizing fitness events directed to the mass market, owing to the value of the fitness market.

• Banking & Finance: Virtual influencers in the Banking & Finance industry render financial management and educational services, advertise banking services, and carry out activities regarding financial literacy. They provide general services that pertain to saving, investment, and financial management. This also aims at providing permanently useful videos in the educational content and the need to educate customers on the services in this segment. Virtual influencers help break down the information into simpler units and enrich people’s perspectives of the services offered through their financial advice.

• Travel & Holiday: Talking about Travel & Holiday, virtual influencers show content that guides on places and ways of traveling and how to use the offered services. They build 360-degree content and retain audiences through their interactivity. The appeasement of longing for virtual travel experiences and advertisements for risk-free travel also greatly aid this segment. Enjoyment is derived from virtual influencers who show people how to use their services and what places related to it are and make the advertising for such services much more interesting.

• Fashion & Lifestyle: Virtual influencers in Fashion and lifestyle advertise clothes, accessories, and lifestyle products. They provide services such as giving style tips, promoting the latest collections, and creating other fashion-related content for the market. The demand for original and cutting-edge content really drives this market. These virtual influencers are utilized for various purposes, such as fashion ads, virtual fashion shows, and even everyday-life content, which is a good connection for brands with style watch consumers.

• Others: The others segment includes virtual activists from other industries in areas such as technology, education, and healthcare. They deliver only specific content meant for a certain industry or niche. Growth in these niche markets and virtual influencers’ increasing simplicity and adaptability fuel this sector. They are even included for specific types of content, i.e., marketing of tech gadgets, training sessions on education, and promotion of health-related issues, expanding their use in many fields.

Report Scope

North America Virtual Influencer Market – Regional Analysis

• U.S.: The U.S. market for virtual influencers is highly active and revolves around new technology and social media. Businesses use their AI-generated models to reach out to various people, especially the millennials and Generation Z. For this reason, these influencers – the majority of which endorse commodities in fashion, lifestyle, and beauty product industries – are proving to be popular because of the cheap content they create and the management of who says what and when. The entertainment and e-commerce sectors will likely spur growth in the virtual influencer market as the appetite for personalized interactions in the digital space increases.

• Canada: The virtual influencer market in Canada is on the rise, with more brands wanting to reach this technology-accepting audience. These creatively large entities animated by artificial intelligence are part of fashion, entertainment, and even digital content gaming promotion strategies. Because of this veil of emphasis on digital content development, Canada hosts a high potential market for virtual influencers, making it easy for international and domestic brands to grow their presence within the internet sphere.

• Mexico: The development of the virtual influencer ecosystem in Mexico is due to companies’ interest in connecting with the youth in a digitally engaged environment. Brands already adopt virtual influencers in the fashion, beauty, and entertainment industries as they offer an engaging experience. With increased social media activity and e-commerce, the country seems to be on an upward trajectory in brand marketing innovations. Due to this, both local and foreign companies have embraced such a strategy by introducing virtual influencer marketing.

Competitive Landscape – North America Virtual Influencer Market

The North America Virtual Influencer Market is highly competitive, with many players operating in the region. Some of the key players in the market include:

• 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

These companies operate in the market through various strategies such as innovation, mergers and acquisitions, and partnerships.

New market entrants such as Koffi Labs and Axis Mundi are tapping into the North America virtual influencer market by employing unique strategies such as embedding virtual influencers within the metaverse and using AI for customization.

The leading companies include Brud (actors of Lil Miquela and Blawko) and Aww Inc. (makers of Imma and Aliona). These companies are at the forefront of the industry for developing advanced avatars, collaborating with brands on immersive campaigns, and closely improving CGI capabilities to deliver interesting and engaging content to the target audience.

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