Winning Brand Strategies: How Avatars Drive Engagement, Loyalty & Sales

2 min read

How Brands Win with Avatars

The metaverse is transforming brand interactions.

The experiences your avatar encounters in the metaverse can significantly influence your behavior in the physical world. When individuals engage in enjoyable, relaxing, or reputation-enhancing interactions with brands through their digital counterparts, they are more likely to seek out those brands in real life. This connection strengthens when users feel a sense of control over their avatars, making the brand experience feel more personal and authentic. Research indicates that individuals are more responsive to virtual brand interactions when they perceive their digital selves as genuine representations, rather than mere AI-driven characters.

Leading brands are forging emotional connections in virtual spaces.

Prominent companies such as Gucci, Nike, and McDonald’s are leveraging the potential of virtual environments like Roblox and ZEPETO to cultivate emotional ties with consumers. These brands are not merely offering virtual goods; they are designing immersive experiences that enhance enjoyment and elevate social standing, ultimately leading to increased real-world brand engagement.

New research highlights the impact of digital avatars on consumer behavior.

Recent findings from an international study reveal that our digital avatars, referred to as “digital doppelgängers,” are significantly altering our interactions with brands in the metaverse. Unlike basic avatars from earlier gaming experiences, these advanced digital representations have capabilities that allow users to interact with their surroundings in a more meaningful way. The study, published in the Journal of Research in Interactive Marketing, observed 475 participants in China as they engaged with brands through their digital counterparts. The results indicated that positive experiences—characterized by enjoyment, relaxation, or enhanced social status—lead to heightened engagement with those brands in the real world.

Defining digital doppelgängers and their influence on brand engagement.

This research introduces the concept of digital doppelgängers as virtual embodiments that foster a genuine sense of presence and control in digital environments. These avatars transcend traditional graphics; they are extensions of the self that can sway real-world behavior. For instance, if your digital avatar enjoys a Gucci fashion show, you are more likely to connect with the brand afterward, whether through online engagement or purchases.

Brands are investing in immersive experiences to connect with consumers.

The trend of brands creating immersive virtual experiences is already on the rise, with major players like Nike and McDonald’s at the forefront. They are focused on building emotional ties that bridge the gap between digital interactions and real-world engagement. The study identified three pivotal elements that facilitate this digital-to-physical connection: enjoyment, relaxation, and reputation. Positive engagements with brands in virtual spaces lead to stronger ties to those brands in reality.

Methodology and findings of the research.

Researchers conducted a detailed online survey targeting metaverse users in China, utilizing judgment sampling techniques to recruit 475 participants from specific interest groups on platforms like WeChat and Douban. Each participant was required to have prior experience with metaverse platforms. The survey incorporated both screening questions and visual aids tailored to the Chinese metaverse environment. Data analysis employed structural equation modeling (SEM) via SmartPLS4 software, adhering to a two-step method for assessing relationships among multiple variables. The findings demonstrated that interactions with brands through digital doppelgängers significantly enhance engagement, with enjoyment, relaxation, and reputation playing key roles.

Exploring the limitations of the study.

While the study provides valuable insights, it has notable limitations. It focused exclusively on individuals already familiar with metaverse platforms, which may restrict its applicability to the general population. Conducted solely in China, the research might not reflect global behavioral patterns due to cultural nuances. Additionally, the study only examined positive brand interactions, leaving open the question of how negative experiences might impact brand relationships. Furthermore, it did not investigate scenarios where AI directs the actions of digital avatars instead of human users controlling them.

Publication details of the research paper.

The research paper titled “Digital doppelgänger: navigating consumer brand engagement in the metaverse” was authored by Khan, J., Tao, M., and Abbass, A. It is set to be published in the Journal of Research in Interactive Marketing and was received on July 17, 2024, before being accepted on January 30, 2025.