Virtual influencer management agency Profitable Business Idea

Virtual Influencer Management Agency

You’re scrolling through your social feeds and pause at a video from your favorite virtual influencer. Their creative content and massive following make you wonder – could managing virtual talent be a lucrative business? With the right strategies, the answer is yes. As virtual influencers explode in popularity, demand grows for specialized agencies to propel their careers. For a startup budget of $150-$200, you could build a team to partner with virtual influencers on branded content deals, audience growth initiatives, and more. Sure, you’ll need to conquer obstacles like gaining influencer trust and competing against traditional firms. But by educating brands on the value of virtual talent, your agency could become a go-to source for the next generation of digital celebrities. The opportunity to shape the industry awaits – will you seize it? Virtual Influencer Management Agency Business Idea See more

Virtual Influencer Management Agency Business Idea
influencer manager

The Rise of Virtual Influencers

Virtual influencers, or CGI influencers, are on the rise. These computer-generated social media personalities are created by tech companies to build an online following and work with brands, just like human influencers. As virtual influencers gain more mainstream popularity, especially with Gen Z, the demand for managing their careers and partnerships is growing.

Virtual influencer management agencies handle the behind-the-scenes work to promote these digital influencers. They are responsible for creating social media content, interacting with followers, securing brand deals and sponsorships, and managing public relations. While still a new industry, these agencies are poised to become very profitable as more brands tap into the power of virtual influencers to reach younger audiences.

Some of the most well-known virtual influencers today include:

  • Lil Miquela – A 19-year-old Brazilian-American model and singer with over 2 million Instagram followers. She has partnered with brands like Prada, Calvin Klein, and Ugg.
  • Imma – A Japanese virtual model and artist with over 300,000 followers. She creates digital fashion designs and has collaborated with brands such as Diesel.
  • Clara – An aspiring scientist and model represented by the virtual influencer agency Anthropic. Clara has partnered with beauty brands like MAC Cosmetics and Estée Lauder.

As with managing human influencers, building relationships and credibility with both virtual influencers and brands requires time and effort. However, agencies in this space have the opportunity to become leaders in an exciting new industry. While competition from traditional influencer marketing agencies exists, virtual influencer management requires a specialized set of skills that gives these agencies a competitive advantage. By educating more brands on the power of CGI influencers to reach younger target audiences in an authentic way, these agencies can build a very profitable business.

The rise of virtual influencers and the agencies that manage them signals an exciting new frontier for influencer marketing and social media. As technology progresses, virtual influencers are poised to become even more lifelike and mainstream. The agencies that get into this space early will be ahead of this trend.

What Is a Virtual Influencer Management Agency?

A virtual influencer management agency specializes in managing the careers of virtual influencers, or CGI characters that build audiences on social media. As virtual influencers gain more mainstream popularity, agencies provide the services to help develop and monetize their brands.

###Content Creation The agency helps create media and posts for the virtual influencer’s social channels, like photos, short videos, tweets, and blog posts. They aim to keep the influencer active and engaged with their followers.

###Brand Partnerships The agency works to secure paid brand sponsorships and collaborations for the virtual influencers they represent. They pitch the influencers to brands in industries that match their interests and aesthetics. For example, a nature-loving virtual influencer may partner with outdoor brands.

###Audience Engagement A good agency will continually analyze metrics and insights to see how audiences are engaging with their virtual influencers. They can then optimize content and strategies to improve follower growth and engagement. Engaging with followers by replying to comments and messages also helps to build the community around the influencer.

###Rate Negotiation When a virtual influencer first launches, the agency helps determine fair compensation rates for brand sponsorships and collaborations. As the influencer’s following and popularity grows over time, the agency negotiates higher rates on their behalf.

Starting a virtual influencer management agency does come with risks and challenges, like building credibility in an emerging industry and facing competition from traditional influencer marketing agencies. However, with the rise of virtual influencers, the opportunity to help develop and monetize their brands could prove very profitable. An agency that is able to gain the trust of virtual influencers, educate brands on their value, and demonstrate results will be poised for success.

Why Brands Are Turning to Virtual Influencers

Brands are starting to wake up to the power of virtual influencers. These computer-generated social media stars are gaining real followers and engagement. Partnering with virtual influencers offers brands some key benefits:


Virtual influencers have a digital-native authenticity that appeals to younger audiences. They’re transparently artificial, and this virtual realness resonates more than human influencers who can seem overly curated or inauthentic. Followers view virtual influencers as more trustworthy and genuine.


With virtual influencers, brands have more control over the influencer’s image and messaging. They can craft a custom virtual influencer to match their brand persona and values. There’s no risk of a virtual influencer going off-script or getting into a public scandal.

Global Reach

Virtual influencers transcend physical limitations. They can connect with audiences anywhere in the world without travel, and their content can be translated into any language. This global reach allows brands to tap into new international markets.


Managing virtual influencers is less labor-intensive and expensive than traditional influencers. There are no talent fees, travel costs or perishable content that needs to be frequently updated. The upfront investment to develop a virtual influencer can pay off through many years of brand partnerships and sponsorships.

Of course, virtual influencers also face more skepticism and may be seen as less relatable by some audiences. But as virtual beings become more commonplace and sophisticated, they will gain mainstream acceptance and become a key part of the influencer marketing landscape. Savvy brands are getting ahead of the trend by forging partnerships with virtual influencers now. The future is virtual, and it’s arriving faster than you might think.

Services Provided by a Virtual Influencer Agency

As a virtual influencer agency, your job is to handle the business side of your influencers’ social media careers so they can focus on creating content and engaging with their audiences. The specific services you offer will depend on your influencers’ needs and the type of content they produce, but will likely include:

Content Creation

Work with your influencers to develop content calendars, create captivating posts, photos, videos and stories. Help ensure their social feeds stay active and engaging. You may also create additional content for their websites or YouTube channels.

Brand Partnerships

Reach out to brands on behalf of your influencers to negotiate sponsorship deals, product placements, endorsements and other collaborations. Pitch your influencers as brand ambassadors and work to match them with brands targeting similar audiences. These types of partnerships are a major source of revenue for influencers, so help them land lucrative deals.

Audience Engagement

Monitor your influencers’ social channels and engage with their followers by liking and commenting on posts, sharing user-generated content, and responding to messages and comments. Build a genuine connection between the influencers and their audiences. You can also suggest strategies for your influencers to increase engagement like hosting livestreams, Q&As, contests and giveaways.

General Management

Handle day-to-day business matters like negotiating contracts, invoicing clients, managing finances and payments. Develop growth strategies to help expand your influencers’ reach and impact. Work to resolve any issues that come up and provide overall career guidance and support.

As a virtual influencer agency, you handle many of the same responsibilities as a traditional influencer agency but focus specifically on the unique needs of virtual influencers. By providing these critical services, you allow your influencers to thrive and achieve their full potential. The opportunities in this emerging field are exciting, so jump in and help shape the future of virtual influencer management!

Building Relationships With Virtual Influencers

As an agency focused on managing virtual influencers, building strong relationships with them is key to your success. Rather than treating them like tools to be used for promotion, get to know the individuals behind the avatars. Show them you understand their goals and personalities. This will establish trust and credibility, making them much more willing to partner with your agency.

Do Your Research

Learn as much as you can about the virtual influencers you want to work with. Follow them on social media, watch their videos, read their blog posts. Get a sense of their interests, values, and audience. The more you understand them, the more you can tailor your pitch and find brand deals that are a great fit. When reaching out, reference details that show you’ve done your homework. This demonstrates your genuine interest in them.

Be Transparent

Explain your agency’s services openly and honestly. Virtual influencers will appreciate transparency regarding how you can help them, how they’ll be compensated, and your commission structure. Address any concerns upfront and be willing to negotiate terms that work for both parties. Transparency builds a solid foundation for an ongoing working relationship.

Treat Them Like Humans

Though virtual influencers aren’t human, the teams behind them are. Respect them and be considerate of their time and needs. Thank them for their partnership, ask for their input, and check in regularly to see if they need any support. Make them feel valued, not just as a way to make money but as an integral part of your agency’s success. This positive experience will keep them engaged and coming back to work with you again.

Building real connections with the virtual influencers you represent is the key to scaling and sustaining your agency. Focus on mutual understanding, transparency, and treating them well. Nurture these relationships and they will become your most loyal partners and best promoters.

Educating Brands on Virtual Influencer Marketing

As an agency focused on managing virtual influencers, educating brands about this new opportunity will be key to your success. Many companies are still hesitant to work with influencers they can’t meet in person, so you’ll need to show them the benefits.

Build Trust Through Past Campaigns

Highlighting previous successful campaigns you’ve run for virtual influencers is the best way to build credibility with new brands. Discuss the engagement rates, impressions, and ROI the brand received. Share case studies and reports with concrete numbers and statistics. Let the results speak for themselves.

Expand Their Reach

Explain how virtual influencers can help brands reach new audiences, especially younger generations like Gen Z who grew up with virtual worlds and avatars. These influencers have a level of “cool factor” that resonates more with some demographics. Their sponsored content and product placements come across as more authentic and less like traditional advertising.

Cost-Effective Alternative

For many brands, virtual influencers represent an affordable alternative to celebrity endorsements or sponsoring real-world influencers. Negotiating deals and contracts with virtual influencers may be easier since you have more control over their personas and branding. You can also leverage the virtual influencers’ digital existence by reusing content and sponsoring them for longer time periods.

Creative Collaboration

Highlight how working with your agency and virtual influencers leads to innovative campaigns. Virtual influencers have an endless array of possibilities for creative social media content, brand integrations, and cross-promotions. From virtual product placements to interactive stories and games, there are opportunities for brands to engage with audiences in new ways. Your team, together with the influencers, can brainstorm outside-the-box ideas tailored to the brand’s needs.

By focusing on these key benefits, you’ll open brands’ eyes to the potential of virtual influencer marketing. Educate them on how your agency turns this opportunity into a strategic advantage to reach and engage their target customers. With an enthusiastic, knowledgeable pitch about this new frontier of influencer marketing, you’ll land more brand deals and partnerships to grow your agency.

Competing With Traditional Influencer Agencies

As a virtual influencer agency, you’ll be up against traditional influencer marketing agencies. To stand out, focus on educating brands about the unique benefits of working with virtual influencers. Some key points to convey:

  1. Virtual influencers provide more control over messaging. Since they’re CGI characters, you have full control over what they post and can ensure maximum brand safety. There’s no risk of an influencer going off-brand or posting controversial content.

2.They offer global reach. Virtual influencers aren’t limited by geography and can appeal to audiences worldwide. This allows brands to tap into new markets and reach more potential customers.

3.They’re highly engaging. Although virtual, these influencers are designed to be as lifelike and relatable as possible. Audiences connect with them and follow their stories, just like they do with human influencers. This results in high engagement rates that translate to brands.

4.They’re a novelty. Virtual influencers are a new frontier in influencer marketing. Partnering with a virtual influencer agency gives brands the opportunity to leverage this new platform and be seen as an innovator in their industry.

To set yourself apart from traditional agencies, develop exclusive relationships with virtual influencers to offer brands more unique partnership opportunities. You should also highlight the expertise of your team in creating authentic and impactful influencer campaigns for CGI characters. While traditional agencies focus on working with human influencers, your agency is specialized in managing the careers of virtual influencers and helping brands tap into their potential.

With the rise of virtual influencers challenging the status quo, forward-thinking brands will recognize the value in partnering with specialized agencies like yours. Focus on education, exclusive access, and expertise in this emerging space and you’ll gain a competitive advantage over traditional influencer agencies.

Startup Costs for a Virtual Influencer Agency

To get a virtual influencer agency up and running, you’ll need to invest in the essentials. The good news is, compared to a traditional influencer agency, the startup costs are relatively low.

Building your team

As the founder, you’ll handle overall management and strategy. Hire a creative director to oversee content creation, and agents to manage partnerships and community engagement for each influencer. You’ll want experts in design, video production, writing, and social media marketing. Expect to pay $50,000 to $100,000 per year for a team of 3 to 5.

Technology and tools

Invest in tools for content creation like design and video editing software, along with social media management and analytics platforms. The total cost will be $5,000 to $10,000 per year.

Influencer acquisition and management

Reach out to virtual influencers and pitch your services. Be prepared to negotiate fees for content creation, brand deals, and community management. Fees will vary but may be 10-30% of the influencer’s earnings. You’ll also need funds for new influencer auditions and developing their backstories. Budget at least $25,000 to $50,000 to get started.

Marketing and business expenses

Promote your agency to attract influencers and brand clients. Plan for a professional website, content marketing, ads, and sponsoring industry events. Business expenses like rent, insurance, and legal fees should also be considered. Budget $25,000 to $50,000 per year.

Overall, you can expect to invest $150,000 to $200,000 in the first year to get a virtual influencer agency up and running. While not cheap, the potential for a very profitable business is huge if you can establish a reputation for managing top virtual influencers and matching them with major brands. The costs are scalable, so as you add more influencers and clients, your profits will grow.


Building credibility and trust with virtual influencers will likely be one of your biggest obstacles. As a new agency, you have no proven track record of success to show them. You’ll need to convince virtual influencers that you understand their unique needs and can help advance their “careers.” Offering flexible contracts, competitive commissions, and services tailored to their needs can help win them over.

Competing with established influencer marketing agencies is another challenge. These agencies have experience, connections, and potentially deeper pockets. Focus on your niche expertise in virtual influencers. Educate brands on the opportunities to tap into engaged audiences through virtual influencers. With the novelty factor, virtual influencers can garner lots of attention and interest.

Educating brands about the value of virtual influencers is key. Many brands still don’t understand how virtual influencers work or their potential for connecting with audiences. You’ll need to demonstrate the reach and impact of virtual influencers. Share case studies and examples of successful campaigns. Explain how you can work with brands to find the right virtual influencers for their needs and audience.

Over time, building a solid portfolio of results will help establish your credibility. Start by focusing on forward-thinking brands already active in virtual and augmented reality. Look for brands targeting audiences that closely align with the followers of your virtual influencers. Keep an eye out for new virtual influencers you can work with from the beginning to help them gain traction.

With hard work and persistence, you can overcome these challenges. Keep improving your knowledge of the latest virtual influencer platforms and tools. Stay on the cutting edge of trends in virtual and augmented reality. Build genuine relationships with your influencers and brand partners based on trust and understanding. By establishing yourself as the go-to expert in this exciting new field, you’ll pave the way for success.

Virtual Influencer Management Agency FAQs

So you want to start an agency specializing in virtual influencers? Here are some common questions and answers to help you get started:

How much does it cost to start a virtual influencer agency?

The initial costs will depend on the size of your team and the number of influencers you want to represent. You’ll need funds to build your website, cover legal fees, and pay staff. Expect to invest $150K-$200K to get up and running. The good news is overhead costs are low since virtual influencers don’t require travel or lavish events. Focus on keeping costs lean.

What skills and experience do I need?

You and your team will need experience in influencer marketing, content creation, and social media management. Strong connections with virtual influencers, brands, and social platforms are a must. Creativity, the ability to spot trends, and comfort with new technologies will serve you well in this emerging field.

How do I find and sign virtual influencers?

Scout virtual influencers on platforms like Instagram, TikTok, and YouTube. Reach out to those with an established audience and high-quality content. Explain how you can help boost their career and earning potential. Be prepared to negotiate contracts that provide a percentage of brand deals and sponsorship revenue in exchange for managing their accounts and content strategy.

What services do virtual influencer agencies offer?

Typical services include content creation (photos, videos, stories), engagement (responding to comments, following fans), hashtag challenges, giveaways, brand partnerships, and ad campaigns. You may also handle growth strategies to expand their followers and secure media coverage. Some agencies offer “rent-an-influencer” options for short-term brand collaborations.

What are the challenges of running a virtual influencer agency?

Gaining credibility and earning trust from influencers and brands new to this space may be difficult. Competition from traditional influencer agencies is increasing. Educating companies about the power of virtual influencers will be an ongoing task. Technological changes can disrupt how virtual influencers are created and shared. Stay on top of trends to serve your clients well.

With hard work and the right skills, a virtual influencer management agency can be very rewarding. Let me know if you have any other questions!


So you see, starting a virtual influencer management agency could be a lucrative business if you have the drive and skills to build relationships in this emerging space. With a modest initial investment, you can assemble a team to create content and broker deals between virtual influencers and brands. While you may face some initial headwinds gaining trust and competing against traditional firms, educating clients on the value can go a long way. In the end, the low overhead and commission-based model could make this an influencer gold rush for those who stake their claim early on.

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