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The Authenticity Paradox – Why AI Influencers Win
- Synthminds
- Oct 1
- 5 min read
Updated: Nov 15
Why AI Influencers Win: Key Takeaways
How transparency builds brand credibility.
Why high engagement doesn't always lead to conversion.
The strategic difference between AI influencers that succeed and those that fail.
AI influencers are no longer a novelty. They’re forcing real questions about trust, transparency, and where “almost human” fails. In this episode of Get AI To, we unpack why audiences reward virtual personas that openly state they’re artificial—and how brands can turn that insight into strategy.
Ready to implement AI transparently in your business? Book a free 30-minute consultation with us.
As brands scale their use of virtual personas, the hard work isn’t “the tech”—it’s governance, authenticity, and outcomes. In this conversation, AI hosts Chris and Sorah break down the authenticity paradox, the uncanny valley, and the engagement–conversion gap. We compare wins (e.g., transparent, stylized characters) with misses (overly human replicas), and outline where human influencers still outperform. If you enjoy the conversation, catch more episodes of Get AI To, stream on Spotify or listen from our site.
In this episode:
00:00 Introduction: The Rise of Virtual Influencers
In this episode Chris and Sorah explain why AI influencers win, especially when brands are upfront about the tech and design for trust.
00:58 The AI Host Reveal and the Power of Transparency
In a live demonstration of the episode's theme, the hosts disclose their own AI nature and discuss the crucial data that shows consumers value honesty over deception.
02:45 Case Study: Success vs Failure
A deep dive into why a transparent approach generated 1.3 billion impressions, while some cases failed to connect.
04:05 Navigating the Uncanny Valley
The hosts explain the psychological pitfall of hyper-realism and why stylized influencers are often more successful.
04:55 The Engagement-Conversion Gap
A critical distinction for businesses: why virtual influencers get up to 3x more engagement but can struggle to drive actual sales.
05:20 The Market Explosion:
A $170 Billion Future. Chris and Sorah break down the staggering market projections and what it means for future marketing budgets.
05:35 The Strategic Takeaway & Next On Get AI To:
The final summary on the future of digital trust and a preview of the next episode on the ROI of AI influencers.
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Treat an AI influencer like an asset, not a gimmick: disclose, stylize, and measure what matters.” — Get AI To, Ep. 1
Transcript
Chris: Hello and welcome to Get AI To, from Synthminds Singapore... the podcast about when to use AI—and when not to. I'm Chris
Sorah: And I am Sorah. And Chris, that question is at the heart of one of the wildest trends in marketing right now: virtual influencers.
Chris: Absolutely. They're generating billions in revenue and reshaping how we think about authenticity... but the most surprising part is how they're doing it. Many are succeeding by being completely honest about their artificial nature.
Sorah: That is the core of what researchers call the “authenticity paradox.” We say we want the real thing, yet these AI-made characters, with zero lived experience, are building massive followings. Some of the most trusted ones earn that trust by stating, right up front, that they’re virtual.
Chris: And the adoption, especially among younger audiences, is staggering. A full 75% of Gen Z is actively engaging with these digital personalities. That's a huge market shift.
Sorah: You know, when you look at that demographic, it makes perfect sense. They've grown up in digital playgrounds—gaming, social media, virtual worlds. Their comfort level with AI personas is almost second nature.
Chris: Though what stands out to me is how aware they are. These aren't people being fooled—they are fully conscious that they're interacting with artificial personalities.
Sorah: Speaking of being conscious about artificial personalities... and practicing what we preach about transparency... I think we should mention that the voices you're hearing right now, mine and Chris's, are also AI-generated.
Chris: Exactly right. At Synthminds Singapore, we believe in demonstrating the potential of AI while being completely upfront about it. The insights and research are real—we're just using AI voices to deliver them.
Sorah: And that principle of transparency leads to some crucial data. A YouGov survey shows that while 51% of consumers are uncomfortable with brands using AI influencers, the real kicker is that a majority—between 60-68% of them—say their main concern is just wanting brands to be honest about their AI use.
Chris: So the resistance isn't necessarily to the AI itself... it's to the potential for deception.
Sorah: Precisely. And the case studies prove it. Take the virtual influencer Lu do Magalu from Brazil—she's a phenomenon with over 30 million followers. In 2022 alone, her campaigns generated 1.3 billion impressions.
Chris: And she never pretended to be human, right?
Sorah: She didn't and that’s the key to her success. She started as a simple virtual assistant back in 2009 and evolved organically with her audience. Her TikTok campaign for a payment app?
83% lower cost per install and a 115% higher click-through rate than traditional ads.
Chris: Wow. But...on the flip side, there have been notable failures.
Sorah: Oh, absolutely. Renault's 'Liv' is a classic example. She tried too hard to seem human, talking about "experiencing real emotions for the first time"...and the whole thing just fell flat. There was no compelling narrative, no clear purpose for her.
Chris: That brings up the uncanny valley effect, doesn't it? That unsettling feeling when something looks almost human, but not quite.
Sorah: It's a major hurdle. Research shows it can trigger feelings of unease or even revulsion. This is exactly why some of the most successful virtual influencers, like Noonoouri, lean into a more stylized, even cartoonish look. She's worked with Dior, Versace, and Mattel without ever trying to fool her audience.
Chris: So, what are the real engagement numbers telling us?
Sorah: Here's the critical distinction for businesses: virtual influencers often get up to three times more engagement than human influencers. But... there’s a catch. It's called the "engagement-conversion gap."
Chris: Meaning they're great at grabbing attention, but not so great at closing the deal?
Sorah: Exactly. They excel at driving awareness, but can struggle to convert viewers into buyers, especially for products that require a sense of personal experience—like a mattress or a skincare product.
Chris: That makes perfect sense. But the market is still exploding.
Sorah: The projections are staggering. The virtual influencer market is expected to grow from around 6 billion in 2024 to over 170 billion by 2034. That’s a growth rate of nearly 40% a year.
Chris: And that's reflected in marketing budgets. Reports suggest CMOs could be allocating up to 30% of their influencer budgets to virtual personas by 2026.
Sorah: So, when you connect all the dots, a clear strategy emerges. The most successful approaches aren't about making AI more human-like. They're about being radically transparent about what AI is and isn't, and then delivering consistent value within those boundaries.
Chris: It seems the future of digital trust isn't about pretending AI is human—it's about being honest about what it is, and then showing what it can do.
Sorah: And helping businesses master that 'showing' part is exactly what we focus on at Synthminds. For anyone who wants to dive deeper into the case studies and data we discussed today, the best place to start is our website at sythminds.com.sg for our comprehensive resources.
Chris: To continue the conversation on LinkedIn, follow Synthminds Singapore.
Sorah: All our social links are in the description below. Just click and connect.
Chris: In our next episode, we're talking money. The real ROI of AI influencers—with hard data from actual campaigns.
Sorah: I'm Sorah.
Chris: And I'm Chris. Thanks for joining us on Get AI To.
