Remember Lil Miquela?

Back in 2018, she was everywhere—an AI-generated influencer with big brand deals, music drops, and a highly-curated virtual life. Created by Brud, Lil Miquela sparked headlines and marketing debates around what was possible with virtual personas. At the time, she felt futuristic. Cultural. A little bit uncanny. And very, very cool.

Fast forward to 2025, and… crickets.

Despite the hype, the AI avatar movement hasn’t evolved in any meaningful way. Lil Miquela’s engagement has plateaued, and while a few new virtual influencers have popped up here and there, none have truly broken through or sparked sustained brand innovation.

So what happened?

Why AI Avatars Haven’t Delivered

AI avatars may be algorithmically optimized, but they’re missing something crucial: soul.

They don’t evolve the way real humans do. Their “personalities” often feel scripted. And because there’s no real person behind the screen, audiences struggle to trust them or feel emotionally connected over time.

Brands may have tested the waters with AI avatars, but most haven’t figured out how to use them in ways that are compelling, engaging, or—frankly—worth talking about.

That doesn’t mean AI avatars are dead. It just means we’ve been asking the wrong questions.

From Gimmick to Value: Rethinking AI Avatars for 2025

Instead of using avatars as static brand spokesmodels, brands should explore ways to make them interactive, community-driven, and story-first. Here are a few ideas:

1. Make Them Story Engines, Not Just Billboards

What if your AI avatar wasn’t just a model in a photoshoot—but a character in a brand universe?

Think episodic content, mystery arcs, or choose-your-own-adventure campaigns. Let the audience shape the avatar’s story, personality, or even decisions. Think less fashion blogger, more narrative world-building.

2. Layer in AI-Powered Interactivity

Instead of one-way content, give users a way to talk to the avatar. AI chat capabilities (like ChatGPT) could allow fans to engage with avatars directly—asking questions, getting product recommendations, or receiving custom responses in real time.

That turns a passive post into an immersive experience.

3. Let the Community Co-Create

What if your community could design the avatar’s next outfit? Script their next post? Vote on their next collaboration?

By giving users creative agency, the avatar becomes a reflection of the community—not just a brand puppet. Think of it as digital cosplay meets brand strategy.

4. Use Avatars for Brand Training or Customer Experience

Want a creative way to onboard customers or walk them through complex features? AI avatars could be used as virtual brand reps or educators—guiding users through tutorials, DMs, or support journeys in a playful and engaging way.

Final Thoughts

AI avatars still have potential—but only if we stop trying to make them look real and start making them feel real.

They can’t replicate human authenticity. But they can offer something different: creative control, narrative immersion, and scalable engagement.

It’s time to stop treating avatars like digital mannequins and start using them as storytelling tools, community platforms, and interactive brand experiences.

Lil Miquela walked so your brand’s avatar could actually do something.

Let’s not waste the moment.