Short answer

When designing for virtual environments, consider the level of social interaction and tailor avatar design to compensate for potential social presence deficits, especially for high-value brands.

Field: Innovation & Markets
Source: Asia Pacific Journal of Marketing and Logistics (2025)
Method: Experimental studies
Evidence: Strong effect

Human-like avatars in virtual games can simulate social interaction, thereby boosting engagement with luxury brands even when direct social interaction is limited. This innovation & markets research insight is drawn from a 2025 study published in Asia Pacific Journal of Marketing and Logistics. Using Experimental studies, researchers explored how this design variable affects real-world outcomes. The key design takeaway: When designing for virtual environments, consider the level of social interaction and tailor avatar design to compensate for potential social presence deficits, especially for high-value brands.

Study

Innovation & MarketsNew This WeekStrong effect

Avatar anthropomorphism increases luxury brand engagement in low-social-presence virtual environments

Human-like avatars in virtual games can simulate social interaction, thereby boosting engagement with luxury brands even when direct social interaction is limited.

Asia Pacific Journal of Marketing and Logistics · 2025

Key Findings

01Luxury brand avatar marketing significantly enhances consumer engagement in high social presence environments (e.g., multiplayer games).
02In low social presence settings (e.g., solo games), luxury brands only outperform non-luxury brands when avatars are anthropomorphic, as human-like avatars simulate social interaction.
03Game immersion mediates the relationship between avatar design, social presence, and brand engagement.

Application

Design takeaway

When designing for virtual environments, consider the level of social interaction and tailor avatar design to compensate for potential social presence deficits, especially for high-value brands.

How to apply

When designing a virtual product or marketing campaign, consider whether the user will be interacting alone or with others, and design the virtual characters accordingly to enhance the user's connection to the brand.

Project actions

01Consider creating a simple game prototype where users interact with a virtual product or brand.
02Experiment with different levels of avatar realism (e.g., cartoony vs. realistic) and observe user engagement.

Method & Evidence

AimTo investigate the effectiveness of luxury brand avatar marketing in virtual gaming environments, examining how social presence and avatar anthropomorphism influence consumer engagement.

MethodExperimental studies

ProcedureThree experimental studies were conducted using custom-designed video games. These studies tested the effects of luxury versus non-luxury avatar marketing, examining the interaction between brand type and social presence (solo vs. multiplayer), and the moderating role of avatar anthropomorphism in low social presence settings.

ContextVirtual gaming environments and luxury brand marketing

Variables

IV["Brand type (luxury vs. non-luxury)","Social presence (high vs. low)","Avatar anthropomorphism (present vs. absent)"]

DV["Consumer engagement","Game immersion","Brand perception"]

CV["Game design/environment","Type of virtual product","Participant demographics"]

Strengths & Limitations

Strengths

+Experimental design allows for causal inference.
+Multiple studies with varying designs increase robustness of findings.

Limitations

It can be challenging to accurately simulate 'social presence' in a controlled student experiment. The 'luxury' aspect might also be subjective and hard to convey in a simple test.

Reliability & validity

The use of multiple studies and varied game designs enhances the internal validity. However, external validity might be limited by the artificiality of the experimental gaming environments and the specific avatar designs used.

Think critically

To what extent does the 'luxury' perception in a virtual environment depend on the avatar's design versus the brand's established reputation?

Design Principles

"Avatar anthropomorphism can substitute for social presence in enhancing brand engagement in digital environments."

This research highlights how the design of virtual characters (avatars) can significantly impact consumer perception and engagement with brands in digital spaces. For design students, it underscores the importance of considering psychological factors and user experience in the design of digital products and marketing strategies.

What This Means for Your Design

If you're designing a game character for a luxury brand, make it look more human if players will be playing alone, because this makes them feel more connected to the brand.

How to use in your project

1.Use this insight to justify design choices for virtual products or marketing materials, explaining how avatar design choices aim to enhance user engagement based on social presence.
2.Incorporate user testing that measures engagement in different social contexts (e.g., solo vs. simulated multiplayer) to validate design decisions.

Add to My Project

Quick Cite

Paragraph starter

In virtual environments, the anthropomorphism of avatars can significantly influence consumer engagement with luxury brands, particularly in low-social-presence settings. Research suggests that human-like avatars can simulate social interaction, thereby enhancing brand connection and immersion, a principle that can guide the design of virtual brand experiences.

Source

Asia Pacific Journal of Marketing and Logistics

Digital luxury: how avatar marketing drives consumer engagement for luxury brands

journal · 2025

View source

Questions About This Research

What does the research say about avatar anthropomorphism increases luxury brand engagement in low-social-presence virtual environments?: When designing for virtual environments, consider the level of social interaction and tailor avatar design to compensate for potential social presence deficits, especially for high-value brands. Evidence: Asia Pacific Journal of Marketing and Logistics (2025).
Why does "Avatar anthropomorphism increases luxury brand engagement in low-social-presence virtual environments" matter for design?: This research highlights how the design of virtual characters (avatars) can significantly impact consumer perception and engagement with brands in digital spaces. For IB DT students, it underscores the importance of considering psychological factors and user experience in the design of digital products and marketing strategies.
How can designers apply this research?: When designing for virtual environments, consider the level of social interaction and tailor avatar design to compensate for potential social presence deficits, especially for high-value brands.
What were the main findings?: Luxury brand avatar marketing significantly enhances consumer engagement in high social presence environments (e.g., multiplayer games).. In low social presence settings (e.g., solo games), luxury brands only outperform non-luxury brands when avatars are anthropomorphic, as human-like avatars simulate social interaction.. Game immersion mediates the relationship between avatar design, social presence, and brand engagement.
What research method was used?: Experimental studies.
How strong is the evidence?: Evidence strength is rated Strong effect, based on a 2025 journal from Asia Pacific Journal of Marketing and Logistics.
What should I do differently in my next project?: When designing a virtual product or marketing campaign, consider whether the user will be interacting alone or with others, and design the virtual characters accordingly to enhance the user's connection to the brand.
What are the limitations?: The findings might be specific to the types of games and virtual environments tested, and may not generalize to all gaming platforms or luxury product categories.