By Camilla Burchill, Senior Innovation Strategist at Tactical
As digital and physical worlds perpetually converge, avatars have progressed beyond novel 'players' or 'characters', emerging instead as powerful tools of self-expression that shape not only virtual identities and behaviors but IRL ones too. As technology continues to blur the lines between real and virtual, the phenomenon of avatars unearths new opportunities for brands to connect with their consumers, especially in the realm of fashion and apparel.
Avatars: Extensions of the “Self”
For many digitally-native Gen Z individuals (who were born just late enough to not sit through the internet dial-up tone), avatars are already serving as extensions of their human identities - at scale. Roblox, for example, already has approximately 71.5M daily active users worldwide - meaning that approximately 71.5M avatars are roaming around inside the platform, each with their own outfit, every single day. Psychologically, the attachment to these digital selves runs deep, with avatars embodying aspirations, idealized personas, or reflections of personal tastes and preferences that might not be achievable IRL for various reasons (circumstantial, emotional, or otherwise). As virtual environments become increasingly immersive and lifelike, and the sense of community and meaning grows, the bond between individuals and their avatars strengthens. New commercial opportunities are being unveiled as a result; a staggering $2.8B was generated by users’ in-game spend (in Robux currency) on their avatars’ appearance - the key representation of Self in virtual worlds.
The Satisfaction of 'Twinning'
One notable trend is the desire among gamers to 'twin' with their avatars, mirroring their digital counterparts in real-life appearance and style. According to Roblox’s 2023 Trends Report, a substantial 84% of Gen Z users admit that their physical style is at least “somewhat” inspired by their avatars, with 54% claiming to be “very” or “extremely inspired.” This inspiration is leading Gen Z to experiment with bolder fashion choices, hair color and styles, and even gender-fluid clothing IRL – often trying to replicate their avatar’s look in the real world. This inclination presents a unique window for fashion and apparel brands seeking to forge new connections with target audiences who reside heavily in digital spaces. By aligning with the preferences and aesthetics of virtual avatars, brands can tap into a lucrative market segment that values authenticity and self-expression.
The Intersection of Gaming and Commerce
As stated, the huge in-game spend of $2.8B per year on Roblox is predominantly on avatar apparel. But where is this coming from? Spending habits have become so commonplace that Roblox themselves have captured and generated consumer data statistics. 52% of Gen Z users on Roblox are willing to budget $10 each month on 'styling' their avatar. And 18% are willing to spend between $50 and $100 monthly. This proves that gaming platforms and virtual worlds are becoming ever more fertile grounds for fashion brands to engage their audiences – through digital items, spaces, and games. Forever 21, Vans, and Gucci all exemplify how brands can integrate or translate seamlessly into virtual environments, allowing users to interact with branded content in new meaningful ways - that will impact revenue and sales IRL as a result. For example, Vans tests new colorways of product in their Roblox game, Vans World, before launching them in reality, and Forever 21 integrates the 'twinning' phenomenon through their marketing campaigns. Meanwhile, Gucci launches their clothing collections simultaneously in the real and digital worlds on Roblox and now, within the Apple Vision Pro. Strategic moves like these allow brands to foster deeper connections with consumers and uncover new paths to commerce – all whilst blurring the lines between digital and real-world engagement.
Looking Ahead
As both technology and consumer behavior continue to influence each other and evolve, avatars are poised to play an increasingly pivotal role in brand marketing strategies beyond gaming platforms such as Roblox. Today’s 'chronically online' consumer who spends significant time in virtual worlds wants to save their 'progress' between sessions, as they amass emotional real estate that manifests digitally. With the progression of Web3 and decentralized solutions, the prospect of a unified avatar seamlessly traversing multiple digital domains now looms on the horizon — promising new opportunities for gamers to build entire worlds and intricate identities agnostic of the platform.
In conclusion, avatars now represent far more than digital characters; they embody the convergence of technology, identity, and commerce in today’s world. As fashion brands navigate this new frontier, they should consider the transformative power of avatar representation in shaping consumer mindset and purchasing behavior, leveraging this insight to forge meaningful connections with their audiences in both virtual and real-world settings.
