Digital people, digital humans or virtual avatars powered by Artificial Intelligence are set to revolutionise various industries by providing realistic and interactive representations of humans for customer service, education, healthcare, social interaction and entertainment, says Steven Hall, creative producer at Brand Avatar.
The African continent, with its rapidly growing technology sector and increasing Internet penetration, is particularly poised to become a significant player in the global digital people market.
Market size and growth
The global digital people market was valued at USD21.68-billion in 2023 and is expected to soar to a whopping USD430.71-billion by 2031, registering a compound annual growth rate of 45.30% during the forecast period from 2024 to 2031.
This immense growth indicates the transformative potential digital people hold across multiple sectors, including:
- financial services
- education
- training
- retail, and
- hospitality.
Interactive digital people: the leading segment
Thanks to their ability to provide personalised and engaging experiences, the "interactive digital people" segment is capturing the highest market share.
And make no mistake, these digital entities are not just static representations; they interact, learn and respond in real time, making them invaluable for customer engagement and support.
African market potential
In Africa, the digital people market is still in its infancy but shows promising signs of growth.
With a young and tech-savvy population, the demand for innovative digital solutions is on the rise. Plus, the incorporation of digital people in customer service, education and healthcare can address some of the continent's unique challenges and open new growth opportunities.
Digital people threats
Although digital people offer numerous possibilities, their existence also raises several challenges and concerns that require attention:
Job displacement
The automation capabilities of digital people can lead to job displacement, particularly in sectors where human-facing interaction can be automated. This raises concerns about the future of work and the need for reskilling and upskilling of the workforce.
Ethical concerns
It is still possible to distinguish between a real and digital person, but at some point in the future, this may not be possible. The question then becomes: How do we ensure that they are not used to deceive or manipulate people?
Privacy
Digital people will require the collection and processing of vast amounts of personal data to function effectively. This poses significant privacy risks, as the data could be misused or fall into the wrong hands.
Biases
AI systems, including digital people, can inherit biases from their training data or creators. This can lead to discriminatory practices and reinforce societal inequalities if not properly addressed.
These challenges underscore the need for robust ethical frameworks, transparent practices and ongoing dialogue to ensure that the development and deployment of digital humans are aligned with societal values and norms.
Digital people opportunities
The promising digital people market in Africa brings a lot of opportunities to a wide variety of businesses — from AI startups looking to pioneer the development of sophisticated algorithms to specialist agencies crafting lifelike digital personas.
AI start-ups should look at developing a uniquely African approach that suits the needs and unique cultural contexts of the African market. Specialist agencies should tap into their skills as creative powerhouses, blending art and technology to create digital people nearly indistinguishable from their human counterparts. Their expertise in designing and releasing these digital personas makes them integral to the ecosystem.
Beyond creation, there's a vast market for businesses looking to utilise digital people, whether it be to engage with staff or with customers. Retailers can offer personalised shopping experiences, healthcare providers can simulate patient interactions for training, and corporations can use digital people for internal training and customer service — providing a consistent and scalable solution that's available 24 / 7.
For more information, visit www.brandavatar.co. You can also follow Brand Avatar on LinkedIn.
*Image courtesy of Canva