Real or virtual: Can digital hosts win over consumers?

With the rapid growth of livestream e-commerce in China, digital human hosts have emerged as an innovative business model for brand-consumer interaction. This case explores their application and impact on consumer experience. Faced with a shortage of human hosts and rising operational costs, digital human hosts provide a solution by addressing host shortages while offering stable, 24/7 services and reducing costs. However, consumer acceptance is influenced by factors such as image design and interactivity. Overly realistic images of digital humans may trigger consumer uneasiness, eeriness, or unwillingness to acceptance, while overly mechanical interactions may weaken their appeal. Focus group research revealed that digital hosts resonate with young, tech-savvy consumers, though challenges remain in balancing technological sophistication with humanized design. A hybrid mode combining both digital and human hosts was adopted, with ongoing optimization based on market feedback.

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Publication Details

Journal
Journal of Information Technology Teaching Cases
Published
2026-06-26
DOI
https://doi.org/10.1177/20438869261465820
Primary Topic
Service and Product Innovation
Type
article
Field-Weighted Citation Impact
0.00
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article

Real or virtual: Can digital hosts win over consumers?

Claude CH Liu, Chris S. C. Chen
Journal of Information Technology Teaching Cases
Service and Product Innovation
article

Real or virtual: Can digital hosts win over consumers?

Claude CH Liu, Chris S. C. Chen
article en

Abstract

With the rapid growth of livestream e-commerce in China, digital human hosts have emerged as an innovative business model for brand-consumer interaction. This case explores their application and impact on consumer experience. Faced with a shortage of human hosts and rising operational costs, digital human hosts provide a solution by addressing host shortages while offering stable, 24/7 services and reducing costs. However, consumer acceptance is influenced by factors such as image design and interactivity. Overly realistic images of digital humans may trigger consumer uneasiness, eeriness, or unwillingness to acceptance, while overly mechanical interactions may weaken their appeal. Focus group research revealed that digital hosts resonate with young, tech-savvy consumers, though challenges remain in balancing technological sophistication with humanized design. A hybrid mode combining both digital and human hosts was adopted, with ongoing optimization based on market feedback.

Journal of Information Technology Teaching Cases
Audencia Business School (FR), National Taipei University (TW)
Industry, innovation and infrastructure
Openalex Percentile: Top 4%
Service and Product Innovation
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