HeyGen Study, September 2026

The State of AI Avatars 2026: How small businesses are scaling human presence

Trust-based professionals increasingly need to be visible and create content to build trust and win business, but their time and physical presence are finite. This report looks at what AI avatars are already giving back: hours, consistency, and the business lost by not showing up enough.

71.6%

recorded a video and then decided not to post it

69.3%

agree that video helps build their brand and win business

55.6%

lost business to a more visible competitor on social media


Introduction

We surveyed 1,000+ small business owners and solopreneurs, from solo operators to teams of up to 99 employees, spanning industries including real estate, financial services, legal, health and wellness, and local services, across five generations.

Most of the small business owners we surveyed share a job that sits outside their actual work: convincing a stranger to trust them enough to become a customer. Increasingly, that means being visible and creating content, not just doing good work quietly. But visibility takes time and physical presence, and both are finite. Video has become one of the fastest ways to build that trust, but it carries its own cost: confidence, production, reach, and often language. Most people run into more than one at once.

AI avatars are beginning to remove that constraint. This report looks at what happens when the cost of showing up drops: not just more video, but trust-based professionals reaching customers at a scale their physical presence never allowed.


Five key findings

1

Belief isn't the problem

69.3% agree video builds their brand and wins business. 55.6% already believe they've lost business to a competitor, a rate that climbs to 69.6% for legal and 63.9% for real estate.

2

Not posting has a price

71.6% of small business owners have recorded a video and never posted it, and people who shelve one are 1.5x more likely to believe they've already lost business to a competitor.

3

The people who need relief most are the most ready for it

Comfort with an AI avatar rises with camera drain, from 54.4% among the least drained to 67.4% among the most drained, the same group already most open to it.

4

AI avatars are closing the gap

71.1% of users say they've saved time, 55.3% post more often, and 17.6% report new leads and more business.

5

The fear runs ahead of reality

50.7% of non-users worry an avatar will look fake. But users report a warmer reception than expected, 3.49/5 actual versus 3.06/5 predicted.


Showing up is the job

More than half say visibility is costing them business

For trust-based professionals such as real estate agents, financial advisors, lawyers, or wellness practitioners, the person is the product. Their expertise is the service, but visibility turns a stranger into a client. 69.3% of the small business owners we surveyed agree that posting video helps build their brand and win business.

69.3%

agree that video helps build their brand and win business

A real estate agent photographing a house exterior on a tripod

However, not acting on that belief has a cost. More than half already believe they’ve lost business to a competitor who shows up more on video, a realtor whose listings get more views, an advisor whose market updates get watched, a lawyer whose face clients already recognize before they ever call.

55.6%

believe they’ve lost business to a competitor who is more visible on social media

A blurred phone screen showing an Instagram profile with post, follower, and following counts

That number is even higher for trust-based professionals. They report losing business to a more visible competitor at rates well above the 55.6% average. Businesses built most directly on personal trust pay the highest price for not showing up.

“Have you lost business to a more visible competitor on social media?”

  • Real estate
    63.9%
  • Financial services
    55.8%
  • Legal
    69.6%
  • Health and wellness
    58.5%

Human presence doesn’t scale

Seven in ten have made a video and never posted

It isn’t that these professionals doubt video works; 69.3% already told us it does. It’s that knowing video matters and having the hours to produce it are two different problems, and those hours don’t multiply just because the demand for showing up does.

The clearest evidence of that gap: 71.6% of small business owners have recorded a video for their business and then decided not to post it. The realtor’s walkthrough exists on her phone. What’s missing isn’t the belief that it would help; it’s the hour to edit it or the confidence to hit post.

71.6%

have recorded a video for their business and then decided against posting it

A woman adjusting a camera on a tripod in a plant-filled room

That pause has a price. People who shelve a video are 1.5x more likely to believe they’ve already lost business to a competitor.

1.5x

more likely to believe they’ve lost business to a competitor, if they’ve shelved a video

A man looking down at his phone with a hesitant expression

The breakdown happens at the last step, and it’s almost always self-judgment, not the material itself.

Why they didn’t post it

  • 53.9%

    Didn’t look professional enough

    Decorative rounded square triangle
    Portrait of a woman with a scarf
  • 48.6%

    Didn’t like how they looked

    Decorative rounded square triangle
    Portrait of a man in a dark shirt
  • 35.4%

    Didn’t like how they sounded

    Decorative rounded square triangle
    Portrait of a woman with curly hair in a cardigan
  • 33.8%

    Changed their mind on content

    Decorative rounded square triangle
    Portrait of an older man in a light-blue shirt

The same pressure shows up in what people name as their top challenges. These lean on each other: editing and looking professional both eat into time, and a solo owner writes, shoots, edits, and judges their own performance in hours that were already spoken for.

Top named challenges

  • Editing50.2%
  • Looking Professional47.1%
  • Finding Time41.2%

Monthly spend on video

Nearly 3 in 10 spend nothing on video at all, and tight, often solo budgets make every unposted video a real loss: time and money that could have gone somewhere else.

29%$100+/month42%$1–$99/month29%$0/month

Solo operators carry the heaviest version of this on every measure that matters.

Camera drains them

Comfort with an AI self (0 to 5)

Spend $0 on video

Camera drain isn’t just uncomfortable; it tracks directly with believing the pause is costing you business. The more the camera drains someone, the more likely they are to believe they’ve lost business to a competitor. The same split shows up again in how open people are to letting an avatar take over.

Belief they’ve lost business, by how much the camera drains them

Comfort with an AI avatar, by how much the camera drains them

The people most drained by the camera are also the most likely to believe it’s costing them business, and the most open to letting an avatar carry the load.


Closing the presence gap

Avatar video unlocks frequency and professionalism

This is the point where scaling human presence becomes real, not theoretical. The advisor who could only personally film one market update can now send a version to each client segment in the time it used to take to film one. More than half of avatar video users say posting more often is the single biggest thing it unlocked.

55.3%

say posting more often is the biggest thing it unlocked

An advisor recording a video update on a phone
51.5%

say looking more professional is one of the top benefits

A professional presenting on camera

Time is why “post more often” happens. 44.1% of daily posters make a video in under an hour, compared with 20.4% of monthly posters, and users are half as likely to spend 5+ hours on a single video.

36.1%

of users make a video in under an hour, vs. 20.1% of non-users

94.5%

of users report at least one concrete benefit

The gains compound, and they land on exactly the two costs section two identified: time and confidence.

Benefits reported by current avatar video users

  • Saved time71.1%
  • Looks more professional51.4%
  • More consistent posting43.6%
  • Reduced camera stress36.9%

Has avatar-led AI video let you do anything you couldn’t do before?

  • Post more often55.3%
  • Stay visible when too busy to film39.4%
  • Publish in other languages36.4%

For the lawyer who used to skip the explainer entirely and the wellness practitioner who could only publish when her schedule cleared, that’s the difference between showing up occasionally and showing up every week. Revenue follows, as 17.6% of users report new leads and business they wouldn’t otherwise have won.


The fear doesn’t hold up

Audience backlash is smaller than expected

“Won’t my audience react badly to an AI version of me?” outranks even cost as the top hesitation. 50.7% of non-users worry an avatar will look fake, ahead of cost and ROI at 43.3%.

Top named barriers to adoption

  • 50.7%Worried I’ll look fake
  • 43.3%Cost / ROI

What skeptics say

People generally don’t like AI slop.

A professional speaking in front of a bookshelf

It’s inauthentic.

That fear doesn’t hold up against what actually happens. Non-users predict a middling reception; people who’ve used avatar video, including the lawyer worried his synthetic self would read as a gimmick, report a warmer response and far less pushback than skeptics expect.

Expected vs actual audience reaction to avatar-led video

Average avatar reaction score

+0.4315
3.06
Predicted (non-users)
3.49
Actual (users)

Expecting or reporting a negative reaction

Trust, it turns out, is conditional, and people can name exactly what earns it.

What would make you trust a brand’s avatar video more?

  • Looks/sounds authentic64.6%
  • Personal, high-quality content57.1%
  • Complements human contact41.2%
  • Transparent about AI use39.9%
  • Already trust AI-video brands19.2%

Rules for using avatars well

  • Rule 01

    Make it look and sound like you

    Match your own tone, pacing, and phrasing. If a script wouldn’t sound like you read it out loud, don’t let the avatar say it either. Authenticity is the #1 trust condition (64.6%) and “looks fake” is the #1 fear (50.7%); they’re the same thing seen from two sides.

  • Rule 02

    Keep the content itself personal and high quality

    Write for one customer’s specific problem, and hold it to the bar of your best organic content, not your fastest one. 57.1% will judge you on whether the content feels personal and high quality; the avatar buys back hours to spend on the script.

  • Rule 03

    Use it to complement human contact

    Follow every avatar video with a real reply, call, or comment, so a person picks up exactly where it leaves off. 41.2% of respondents said complementing human contact is what earns their trust; nobody said replacing it does.

  • Rule 04

    Be upfront that AI is involved

    Say it’s an AI avatar in the caption or the first line. But don’t lean on this one: transparency ranks 4th of 5 trust conditions, barely ahead of already trusting the brand.


No group is the exception

The presence gap shows up everywhere

Cut the same data by generation, industry, gender, language, or platform, and the same underlying gap keeps showing up, along with the same relief once an AI avatar starts closing it.

Older generations are embracing AI avatars in surprising ways

Comfort with an AI version of themselves splits by generation in a way that runs opposite to what most people would guess. Gen Z is the least comfortable of any generation with an AI version of itself, and the least likely to use avatar video.

Comfort with an AI avatar of themselves, by generation (0 to 5)

  • Gen Z
    Gen Z3.4
  • Millennial
    Millennial3.5
  • Gen X
    Gen X3.9
  • Baby Boomer
    Baby Boomer3.9

Gen Z is the least comfortable of any generation with an AI version of itself.

Currently use AI avatar video, by generation

  • Gen Z
    Gen Z40.7%
  • Millennial
    Millennial50.5%
  • Gen X
    Gen X53.8%
  • Baby Boomer
    Baby Boomer64.9%

Lost business to a more visible competitor, by generation

  • Gen Z
    Gen Z63.1%
  • Millennial
    Millennial65.2%
  • Gen X
    Gen X53%
  • Baby Boomer
    Baby Boomer42.7%

Line that up against who actually feels competitive pressure, and the picture flips. Gen Z and Millennials feel the most pressure to be on video and are the least comfortable letting an avatar carry it.

Gen X’s ambition gap, the space between how often they post and how often they’d like to, is more than double Gen Z’s, and that same generation is already the most comfortable with avatar video. The highest-demand group and the highest-readiness group are the same people.

Gap between actual and desired posting frequency

Conviction isn’t what splits generations. Belief that video builds a brand barely changes from Gen Z to Baby Boomers, so whatever gap shows up elsewhere in this report is a presence gap, not a persuasion problem.

“Posting video helps build my brand and win business.”

Strongly disagree (1) to strongly agree (5)

  • Gen Z
    Gen Z4.01
  • Millennial
    Millennial4.03
  • Gen X
    Gen X4.03
  • Baby Boomer
    Baby Boomer4.14

Regulated industries adopted first

Legal and financial services lead avatar video adoption, well ahead of health and wellness.

Avatar video adoption, by industry

  • Legal
    77.3%
  • Financial services
    78.4%
  • Real estate
    65.6%
  • Health and wellness
    46.1%

Real estate has the strongest FOMO of any vertical. 3.8 out of 5 agree that non-adopters will fall behind, against a 3.2 average.

The avatar bar is higher for women

Women report more friction at every stage, from how draining the camera feels to how often a finished video gets shelved, well before an avatar or any other tool enters the picture.

Camera drains them

Cite camera as a real challenge

Have shelved a video

Use AI video avatar technology

Where they post video

  • Instagram59.4%
  • Facebook53%
  • YouTube53.3%
  • LinkedIn38.6%
  • Own website37.2%
  • TikTok30.7%

Instagram, Facebook, and YouTube each reach more than half of these businesses, with no single platform dominating. Closing the presence gap means reaching customers everywhere they already are, not just one platform.

FOMO is real, but split

“Companies that don’t adopt avatar-led AI video will fall behind”

More people agree than disagree, but the largest single group is still on the fence. The market is still undecided. That’s where the advantage is.

Agreement, by current usage

45.3%

Avatar video users

30.1%

Non-users

Among non-users, 57.3% say they’ll probably or definitely start within 6 to 12 months. Only 14% say they won’t. Intent tracks comfort tightly.

Plan to start using avatar video, by current comfort level

Comfort is the real predictor of who moves next, well ahead of age.

  • 74.3%Very comfortable
  • 28.3%Very uncomfortable

AI avatars are making personal presence global

Across 93 countries and 1,000+ respondents, AI avatar adoption varied depending on location. For a solo operator in São Paulo or Bangalore selling in two or three languages, “publish in other languages” is the whole pitch.

Avatar video adoption, by country

United Kingdom35.7%
United States59.8%
India64.8%
Brazil66.7%

36.6% of avatar video users already publish their content in a language other than their own.

The world builds on HeyGen

40M

Total users

121M+

Total videos

243

Countries & territories


The conclusion

The early adopters aren’t reporting a revolution. They’re reporting hours back, on ordinary weeks. A professional look they couldn’t produce alone, the kind that used to mean hiring someone or doing without. A way to stay visible when life gets in the way, when the week gets away from them, and the camera would otherwise have stayed off.

Their audiences, by their account, mostly didn’t mind and often approved. The fear of backlash was about 2.5x bigger than the backlash itself. For trust-based professionals whose time never scaled the way the rest of the business could, that gap closing is the story.

See how AI avatars can help your business show up more,

without more hours on camera.