Background: Virtual teams are becoming an increasingly prominent organizational unit, mainly as a result of globalization, digitalization, and the Covid-19 pandemic. While enabling operational advantages, virtuality may be adverse for the team members’ motivation as limited physical interaction in virtual teams can cause feelings of loneliness and demotivation. However, the full impact of the limited physical social interaction on member motivation remains unclear. 

Purpose: The study’s purpose is to contribute to knowledge development regarding individual motivation in virtual teams, and how it is affected by limited physical social interaction. The study further aims to provide insight into how to manage such teams to strengthen the motivation of the virtual team members and thus improve the overall functioning of the team. 

Method: A qualitative research design was utilized for this study. The empirical data was obtained through semi-structured interviews conducted with ten virtual team members operating within the IT industry. Further, an abductive research approach was applied, and the collected data were analyzed using thematic analysis. 

Conclusion: Social dimensions are interdependent and affect each other. They also interplay with social identity and the need to belong. Limited social ties and socialization are generally a motivational issue, but the perception and motivational effect varies greatly between individuals as a result of personal factors. However, virtual team members are still generally motivated, mainly as a result of the independence that the virtual setting provides. Motivation can be improved over time as the team members get to know each other better. The manager should also plan physical, or if not feasible, digital social activities focused on bringing value and not awkwardness. Lastly, the manager is advised to promote team empowerment as it fosters prosocial motivation, which is generally preferable in virtual teams.