TikTok to Launch AI Avatars for Ads, Challenging Traditional Influencer Ad Space

A recent The Information post suggests that TikTok is setting the stage for a major shift in digital marketing by creating AI-driven virtual influencers, potentially transforming how brands interact with audiences on the platform.

According to The Verge, these AI avatars — which are still in testing — could autonomously promote and sell products using the scripts generated by the advertisers.

If that’s true, this new move by TikTok will challenge the traditional role of human influencers in TikTok Shop.

As per the sources cited by The Information, early tests by TikTok’s staff suggest that these AI influencers have yet to match the commercial success of their human counterparts. Despite lower e-commerce sales figures, TikTok views these virtual creators as potential supplements rather than replacements for human content creators.

The Verge says it’s not yet known how TikTok will distribute earnings between AI and human influencers or how it will ensure that AI doesn’t steal deals from human creators. Many TikTok creators depend on such deals for income, especially since the platform ended its $1 billion creator fund, which was already considered insufficient.

TikTok must carefully introduce this feature to avoid upsetting its creators, particularly after urging them to help prevent a ban by Congress, The Verge added.

The Verge also pointed out that TikTok has a history of experimenting with AI. For instance, in January, a select group of users got access to a new “Song Generator” feature powered by the AI model Bloom, which let them create songs and lyrics.

In addition, TikTok started tagging its filters and effects with an AI label and made it mandatory last year for users to disclose when they use these AI-enhanced features.

As TikTok navigates the integration of these AI capabilities, it faces the dual challenge of maintaining creator income stability and addressing regulatory scrutiny.