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Lipstick King: AI Can't Replace Human Touch in Livestreaming
24 Sep
Summary
- China's "Lipstick King" believes AI complements, not replaces, human hosts.
- AI hosts could slash livestream operating costs by up to 90%.
- Consumers value human hosts' trust and nuanced advice over AI responses.
China's livestream shopping sector, once dominated by personalities like Li Jiaqi, the "Lipstick King," is experiencing a shift. While growth has stabilized, the industry faces economic headwinds, with retail sales showing modest increases in August 2026. Online retail's share, however, has surged past 36% in 2025, up from less than 18% in 2021.
Artificial intelligence is significantly impacting the sector by reducing operational costs for e-commerce platforms and merchants. JD.com reported that its AI hosting service, offered free to merchants since December 2025, saw rapid adoption, potentially cutting livestream costs by 80% to 90%.
Despite AI's advancements, Li Jiaqi believes human hosts remain crucial. He views AI as a tool for efficiency, allowing AI versions of presenters to operate overnight while human hosts rest. However, he contends that AI, being based on past human thinking, cannot offer the new ideas or build the trust that human presenters can.
Industry peers echo this sentiment, highlighting that AI struggles to replicate the trust and judgment vital for sales. Human hosts offer nuanced advice beyond simple size recommendations, fostering customer relationships. Regulators are also stepping in, with rules for AI-generated content labeling and platform bans on fully AI-generated livestreams.
As brands prioritize profitability, the industry is moving beyond discount-driven growth. Competition now hinges on technology and operational capabilities, rather than solely individual hosts. While less successful hosts may need to adapt or change professions, the demand for human authenticity is expected to persist, especially as AI-generated content becomes more prevalent.
