TikTok is taking a firm step toward automated advertising. Starting September 1, TikTok will require all advertisers promoting products on TikTok Shop to use its AI-driven GMV Max campaign tool. According to Business Insider, GMV Max will become the only way to run TikTok Shop ads, ending options for manual targeting and campaign management.

GMV Max was introduced in October 2024 for U.S. merchants and earlier this year for UK advertisers. The AI-powered tool uses an algorithm to automate ad delivery across TikTok. The tool decides ad placements, adjusts creative exposure, and controls spending in real-time. Advertisers will only be able to set budgets and return-on-investment goals. From there, the system automatically manages how campaigns run.

Currently, advertisers can manually select target audiences by age, gender, or location. They can also choose where ads appeared, such as TikTok’s feed or partner apps, and control bidding strategies like cost per click or cost per acquisition. With GMV Max taking over, those controls may no longer be available.

This update builds on TikTok’s earlier policy in July, when GMV Max became the default option for campaigns using the Sales objective. The new requirement now covers all TikTok Shop advertising.

Advertisers raise concerns over control and transparency

According to Business Insider, some advertisers are concerned about the change. Ad buyers said it makes it harder to track performance outside of TikTok’s closed ecosystem. For example, GMV Max credits all purchases made during a campaign to the tool, even if users did not see an ad, raising questions about how performance is measured.

Without visibility into audience data, placements, or influencer performance, advertisers could struggle to connect TikTok Shop outcomes with broader marketing strategies. Agencies also argue that the lack of transparency limits their ability to integrate TikTok performance with wider marketing plans.

While many accept that automation is becoming the norm in digital advertising, some advertisers believe TikTok’s move is premature. “GMV Max has not yet proven itself effective for every advertiser,” one buyer told Business Insider.

Smaller merchants on TikTok Shop, however, have welcomed GMV Max, especially for features like ROI Protection, which issues credits if returns fall below 90 percent of campaign goals. For these sellers, the automated approach reduces the complexity of managing ads.

Larger brands argue that being forced into GMV Max removes the ability to test creative approaches, refine targeting, and pull granular insights that inform wider campaigns across multiple platforms. For them, GMV Max feels like a “black box” that disrupts established marketing workflows.

Industry-wide shift toward AI advertising

TikTok’s strategy mirrors moves at other tech platforms. Google and Meta are also phasing out manual advertising controls in favor of AI-driven systems. For example, Meta has begun removing detailed targeting options in Ads Manager, as part of plans to allow AI to handle the entire ad targeting process. The company is shifting toward AI-powered recommendations. Google is also reducing manual campaign settings, such as language targeting, in favor of AI systems that automatically detect user preferences.

The difference is that TikTok’s approach is immediate and mandatory. Advertisers said the decision to make it compulsory so quickly leaves them with little choice. Agencies worry this kind of forced shift may reshape how brands measure success, plan campaigns, and even how agencies themselves operate.

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