As a workable substitute for toxic PbTe-based thermoelectrics, GeTe-based materials are emanating as reliable alternatives. To assess the suitability of LiI as a dopant in thermoelectric GeTe, a prelusive study of thermoelectric properties of GeTe1−xLiIx (x = 0–0.02) alloys processed by Spark Plasma Sintering (SPS) are presented in this short communication. A maximum thermoelectric figure of merit, zT ~ 1.2, was attained at 773 K for 2 mol% LiI-doped GeTe composition, thanks to the combined benefits of a noted reduction in the thermal conductivity and a marginally improved power factor. The scattering of heat carrying phonons due to the presumable formation of Li-induced “pseudo-vacancies” and nano-precipitates contributed to the conspicuous suppression of lattice thermal conductivity, and consequently boosted the zT of the Sb-free (GeTe)0.98(LiI)0.02 sample when compared to that of pristine GeTe and Sb-rich (GeTe)x(LiSbTe2)2 compounds that were reported earlier.