Bismuth telluride (Bi 2 Te 3 ) and its alloys are among the best thermoelectric materials at room temperature. Bi 14 Te 13 S 8 , a material with a similar crystal structure, contains sulfur that can potentially improve the thermoelectric performance through widening the band gap and reducing the lattice thermal conductivity. This compound forms in sulfur-added Bi 2 Te 3 alloys. Here, a polycrystalline iodine-doped Bi 14 Te 13 S 8 sample is investigated; an optimum iodine concentration of 1 at. % resulted in the power factor of 3.5 mW 2 •m −1 •K −1 at room temperature. Iodine doping reduced the lattice thermal conductivity by more than 30% by enhancing the phonon scattering. An improved thermoelectric figure of merit zT of ∼0.29 at 520 K was obtained for 1−1.5 at. % iodine-doped Bi 14 Te 13 S 8 . First-principles calculations indicate that Bi 14 Te 13 S 8 has a larger band gap compared to bismuth telluride, which allows for a reduction in the bipolar effect; however, a lower effective mass reduced the thermopower for a similar carrier concentration. This study demonstrates that tuned iodine doping can effectively optimize the thermoelectric performance of Bi 14 Te 13 S 8 , highlighting its contribution in multiphase sulfur-alloyed Bi 2 Te 3 -based materials.