I think most laypeople understand the simple statement, "it's a parrot."
I had the original author of this paper reach out to me about my plagiarism video on Mastodon:
https://dl.acm.org/doi/10.1145/3442188.3445922
The idea of a lossy JPEG/Parrot helps capture the idea that there are dangers and opportunities in LLM's. You can have fake or doctored images spread, you can have a Parrot swear at someone and cause un-needed conflict - but they can also be great tools and/or cute and helpful companions, as long as we understand their limitations.