Using Automator to change folder icons

Hello, I've searched the forum for a solution to this but I've come up on quite a few dead ends. I am hoping to automate the process of changing a folder icon using an image supplied within the folder itself. I've made a folder action to unzip the files I download, go into the folder created and source the only item/png labelled "preview". I have a "watch me do" that copies the image to clip board (seems to be working fine), but the "watch me do" of get info on the original file gives me this error: (OSStatus error -50.) saying it couldn't be completed.

Is there a way to automate this process? Think of downloading loads of album music and wanting the file icons to be the album artwork that is in each file (there is an older/similar post for this exact thing, but the links referenced there don't seem to work anymore).

What I am actually doing is downloading 3d files for visualization using v ray and want to be able to easily identify the folder's contents as I scroll through. See image below for the difference in folder icon/desired action to automate.

edit: this is the original thread I referred to (still apple community link): Apple Community- Automator/Folder Icon

I also found this thread (bak folder icons), but don't know if I can/how to apply it to my situation with PNG's for folder images. If it helps, this is generally what the inside of the folder looks like: