Ad Fraud Statistics

For some years, ad fraud has been a frustrating problem for the digital advertising industry. The problem has become worse alongside the popularity of programmatic advertising. Recent data on ad fraud shows that it has reached genuinely astonishing proportions. In this piece, we’ll examine some of the most important metrics and discuss what they signify for marketers click fraud protection.

What is Ad Fraud?

Let’s start with a definition of “ad fraud” before diving into the numbers. Ad fraud, or fraudulent advertising, occurs when an unnaturally high number of impressions or clicks on an advertisement is generated for financial gain. Many methods exist for accomplishing this, including the use of automated software, click farms, and malicious software.

Ad Fraud Statistics: The Scale of the Problem

According to recent ad fraud statistics from NoBotClick, the scale of the problem is truly alarming. Here are just a few of the key figures:

• Ad fraud cost advertisers an estimated $42 billion in 2019
• In 2020, the average ad fraud rate was 12.1%
• Programmatic advertising is particularly vulnerable to ad fraud, with an estimated 20-30% of programmatic ad impressions being fraudulent
• Mobile app install fraud is on the rise, with an estimated 35% of app installs being fraudulent

These figures paint a worrying picture for advertisers. Not only is ad fraud incredibly widespread, but it’s also costing them a significant amount of money.

The Impact of Ad Fraud

What, therefore, is the effect of ad fraud on business owners? In addition to being a waste of money, ad fraud may cause problems for businesses in a variety of other ways, such as:

• Advertisers’ money is wasted when they fork over cash to cover the costs of fake clicks or impressions. This may have serious repercussions for their bottom line.
• Ad fraud reduces advertising campaigns’ return on investment. The campaign’s return on investment (ROI) will suffer if a sizable number of ad views or clicks are false.
• Lastly, ad fraud may be detrimental to advertiser reputations by tainting consumer perceptions of their brands. Their reputation may suffer if their adverts show up on fake websites.

Fighting Ad Fraud

Considering the scope of the issue, it’s evident that action is required to stop ad fraud. Advertisers may, thankfully, safeguard themselves in a number of ways. Among these are:

Advertisers can benefit from the identification and prevention of ad fraud through the use of several types of technologies.

Whilst software aids in monitoring, nothing beats having a human present as well. Monitored advertising campaigns allow companies to detect and counteract instances of fraud.

At long last, ad verification services give marketers peace of mind, ensuring that their ads are being seen to the intended people and in the proper contexts.

Conclusion

There is a significant issue with ad fraud that is costing advertisers billions of dollars annually. The good news is that marketers can safeguard their budgets and reputations by adopting measures to identify and counteract fraud. Ad fraud may be combated and advertising dollars spent efficiently with the correct technology and methods.