Digital ad fraud has hit the U.S. market in record numbers, analysts say
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Digital ad insertion is a major problem for digital advertisers.
Digital ad theft is on the rise, and digital ad fraud is on track to surpass physical ad fraud by 2020, according to a report by a research group led by Gartner Inc.
Digital ad theft in the U, according the report, is up by about 5% annually over the past five years.
Advertisers are increasingly taking advantage of the new and often poorly designed digital ad platforms to steal ads from legitimate, high-quality advertisers.
Advertisers now steal ads by using a variety of digital ad tools to steal or remove them from a variety and often very small number of ad platforms, including Facebook and Google’s ad networks.
Gartner found that about $8.4 billion was stolen from the ad networks in the second quarter of 2016 alone, with more than half of the losses occurring from social media.
Gesture, which analyzes the volume and quality of digital ads and the effectiveness of ad-serving solutions, has warned that this growth in digital ad theft will pose a threat to the ad industry in the near future.
The report notes that digital ad delivery is not only a business opportunity for advertisers but also a threat for the ad system as a whole.
The rise of digital advertising theft poses a threat not only to the integrity of the ad delivery system, but also to the entire digital advertising ecosystem as a result of the increasing use of mobile ad platforms that are not always secure.
“There are no clear rules or guidelines that can be put in place to help mitigate the risk of this trend, particularly given that many of the largest ad platforms have not implemented robust security controls,” the report said.
The digital ad industry is facing a slew of new threats and vulnerabilities in 2016 that have raised the possibility of serious damage to the digital ad ecosystem.
Gartners report notes the most recent data from the FTC shows that nearly 1 billion dollars worth of ad dollars were stolen from mobile ad networks over the first quarter of this year.
Advertiser fraud has also become a growing threat for advertisers.
It can lead to the loss of millions of dollars in ad revenue for ad networks and could lead to advertisers losing their ad placements.
Digital ad insertion is a major problem for digital advertisers.Digital ad theft is on the rise, and digital ad fraud…
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