Half of web traffic isn’t human, leading brands to lose $6 billion every year to “fake” impressions.
When we think of key performance indicators (KPIs) and success metrics, “clicks” still come to mind. Our metrics are still heavily performance-based, and advertisers still demand to see these numbers.
These demands drive vendors to purchase cheap inventory, which may translate to more counted conversions, but little to no increase in sales, revenue, or ROI. And as more and more media are bought and sold in programmatic environments, the rate of ad fraud, as well as the sheer number of transactions occurring daily, is only going to increase due to a lack of human transparency.
Open exchanges offer a cornfield of sorts for the fraud industry: The fake sites, or sites riddled with bots, are primed to inflate whatever KPI is needed to hit an advertiser’s goal.
And with their backs against the wall, buyers have had no choice but to shift budget to those “high performing” environments.
Ultimately, the buying and selling process within the industry has long supported the existence of ad fraud. Wherever media spending is significant, fraud has the potential (and demand) to grow.
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