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Major Impacts of Digital Ad Fraud on Your Business

by | May 26, 2021 | Digital | 0 comments

You might think that digital ad fraud doesn’t affect your business on a large scale. But, reports say otherwise. It not only impacts your brand affinity but also snatches a huge sum from your revenues. So, what actually is digital ad fraud? Ad fraud is an illegal activity by scammers which prevents the proper delivery of your ad to your targeted audience. Simply, it provides fake traffic to your site by bots. The Internet Advertising Bureau (IAB), found that nearly 36% of web traffic is fake. Ad fraud has become a global concern among digital marketers and publishers.  It is a major cybercrime that that affects advertisers across industries. It is ranked 4th after gun trafficking, human trafficking, and narcotics.

What are the Impacts of Ad Fraud on Your Business?

The impact of ad fraud on your business is huge with very limited risks of getting exposed. According to a survey by Juniper in 2019, Advertising businesses had seen a whopping $42 billion loss due to digital ad fraud, predicting it to increase to $87 billion by the end of 2022.

Fraudulent Web Traffic and CTRs: Fraudulent Web Traffic is created by bots, a type of software that stimulates internet traffic. Scammers use bots to create false impressions and direct you to illegitimate web pages via clicks. Businesses receive bots impressions which have a direct impact on their click-through-rates. A campaign may look successful in terms of engagement, but that doesn’t always imply actual human traffic. Thus, all the effort you put into your advertisement becomes worthless.

Brand Reputation: When visitors are welcomed with click fraud, multiple ad injection, and other techniques when visiting your website, it will directly give a bad impression and a terrible experience to them. You will ultimately lose the credibility of your brand.

Loss of Revenues: If your campaign receives a large number of views but fewer actions taken forward, you are most likely a victim of Ad Fraud. False impressions manipulate the metrics of your campaign, lowering the value of your ads and resulting in loss of revenues.

How to Prevent Ad Fraud:

Ad fraud is not easy to get rid of; however, you can reduce the risk of getting exposed to ad fraud by measuring some tactics. The most effective way to prevent Ad Fraud is to choose a transparent and strict platform. Monitor your campaigns using such software to know your traffic source.  Watch out for sudden spikes in traffic for no real reason.  Keep an eye on the data to get the actual performance and conversion rate of your campaign. Optimization enables you to safeguard and scale your ad campaigns. Check and utilize services from reputed fraud detection companies that are committed to building innovative tools and strategies to prevent and eliminate digital ad fraud.

We, at Aiplex, are dedicated to giving a seamless experience to our clients with integrated strategies that work and results that matter. Drop us a line to know more.


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