{"id":296666,"date":"2020-02-10T05:00:00","date_gmt":"2020-02-10T05:00:00","guid":{"rendered":"https:\/\/integralads.com\/insider\/a-false-sense-of-security-emerging-ad-fraud-tactics\/"},"modified":"2024-11-14T11:20:52","modified_gmt":"2024-11-14T11:20:52","slug":"a-false-sense-of-security-emerging-ad-fraud-tactics","status":"publish","type":"post","link":"https:\/\/integralads.com\/apac\/insider\/a-false-sense-of-security-emerging-ad-fraud-tactics\/","title":{"rendered":"\u2018A False Sense Of Security\u2019: Emerging Ad Fraud Tactics"},"content":{"rendered":"

\"ad<\/span><\/span><\/span><\/span><\/p>\n

As more money pours into digital advertising the size of the opportunity grows for ad fraudsters, who are continually developing new schemes to evade detection and pilfer the riches from the advertising ecosystem.<\/p>\n

The World Federation of Advertisers (WFA) estimates that by 2025, over $50 billion will be wasted annually on ad fraud. While\u00a0Juniper Research says<\/span>\u00a0advertisers\u2019 total loss to fraud will rise to $100 billion by 2023. The money isn\u2019t just wasted, it\u2019s funding crime and incentivising the creation of malware which infections users\u2019 devices.<\/p>\n

While ad fraud detection tools are considered vital, marketers have also been warned they must keep up-to-date with changing fraud tactics, particularly as cookies become more scarce and new methods are developed to target digital ads to users.<\/p>\n

\u201cPeople can get a false sense of security if they adopt one particular protection that might solve one area but it will incentivise the bad guys to go elsewhere and create new ways of exploiting fraud,\u201d said James Diamond, Managing Director Australia and New Zealand of verification provider Integral Ad Science.<\/p>\n

He used the example of ads.txt which has done a good job of\u00a0solving the problem of domain spoofing, where a low-quality website masquerades as premium publisher to attract ad bids, but that success means the fraudsters are looking for other ways to monetise the bots they\u2019ve built and acquired.<\/p>\n

Diamond described the process as an arms race, with IAS having to constantly build its capability and the broader industry needing to stay abreast of changes.<\/p>\n

In particular, the diminishing role of third party cookies<\/a>, either mandated by regulation like GDPR or enforced by tech platforms owned by the likes of Google and Apple, will have ramifications for fraud.<\/p>\n

\u201cA lot of fraud leverages the cookie,\u201d Diamond said.<\/p>\n

For example in the case of cookie stuffing,\u00a0fraudsters try to game attribution models by adding a cookie to a user from an entirely different website from the one that the user originally visited. If the user later converts, the website associated with the stuffed cookie gets credit \u2014 and gets paid \u2014 for that action.\u00a0<\/b><\/p>\n

\u201cOne of the things that makes fraud profitable is you can build a very attractive user profile through the cookie, by collecting these really valuable cookies from luxury car websites or browsing content makes you attractive to particular advertisers.\u201d\u00a0\u00a0<\/b><\/p>\n

In markets like Europe where it is getting harder to leverage cookies due to regulation like GDPR, the bot herders can choose to radically change the technology they have built or redirect their efforts to a geography where those restrictions do not yet apply. According to Diamond they are doing a combination of those two things.<\/p>\n

As a result, Australia with its less strict privacy legislation becomes a more attractive target for fraudsters.\u00a0\u201cYou\u2019ve got bot herders who have created bots and have been monetising those bots in Europe, where it\u2019s becoming more difficult [to operate] as a result of things like GDPR. As a result, they are switching to less regulated markets.\u201d<\/p>\n

Cookie Alternatives\u00a0<\/b><\/p>\n

The advertising industry is currently working on a replacement for third party cookies. Diamond highlighted two likely outcomes that may stem from this effort; the cookie might be replaced with a similar kind of tracking technology, or the industry reduces its reliance on audience-related data and uses contextual and location-based data as a proxy for audience. Both have implications for ad fraud.<\/p>\n

Diamond argued that simply replacing the cookie with another kind of tracking technology would be a mistake, and one malware creators will be able to quickly adapt to.<\/p>\n

\u201cIt\u2019s not the cookie itself that\u2019s the problem, it\u2019s what it does in terms of its impact on personal information,\u201d he said.<\/p>\n

\u201cIf you replace that function with just another piece of technology that\u2019s not called a cookie\u00a0\u2014\u00a0call it a fingerprint or something else\u00a0\u2014\u00a0the problem still exists and the bot herders and the malware creators will just leverage whatever that new piece of technology is that\u2019s used to identify individuals.\u201d<\/p>\n

In the latter scenario marketers would use location, where the user is, and context, what kind of content they are viewing, to make an assumption about which ad to show the user.<\/p>\n

\u201cIf you think about how the market used to leverage cookies to do audience re-targeting, as cookies are becoming harder to come by as a result of GDPR and various other types of legislation, people are using either location or context as a proxy for audience.\u201d<\/p>\n

\u201cThe shift away from audience-based information and more to contextual and location-based information will be a trend. The impact for malware is people will start to spoof their location.\u201d<\/p>\n

Similarly, context can also be exploited. Diamond warned marketers building campaigns targeting a specific subject will need to be careful that the sites are legitimate sites and haven\u2019t been tailor made to capture ads in that subject.<\/p>\n

The article first appeared on Which-50. Stay protected against ad fraud by speaking to us today!<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

As more money pours into digital advertising the size of the opportunity grows for ad fraudsters, who are continually developing new schemes to evade detection and pilfer the riches from the advertising ecosystem. The World Federation of Advertisers (WFA) estimates…<\/p>\n","protected":false},"author":1,"featured_media":296667,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[222,223,218],"tags":[],"class_list":["post-296666","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ad-fraud-apac","category-brand-safety-suitability-apac","category-insights-apac"],"acf":[],"yoast_head":"\n\u2018A False Sense Of Security\u2019: Emerging Ad Fraud Tactics - Integral Ad Science<\/title>\n<meta name=\"description\" content=\"As more money pours more into digital advertising, the opportunity grows for ad fraudsters. 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