Complete Story
03/16/2017
Ad fraud problem could be more than twice as big as thought
The global online ad fraud problem could be costing advertisers more than twice as much as first estimated, according to new research released on Tuesday.
A study commissioned by WPP ad agencies The&Partnership and conducted by ad verification company Adloox estimates advertisers could be wasting $16.4 billion to fraudulent traffic and clicks manufactured by bots in 2017. That is more than double the $7.2 billion the Association of National Advertisers estimated would be lost to ad fraud in 2016.
The World Federation of Advertisers, meanwhile, predicted last year that ad fraud will cost advertisers $50 billion by 2025, describing the malpractice as an organized crime "second only to the drugs trade."
Adloox conducted its study across 200 billion daily bid requests, 4 billion ad calls, and 10 billion ad impressions a month, over a period of 12 months.
