With so many discussions about ad fraud in online marketing and how the ad tech industry is battling it, one can be forgiven if one is not familiar with the nitty-gritty details behind online ad fraud.
Dr. Augustine Fou presented the “State of Digital Ad Fraud” at RampUp 2017, a marketing technology conference in early March. This presentation embedded below is a great way to familiar oneself with why there is online ad fraud (hint: it is very profitable), how does online ad fraud and how it harms both publishers and advertisers.
Learn more about ad fraud from Dr. Augustine Fou:
Dr. Augustine Fou is an industry-recognized thought leader in digital strategy and integrated marketing, and former Chief Digital Officer of Omnicom’s Healthcare Consultancy Group. Dr. Fou has over 20 years of management consulting experience and hands-on experience in creating and optimizing marketing across traditional and digital channels. Dr. Fou teaches digital and integrated marketing at Rutgers University and NYU.
In February, GroupM published its annual overview on the state of digital marketing and its implications for advertisers. 2017’s report titled “Interaction“, outlines what the firm sees as the key issues and trends facing digital marketers during the coming year.
One key highlight in this report is an update to their 2016 report where they discussed the integrity of the complex issues in the digital supply chain including fraud, viewability, measurement and ad avoidance. GroupM believes that the ad fraud situation has been significantly contained due to aggressive industry responses to this threat.
“It is likely that 2% of the impressions purchased by the biggest advertisers in Western markets remain non-human. Bad as this is (0% is a good number for fraud), the speed of detection and countermeasures seem to have caught and outpaced the development of new fraud strategies.” the GroupM report stated. This progress is due to “new and better detection tools, a coalition of advertisers, publishers and buyers (The Trustworthy Accountability Group TAG) to deploy those tools; and a reduction in the demand for bad supply.”
Download the GroupM 2017 Interaction report directly or click on the cover below.
Related: Pathmatics is leading a panel discussion on March 22nd, 2017 to address how ad fraud, brand safety and other industry factors are changing the ad tech ecosystem.
Other highlights from the GroupM 2017 report include:
- Tools from MOAT, Integral Ad Science and DoubleVerify are well-equipped to measure and track viewability.
- Ad block usage has peaked and is stabilizing due to growth in app usage (which is closed to adblocking technology and better advertising that can improve the consumer experience. The Coalition for Better Ads, a cross industry initiative set up in the US in September 2016 will lead initiatives for the latter.
- Artificial Intelligence is growing its impact on the consumer experience. Devices like Amazon’s Echo and Google’s Google Home may become typical part of the everyday shopping routine.
- Cross channel marketing will become more normalized as consumers combine their digital and analogs together.
- The report also touches upon opportunities and challenges facing the digital media ecosystem in 2017 as well as subjects such as live video, the resurgence of audio, artificial intelligence and machine learning, AR & VR.