Bots are used for digital advertising fraud

The fraudulent digital advertising click industry is expected to cause a $ 42 billion loss by 2019, according to consultancy Juniper Research. Through a range of techniques ranging from bots to click farms, criminals make money on companies that see their marketing budget wasted.

“Fraud indicators in Brazil are high due to the great competition between advertisers”Says Michel Primo of ClickCease, an Israeli martech specializing in defense against such actions. There are no data on injury with such problems in the country, but it is estimated that losses correspond to 20% of the companies’ total budget.

How fake clicks happen

Generally speaking, fraud is divided into two categories. Click Frauds involve actions that force the advertiser to spend on clicks that were not made by real consumers. In this case, robots, for example, click consecutively on ads and make the person responsible for them pay for views that did not reach real potential customers – that is, there is no direct gain to the person responsible for the scam. “It is common for this to be done by competitors, for example,” says Primo.

Ad Frauds, on the other hand, are strategies that make companies pay for views and ad interactions on malicious websites without getting any advertising payback from it. An example is fake content pages that receive a high volume of traffic from automatic link redirects but don’t deliver any returns to the advertiser – here fraudsters profit.

Among the best strategies to prevent scams in digital advertising are software that monitors traffic and identifies abnormal behaviors, as well as the appropriate choice of partners that are part of the company’s marketing ecosystem. On its own, the problem will not go away. Still according to Juniper Research, the damage caused by fraudulent clicks is expected to hit the $ 100 billion annual mark by 2023.

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Artificial intelligence against fraud

To prevent this type of scam from weighing on the advertising company’s budget, ClickCease uses machine learning to establish which accesses are not spontaneous. This means measuring how long a person stays on the site after accessing it from a adas well as establishing behavior patterns that denote fraud.

“From there, we have the ability to block these IPs and make a refund opening with Google, for example,” says Primo da martech. He points out, however, that this is not a static process: “People who operate this type of scam are always changing access channels, so the defense needs to be constant because new IPs will be used.”

ClickCease serves both companies and agencies that produce and mediate campaigns for third parties. To demonstrate how much these ads are explored, there is a free 14 day demo. In Brazil since mid-2019, the expectation of martech It is reaching the end of the year with over one thousand customers.

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