<img height="1" width="1" style="display:none" src="https://www.facebook.com/tr?id=134132097137679&amp;ev=PageView&amp;noscript=1">

2019 ad fraud predictions

The battle against ad fraud is ongoing, and despite the gains made in 2018 — our industry exposed several big ad fraud schemes across desktop, mobile in-app, and Connected TV/OTT devices this year — overall ad fraud rates continue to rise.

Pixalate CEO Jalal Nasir brings you six ad fraud predictions for 2019. Watch the video and see the full predictions below:


#1: Connected TV/OTT ad fraud attacks have only just begun

  • We’ve seen one example of how fraudsters can take advantage of the budding CTV/OTT space (Business Insider)

  • CTV/OTT ad fraud schemes will only grow in scale and complexity (Pixalate)

  • Tru Optik estimates a 62% uptick in OTT ad spend 

    • However, there’s also double-digit ad fraud rates (19% in OTT, per Pixalate) 

  • Measurement and standardization have not caught up with this space — even as ad spending skyrockets

    • Fraudsters will continue to follow the money

#2: Mobile in-app ad fraud schemes will continue to be unearthed

  • MegaCast was one of the biggest examples of an apparent mobile app ad fraud scheme (BuzzFeed)

  • Other app-based attacks have also been unearthed (BuzzFeed) 

  • App stores need to take more control over the apps that are allowed onto their 

    • Continuous monitoring of the apps will also be paramount 

  • App ads.txt will help, but the in-app space remains ripe for the picking 

#3: Increased consequences for those who commit ad fraud will lead the industry to be more transparent

  • The DOJ’s recent crackdown on an alleged ad fraud operation shows that, in some cases, there are consequences for ad fraud (AdExchanger)

    • This case set a precedent for holding fraudsters accountable 

  • We believe law enforcement will stay involved, but fraudsters will remain relatively uninhibited

    • Monetary rewards for ad fraud remain far too great, and law enforcement involvement is not yet the norm

  • Rooting out ad fraud requires transparency and industry-wide collaboration 

    • With so many big ad fraud schemes being exposed in 2018, the scale of the problem has been revealed 

  • The tides are turning on breach disclosure, and companies will no longer remain quiet

    • Historically, affected companies have been quiet whenever an ad fraud breach occurs, which ultimately allows the fraudsters to remain undetected for even longer 

#4: Big players will adopt mobile in-app ads.txt quickly

  • From a technical perspective (for publishers), it’s similar to ads.txt for desktop and mobile web.

  • We predict top-tier app publishers will quickly adopt ads.txt, but the ‘long tail’ will take longer than it did on desktop

  • The greatest risk to adoption lies with the app stores, as they will be required to play a part

#5: Brands will take more control of their ad fraud prevention tech as ‘in-housing’ evolves to its next phase

  • Brands have built or mastered in-house tech platforms, and as they execute their own advertising, they will mature to add their own ad fraud protection

  • The evolution of in-housing is now turning focus toward improving media quality and protecting investments

  • Brands want to take more control of the money they are losing to ad fraud

    • Cost efficiencies are the #1 benefit to U.S. companies going “in-house” (eMarketer) 

#6: Double-digit ad fraud rates will persist

  • Despite the positive impact of some industry-wide initiatives — like ads.txt — double-digit ad fraud rates persist and ad fraud continues to grow (Pixalate)

  • Overall invalid traffic (IVT) rates in the U.S. are 16.6% (Pixalate)

  • Global mobile in-app ad fraud rates are 17.1% (Pixalate)

  • Global OTT ad fraud rates are 19%, while U.S. OTT ad fraud rates were 18% (Pixalate)

Want more data-driven insights? Sign up for our blog! 

Popular Posts

What is OTT and how is it different from video?

How we uncovered millions of dollars in mobile app fraud

MRC Definitions for Invalid Traffic: SIVT and GIVT

MRC Viewability Standards: What It All Means