Digital Ad Fraud: The Potential Threats and how Businesses can Protect Themselves

“To track and stop ad fraud, businesses can select partners who have reliable ad verification tools. This will ensure that the businesses reach real users, ensure the effectiveness of their campaigns and will also prevent the waste of budget on ad fraud,” says Himanshu Nagrecha, Vice President, India & South Asia, TrafficGuard, an ad verification and fraud prevention company. In this interview with Adgully, he throws light on tips on reducing ad fraud risk for companies, the consequences of not using ad-fraud protection for digital marketing agencies, the numerous possibilities for malicious behaviour in the world of digital advertising, etc. Excerpts:

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Could you share some tips on reducing ad fraud risk for companies that are just starting with digital advertising?

Digital advertisements have become a crucial part of the marketing agenda for businesses. It has enabled them to explore new avenues and target potential customers, and it has also improved their growth prospects. However, digitalization also has two sides. The risks of ad fraud remain a potential threat for businesses of any type and size. However, not everything is doom and gloom. There are robust ways through which companies can potentially lower their risks.

Primarily, the firm needs to understand their ad fraud type, as it will give them a bigger picture and also aid them in choosing the apt remedy.

Some of the common types of ad fraud are NHT (non-human traffic), click fraud, ad stacking, domain spoofing, viewability, and others. Once a company has a better understanding of these frauds, they can take necessary preventive measures. These measures can include best practices that reduce the susceptibility to ad fraud while also ensuring that advertising campaigns are seen by real people.

Companies select partners (publishers, agencies, and ad networks) on the basis of performance, reputation and track records.  In order to know what works best for them, businesses can always inquire about their partners' configurations, technology, and fraud protection strategies. The wide range of abilities or technology that these partners possess is a crucial factor to take into account when choosing a partner.

To track and stop ad fraud, businesses can select partners who have reliable ad verification tools. This will ensure that the businesses reach real users, ensuring the effectiveness of their campaigns and will also prevent the waste of budget on ad fraud. Additionally, techniques like CAPTCHA and two-factor authentication, as well as steps like limiting the number of ads that can be served on a single page, can be used to prevent click fraud. The placement of the ads can also be managed using whitelists and blacklists, ensuring that only trustworthy websites receive them.

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