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Top Ad Networks Partner to Fight Ad Fraud with Adjust
Published on September 19, 2017 • Martech Advisor
Berlin And San Fransisco: Today Adjust announced the expansion of its Coalition Against Ad Fraud (CAAF) with a new set of strategic partners and guidelines for entry. All CAAF members have contractually undersigned these guidelines in order to participate in the fight against fraud. New members AdAction, AdColony, AppLift, Aarki, Dynalyst, Fyber, i-mobile, Inmobi, IronSource, Jampp, Liftoff, Nend, Remerge, Vungle and YouAppi join a growing list of platform leaders that have pledged to tackle mobile ad fraud head-on, working closely together to develop new solutions that further benefit advertisers being plagued by fraudulent traffic, with the aim of disincentivizing fraud even further.
With mobile in-app ad spend topping over $5.6 billion in the US last year, performance ad fraud is a problem that advertisers and networks can no longer afford to ignore. Adjust, the industry leader in attribution and analytics was the first platform with a commercially available offering of tools that directly prevent performance mobile ad fraud with its Fraud Prevention Suite (FPS). Since the launch of FPS, many companies have been quick to follow, although none are currently actively preventing and denying attribution of fraudulent engagements.
Christian Henschel, CEO of Adjust, said: “Since announcing our plans for a coalition last year, we’ve received widespread interest from prominent platforms to join our efforts in the fight against ad fraud, so we’ve created a program where we can work with partners that adhere to our guidelines that will help us mitigate the billion-dollar fraud market. It’s a critical issue plaguing every publisher in the mobile industry and it’s imperative that every facet of the advertising ecosystem work together to succeed. With CAAF, I believe we’ll continue to gain traction on preventing fraud.”
Fraud rates vary depending on both the network and publisher, and can range from <1% to over 10% of total media spend. These rates can change dramatically when fraudsters are cut off from their earnings, quickly switching to other offers or even networks as soon as they realize they aren’t being paid - this is why it’s imperative to deny attribution at the source; a main focus of CAAF. Currently Adjust’s FPS is actively denying fraud from being attributing to the tune of approximately $1,000,000 a day in saved ad budgets. Apps from companies like Rovio, Careem, and Viber are all using Adjust’s FPS.
Brian Fox, CEO of AdAction about the coalition: “We’re all seeing how ad fraud is negatively impacting the mobile industry and what’s at stake for the future if things don’t change. Joining CAAF gives us the opportunity to take a united stand with other industry experts, sharing our knowledge and experiences to help develop high-quality technology that prevents fraud and eliminates the rate at which it’s impacting advertisers’ ad spend.”
Yasuhiro Kai, Director of i-mobile Ad Network Department, about the coalition: “We are joining CAAF because we want to eliminate ad fraud and provide an environment where advertisers can run mobile ads with confidence. In order to fight mobile ad fraud, we are committing to data transparency and technological development so that we can provide an even better product for our clients.”
CAAF has defined a set of guidelines that members must adhere to, which includes further establishing what constitutes performance fraud in alignment with IAB standards, committing to latency guidelines, and agreeing who is responsible for dealing with it. An example of this is agreeing to reject poached organic traffic, cutting off the money supply to fraudsters running these widespread schemes. The responsibility of this rejection is reliant on two parties agreeing and working together - the attribution provider detecting and rejecting the fraud, and the networks not charging advertisers for fraudulent activity with a commitment to kicking out fraudulent publishers from their system.
Added Henschel: “Fighting fraud in the mobile advertising industry breaks down if we don’t work together, so developing and adhering to these guidelines is critical. We just can’t go it alone, we’ll be more effective in preventing mobile fraud together.”