• by Tyler Loechner  @mp_tyler, November 5, 2014

It did not take too long for AppNexus’ plans to combat the apparent rampant ad fraud issues it has to come to fruition.

AppNexus, a large independent ad tech company that sits as close to the middle of the digital ad ecosystem as any other, on Wednesday announced the soft launch of its "Certified Supply" program together with partners including DoubleVerify, Integral Ad Science, Microsoft, PubMatic and Xaxis. The program is expected to fully launch in Q2 2015.

AppNexus will examine all of the inventory flowing through its exchange, as will the independent third-party verification tech partners, DoubleVerify and Integral. Verified human traffic will then be labeled as “Certified Supply" before being sold. The company asserts that “if fraudulent of mislabeled invalid inventory has been detected, the buyer will not pay for the purchased inventory.”

AppNexus, Microsoft, PubMatic, Xaxis and others will use the “Certified Supply” label when transacting via programatic channels.

"We believe eliminating fraud is one of the primary ways to elevate the conversation with buyers and commit more brand dollars to programmatic inventory,” stated Larry Allen, SPV of business development at Xaxis.

It’s a timely announcement for AppNexus, as just last month AdExchanger reported that a hefty amount (30% to 40%) of the impressions on AppNexus are “impossible to verify,” while Brian O’Kelley, AppNexus CEO, acknowledged that there are “trust” issues between buyers and AppNexus. In that interview with AdExchanger, O’Kelley noted that AppNexus was hopeful to soft launch the certified supply program by the end of 2014. The company beat that goal by nearly two months, but again, the official unveiling of the program is not expected for several more quarters.

AppNexus recently added Elisabeth DeMarse, chairman and CEO of TheStreet, to its board of directions. In a Q&A with Real-Time Daily, DeMarse backed O’Kelley and his plans to combat fraud, calling him a “technologist” that’s "keenly aware" of the tech side of the industry. “He’s completely on top of this,” she asserted.

“Our mission at AppNexus is to create a better Internet, and helping to forge a responsible online advertising ecosystem is a fundamental part of that undertaking,” O’Kelley said in a prepared statement. “We’ve invested heavily in quality initiatives and the introduction of an open Certified Supply Program to create the most trusted supply on the Internet is a major leap in the right direction. Buyers should be informed about what they’re purchasing, and if they’re getting fraudulent inventory, or invalid supply, they shouldn’t have to pay for it. Over time, we believe a clear and collaborative approach by industry leaders will discourage invalid supply altogether.”

"We're proud to partner with AppNexus on their newest initiative to build transparency and trust in the digital supply chain," stated Wayne Gattinella, CEO and president of DoubleVerify.