Digital Advertising Fraud Expected To Hit $68B Globally In 2022
- by Fern Siegel , February 22, 2022
The value of digital advertising spend lost to fraud will reach $68 billion globally in 2022, according to Juniper Research. It was $59 billion in 2021.
The report "Digital Advertising Fraud: Key Trends, Competitor Landscape & Market Forecasts 2022-2026" pinpointed the five countries most affected by ad fraud: U.S., Japan, China, South Korea and UK. Together, they account for 60% of global losses.
The U.S. is expected to account for 35% of ad fraud losses this year, an estimated $23 billion in 2022. It's the largest market for digital ad spend.
The report suggests these top markets push ad fraud detection efforts to ensure it can distinguish between valid and fraudulent traffic. An alliance with prevention vendors will help curb such actions and deliver reliable ROI.
"With the U.S. representing such a significant market in terms of advertising spend, campaigns in North America will undoubtedly attract the attention of fraudulent players," said Scarlett Woodford, the research author. "This will lead to unprecedented innovation in fraud tactics within the US, with advertisers demonstrating a greater requirement for fraud detection and mitigation services."
advertisement
advertisement
One of the big reasons why there have been an explosion in online fraud is because of ICANN expansion of domain name extentions. These domain name extentions like .XYZ, .INFO and many more are sold so cheap, including free privacy now, that the bad guys buy these names to then send a flood of emails with "affiliate ads" and load up the search engines and interconnect names. I know because I can "disavow" in Google a 100 names a week only to see new ones.
To help fix a part of this problem, I would suggest to eliminate all domain name extention except .COM, .NET, .ORG. Then to have ICANN actually do security checks of each domain they make money on within the search engines.