Advertising fraud in the APAC region is predicted to cost advertisers roughly $56 billion by 2022, according to new research from TrafficGuard, the fraud detection company.
The prediction marks an increase of $19 billion from 2018.
Although marketers are beginning to recognize and take action on advertising fraud, the volume across the entire APAC market region remains high with some lesser known impacts of ad fraud potentially hitting them.
TrafficGuard pointed to downstream media spend that can be wasted during the process of traffic acquisition and sometimes advertisers may not be blocking invalid traffic despite being able to detect it.
This can lead to eroding trust between agencies and clients.
For such a lucrative industry, digital advertising has been falling behind when it comes to security. Existing fraud mitigation solutions are merely scraping the surface, and the lack of anti-fraud specialists is unsettling,” said Luke Taylor, founder and chief operating officer of TrafficGuard.
Fraud was most notable in countries including South Korea, Japan, Australia, Indonesia and China in line with higher app usage of up to five hours per day.
TrafficGuard recommends the use of a multi-point fraud prevention solution, which provides real-time blocking of fraud at multiple levels of the advertising journey.