The Growing Problem of Ad Fraud and the Recent Methbot Attack
Fraud, particularly using “bots,” is increasingly threatening the effectiveness of online advertising and arguably calling into question the long-term viability of the industry. According to a recent study reported on by AdWeek, fraud from “bots” was projected to cost brands $7.2 billion in 2016, up from the $6.3 billion in 2015. Basically, “bots” are applications that perform automated tasks. While they can be used for legitimate purposes, in cases of ad fraud bots can “create millions upon millions of ad impressions that are seen by no one but often get charged to marketers as a viewed promotion.”
A recent article in AdWeek discussed some of the common ad fraud schemes. In one, called the “The Phony Traffic Broker,” writer Christopher Heine explained:
• A company wants to increase traffic to its site and goes to a traffic broker site that’s actually run by a fraudster, who promises volumes of highly qualified users;
• The fraudster deploys “bots” to simulate human traffic to the site; and
• The site’s views soar, advertisers pay the company for the increased traffic, and the fraudster gets paid for being the broker.