Advertising fraud is most prominent in North America and the Europe, Middle East and Africa region (EMEA) and least common in Asia Pacific, according to data from fraud and brand safety management company DoubleVerify.
Across desktop, mobile and connected TV devices, North America had an advertising fraud rate of 2.1% with EMEA close behind at 2.0%. Latin America places at 1.5% while Asia Pacific performs best at 0.9%.
Countries in the EMEA region take the top spots for advertising fraud – the United Arab Emirates places first (3.6%), followed by France (3.3%) and the UK (2.3%). The UK and France alone account for nearly two-fifths of European online advertising spend.
EMEA is also seeing advertising fraud worsen, with its rate increasing 13% compared to 2019. At the same time, APAC ad fraud dropped 49%, Latin America fell 41% and North America dropped 38%.
Across Asia Pacific, Malaysia (0.3%), Vietnam, the Philippines, Japan and India (all 0.6%) see the lowest rates. Data transparency, education and independent measurement are some of the steps used to tackle the issue in India.
By industry, fraud is most common for the media & sports (3.0%) and travel (2.9%) categories. As a result, advertisers in these categories will need to make every dollar count, particularly as transport & tourism adspend is expected to drop by one-third (31.2%) this year.
Globally, consumer packaged goods (CPG) (1.5%) and the health & pharma industry (1.8%) see the lowest rates of advertising fraud. Both categories have seen benefits from the coronavirus outbreak, whether attracting customers or engaging new audiences.
DoubleVerify also reports a rapid increase in connected TV fraud, up 161% in Q1 2020, driven by growing advertiser investment and a failure of existing tools to tackle the issue on emerging media. Some major advertisers like Unilever and Diageo are turning to 'trusted trader' schemes to help tackle ad fraud.