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Ad fraud's newest targetsOnline ad companies are trying to stamp out a new ad fraud scheme, and its existence shows 130 million things wrong with the digital ad industry. Well, maybe I exaggerate. But that's the amount that Hydra, as it's called, is estimated to be costing advertisers.
In a nutshell, Hydra creates fake app traffic, defrauding marketers whose ads never get seen by actual humans. Experts agree it's more sophisticated than past ad fraud operations because the impressions are being sold through many networks, which makes it easy to escape detection.The online ad industry never seems to be rid of fraud. A few reasons experts tell me this is the case:
- It's where the money is ($333 billion, to be exact). As much as ad companies throw resources at the problem, fraudsters keep one-upping them.
- The total amounts of fraud operations sound impressive, but its impact on individual advertisers is easier to ignore.
- It's hard to get online ad companies to do the coordination needed to take down fraudsters. While other industries like banking have established threat-sharing systems, online ad companies aren't crazy about revealing vulnerabilities to competitors.
- It's not in marketers' interest to focus on it. Considering the average CMO tenure is getting shorter, they have bigger, more visible fish to fry. Other than Uber suing its agency in 2017 for allegedly running fraudulent ads, when was the last time you heard of a marketer taking action on fraud?
Read more: Inside Google and others' struggle to stop an advertising-fraud scheme that's skimming $130 million from the industry
The metrics that matter in influencer marketing
With the pandemic cutting into ad spending, brands that are still spending want to know they're getting results, and
Read more: The Instagram metrics that brands are using in 2020 to decide whether to hire an influencer and to measure campaign performance
Ad agencies announce diversity stepsProtests against racism and police brutality have Corporate America examining their past diversity efforts and asking why they've fallen short.
Now, changes are afoot.
Omnicom committed to expanding its employee-resource group, its diversity and inclusion leadership team and work with a larger number of related nonprofits, and requiring unconscious-bias training for all employees. Havas said it would track its diversity numbers each quarter and publicize them annually, diversify its internship program, rethink its recruiting processes, and require executive training, among other steps.It's just the beginning, but as one industry critic said of
- Ad giant Omnicom releases diversity numbers showing 5.5% of US staff is Black — read the internal memo outlining CEO's 8-step action plan
- Fewer than 3% of US executives at ad giant Havas are Black. Read the deck outlining its ambitious plan to increase diversity.
- VCs pick 6 hot media startups to watch this year that are focused on YouTube, Instagram, and TikTok creators
- Current and former staff at gaming giant Ubisoft make new allegations of sexual harassment and HR failures, warning senior staff exits won't alter 'deep-rooted, toxic' culture
- 9 YouTube creators break down their exact monthly incomes from the platform — from under $600 to over $140,000
- Amazon wants to put a waist-high robot in your home. The secretive project's facing high staff turnover, doubts over a $1,000 price tag, and visits from Jeff Bezos.
- McDonalds is permanently closing 200 locations across the US as it reports lowest quarterly profits in 13 years
- How the Hamptons got even bougier in summer 2020