Mobile game and app markers are exposed to $5.4B in fraud | AppsFlyer
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Mobile game and app developers have been exposed to $5.4 billion in potential ad fraud during the economic downturn, according to a report from AppsFlyer. That’s more than twice amount of fraud compared to 2021 and 40% to 46% higher than in the second half of 2022.
The resurgence can be attributed to three factors, the report said. First, the distraction of marketers with the release of iOS 14.5, diverting attention and resources from fraud protection. Second, today’s marketers are facing trimmed budgets, creating pressure to partner with lower cost ad networks that offer fewer protections. And third, improved fraud detection leads to an increase in reported cases. That is, the industry is finding more instances of fraud.
The report is based on an aggregation of anonymized proprietary global data from 22 billion app installs from 24 thousand apps with at least 2,00 monthly installs from January 2022 to February 2023.
The second half of 2022 witnessed a 40% increase in average iOS app install fraud and 46% rise in average Android app install fraud. The economic downturn combined with the holidays forced marketers to focus less on security precautions in order to hit aggressive holiday KPIs.
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AppsFlyer said that bots are responsible for over 70% of fraud across all regions. Fraudsters turn to creating a fake user on a fake device rather than manipulating the attribution of a real user and device, in addition to click flooding and
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