Advertising fraud is still a challenge for marketers in APAC with install fraud, causing the most problems. AppsFlyer’s data shows that app install fraud is 60% more in APAC than the global average.
The area has high marketer demands which shape the fraud. There is a large number of fraudulent traffic in CPA business models and local networks.
In six months, the financial exposure got to $650 million.
More than 50% of non-organic installs on apps in the finance sector were fraudulent. Finance apps saw 2.5X more fraud rates than other categories in South Korea, Thailand, Indonesia, Vietnam, and Malaysia.
Meanwhile, travel and shopping app fraud rates reached 35% while gaming apps had 6% fraud rates.
Japan reported the lowest rates of fraud in the region.
Attacks based on bots were prevalent in the area with all verticals experiencing a minimum of 25% bot attacks.
There was low click flooding for verticals except for finance apps that had a 21% fraud rate in all countries.
Android devices had 4X more fraud rates compared to iOS, perhaps because the operating system is the most dominant in the region.
More marketers in APAC have turned to CPA models of payment, focusing on in-app conversions as opposed to installs. The assumption is that they will get cleaner traffic that way because it’s harder to carry out in-app fraud than install fraud. However, fraudsters are getting sophisticated, and so this assumption is dangerous.