#Japan #Tokyo #Ad Fraud #BuySell Technologies #Spider AF

Addressing the Rise of Ad Fraud in E-Commerce

In recent years, the rapid expansion of e-commerce has been accompanied by significant challenges, one of the most pressing issues being ad fraud. According to a recent analysis by Spider AF, it was found that the ad fraud rate in Japan averages about 5.12%, with estimated annual losses exceeding ¥151 billion. Recognizing these alarming statistics, BuySell Technologies undertook a proactive initiative to diagnose the scale of ad fraud they were suffering from.

Background: E-Commerce Growth and Increasing Ad Fraud

As e-commerce continues to grow at an unprecedented rate, the integrity of digital advertising comes under threat from fraudulent activities. Many companies, including BuySell Technologies, were unaware of the full extent of these fraudulent interactions until recent diagnostic efforts made by Spider Labs brought these issues to light. The free diagnostic service provided by Spider Labs allowed BuySell Technologies to visualize and quantify the ad fraud situation impacting their advertising investments, which has made it clear that a thorough data cleansing and optimization of advertising expenditure is essential.

Results: Improvement in Click Quality and Optimization of Ad Performance

Following the diagnostic results, BuySell Technologies implemented several key measures:

• - Automated detection and elimination of fraudulent bot traffic: This ensures that advertising analytics reflect genuine user interactions, thereby improving the quality of clicks.
• - Exclusion of internal access: By filtering out internal traffic data, only authentic user data is recorded, providing a clearer picture of campaign performance.
• - Automatic application of invalidation rules at campaign and keyword levels: This streamlines the process and ensures that ineffective advertisements are promptly addressed.

These strategies proved successful, leading to reduced noise in advertising metrics. The quality improvement meant increased stability in essential performance indicators such as Return on Ad Spend (ROAS), Conversion Rates (CVR), and Cost Per Acquisition (CPA). With these advancements, the operational decision-making process also became more precise.

Insights from BuySell Technologies’ EC Division

In a statement from Shiga, a representative from BuySell Technologies’ EC division, the implementation of Spider AF has slowly yet steadily improved their ROAS. They emphasized that having trustworthy data has facilitated better investment decisions, allowing them to put funding into “only the effective areas.” The enhancement in click quality has also stabilized the assumptions underpinning their CVR and CPA metrics, which in turn has accelerated both the PDCA cycle and the precision of comparative analyses.

Overview of Spider AF’s Ad Fraud Prevention Tools

Spider AF is a specialized tool designed for detecting and blocking the inevitable presence of ad fraud in advertising campaigns. With ad fraud rates averaging 5.1% and sometimes reaching as high as 51% of ad expenditures, ongoing monitoring becomes crucial.
Moreover, Spider AF holds the title of having the highest number of accumulated implementations among domestic ad fraud solutions. It can perform free assessments of potential damage caused by ad fraud, with a simple setup process ensuring automatic detection and blocking of fraudulent activities. Since its launch, Spider AF has been widely utilized by various stakeholders, including ad network operators, agencies, and advertisers.

Learn more about their solutions: Spider AF Ad Fraud Prevention
During this time of escalating ad fraud in e-commerce, the proactive stance taken by BuySell Technologies showcases the necessity and effectiveness of utilizing advanced tools like Spider AF to safeguard investments in digital advertising.

About Spider Labs

Spider Labs, the company behind Spider AF, is headquartered in Minato, Tokyo. Founded in April 2011 and led by CEO Soko Otsuki, the company is committed to developing and operating marketing security tools to combat ad fraud, reselling, and invalid leads in the digital advertising landscape. More information on their offerings can be found at Spider Labs.