Advertisers are outraged that 23% of video ads are viewed by robots
Pity those poor advertisers, who are outraged, to say the least. A recent study has shown that computers being remotely operated by hackers account for almost one in four views of digital video ads worldwide. The fraud leads advertisers to spend approximately $6.3 billion dollars per year for advertising that doesn't have any impact whatsoever. The fake views, which also account for 11 percent of other display ads, often take place in the middle of the night when the owners of the hijacked computers are asleep.
The advertising unions are understandably upset.
The advertising unions are understandably upset.
"We're being robbed," said Bob Liodice, president and chief executive officer of the New York-based association, which has 640 members that spend more than $250 billion a year in advertising. "This isn't about system inefficiencies or process sloppiness. This is about criminal activity."But others would say, that's the way the game is played. No word on who wrote the software that manages these fake video views, or who benefits. Finally, pity the poor robots, people, forced to watch video ads all day and night: what a dreary existence!
On the otherside, if your ad is being distributed widely enough to enough sites, advertisers aren't being stolen from. They are just paying higher rates than they realized. Instead of paying 0.10 US per ad view they may actually be paying 1.00, if 1 out of every ten views is fraudulent. Like any kind of ads, they have to do their own calculations to see if they are getting enough return on their spending.