On the one hand, reduced budgets for marketing specialists for fraud protection. On the other hand, the release of iOS 14.5 diverted attention and resources away from fraud protection. And finally, the visibility of more fraud cases due to a record of reported events has raised the rate of fraud detected in the mobile app industry.
Gaming apps are the least affected by fraud. The data shows:
Being pioneers in the past gives them this competitive advantage in the constant fight against mobile fraud.
Fraud represents a pervasive challenge that affects various industries. However, game marketers have been able to develop more effective buying strategies and shorter and more aggressive optimization cycles.
Prioritize anti-fraud solutions and focus on higher quality KPIs to reduce fraud, especially on tight budgets. Scammers never rest.
The impact of mobile ad fraud knows no geographic borders fraud attacks can target any campaign in any country.
More than 50% of the total fraud exposure impacts the Finance category by $2.6 billion. This vulnerability arises from the convergence of elevated fraud rates within an emerging industry and an upward trajectory of the CPI.
The most bet for the fintech industry to go against fraud practices must be in the budget and not only in the tendency to acquire users who are evaluated later through Know Your Customer protocols. KYC entails the verification of user identities before granting access and utilization of application services: including validating personal information, such as names, addresses, telephone numbers, and potentially even biometric data.
Fraud, in other sectors, is also presented with data to pay attention to. The gambling and casino industry faces a challenging fraud exposure landscape, reaching $1.2 billion, driven by its CPI payments.
Additionally, shopping apps are affected by twice the fraud exposure compared to gaming, with an estimated $406 million and $206 million, respectively.
In Shopping, iOS saw a 210% year-over-year increase, but the Android entertainment app fraud rate decreased in Jan-Feb 2023. Astonishing.
Post-attribution installation fraud refers to fraudulent activities detected after an app installation. It is important to note that a significant amount of the detected fraud comes from bots. They usually appear or become known after the attribution process. Fraudulent schemes utilizing fabricated users and devices are evolving within the performance market, aiming to avoid detection.
The main contributor to overall post-attribution fraud is non-gaming app activity.For this reason, it is essential to have tools that combat fraud effectively.
According to the article published by AppsFlyer, post-attribution fraud witnessed an uptick in Android non-games as in games (up 154% YoY overall when comparing Jan 2022 to 2023), defying the downward trajectory in iOS for both sectors.
Furthermore, Click Flooding and Fake Publisher fraud compete for dominance among the diversity of potentially fraudulent activities, showing near parity on Android devices meanwhile that Click Flooding takes the lead on iOS devices.
The ever-evolving mobile app fraud is always looking for new tactics to operate. Therefore, it is essential to remain adaptable and be willing to adjust our strategies to anticipate them. Rocket Lab can help you grow your app safely and reliably.