DoubleVerify Takes Down First Large-Scale Ad Impression Fraud Scheme in Audio

Rhea-AI Summary

DoubleVerify (NYSE: DV) has uncovered a significant ad impression fraud scheme known as BeatSting, targeting digital audio advertising and estimated to have cost advertisers approximately $20 million since its identification in 2019. BeatSting can lead to losses of up to $1 million monthly for unprotected advertisers. This scheme is part of a broader pattern of server-side ad insertion (SSAI) fraud, initially affecting connected TV inventory. Mark Zagorski, CEO of DoubleVerify, notes that this fraud is shifting focus into the growing digital audio sector, complicating existing ad safety standards.

Positive

• Identification of BeatSting, a significant fraud scheme, enhances DoubleVerify's reputation as an industry leader in ad fraud detection.
• Potential to drive demand for DV's services as advertisers seek protection against increasing audio ad fraud.

Negative

• BeatSting has siphoned an estimated $20 million from advertisers, indicating a significant threat to the digital advertising ecosystem.
• Unprotected advertisers could lose up to $1 million monthly, potentially leading to reduced advertiser trust and spending in digital audio channels.

DV Exposes ‘BeatSting,’ a scheme generating fake audio ad traffic at scale through large audio platforms

NEW YORK--(BUSINESS WIRE)-- DoubleVerify (“DV”) (NYSE: DV), a leading software platform for digital media measurement, data and analytics, today announced the discovery of “BeatSting,” the first large-scale ad impression fraud scheme to target audio inventory. Since the DV Fraud Lab first identified the family of fraud in 2019, an estimated $20 million has been siphoned from advertisers. BeatSting alone is responsible for costing unprotected advertisers up to $1 million per month.

BeatSting is part of a bigger family of server-side ad insertion (SSAI) fraud schemes that emerged in 2019 and initially targeted connected TV (CTV) inventory. In this specific iteration, fraudsters begin by spoofing residential IP addresses and audio apps. At the same time, they also set up fake SSAI servers to falsify audio ad requests, making the inventory attractive to advertisers. If an advertiser bids on this inventory and wins the bid, their ad dollars are wasted on a fraudulent opportunity. And by creating fraudulent inventory, the fraudsters are also siphoning money away from legitimate audio channels.

“Fraud always follows the money, and increasingly that money is flowing to digital audio, a rapidly emerging channel where digital advertising standards are still evolving,” added Mark Zagorski, Chief Executive Officer at DoubleVerify. “CTV continues to experience this phenomenon and, increasingly, audio is quietly becoming a new channel of interest and attack.”

Early in the second quarter of 2022, The DV Fraud Lab detected a dramatic increase in fraudulent activity targeting audio channels after initially noticing smaller instances of this attack in 2021. This is the first time a fraud scheme has generated fake audio traffic at scale through large audio platforms.

DV’s Fraud Lab — powered by a dedicated team of data scientists, mathematicians and analysts — performs ongoing detection and analysis of new types of digital ad fraud in order to uncover the latest schemes as they occur. Through continuous analysis, scenario management and research, the Fraud Lab pinpoints the sites, apps and devices responsible for fraudulent activity and updates protection for DV clients in real-time.

To read the full report, click here.

About DoubleVerify

DoubleVerify (“DV”) (NYSE: DV) is a leading software platform for digital media measurement and analytics. Our mission is to make the digital advertising ecosystem stronger, safer and more secure, thereby preserving the fair value exchange between buyers and sellers of digital media. Hundreds of Fortune 500 advertisers employ our unbiased data and analytics to drive campaign quality and effectiveness, and to maximize return on their digital advertising investments – globally. Learn more at www.doubleverify.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20230202005278/en/

Media:

Chris Harihar

chris@crenshawcomm.com

Source: DoubleVerify

FAQ

What is the BeatSting fraud scheme identified by DV?

BeatSting is a large-scale ad impression fraud targeting digital audio inventory, causing substantial losses for advertisers.

How much money has BeatSting cost advertisers?

BeatSting is estimated to have cost advertisers around $20 million since its discovery.

Who is the CEO of DoubleVerify?

Mark Zagorski is the CEO of DoubleVerify.

What are the potential losses for advertisers affected by BeatSting?

Unprotected advertisers could incur losses of up to $1 million per month due to BeatSting.

What types of platforms are being targeted by BeatSting?

BeatSting primarily targets digital audio platforms but is part of a larger trend affecting connected TV inventory.