This is the tenth in a series of interviews with vendors combating the problem of ad fraud. Other companies participating in this series include Moat and Sizmek. Read previous interviews with comScore, DoubleVerify, Dstillery, Forensiq, Integral Ad Science, PubChecker, Telemetry, Videology and White Ops.
When Andy Fan founded Shanghai-based RTB Asia a couple of years ago, fraud detection wasn’t really on his mind. Today, RTB Asia provides the country’s only anti-fraud pre-bid solution.
“At the beginning, we were focused on audience segmentation, but we quickly realized the challenge – and opportunity – of programmatic in China,” Fan said.
The opportunity is this: In China, all ad exchanges, supply-side partners and private marketplaces furnish the full IP address along with each bid request. (This isn’t the case with other global exchanges, like Google, which hashes part of the IP address.)
With full IP addresses at their disposal, Fan and his team of 12 can categorize each unique number stream based on behavioral patterns. From there, they assign the address with a “humanness” score from 0 to 99. When an IP falls in the 0 to 49 range, the behavior associated with it is characterized as different from human behavior, and RTB Asia’s algorithm might suggest adjusting the price of the bid or scrapping it altogether. If the range is from 50 to 99, the traffic is considered to be normal and human.
As of now, RTB Asia has impressive coverage, with continually updating information about 99.98% of IP addresses in China. Current clients include SSP and DSP player AdChina and online marketing firm iClick, which is in the process of integrating with RTB Asia. China-based DSP Yoyi Media and Kuzai Technology, a company similar to Sizmek, which uses data to fuel dynamic creative, are both in the process of evaluating RTB Asia’s fraud solution.
“The entire fraud industry in China is emerging,” Fan said. “It’s our job to educate advertisers and DSPs that they don’t just have to read reports after the fact – they can detect and reject fake impressions.”
AdExchanger caught up with Fan.