Home Online Advertising How Fraudsters Take Advantage Of Big Events Like March Madness

How Fraudsters Take Advantage Of Big Events Like March Madness

SHARE:

While live sports events like March Madness are TV’s bulwark, money is sloshing into digital and mobile and fraudsters are looking to score.

“This is the rule of thumb: Where there’s money, there’s a motive,” said Patrick Murray, VP of product at fraud-detection and analytics company DataVisor.

But certain events or times of the year are more amenable to certain fraud schemes.

Domain spoofing, for example, becomes “much more aggressive and unscrupulous” during big events, like the election cycle, the Super Bowl or March Madness, when advertisers trying to capitalize on the related zeitgeist get taken for a ride, said George Levin, CEO of demand-side platform GetIntent.

“And when buyers spend large amounts of their budget within a limited amount of time, they tend to be less careful, making it much harder for them to spot suspicious activities – especially when it happens under big publishers’ names,” Levin said.

That lack of vigilance is also apparent during the holiday season when advertisers often operate on a use-it-or-lose it model.

“They start looking for inventory to make use of their ad budget, and that can mean a certain looseness in terms of verification,” said Amit Joshi, director of product and data science at Forensiq.

The same could be true on the publisher side of the fence. If a fraudster targets a publisher that’s expecting a spike in traffic related to a cultural event, it’s fairly easy to steal without detection, as long as the fraud doesn’t ramp wildly, said Daniel Bornstein, SVP of media and operations at Leaf Group, which operates publisher brands like Livestrong and eHow.

But any real-world event, cultural, sporting or otherwise, only really becomes worth a fraudster’s while when advertisers start focusing their targeting strategy on event-related content and are willing to pay higher CPMs for related inventory.

“Publishers with topical content are incentivized to buy traffic to it when advertisers show interest in paying more for it,” said Jason Shaw, director of data science at Integral Ad Science.

Shaw hasn’t seen that happen around March Madness in any meaningful way yet. Still, fraudsters primarily care about whether there’s an opportunity to siphon ad spend.

Subscribe

AdExchanger Daily

Get our editors’ roundup delivered to your inbox every weekday.

And sophisticated botnets are trying to stay up-to-date with tentpole events. There’s Poweliks for instance, a Trojan horse botnet first uncovered in 2014 that’s been primarily used to commit impression and click fraud.

When analyzing an old version of Poweliks, IAS noticed that it was using keywords to execute searches online in order to build profiles and make itself more attractive for retargeting.

At first, the keywords were fairly generic, things like “car,” “insurance,” “bedroom furniture,” “belly fat” and “weight loss,” to trigger garden-variety retargeting related to the sort of thing people look for when they’re researching before a purchase.

IAS had Poweliks running in a protected environment last year right around the time the US election season was starting to pick up steam when the botnet controller pushed a transmission to its zombie army with an updated list of topical keywords, including “Donald Trump.”

“It’s an illustration that the people behind the bots are staying current,” Shaw said. “We saw it taking advantage of topics that were high on people’s radar at the time.”

Although Poweliks is no longer perpetrating search-related ad fraud, it’s interesting to note that an analysis of its keyword list last March (which, admittedly, has more than 4,000 words), included terms like “basketball,” “NCAA,” “Villanova” and “Carolina.”

But a fraudster doesn’t necessarily need to be all that sophisticated to take advantage of seasonal or event-related spikes in spend and traffic.

“As supply becomes constrained, more fraud is bought or run through exchanges, and you get closer to the bottom of the barrel in terms of what quality inventory is available,” said Claudia Perlich, chief data scientist at Dstillery. “It’s not so much that the fraudsters are smart. It’s just the nature of the economic environment.”

Must Read

Comic: No One To Play With

Google Pulls The Plug On Topics, PAAPI And Other Major Privacy Sandbox APIs (As The CMA Says ‘Cheerio’)

Google’s aborted cookie crackdown ends with a quiet CMA sign-off and a sweeping phaseout of Privacy Sandbox technologies, from the Topics API to PAAPI.

The Trade Desk’s Auction Evolutions Bring High Drama To The Prebid Summit

TTD shared new details about OpenAds features that let publishers see for themselves whether it’s running a fair auction. But tension between TTD and Prebid hung over the event.

Monopoly Man looks on at the DOJ vs. Google ad tech antitrust trial (comic).

How Google Stands In The DOJ’s Ad Tech Antitrust Suit, According To Those Who Tracked The Trial

The remedies phase of the Google antitrust trial concluded last week. And after 11 days in the courtroom, there is a clearer sense of where Judge Leonie Brinkema is focused on, and how that might influence what remedies she put in place.

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters

The Ad Context Protocol Aims To Make Sense Of Agentic Ad Demand

The AI advertising agents will need their own trade group eventually. For now though, a bunch of companies are forming the Ad Context Protocol, or AdCP.

OUTFRONT Is Using Agencies’ AI Enthusiasm To Spur Wider Programmatic OOH Adoption

The desire for a data-driven reinvention of OOH inspired OUTFRONT to create agentic AI tools for executing and measuring OOH campaigns and comparing OOH to other channels.

Inside PubDesk, The Trade Desk’s New Dashboard That Shows What Buyers Actually Care About

A peek inside PubDesk, The Trade Desk’s new dashboard that gives sellers detailed info on how buyers value their inventory.