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How Mobile Ad Fraud Drains In-App Budgets — and How to Avoid It

Mobile ad fraud is a hidden drain on your app marketing spend. Traffy, a performance marketing agency specializing in mobile anti-fraud, shares strategies to safeguard your ad budget and maximize ROI.

Most advertisers don’t lose money because of weak creatives or poor funnels — they lose it because a significant portion of their in-app traffic is invalid from the very start.

The Scale of the Problem

In Q3 2025, mobile apps experienced approximately 33% IVT (Invalid Traffic), meaning roughly one-third of traffic was fraudulent or invalid. (Source: Pixalate — Q3 2025 Global Ad Fraud Benchmark Report).

These numbers aren’t just statistics — they reveal that a huge portion of advertising budgets is being spent not on real users, but on fake traffic, fabricated clicks, and bot-generated installs.

Depending on traffic sources and buying models, particularly in programmatic (DSP) environments, fraud levels can vary dramatically. In some cases, IVT may be as low as 5%, while in others it can exceed 50% where controls are weak. This means many advertisers are making campaign decisions based on data that was never real to begin with.

What IVT Really Means — And Why It’s Critical

IVT isn’t just “low-quality traffic.” It is traffic that can never convert into a real user or paying customer.

It includes:

  • Bots and automated scripts
  • Click farms and device emulators
  • Hidden impressions and background clicks
  • Fabricated installs and in-app events

When 33% of traffic is IVT, every third dollar spent is paying for actions that will never generate revenue. Multiple studies show IVT in mobile advertising frequently exceeds 20–30%, and can be even higher for certain platforms, GEOs, or traffic types. Fraud is not an edge case — it is a structural risk in in-app advertising.

Why Mobile Ad Fraud Is Getting Smarter

Despite widespread adoption of anti-fraud systems, techniques continue to evolve. Basic bot filtering is no longer enough. Common schemes include:

  • Bot Installs & Bot Activity: Automated installs and simulated engagement mimicking real users.
  • Click Injection / Click Hijacking: Apps intercept last clicks before installation and claim attribution.
  • Click Spamming / Click Flooding: Mass fake clicks inflate activity signals and steal organic installs.
  • Device Farms & Real Device Spoofing: Hundreds of devices generate fake installs and events, rotating identifiers.
  • SDK Spoofing & Postback Fraud: Fake install or in-app event data sent directly to attribution systems.
  • In-App Event Spoofing: Fabricated postbacks make reports appear normal, but no real users exist behind them.

How to Avoid Wasting Your In-App Budget

Fraud prevention is systematic verification and disciplined traffic management, not paranoia.

  1. Use an MMP With Advanced Anti-Fraud Protection
    • Rely on trusted mobile measurement partners (Adjust, AppsFlyer).
    • Enable built-in fraud detection — attribution without fraud protection is incomplete.
  2. Analyze CTIT (Click-to-Install Time)
    • Extremely short CTIT → potential click injection
    • Extremely long/uniform CTIT → potential click flooding
    • Unnaturally consistent timing → possible automation
  3. Monitor CTCT (Click-to-Click Time)
    • Short CTCT (<100 ms) detects script bots and click farms
  4. Check New Device Rate
    • If 90%+ of devices are “new,” this indicates device farms resetting IDFA/GAID
  5. Track Assisted Installs
    • High percentage of assists → organic hijacking (Click Flooding)
  6. Monitor Behavioral Anomalies
    • Retention curves: bots may fabricate “perfect” retention
    • Payments and cards: bots use virtual cards or $0 balances to bypass checks
    • Key metrics: rebill rate, actual payment success
    • Additional metrics: event depth, session duration, purchase timing, LTV distribution
  7. Work With Blacklists and Whitelists
    • Build placement-level blacklists
    • Identify reliable publishers via whitelists
    • Audit sub-publishers continuously
    • Remove suspicious sources early
  8. Check Infrastructure Signals
    • Datacenter IPs (AWS, DigitalOcean, Hetzner) → block 100%
    • Geo mismatch (click from India, install from US) → fraud

How to Win Against Fraud

With up to 33% of in-app traffic being invalid, advertisers aren’t just underperforming — they’re paying for illusions. Fraud can masquerade as growth, but the real advantage comes from knowing which traffic is real.

At Traffy, we specialize in mobile anti-fraud and help advertisers ensure every dollar reaches real users. A comprehensive fraud audit or traffic safeguard can protect ROI, reduce wasted spend, and provide predictable, scalable growth.

Adrienn Sarkany is a Contributing Editor at EEG (Expertise & Evolution Gaming), where she brings a unique cross-cultural perspective to the EE Intelligence Hub. Currently pursuing a degree in Finnish and Korean Language and Literature, Adrienn…

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