Invalid traffic & fraud
Incentivized traffic
Incentivized traffic is visits, clicks, installs or ad views from people who were rewarded, with money, points, game currency or perks, to take the action, rather than acting from genuine interest.
Some traffic comes from people who are paid, in some form, to engage. Reward apps give points for installing another app; games hand out coins for watching an ad; survey sites pay for sign-ups. The people are real, but their motive is the reward, not the product.
Incentivized traffic is not always invalid. Rewarded video ads in games are a legitimate, disclosed format, and advertisers can buy incentivized installs knowingly to boost app-store rankings. The problem is disclosure and measurement. The MRC IVT guidelines treat incentivized manipulation of measurements, such as undisclosed incentivized browsing or clicking that inflates audience counts, as SIVT.
Buyers should require that incentivized inventory is labelled, price it accordingly, and judge it on downstream quality. Signals of undisclosed incentives include low retention, installs with no follow-up events, bursts of traffic from reward-app referrers and users completing only the minimum action needed to earn the reward. Human fraud farms schemes often start as incentive programmes that scale into paid click work.
Think of it like this
It is like handing out free ice cream to anyone who walks into your shop: your footfall goes up, but most of them did not come for your shoes.
An example
A travel app in the Philippines gets 30,000 installs through an offer-wall partner. Day-7 retention is 2% versus 25% for its other channels, because users installed only to earn in-game gems.
Related terms
Rewarded video
Rewarded video is an opt-in ad format, mostly in mobile games, where users choose to watch a video ad in exchange for an in-app reward like extra lives or coins.
Human fraud farms
Human fraud farms are organised groups of paid people who manually perform ad-related actions, such as clicking, installing, watching, signing up or reviewing, to fake genuine consumer engagement.
Click farm
A click farm is an operation where low-paid workers, or racks of phones, repeatedly click ads, install apps, like posts or watch videos to fake genuine engagement.
Install fraud
Install fraud is faking app installs, or stealing credit for real ones, so that advertisers pay cost-per-install fees for users who do not exist or would have installed anyway.
SIVT (sophisticated invalid traffic)
SIVT (sophisticated invalid traffic) is invalid traffic designed to look human or legitimate, which can only be found through advanced analytics, multi-point corroboration and often human review.
Sources: MRC Invalid Traffic Detection and Filtration Guidelines Addendum (2020 update)