Mobile Dev Memo Podcast Season 3, Episode 21: Where’s the fraud line in programmatic advertising? (with Chris Kane)
Jul 16, 2024
Chris Kane, President of Jounce Media, discusses the state of the programmatic advertising market. Topics include cookie deprecation, OEMs in CTV apps, and the decline of made-for-advertising supply. The podcast highlights challenges in digital advertising, ethical considerations, and the impact of IDFA deprecation on hyper casual game advertising.
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Gatekeepers Create Market Concentration
- A few gatekeepers control most consumer attention across web, apps, and CTV, forcing media companies to pay for distribution.
- This concentration drives demand concentration and bid stream congestion, causing publishers to stretch truth on ad inventory to get bids.
Fraud Line in SSP Behavior
- SSPs are financially incentivized to be as close to fraudulent behavior as possible without crossing the line.
- Determining fraud depends on intent, which is nearly impossible to prove, leading to opaque signals and trust issues.
MFA Supply Collapse Story
- Made-for-advertising (MFA) supply in web programmatic grew from 5% to 30% but rapidly collapsed after marketers started blocking that inventory.
- The fragile ad arbitrage model broke quickly once demand dropped, causing supply volume to fall below 10%.