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The DMTC
Digital Media Trust Collaborative
November 2014
Augustine Fou, PhD.
CONFIDENTIAL
CONFIDENTIAL
November 2014 / Page 1
Fraud in digital advertising continues to grow
Digital Media Trust Collaborative
The industry’s foundation for a trustworthy supply-chain
Digital ad fraud
High / Low Estimates
plus best-guess
Published estimates
Digital ad spend
Source: IAB 2013 FY Report
CONFIDENTIAL
November 2014 / Page 2
Fraud follows the money (impressions and clicks)
Digital Media Trust Collaborative
The industry’s foundation for a trustworthy supply-chain
CONFIDENTIAL
November 2014 / Page 3
Fraud impacts the entire digital supply chain
Digital Media Trust Collaborative
The industry’s foundation for a trustworthy supply-chain
How does it impact them? Why hasn’t fraud been solved?
Advertisers
Loss of ROI due to waste
• Ad dollars are wasted when an ad is
shown to bots, not humans
Relied on others to address fraud
• Discount for fraud is “priced in”
• Brand metrics and ROI focus on
tonnage not human actions
Exchanges
Lowers quality of inventory
• Higher volume but lower quality
means their marketplaces appear
less valuable
Revenues depend on “flow-through”
• Revenues depend on inventory volume
• Lack of visibility and granularity in
ultimate ad placement
Publishers
Loss of revenue and margin
• Ad dollars siphoned from the
ecosystem
• CPMs depressed
At odds with need for revenue
• Reluctant to reduce inventory due to
unknown hit on revenues
• Skeptical after viewability initiatives
CONFIDENTIAL
November 2014 / Page 4
What is needed?
A solution that delivers value to the entire ecosystem
1. must reduce the available hiding places across the ecosystem
2. must shut down hiding places more rapidly once found
The DMTC focuses on cutting off the money
siphoned by criminals, faster.
It is a cloud-based data collaborative and technology platform
that helps the industry operationalize anti-fraud efforts
leveraging crowd-sourced data and insights.
Digital Media Trust Collaborative
The industry’s foundation for a trustworthy supply-chain
CONFIDENTIAL
November 2014 / Page 5
The DMTC is in stage 1 of scaling up
Digital Media Trust Collaborative
The industry’s foundation for a trustworthy supply-chain
July 2012 Dec 2014 April 2015
Jan 2014
DMTC private beta with
10 charter members
We are here
Anti-fraud research
Client specific fraud detection
and mitigation; technology
tools development
DMTC stage 1 scale-up;
cloud technology platform
and data collaborative
DMTC
scaled launch
CONFIDENTIAL
November 2014 / Page 6
Crowd-sourced solutions always beat individual efforts
Digital Media Trust Collaborative
The industry’s foundation for a trustworthy supply-chain
Crowd-sourced
spam detection
beat software
solutions and
frequent updates.
Crowd-sourced
virus and malware
signatures
aggregated and
distributed.
10 billion swipe-
right and left data
points versus
proprietary
matching algorithm
CONFIDENTIAL
November 2014 / Page 7
Bot Detection and Fingerprint Library
Digital Media Trust Collaborative
The industry’s foundation for a trustworthy supply-chain
[ non-profit ]
[ entertainment ]
[ marketing blogs ]
[ video publisher ]
• 2 dozen client websites
deployed
• 1 million ad serving
domains analyzed
• 2 million visitor
signatures; library of
known bot signatures
CONFIDENTIAL
November 2014 / Page 8
Client success stories (percentages of ad spend, saved)
Digital Media Trust Collaborative
The industry’s foundation for a trustworthy supply-chain
Impressions / Traffic
(CPM/CPV)
Clicks
(CPC)
[ pharma client ]
18%
Shifted their paid
search budget away
from fraud websites
that carried search
ads and sent fake
clicks.
[ skincare ]
10%
[ haircare ]
1%
[ cosmetics ]
6%
• Blacklisted 100’s of thousands more sites
• Set up more frequent blaclist/whitelist update intervals
• Adjusted parameters to proactively discard suspicious bids
• Updated ROI measures to focus on human actions
• Cut off spending in certain categories, ad types, vendors
[ franchise ]
48%
[ technology ]
9%
[ non-profit ]
39%
[ med device ]
11%

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Digital Media Trust Collaborative

  • 1. The DMTC Digital Media Trust Collaborative November 2014 Augustine Fou, PhD. CONFIDENTIAL
  • 2. CONFIDENTIAL November 2014 / Page 1 Fraud in digital advertising continues to grow Digital Media Trust Collaborative The industry’s foundation for a trustworthy supply-chain Digital ad fraud High / Low Estimates plus best-guess Published estimates Digital ad spend Source: IAB 2013 FY Report
  • 3. CONFIDENTIAL November 2014 / Page 2 Fraud follows the money (impressions and clicks) Digital Media Trust Collaborative The industry’s foundation for a trustworthy supply-chain
  • 4. CONFIDENTIAL November 2014 / Page 3 Fraud impacts the entire digital supply chain Digital Media Trust Collaborative The industry’s foundation for a trustworthy supply-chain How does it impact them? Why hasn’t fraud been solved? Advertisers Loss of ROI due to waste • Ad dollars are wasted when an ad is shown to bots, not humans Relied on others to address fraud • Discount for fraud is “priced in” • Brand metrics and ROI focus on tonnage not human actions Exchanges Lowers quality of inventory • Higher volume but lower quality means their marketplaces appear less valuable Revenues depend on “flow-through” • Revenues depend on inventory volume • Lack of visibility and granularity in ultimate ad placement Publishers Loss of revenue and margin • Ad dollars siphoned from the ecosystem • CPMs depressed At odds with need for revenue • Reluctant to reduce inventory due to unknown hit on revenues • Skeptical after viewability initiatives
  • 5. CONFIDENTIAL November 2014 / Page 4 What is needed? A solution that delivers value to the entire ecosystem 1. must reduce the available hiding places across the ecosystem 2. must shut down hiding places more rapidly once found The DMTC focuses on cutting off the money siphoned by criminals, faster. It is a cloud-based data collaborative and technology platform that helps the industry operationalize anti-fraud efforts leveraging crowd-sourced data and insights. Digital Media Trust Collaborative The industry’s foundation for a trustworthy supply-chain
  • 6. CONFIDENTIAL November 2014 / Page 5 The DMTC is in stage 1 of scaling up Digital Media Trust Collaborative The industry’s foundation for a trustworthy supply-chain July 2012 Dec 2014 April 2015 Jan 2014 DMTC private beta with 10 charter members We are here Anti-fraud research Client specific fraud detection and mitigation; technology tools development DMTC stage 1 scale-up; cloud technology platform and data collaborative DMTC scaled launch
  • 7. CONFIDENTIAL November 2014 / Page 6 Crowd-sourced solutions always beat individual efforts Digital Media Trust Collaborative The industry’s foundation for a trustworthy supply-chain Crowd-sourced spam detection beat software solutions and frequent updates. Crowd-sourced virus and malware signatures aggregated and distributed. 10 billion swipe- right and left data points versus proprietary matching algorithm
  • 8. CONFIDENTIAL November 2014 / Page 7 Bot Detection and Fingerprint Library Digital Media Trust Collaborative The industry’s foundation for a trustworthy supply-chain [ non-profit ] [ entertainment ] [ marketing blogs ] [ video publisher ] • 2 dozen client websites deployed • 1 million ad serving domains analyzed • 2 million visitor signatures; library of known bot signatures
  • 9. CONFIDENTIAL November 2014 / Page 8 Client success stories (percentages of ad spend, saved) Digital Media Trust Collaborative The industry’s foundation for a trustworthy supply-chain Impressions / Traffic (CPM/CPV) Clicks (CPC) [ pharma client ] 18% Shifted their paid search budget away from fraud websites that carried search ads and sent fake clicks. [ skincare ] 10% [ haircare ] 1% [ cosmetics ] 6% • Blacklisted 100’s of thousands more sites • Set up more frequent blaclist/whitelist update intervals • Adjusted parameters to proactively discard suspicious bids • Updated ROI measures to focus on human actions • Cut off spending in certain categories, ad types, vendors [ franchise ] 48% [ technology ] 9% [ non-profit ] 39% [ med device ] 11%