Ad fraud bots are draining billions: Insights from global industry studies

Abisola Tanzako | Feb 18, 2026

Ad fraud bots

Ad fraud bots are among the largest silent destroyers of ad spend in the digital ad world today.

The digital ad industry was once hailed as a very accurate marketing tool that gave marketers a clear measure of ROI.

However, today, with a rise in invalid ad traffic, this promise has been broken. Industry reports show that a large share of ad interactions today come from ad-fraud bots rather than real users.

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This has resulted in billions of ad spend being wasted each year. Not only has ad spend been wasted, but ad fraud bots have also affected marketers’ decision-making with incorrect data.

This article examines global ad fraud statistics, why bot-driven invalid traffic persists, and how AI-powered prevention tools like ClickPatrol stop fraud before it impacts ad spend and analytics.

What are ad fraud bots?

At its core, ad fraud is any action that misrepresents how an ad is consumed, clicked, or otherwise interacted with to profit fraudsters or deplete an advertiser’s ad budget.

All of these are generally performed by software, also called bots, which are capable of:

  • Producing fake clicks on an ad
  • Artificially inflating impressions by non-human traffic
  • Imitating real users to evade detection, and
  • Producing fake site views, interactions, or conversions.

The scale of the problem: Global ad fraud research and statistics

Below are global ad fraud research and statistics:

A large portion of ad traffic is invalid

  • Invalid ad traffic exceeds 20%, driven by ad fraud bots, devices, and traffic from proxies and VPNs.
  • In a study of 105 billion ad impressions, 20.64% of ad traffic showed signs of non-human behavior, likely due to ad fraud bots, devices, and VPNs.
  • In the US, programmatic ads cost a whopping 37 billion dollars due to invalid ad traffic. Not only does invalid ad traffic lead to lost ad spend, but it also makes it difficult for marketers to analyze their ad campaigns effectively.

Ad fraud losses are rising globally

  • According to various reports, 22% of the total ad spend online, which is equal to 84 billion dollars, will be lost due to ad fraud in 2023. This may increase to 170 billion dollars by 2028.
  • According to ClickPatrol’s analysis of industry forecasts, digital ad fraud costs are expected to exceed $100 billion annually by 2028, underscoring the growing financial impact of bot traffic and invalid clicks on advertisers.
  • Industry forecasts show that global ad fraud losses are skyrocketing. Some estimates suggest losses could reach $133 billion by 2026, with other models projecting up to $220 billion annually by 2026 and $172 billion by 2028, driven largely by bot traffic and undetected invalid clicks.
  • The figures are not just the actual loss, but the strategic impact of ad fraud bots on the business.

Bots drive web traffic

  • According to research, over 50% of all web traffic is automated, and close to 37% of it is classified as “bad bots” or malicious and deceptive.
  • Bots artificially create impressions, clicks, and engagements, causing advertisers to pay for traffic that is not viewed by human users.
  • The high percentage of automated web traffic affects the accuracy of analytics.

Geographic & device variation

  • High-risk regions: Countries like Nigeria and Bangladesh have invalid traffic levels above 60%.
  • Device variation: Ad fraud is higher on desktop devices than on mobile and tablet devices, likely because bots are easier to install on desktops.
  • Premium channels targeted: Automated, social media, and programmatic advertising are commonly targeted because of their automation, the sheer volume of spend, and the complexity of the advertising ecosystem.
  • Global impact: Ad fraud bots have affected businesses of all sizes, including small, medium, and enterprise organizations; therefore, source-level detection is critical.
  • Key takeaway: High invalid traffic, rising ad fraud losses, and the sophistication of bots make it critical to detect and prevent bot-driven ad fraud.

Why ad fraud bots continue to persist

Ad fraud bots persist for the following reasons:

Economic incentives for fraudsters

Ad fraud is lucrative. By placing ads on websites or purchasing low-cost inventory, fraudsters can monetize their efforts as bots create fake clicks or impressions.

The temptation to cheat the system is high because ad networks pay for clicks or for every thousand impressions (CPM), even if no one saw the ad.

The result is a black-market economy in which botnets and compromised devices are used to generate revenue through illegitimate engagement.

Increasing sophistication of bots

Ad fraud bots are now sophisticated and cannot be easily identified using simple filters.

Modern ad fraud bots use artificial intelligence and machine learning to imitate human behavior, such as scrolling and random clicks, and to mask their geolocation.

Some bot networks use millions of endpoints acquired fraudulently to blend in with normal traffic patterns.

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Industry detection challenges

Despite it being a recognized issue, invalid traffic is not detected by industry systems:

  • Studies have revealed that even top verification providers incorrectly categorize bot traffic as human up to 77% of the time.
  • Other studies indicate that ad platform invalid traffic is not blocked when a very high confidence threshold is used, leaving a high proportion of invalid traffic unblocked.

The true cost beyond dollars

Although the most immediate impact of ad fraud bots is the loss of money, there are other ripple effects of ad fraud bots that affect marketing campaigns as a whole:

Inaccurate data analysis and attribution

If the ad campaign is being viewed or clicked by ad fraud bots instead of actual users, the campaign analytics will not accurately reflect the campaign’s results.

Inaccurate user analysis

Ad fraud bots are not the actual target audience for the marketing campaign. Thus, making marketing decisions based on the analysis of ad fraud bots will not accurately reflect the target audience.

Brand safety and reputation

It is also important to note that ad fraud bots may interact with the ad campaign in ways that do not reflect the campaign’s actual target audience. In the worst-case scenario, ad fraud bots may also interact with inappropriate content.

How advanced detection works: The case for ClickPatrol

Given the complexity and scale of ad fraud bots, passive filtering or post-facto analysis alone is no longer sufficient.

ClickPatrol takes a proactive and source-level approach to bot protection that:

Identifies invalid traffic at the source

Instead of analyzing traffic only after it reaches your website or ad server, ClickPatrol identifies bot traffic at the source using real-time data points that distinguish human from automated activity.

This means invalid clicks and impressions are prevented from hitting your budget, not after the fact.

Enhances data integrity and campaign insights

With invalid traffic prevented at the source, your data will now reflect human interaction. This improves the integrity of performance metrics, attribution modeling, and campaign optimization.

Advertisers will no longer make decisions based on inflated impressions or invalid clicks, resulting in improved ROI and minimized waste.

Practical steps for combating ad fraud bots

Although tools such as ClickPatrol are extremely important, a multi-faceted approach must be employed to minimize ad fraud exposure:

Audit traffic sources regularly

Identify traffic sources that show abnormal engagement that doesn’t correlate with real-world patterns. In most instances, abnormal traffic will show a surge in bot traffic.

Multi-signal verification

Don’t simply use a single data point to determine traffic quality. Use tools that can analyze multiple data points to determine traffic quality.

Ad fraud is constantly changing, so it’s important to stay informed on current trends and adjust ad fraud detection strategies accordingly.

Validate conversions

Beyond clicks or impressions, validate conversion quality (e.g., signups, purchases) to ensure they reflect real user intent.

AI-Powered protection is the key to stopping ad fraud bots

These ad fraud bots have become a multi-billion-dollar phenomenon, threatening the efficiency, accuracy, and profitability of digital advertising campaigns.

As global studies have shown, a substantial portion of online traffic is now invalid, driven by sophisticated ad fraud bots that can mimic real users and evade detection.

To combat this emerging ad fraud phenomenon, advertisers must go beyond conventional, ineffective ad fraud prevention systems and use an active solution such as ClickPatrol, which prevents ad fraud at the source, reducing wasted ad spend and restoring the accuracy and integrity of marketing data.

As ad fraud technology continues to evolve, it is no longer a choice to utilize an active ad fraud prevention solution such as ClickPatrol; rather, it is now a necessity for achieving long-term success in digital advertising.

Don’t let ad fraud bots steal your ad budget! Protect your ad campaigns with ClickPatrol today.

Frequently Asked Questions

  • How much money do the ad fraud bots cost the digital advertising industry every year?

    According to industry studies, the cost of ad fraud to the advertising industry is tens of billions of dollars every year.

    Moreover, this cost is likely to exceed $130 billion in the coming years. A major share of this is due to ad fraud bots generating invalid clicks and impressions and engaging with ads, resulting in wasted advertising funds.

  • How are ad fraud bots difficult to detect using traditional detection solutions?

    Modern ad fraud bots employ sophisticated techniques, such as rotating IP addresses, using residential proxies, and mimicking user behavior. All of this makes it difficult to detect the ad fraud bots using traditional detection solutions.

  • How does ClickPatrol help prevent the wastage of advertising funds due to ad fraud bots?

    ClickPatrol uses artificial intelligence, machine learning, and real-time threat intelligence to identify and block invalid traffic at the source.

Abisola

Abisola

Meet Abisola! As the content manager at ClickPatrol, she’s the go-to expert on all things fake traffic. From bot clicks to ad fraud, Abisola knows how to spot, stop, and educate others about the sneaky tactics that inflate numbers but don’t bring real results.