{"id":19296,"date":"2026-09-07T16:07:10","date_gmt":"2026-09-07T20:07:10","guid":{"rendered":"https:\/\/advertisingweek.com\/aw360\/?p=19296"},"modified":"2026-09-07T16:11:22","modified_gmt":"2026-09-07T20:11:22","slug":"its-time-to-stop-letting-ad-platforms-grade-their-own-homework","status":"publish","type":"post","link":"https:\/\/advertisingweek.com\/aw360\/news\/its-time-to-stop-letting-ad-platforms-grade-their-own-homework\/19296\/","title":{"rendered":"It\u2019s Time to Stop Letting Ad Platforms Grade Their Own Homework"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\"><em>By Becky Johnson, Advertising Week Writer &amp; Podcast Host<\/em><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Marketers have always had real numbers and marketing numbers. The real numbers tell us what we can confidently prove, while the marketing numbers make the campaign look a little cleaner, stronger, or more successful in the next meeting. Digital advertising was supposed to narrow that gap. Unlike a billboard, television commercial, or print ad, digital media gave us clicks, conversions, attribution models, and seemingly endless amounts of data.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Yet one fairly basic question remains surprisingly difficult to answer: Did the ad reach a real person capable of becoming a customer?<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">I recently spoke with Nick Morley, CEO of Lunio, about how much advertisers actually know about where their money goes. Lunio detects and prevents fraudulent and invalid traffic in performance channels, including advertising on Google, Meta, and TikTok. Our conversation quickly moved beyond bots and fake clicks. The larger problem is that advertisers are buying media through increasingly complicated platforms, then relying on those same platforms to measure and report the results.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In other words, we are still letting ad networks grade their own homework.<\/p>\n\n\n\n<h2 id=\"h-follow-the-incentives\" class=\"wp-block-heading\">Follow the incentives<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Nick has worked in ad tech since the late 1990s, including roles at Efficient Frontier, Adobe, and Integral Ad Science. Over that time, the industry has become far more sophisticated, but the underlying measurement problem continues to change. He compares fraud and invalid traffic to a game of whack-a-mole. Each time the industry believes it has addressed one version of the problem, a new version appears. At the same time, ad platforms are investing enormous amounts of money in AI infrastructure and building more sophisticated products to manage increasingly complicated advertising environments. Performance Max, for example, can combine premium search inventory with lower-quality display and video placements.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">That does not mean platforms are intentionally misleading advertisers. It does mean that the systems controlling where ads appear, how inventory is bundled, and how results are reported are becoming harder for marketers to see inside.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The platforms also have their own financial pressures and incentives. Nick\u2019s advice is straightforward: <em>if you want to understand the behavior, follow the money.<\/em><\/p>\n\n\n\n<h2 id=\"h-wasted-spend-is-not-limited-to-obvious-fraud\" class=\"wp-block-heading\">Wasted spend is not limited to obvious fraud<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">When marketers hear \u201cinvalid traffic,\u201d they may picture bot farms clicking on ads or obviously fraudulent websites collecting advertising revenue. Those problems exist, but they are only part of the waste Nick sees. Performance budgets can also be drained by benign scrapers, poor targeting, and algorithmic inefficiencies. None of those problems needs to be especially dramatic to have a meaningful effect when it is repeated across thousands or millions of ad interactions. Nick says Lunio commonly finds fraud and invalid traffic ranging from approximately 5% at the low end to 18% or 20%, depending on the channel or vertical. Even the lower end represents a substantial amount of money for a brand with a large performance marketing budget. The point is not necessarily to cut that money from marketing. Most advertisers want to reinvest the savings into campaigns, audiences, and channels that have a better chance of driving growth. That changes the conversation from \u201cHow much should we reduce the budget?\u201d to \u201cHow much more could this budget accomplish if less of it were wasted?\u201d<\/p>\n\n\n\n<h2 id=\"h-an-audit-can-turn-a-vague-concern-into-a-business-case\" class=\"wp-block-heading\">An audit can turn a vague concern into a business case<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Most marketers already assume that some portion of their digital advertising budget is being wasted. The harder questions are how much, where it is happening, and whether fixing it will make a meaningful difference. Nick says approximately 90% of Lunio\u2019s customers complete some form of audit during the buying process. The audit establishes whether the problem exists, quantifies its size, and identifies what the advertiser may be able to do about it. From there, the math becomes fairly simple. Savings create money that can be reinvested, and that reinvestment creates an opportunity for growth. That makes waste intelligence more than a marketing issue. It gives CMOs and CFOs a clearer way to discuss efficiency throughout the year instead of waiting until the next annual budgeting process to question whether the company received what it paid for. Businesses routinely bring in auditors and specialists when an independent view will improve confidence in the numbers. Advertising budgets should not be treated differently simply because the buying and reporting happen through digital platforms.<\/p>\n\n\n\n<h2 id=\"h-better-signals-can-help-the-platforms-perform-better\" class=\"wp-block-heading\">Better signals can help the platforms perform better<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Waste intelligence has traditionally focused on identifying and blocking negative activity. Nick believes the next stage will also involve finding positive signals and using them to improve the algorithms buying the media. That matters because marketers are giving those algorithms more control. As targeting, placement, optimization, and attribution become more automated, advertisers may have less direct visibility into why the platform made a particular decision. The quality of the signals sent back into the system becomes critical. If an algorithm is optimizing toward traffic that looks valuable inside the platform but never becomes a real customer, it can continue sending more money in the wrong direction. Independent measurement can help clean up those signals. It can identify the activity advertisers do not want, highlight the activity that appears to create real value, and give the platforms better information to use when optimizing future campaigns. This is also where last-click attribution begins to fall apart. An individual platform sees only its portion of the customer journey and is naturally inclined to demonstrate the value of that portion.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Advertisers, however, spend money across multiple platforms. Understanding what is truly incremental, what may be cannibalizing another channel, and what would have happened without the investment requires a broader view.<\/p>\n\n\n\n<h2 id=\"h-more-automation-will-require-more-independent-verification\" class=\"wp-block-heading\">More automation will require more independent verification<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Advertising platforms are unlikely to become less complicated. Search behavior is changing as consumers increasingly use large language models, and platforms will need new ways to monetize those audiences when searches do not necessarily produce traditional clicks. Nick expects Google, Meta, TikTok, and other established platforms to remain dominant, with the possibility of ChatGPT emerging as another large-scale advertising platform. No matter which companies prevail, advertising systems will become more algorithmically driven and, at least initially, more opaque. The platforms will continue improving their measurement and verification capabilities. They employ talented people, and they want advertisers to see a return because confident advertisers tend to spend more money. Still, their reporting cannot be the only source of truth. Mature marketplaces typically develop independent systems for assessing value, confirming quality, and protecting buyers. Online advertising has come a long way from its Wild West years, but fraud, invalid traffic, and inefficient spending have not disappeared. They have become more sophisticated alongside the platforms themselves. Marketers do not need to assume every number is wrong or treat the platforms as adversaries. They do need enough independent visibility to know which numbers are real, which ones are merely marketing numbers, and where their money could be working harder.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>One fairly basic question remains surprisingly difficult to answer: Did the ad reach a real person capable of becoming a customer?<\/p>\n","protected":false},"author":26,"featured_media":19297,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","editor_notices":[],"footnotes":""},"categories":[1],"tags":[5],"topics":[2],"class_list":["post-19296","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-data","topics-editorial"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v28.0 (Yoast SEO v28.0) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>It\u2019s Time to Stop 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