The New Year Shopping Surge: How Retailers Need to Tackle Click Fraud to Maximise App Downloads and Sales

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By Adam French, Regional Vice President EMEA, TrafficGuard

Mobile apps are transforming the way customers shop, and in 2021 gross consumer mobile app spending amounted to $170 billion globally, according to Statista. Apps are becoming better equipped for spontaneous purchases and internal payments and have quickly become a key channel for retailers to increase sales.  

This creates an exciting opportunity for ecommerce advertisers leveraging their own branded apps for tailored customer engagement and activation outside the traditional digital channels such as search. The global in-app purchasing market size is projected to reach $340.76 billion by 2027, according to Allied Market Research. In-app purchasing is outpacing in-app advertising in terms of revenue opportunity growth, meaning retailers need to focus on increasing downloads and user acquisition in order to make the most profit. They can make a significant amount of money solely from this channel and capitalise on the demand for in-app shopping capabilities.  

However, according to Juniper Research, digital advertising losses to fraud will reach $112.6 billion by 2026, and the new year’s sales splurging creates significantly more fraudulent opportunities. Unfortunately for marketers, fraudsters follow the money, and the more that’s being spent, the more that’s being stolen.

In 2023, retailers will face rising operational costs and decreasing consumer confidence as prices surge and recession hits. As shoppers feel the economical pinch, they’ll have to make stricter decisions about where their money goes, and maximising marketing campaigns will become more important than ever.  

Retailers must increase their share of voice against competitors or risk losing out on potential sales. By filtering out invalid traffic and fraud, businesses can reduce the impact it has on their budgets, stay one step ahead of the fraudsters and reach prospective shoppers.

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