The high cost of mobile ad fraud in Brazil—and how to fight back

Brazil’s fraud problem has hit a tipping point

Brazil’s booming app economy has become a magnet for increasingly sophisticated ad‑fraud schemes. Recent estimates from AppsFlyer put install fraud losses at approximately  $460 million in 2024. Even more alarming: install fraud jumped 57% on Android and a staggering 79% on iOS in just a year.

Why the surge?

• Attribution blind spots: Click flooding (generating large numbers of fake clicks to falsely claim credit for installs) and install‑hijacking (stealing attribution from legitimate sources by inserting fraudulent clicks just before the install) still exploit last‑click attribution models.
• Blackbox supply chains: When inventory is resold multiple times, impression‑level data disappears, taking accountability along with it.
• Higher CPIs = bigger rewards: User Acquisition (UA) costs are rising, especially on iOS, where marketers heavily invest due to higher user value. Fraudsters increasingly target these pricier UA campaigns, and the incentive is clear: higher CPIs mean bigger payouts for fraudsters creating fraudulent installs.

What’s at risk for mobile marketers?

1. Wasted budget & negative ROAS: Fake installs drain spend that should be driving real growth for your app.
2. Corrupted optimization signals: Fraud contaminates your data, leading to distorted results, disrupting your predictions, revenue forecasts, and preventing you from making informed strategic decisions.
3. Brand safety: When working with partners that don’t offer visibility into where your ads are displayed, you risk showing up in environments that could harm your brand’s reputation or alienate valuable users.
4. Cannibalization: Campaign results can look stellar on the surface, but if those installs would have happened organically (or through another paid channel), you’re paying for users you would have acquired anyway. Always measure campaign lift to prove that your growth is truly incremental, not just crowding out your existing growth.

"With fraud rising sharply across both Android and iOS, especially in high-value categories like finance, shopping, and gaming, marketers can’t afford to treat prevention as an afterthought. By blocking fraud in real-time and gaining a deeper understanding of the threats targeting their app, advertisers not only protect their budgets but also drive stronger performance, acquire higher-quality users, and achieve better ROI." —Yael Altshul, Director of Product at AppsFlyer

How programmatic DSPs prevent fraud exposure

Programmatic DSPs bring much-needed transparency to a space often clouded by limited visibility. With full-funnel tracking—offering visibility from bid to impression to click to install—marketers can connect the dots and catch fraud before it impacts their bottom line. 

Unlike no-SDK ad networks and certain affiliate partners, which often operate in the dark, programmatic platforms give you clear signals on traffic quality and control over where your ads show up. Here’s how the models stack up, plus a few more differences worth noting:

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Porgrammatic DSPs vs No-SDK Ad Netoworks/Affiliates

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📚Deep dive: Programmatic DSPs vs. no‑SDK ad networks and how to stop app‑install fraud.

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Quick-action playbook for fraud prevention

1. Push for full visibility
   If a partner doesn’t provide impression‑level transparency, it’s worth questioning why. Real visibility is foundational for fraud detection.
2. Spot the warning signs
   Watch out for unusual click‑to‑install spikes, mismatched devices, or install surges during low‑traffic hours.
3. Invest in smarter partnerships
   Combine an MMP’s fraud suite with a DSP that supports both pre‑bid and post‑install validation.
4. Keep the conversation going
   Fraud prevention improves with shared knowledge. Speak up in forums, panels, and group chats to move the industry forward.

“Fraud doesn’t knock politely—by the time you notice, it’s already cashed the cheque. Every month you wait to tighten controls is budget you’ll never get back and data you can’t un‑skew. My advice? Treat anti‑fraud like an always‑on KPI, not a one‑off audit.” —Gabriel Oyarzabal, VP Sales, LATAM at Jampp

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Final thoughts: Prevent mobile ad fraud and protect your growth strategy

Fraud isn’t slowing down, and every delay in action makes your growth data less reliable and your budget more vulnerable. Shifting your budgets to transparent, programmatic channels—and holding every partner to impression‑level accountability—is the fastest route to safer growth.

Ready to clean up your funnel? Let’s talk about how Jampp’s programmatic growth platform can help you scale while driving real results—not rewards for fraudsters. Contact us to talk to one of our mobile experts.