APAC Ad Fraud Soars: Singapore at Risk as Invalid Traffic Rates Climb

By Angela Gray | November 07, 2025

As digital advertising spend explodes across the Asia-Pacific (APAC) region, a darker trend is emerging: a significant rise in ad fraud. New data released by Pixalate reveals alarming rates of invalid traffic (IVT) – encompassing everything from bot activity to fraudulent impressions – threatening to erode trust and drain billions from the digital economy. While the region presents immense growth opportunities, it’s increasingly becoming a hotbed for sophisticated fraudulent activity, demanding immediate attention from advertisers, publishers, and regulators.

Pixalate’s Q3 2025 APAC benchmark reports paint a concerning picture. Japan emerges as a relative outlier with a comparatively low web ad fraud rate of 13%. However, the same can't be said for Singapore, which registered the highest CTV fraud rate in the region (43%) and a substantial 41% on mobile apps. India, while showing lower web fraud (15%), recorded a significant 33% IVT rate for mobile app traffic. These numbers, based on analysis of over 106 billion global programmatic advertising impressions, are raising red flags across the industry.

A Regional Vulnerability – Why APAC?

The rapid digitization of APAC economies, coupled with increasing mobile penetration and connected TV adoption, is creating a perfect storm for ad fraud. The sheer scale of the growth, combined with varying levels of regulatory oversight and technological infrastructure across different countries, is making the region particularly vulnerable.

“The speed at which digital advertising is expanding in APAC is unprecedented,” explains a leading ad tech expert, speaking anonymously. “Fraudsters are naturally drawn to these high-growth markets, exploiting loopholes and weaknesses in the ecosystem to maximize their profits.”

The numbers support this sentiment. Globally, IVT rates for web traffic are around 20%, but certain APAC countries are significantly higher. This disparity underscores the need for targeted fraud prevention strategies tailored to the unique challenges of each market.

Singapore Under Scrutiny – What's Driving the Surge?

Singapore's position as a regional hub for digital innovation and its high mobile and CTV penetration rates are contributing to its vulnerability. The data suggests a complex interplay of factors driving the surge in fraud.

“Singapore’s mature digital infrastructure and sophisticated advertising ecosystem are attracting both legitimate advertisers and fraudsters,” says an industry analyst specializing in the Singaporean market. “The high concentration of ad spend makes it a prime target for fraudulent activities.”

Experts point to the prevalence of ad stacking (displaying multiple ads on top of each other to artificially inflate impressions) and domain spoofing (creating fake websites that mimic legitimate publishers) as common tactics employed by fraudsters in Singapore. The country’s relatively lenient regulatory environment, compared to some other APAC nations, is also contributing to the problem.

“While Singapore has some regulations in place, they are not always effectively enforced,” notes an anonymous source within a local regulatory body. “There’s a need for greater collaboration between regulators, ad tech companies, and publishers to crack down on fraudulent activities.”

Beyond the Numbers: Eroding Trust and Brand Safety

The impact of ad fraud extends beyond financial losses. It erodes trust in digital advertising, damaging brand reputations and diminishing the effectiveness of marketing campaigns. Fraudulent impressions and clicks skew campaign metrics, making it difficult for advertisers to accurately measure ROI and optimize their spending.

“Consumers are becoming increasingly discerning,” says a brand manager at a major multinational company. “They expect to see relevant ads from trusted sources. When they’re exposed to fraudulent or misleading ads, it damages their perception of the brand.”

Moreover, ad fraud poses a significant risk to brand safety. Fraudulent websites often host inappropriate or offensive content, which can be displayed alongside legitimate ads, damaging brand reputation and alienating consumers.

Addressing the Challenge: A Multi-Pronged Approach

Combating ad fraud requires a multi-pronged approach involving advertisers, publishers, ad tech companies, and regulators. Key strategies include:

• Enhanced Fraud Detection Technologies: Implementing sophisticated fraud detection technologies that can identify and block fraudulent traffic in real-time.
• Robust Verification Solutions: Utilizing third-party verification solutions to ensure that ads are displayed on legitimate websites and viewed by real people.
• Industry Collaboration: Fostering greater collaboration between industry stakeholders to share data and best practices.
• Stringent Regulatory Enforcement: Strengthening regulatory enforcement to deter fraudulent activities and hold perpetrators accountable.
• Increased Transparency: Improving transparency in the digital advertising supply chain to identify and eliminate fraudulent intermediaries.

Pixalate’s accreditation by the Media Rating Council (MRC) for Sophisticated Invalid Traffic (SIVT) detection underscores the importance of independent verification and validation in the fight against ad fraud. However, accreditation alone is not enough. Continuous innovation and adaptation are essential to stay ahead of increasingly sophisticated fraudsters.

“The battle against ad fraud is an ongoing arms race,” says a leading ad tech executive. “Fraudsters are constantly evolving their tactics, so we must remain vigilant and invest in cutting-edge technologies to protect advertisers and consumers.”

The surge in ad fraud across APAC presents a serious threat to the sustainability of the region’s digital advertising ecosystem. By adopting a proactive and collaborative approach, industry stakeholders can mitigate the risks and build a more trustworthy and effective digital advertising landscape. The cost of inaction, however, is simply too high – billions of dollars in lost revenue, damaged brand reputations, and eroded consumer trust.