Click Fraud and How to Deter It

>companies go to great lengths creating intricate
Pay per click (PPC) advertising continues to gainsoftware that allows for this to happen.
popularity in the online marketing world as anHow Can You Deter It?
effective and inexpensive way to drive targetedMany advertisers know about the possibility of
visitors to web sites. Research firm eMarketerclick fraud but generally haven't done much in the
reported that between 2002 and 2003 the paidpast to prevent it. Some feel that if they
search listing market grew 175 percent. Majorcomplain to any of the search conglomerates, it
trusted search properties such as Google,could ruin their free listings. Others feel like the
Overture, FindWhat.com, and Kanoodle, all offerproblem is beyond them.
PPC campaigns in which you pay only when"It is a bigger problem, but folks just don't want
someone clicks through your banner ad or link.to take the time to track it down because it's a
But PPC also has an enemy--click fraud--andcomplex problem," stated John Squire, of web
understanding what it is and what to do about itanalytics firm Coremetrics, to CNET. "Given that
should also be a key part of your PPC campaign.some of the largest marketers manage up to 1
What is Click Fraud?million keywords in a campaign the data can be
Click fraud is when someone or somethingdifficult to crunch."
generates illegitimate hits on your banner or textCompanies who do understand and report click
advertisement causing you to pay for worthlessfraud to search engine properties have had
clicks. AS PPC campaigns have grown in popularitysuccess receiving refunds for fraudulent clicks. For
and keyword prices and bidding have becomethose advertisers who want to address the
more competetive, click fraud is on the rise.possibility of click fraud in PPC campaigns, good
Online marketers are becoming increasinglyoption do exists. At the most basic level,
worried about the prospect of click fraud.advertisers can use general auditing; many have
According to CNET News, some marketingbeen known to compile lists of sites that generate
executives estimate that "up to 20 percent ofhigh numbers of clicks but not sales. This will
fees in certain advertising categories continue toindeed put up a red flag.
be based on nonexistent consumers in today'sOn the other hand, because click fraud is
search industry."advancing at such frequency, click fraud detection
This estimate is certainly unsettling for advertiserscompanies and software have been popping up all
who, recently, have been paying hefty amountsover the country. Let's take a look at some of
bidding on desirable search terms. Financialthe options:
analysts report that in the year 2004 advertisersClickDetective - ClickDetective allows you to track
are paying an average of 45 cents per click.return visitors to your site and alerts you if there
Compare this to 40 cents in 2003 and 30 cents inis evidence that your site may be under attack.
2002; the bidding wars continue to rise.Its reports show you every click in real time
Who's Doing it and Why?rather than a summary hours later.
Click fraud perpetrators are most often- This fraud detector tracks all PPC search
motivated by trying to increase revenues fromengines, detects multiple IP's, and even pops up a
affiliate networks or attempting to damage"ClickMinder" after a potential abuser clicks
competitors' revenues by forcing them to pay forrepeatedly over five times.
worthless clicks. The Google Adsense program, inBogusClick - BogusClick can help advertisers
which affiliates receive payment for clicksdetermine competitor IP addresses, originating
whether they are real or not, has caused greatPPC search engines and/or partner sites involved,
concern for Google and has intensified its focusas well as keywords used.
on click fraud.Clicklab - Clicklab employs a score-based click
Those engaged in click fraud use a variety offraud detection system that applies a series of
techniques to generate false clicks. Low costtests to each visitor session and assigns scores.
international workers from all over the world areCalculations are made to indicate bad/good
hired to locate and click on ads. The Times ofsessions to show an advertiser the quality of
India provided investigative reporting on paymenttraffic.
for manual click fraud happening in India. UnethicalClick fraud is a big problem in search engine
companies may pay their own employees to clickmarketing that's only going to get bigger in the
on competitor ads. Last but not least, click fraudfuture. It is wise for any online advertiser to
can be generated by online robots programmedimplement some auditing system. Why continue
to click on advertiser or affiliate ads. Someto waste precious campaign money?!