Tackling the Click-fraud Issue?

[Andrew Qunice]

Recent media discussion about the thorny issue of click-fraud raises some interesting questions. Estimates suggest that around 95 per cent of Google’s revenues are generated by individuals clicking on advertisements which run on its website. Imagine if just 15 per cent of this total could be attributed to click fraud. What would the actual dollar figure be? It is a sobering thought.

Ultimately, the real problem is that most of the groups involved in Internet advertising stand to benefit from click-fraud.

Google and the other search engine giants have the potential to gain by attracting more advertisers and advertising revenue. In addition, the money advertisers pull in by appearing on Google is likely to far outweigh any inflation in costs caused by the practice itself.

Ultimately, the only people who lose out are end customers who have little power to influence the issue and who will inevitably bear the brunt of these inflated rates.

Until the issue attracts the serious attention of the Securities and Exchange Commission, which reports suggest it now has, how much incentive is there for anyone to pull the plug on it?

[bdnseo]

This is not a news flash.

[Black_Knight]

This is not a news flash.
Nor is it even unique to the web.

At any trade show, you can be sure that at least a few of the 'prospects' who take away your literature, spend time hearing as much detail as they can about what you offer, what your USP is, and generally tries to understand as much as possible about your business are people working for your competitors, scoping you out as part of their market research.

Your sales people are definitely, beyond doubt, often fielding calls and wasting time likewise on 'fake' prospects that represent competing companies and individuals scoping out your offering and business so that they can learn from it.

This has always been true. There has always been a cost in 'fraudulent' leads in business ever since there were first 2 businesses in the same market. The only thing that is new to the internet is a better chance to identify and measure this.

[bdnseo]

Nice commentary Black Knight... and true enough.

People need headlines though which is fuelling this click fraud craze. I think the only real danger is when people see click fraud all over the news it may give them the idea to do it themselves!

Human's also like to pick apart success and now that Google is on top they are going to get shots thrown their way.

[AussieWebmaster]

Nor is it even unique to the web.

At any trade show, you can be sure that at least a few of the 'prospects' who take away your literature, spend time hearing as much detail as they can about what you offer, what your USP is, and generally tries to understand as much as possible about your business are people working for your competitors, scoping you out as part of their market research.

Your sales people are definitely, beyond doubt, often fielding calls and wasting time likewise on 'fake' prospects that represent competing companies and individuals scoping out your offering and business so that they can learn from it.

This has always been true. There has always been a cost in 'fraudulent' leads in business ever since there were first 2 businesses in the same market. The only thing that is new to the internet is a better chance to identify and measure this.

Prior to the web when I ran phone rooms I would take a part time job somewhere else and read all the copy, look at the company's methods and then at the break offer to buy lunch for the better telemarketers and offer them better money.... would leave cards and not return after lunch!