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My August examples demonstrate what I call "syndication fraud" -- Yahoo placing advertisers' ads into spyware programs, and charging advertisers for resulting clicks. But Yahoo's spyware problems extend beyond improper syndication. In my August syndication fraud examples, an advertiser only pays Yahoo if a user clicks the advertiser's ad. Not so for three of today's examples. Here, spyware completely fakes a click -- causing Yahoo to charge an advertiser a "pay-per-click" fee, even though no user actually clicked on any pay-per-click link. This is "click fraud."
Damning, to say the least.
[edited by: Woz at 12:27 pm (utc) on April 7, 2006]
[edit reason] Made link live [/edit]
I sent an email to Yahoo, but have yet to hear a reply as to what they intend to do.
Any thoughts here?
Click fraud should be pretty big but i am wondering why Y cant implement the same screening technology which G did
We can't tell how good G's screening technology is compared to Y!'s because it's not being run against Y!'s traffic. For all we know, G's screening technology isn't any better; it may be that G just has better converting users.
A possible goal of click auditing would be for each of the engines/networks to submit their fraud detection code to various types of traffic including that considered to be fraudulent, and have each rated according to its ability to detect fraud. But even this is not the strongest confidence measure; it doesn't take into account fraudulent patterns that the people preparing the test didn't think of. (However, it may satisfy the courts.)
If top players cant screen 100% of fraudulent clicks then maybe they are doing their best but cant detect all fraudulent clicks in today reality?
I didn't quite understand you here, but in general, it isn't possible to detect a considerable number of types of click fraud due to the way the Internet is designed and architected. Furthermore, what could be considered fraudulent could also be considered nonconverting. Keep in mind that there are people with big budgets who don't care about a sizable amount of nonconverting traffic; all they care about is ROI. People on limited budgets are much more sensitive to nonconverting clicks, especially if they're paying top CPC.