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Sunday, November 19, 2006

Click Fraud Explained

The term 'click fraud' has been creeping up more and more in news articles and blogs everywhere especially with the emergence of Google Custom Search Engine which some believe is just another tool for fraud. Heres how i view the impact of click fraud...

Click Fraud refers to any kind of click received from a CPC search engine that is generated artificially through human or technological means with the sole purpose of creating a debiting click, resulting in zero possibility for a conversion to occur.

It is estimated that over 15% of budget will go to click fraud – and in some highly competitive markets close to 50%.

Type 1 Click Fraud: If a competitor (or someone who doesn't like you) finds the ad and clicks on it, that would be considered click fraud. The person had no interest in your site whatsoever. They are trying to do you harm.

Type 2 Click Fraud: Someone (insane) re-clicks on the same ad repeatedly or is just plain confused. Or their keyboard or mouse goes berserk.

Type 3 Click Fraud: Someone creates a site with GoogleAds on it and participates in the Google AdSense program and clicks on the ads to generate revenue for themselves. (AdSense is the program where on your own site you display Google pay-per-click ads and when someone clicks on them, you get a part of the revenue.)


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