Online Advertising Survival: Combating Click Fraud - University of ...

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exhausted, the attackers benefit by receiving all the legitimate advertising clicks that thecompetitors may have obtained. This is more of a problem for small business ownerswithout the funds for the unbudgeted expenditures. The longer term goal is to make payper click advertising too expensive for the competitor and thus completely removing thecompetitor from the search engine results.Impression fraud is a form of click fraud also against competitors. Ad impressions arethe number of times an advertisement is rendered for viewing by the search engine andimpacts the advertisers click through rate. Impression fraud manipulates the number ofpage impressions for a given search term to drive down a competitors click through rate.When an advertiser’s relative click through rate decreases, his search term can besuspended because of low click through rate performance. Google suspendsadvertisements once the click through rate hits 0.5%. By sabotaging the competitor andeliminating their advertisements, the perpetrator can then take advantage to obtain highersearch rankings at lower costs.7.5 Personal / Political AgendaSome click fraud is motivated not by greed but malicious intent, personal or politicalvendettas. Competitors click on advertisements to make it look as though the Web siteoperator or affiliate network itself has been perpetrating the click fraud. This is akin to20
framing the operator or network 22 . Alternatively, click fraud could be used to deplete theadvertising budget as protestations against a company.Lastly, there is the web site Enturbulation.org, whose sole purpose is to collect anddistribute sourced information and facilitate the organization and planning of worldwideprotest actions concerning the Scientology Organization 23 . These adversaries ofScientology have come up with means aimed to destroy the huge cash reserves of theScientologists. Click fraud is primary among them. It is not known whether a click fraudcampaign was ever launched or the impact it had on the Scientology organization. Thisjust highlights that financial gain is not always the motivating factor in a click fraudscheme.7.6 Affiliate ProgramsCorrupt affiliate advertisement networks are thought to account for 85% of all clickfraud 24 . It is thought that the proliferation of lower tier level affiliates is the cause. Asthe major search engines strive to further meet targets and generate new sources ofrevenue, control is lost with each additional level of advertisement networks 25 .22 World Intellectual Property Organization, “Detecting and Adjudicating Click Fraud”,http://www.wipo.int/pctdb/en/wo.jsp?wo=2008030670&IA=WO2008030670&DISPLAY=DESC,Retrieved May 30, 200823 Enturbulation.org, A Source For Information on Dianetics and the Scientology Organization,http://forums.enturbulation.org/7-general-discussion/operation-deplete-16711/, Retrieved May 14, 200824 www.clickrisk.com, Retrieved May 11, 200825 Weinstein, Jerry, “Either We Kill Click Fraud or Click Fraud is Going to Kill the Online AdBusiness”,http://www.jackmyers.com/commentary/media-business-report/18037949.html, Retrieved June1, 200821
Page 1 and 2: Online Advertising Survival:Combati
Page 3 and 4: Table of Contents1. INTRODUCTION 52
Page 5 and 6: 1. IntroductionThere have always be
Page 7 and 8: advertising industry. In addition,
Page 9 and 10: sales recorded by the offline retai
Page 11 and 12: and newspaper circulation will see
Page 13 and 14: Pay per click advertising in theory
Page 15 and 16: Search engine marketing companies v
Page 17 and 18: click fraud try to imitate legitima
Page 19: click fraud did so in the belief th
Page 23 and 24: 26An example of the relationships w
Page 25 and 26: each others work will “donate”
Page 27 and 28: with 99% coming from search adverti
Page 29 and 30: 36Google argues that virtually all
Page 31 and 32: eporting by the third party auditin
Page 33 and 34: provide a foundation for industry g
Page 35 and 36: advertisers. In turn, the third par
Page 37 and 38: the powerful advertising networks.
Page 39 and 40: human and bot generated clicks in o
Page 41 and 42: There is currently few state or fed
Page 43 and 44: 11.2 Class Action LawsuitsGoogle an
Page 45 and 46: The problem facing the plaintiffs i
Page 47 and 48: eluctantly acknowledged the click f
Page 49 and 50: 12.4 User LocationIn general terms,
Page 51 and 52: There is a difference between legit
Page 53 and 54: engines not to crack down on it. Th
Page 55 and 56: BibliographyMcCollam, Douglas, Bad
Page 57 and 58: Appendix B57
Page 59 and 60: Appendix D6464 http://www.marketing
Page 61 and 62: Appendix F6666 IAB Internet Adverti
Page 63 and 64: Appendix H63
Page 65 and 66: Appendix J65
Page 67 and 68: Appendix L67
Page 69 and 70: Appendix6868 http://www.marketingch

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