The Cost Of Click Fraud

Written by Stan Hauser

The Cost Of Click Fraud

One ofrepparttar biggest threats torepparttar 138147 continued growth of Search Advertising isrepparttar 138148 increasing plague of click fraud. Although there are varying forms of click fraud, most people define it as any click generated, and paid for, whererepparttar 138149 intent is to drainrepparttar 138150 advertiserís budget. Advertisers know some clicks are more qualified than others, and not every visitor from their PPC campaigns will convert to a customer. But, they have a right to expect thatrepparttar 138151 traffic they are paying for is coming from people at least marginally interested in their products or services.

What Motivates Click Fraud?

Why does click fraud exist? What motivates people to deceiverepparttar 138152 system by sending PPC advertisers bogus traffic? The short answer (as usual) is money.

Many Pay Per Click Advertising networks are partially, (or in some cases totally), dependent on affiliate sites to generate traffic for their advertisers. These networks syndicate their customerís ads so they will appear onrepparttar 138153 sites of their affiliates. Every time someone clicks on an adrepparttar 138154 PPC Network andrepparttar 138155 affiliate site sharerepparttar 138156 revenue. The more clicksrepparttar 138157 affiliate site generates,repparttar 138158 more money it makes. Whilerepparttar 138159 vast majority of affiliates are legitimate trustworthy sites, others are inrepparttar 138160 business of exploiting loopholes inrepparttar 138161 system to line their pockets with real money by generating fake clicks. Often timesrepparttar 138162 weapon of choice used by these rogue sites to cheatrepparttar 138163 system is a software script that automatically clicks on PPC ads.

Another variation of click fraud uses a more personal touch to steal advertiserís money. Inrepparttar 138164 hyper-competitive world of Pay Per Click Advertisingrepparttar 138165 battle for premium positioning at an affordable cost can cause companies to use less than ethical techniques to gain an edge. Companies can drive up their competitorís marketing costs by clicking on their Pay Per Click ads. If their competitorís marketing costs get too high they may lowerrepparttar 138166 bids on their keywords, or stop bidding onrepparttar 138167 word altogether. Either way,repparttar 138168 cost forrepparttar 138169 word goes down, givingrepparttar 138170 fraudulent company an opportunity to increase their ranking onrepparttar 138171 page at a lower cost.

The Search Engineís Response To Click Fraud.

Allrepparttar 138172 Pay Per Click Search engines have systems in place to detect click fraud, and screen questionable clicks. One example of how they do this is by keying in onrepparttar 138173 IP address whererepparttar 138174 click originated from. If they see too many clicks coming formrepparttar 138175 same IP in a short period of time they will often screenrepparttar 138176 traffic.

Affiliate Strategies Of Pay Per Click Advertising Networks

Written by Stan Hauser

The Untold Secret Of Pay Per Click Advertising:

An often misunderstood reality of Pay-Per-Click advertising is that many times you can't determine where you ad will be displayed once you sign-up with one ofrepparttar PPC Search Engines. Inrepparttar 138146 incestuous world of online advertising, companies are often simultaneously competitors and partners. This is never more true than inrepparttar 138147 case of Search Engine Advertising.

Even The Big Guys Do It:

Ifrepparttar 138148 Pay-Per-Click program you're using is from one ofrepparttar 138149 major brands that has it's own consumer search destination site (Google, Yahoo, Lycos etc,) it's a little easier to tell where your ads will show up. However, even if you're working withrepparttar 138150 major players, your ads won't be limited torepparttar 138151 Search Engine you signed up with. For example, Google has agreements with Lycos, Ask Jeeves, AOL, and other lesser known brands, to display ads fromrepparttar 138152 Google AdWords program. Yahoo has relationships with MSN, and CNN.Com to display ads from its Overture Pay Per Click Program. Lycos owns HotBot.Com and has partnered with affiliates outside its network to increaserepparttar 138153 distribution of ads fromrepparttar 138154 Lycos AdBuyer Pay Per Click program.

Distribution Strategies Of Smaller Search Engines:

Once you go beyondrepparttar 138155 major Pay Per Click Advertising programs it becomes increasingly difficult to know where your ads will appear. Most ofrepparttar 138156 second tier Search Engines rely exclusively on networks of unknown sites for their distribution. FindWhat.Com, Kanoodle, Enhance and Search 123 don't operate sites that consumers use to searchrepparttar 138157 web. Because of this they have developed relationships with thousands of smaller sites to display ads from customers who sign up for their Pay Per Click programs.

Affiliate Traffic Isn't Necessarily Bad:

Just because a Pay Per Click Advertising program doesn't have its own search site to drive traffic doesn't necessarily mean thatrepparttar 138158 traffic is of lesser quality. Like everything else when it comes to a successful PPC Advertising campaign,repparttar 138159 key is to track and analyze results on a daily basis. Set-up independent tracking URL's for each PPC Search Engine you are working with, or use a third party tracking tool like Atlas One Point to track how many clicks you're getting from each Search Engine, and how much ofrepparttar 138160 traffic is converting into sales.

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