For Subscribers

Stop Click Fraud Learn how to combat click fraud before it drains your ad budget.

By Melissa Campanelli

Opinions expressed by BIZ Experiences contributors are their own.

Online retailers beware: Click fraud--which occurs in pay-per-click online advertising and involves artificially inflating traffic statistics--may be a larger problem than you think.

Most PPC search engines have systems in place that identify click-fraud patterns and don't charge the advertiser for the fraudulent clicks. Google, for example, can generally detect rapid, successive clicking from the same person or IP address. However, individuals involved in click fraud today are using more advanced cloaking technologies that may circumvent these preventive systems.

To find out if these sneakier attacks are being identified, MarketingExperiments.com, an online marketing research laboratory in Atlantic Beach, Florida, conducted an experiment earlier this year in conjunction with Clicks2Customers.com, a search marketing solutions provider. It focused on three Google AdWord campaigns running over a 10-day period in 2005. Duplicate clicks were determined by comparing IP addresses, language, browser settings, referring URL, time of click, OS and other criteria.

"Our random sample of PPC campaigns uncovered as much as 29.5 percent PPC fraud and showed that Google was able to account for only a tiny portion of those fraudulent charges," says Jalali Hartman, senior strategy analyst for MarketingExperiments.com. Hartman says e-tailers can combat click fraud by doing the following:

1. Carefully monitor rapid drops in website conversion with corresponding spikes in paid search traffic. This type of rapid change in metrics could indicate someone or something is manipulating your search campaign.
2. Implement a click-fraud tracking tool. There are several monitoring tools that will look for irregular patterns in your click traffic and flag potential fraud. Some popular ones are AdWatcherfrom MordComm, Click Auditor from Keyword Maxand ClickSentinelfrom Zed Seven Pty Ltd.
3. Report any click fraud to Google so its fraud team can attempt to identify the source of the fraud.
4. Monitor your overall site traffic on a daily basis. By using an accurate web analytics tool, you can monitor the quality of your overall traffic and infer potential problems based on trends. on a daily basis. By using an accurate web analytics tool, you can monitor the quality of your overall traffic and infer potential problems based on trends.
Melissa Campanelli is a marketing and technology writer in New York City.

Melissa Campanelli is a technology writer in Brooklyn, New York, who has covered technology for Mobile Computing & Communications and Sales & Marketing Management magazines. You can reach her at mcampanelli@earthlink.net.

Want to be an BIZ Experiences Leadership Network contributor? Apply now to join.

Growing a Business

Forget Investors and Co-Founders — Here's How I Built a Lean, Scalable Business on My Terms

You don't need a partner or investors to build something that lasts. You need vision, systems and the guts to go all in on yourself. Here's how I built alone — and why I still would, even now.

Business Ideas

70 Small Business Ideas to Start in 2025

We put together a list of the best, most profitable small business ideas for BIZ Experiencess to pursue in 2025.

Business News

How Much Does Apple Pay Its Employees? Here Are the Exact Salaries of Staff Jobs, Including Developers, Engineers, and Consultants.

New federal filings submitted by Apple reveal how much the tech giant pays its employees for a variety of roles.

Leadership

The 2025 Leadership Playbook — Strategies to Help You Thrive in Uncertain Times

How to lead through uncertainty, adapt to challenges and position your organization for lasting success.

Side Hustle

This 26-Year-Old's Side Hustle Turned Full-Time Business Led to $100,000 in 2.5 Months and Is On Track for $2.5 Million in 2025

Ross Friedman's successful venture started with a "Teen Night" in Boston, Massachusetts.

Marketing

AI Won't Replace Marketers — But It Will Replace Lazy Ones Unless You Learn to Use It Strategically

Most marketers are using AI wrong — and it's not just wasting time, it's exposing who actually knows how to do the job.