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56 commentsMonday, December 15, 2008

How Search Engines Manage Click Fraud

The auditing process

In the session "Search Engines on Auditing" the speakers discussed how search engines handle auditing concerns.

Richard Zwicky, Founder & CEO, Enquisite, discussed auditing issues with PPC and how they try to figure out what went wrong.
 
Analytics ecosystem:

Collect

Analyze

Report

Optimize

Monetize

Ways ad networks protect you:

Invalid/discounted clicks

Real time behavior analysis

Proactive filtering

Over-time analysis

Mathematical models

Honeynet projects- open proxy

Zwicky said ad networks don't see what happened after the click left their network, which is why it is important for you to audit your campaign.

You can make ad networks better by using the parameters they have to tighten your campaign and actively control your results. Not everything that goes wrong is fraud.

"When you have an issue, file a claim - it's the only way you will receive help," Zwicky said.

Shuman Ghosemajumder, Business Product Manager for Trust & Safety, Google, said there are 2 main incentives for click fraud, attacking advertisers and inflating affiliates.

How Search Engines Manage Click Fraud

Numerous methods:

Manual clicking

Click farms

Pay-to-click sites

Click bots

Botnets


Ghosemajumder said Google uses a three-part system for invalid click detection:

1. Filters- automated algorithms filter out invalid clicks in real time, analyzes all clicks, and account for the vast majority of invalid click detection.
 

2. Offline analysis- automated algorithms and manual analysis
 

3. Investigations- rare

"When we mark clicks as invalid, we're not charging the advertisers for those clicks," said Ghosemajumder.

Nearly all invalid clicks are detected proactively. Reactively detected invalid clicks are a negligible proportion (less than 0.02%).

"The impact of invalid clicks at Google is minimal."

Several features help and protect advertisers:
SmartPricing
 

AdWords Auto-Tagging
 

Site Targeting
 

Site exclusion
 

Invalid clicks reports
 

Placement reports
 

IP exclusion
 

AdSense click area change

  • Takeaways:
  • Validate data collection methods
  • Define conversions carefully
  • Use advanced analytics features to spot trend in data
  • Conduct experiments to get more data

 

About the author:
Mike is a staff writer for WebProNews.

Important

I guess this must be high priority for Google, because click fraud can kill the whole system...

They don't do very much at all.

That's all BS... Google knows that the scammers use virtual credit cards and disposable cell phones to create and verify AdSense and other accounts. They also know that they profit from all fraud they don't catch. 0.02% is a BS number unless it is the number they try to catch but probably don't. They know they can't even detect the sophisticated click fraud that mingles garbage traffic with fraud clicks. PHP proxies on $2-4/month hosting + one virtual windows host to run an IE7 browser pilot through those cheap private proxies that are only open to the one windows host.

Google "Black Hat SEO forum" and you'll find ten thousand schmucks boasting about how google does nothing to stop them. And its true... google does nothing to stop them... I see maybe one message a year on those forums saying "Google blocked me"... and that person is far from blocked from trying again.

PPC is quickly heading towards PPM... it is an arms race and Google is rapidly losing.

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