The overall click fraud rate in Q4 2010 was 19.1 percent which was lower than the Q3 2010 all-time high of 22.3 percent, but higher than the 15.3 percent rate for Q4 2009, according to the latest report from Click Forensics.

Click Forensics Malware Lab identified a new malware scheme targeting display banner ads. The program performs a pop-up or pop-under and rotates brand advertisers’ banner ads every 10-15 min in an effort to boost impression figures.

In Q4 2010, the countries outside North America producing the greatest volume of click fraud were Japan, the Netherlands, the Philippines, Sweden and France, respectively.

“While the overall click fraud rate dropped last quarter for CPC advertising, we saw the emergence of new schemes focused on display advertisements,” said Paul Pellman, CEO of Click Forensics.

“We are investigating the malware-driven attacks in more detail, but early evidence points to an impression inflation scheme. It’s something we will examine more closely and report on later this year.”