Understanding and Avoiding Ad Fraud
Ad Fraud is a growing problem for advertisers. It consumes over $6 billion annually, and these statistics can hinder your business if you remain oblivious.
Worry not because many businesses exist to help advertisers combat ad click fraud. It may be challenging to find where to begin, so this guide covers all the basics of curbing ad fraud!
Different Ad Frauds
Ad fraud comes in many different forms. Some of the most common are:
Bots are software programs that imitate human activity on websites, like visiting a site or clicking on ads. They can be used to create fake traffic and impressions (likes), which can then be sold to advertisers for real money.
Sometimes bots aren’t enough to fool advertisers into thinking you have a large audience of engaged users.
So instead, you’ll see multiple ads for the same company showing up at once on your website or app—the result being more “clicks” from bots than actual people.
This is called ad stacking because there’s so much stuff on one screen that it looks like an ad stack in a physical newspaper kiosk!
Click Laundering (or click masking)
The third type of bot-related ad fraud involves selling clicks on legitimate ads through proxy servers overseas.
These servers often don’t require IP addresses or other identifying information to operate, making it difficult for companies like Facebook or Google (which owns YouTube) to track down those responsible for the fraudulent clicks themselves without breaking laws about privacy protection overseas.
Domain spoofing refers specifically to when it comes time for payment. Instead of using their credit card information directly, they’ll use what appears at first glance as legitimate credentials but, upon closer inspection, belongs to someone else entirely.
What are Click Frauds?
Ad click fraud is when an advertiser pays for a click that never actually happened. It can be intentional or accidental, but either way, it results in the advertiser paying for something that the clicks they get.
In other words, it’s money spent on ads that are not converting into sales or leads.
While this issue may seem easy to avoid because it only occurs when a person clicks on your ads (and you can take measures to prevent people from clicking on them), other forms of ad fraud aren’t obvious at first glance.
For example, advertisers often use “pay per impression” programs where they pay each time their ads appear on another website or app screen instead of paying based on clicks or conversions—this means that someone could technically visit and look at all of your competitors’ websites without actually clicking through any links and still get charged by the platform hosting them!
How Do Click Frauds Impact Your Campaign?
- Your cost-per-click (CPC) will be higher than it should be, meaning that you’re paying more for each click on your ads.
- You may not see the results from your ad campaigns that you expected. For example, you might get many impressions without seeing any conversions or leads because these impressions were fraudulent. This means there was no real interest in what you were advertising and showing on your site.
How can advertisers protect themselves from click fraud?
Understand how it works
To do this, you need to identify and understand the different types of ads that are out there, including banners and text ads.
Then you can ensure that you’re using the best advertising options for your campaign and adjust them accordingly.
Use The Right Tools to Detect Fraud
It’s important to use a tool that will alert you when there’s an issue with your ads so that they can be stopped before any money is lost—and then start looking at other ways these issues could have been prevented altogether.
This way, if something similar happens again in future campaigns or even on other platforms like Facebook or Twitter (even though they’re different types of advertising), it won’t cost advertisers as much money overall because they’ll know where else they might have been vulnerable too!