Click Fraud Up 15 Percent in 2007
Click-fraud rate for content networks grows to 28.3 percent.
Posted Feb 25th, 2008 02:37 PM by Justin Bourne
- The average
click-fraud rate increased 15 percent in 2007, and 16.6 percent of all clicks
on Web ads were fraudulent by the end of the year, according to new data Click Forensics
released from the Click
Click fraud for search-engine ad networks such as Google
AdSense and the Yahoo! Publisher Network was up 47 percent in the fourth
quarter and ended the year at 28.3 percent.
"In 2007, we saw a significant jump in the industry average click-fraud
rate, when compared with the average rate for 2006," Click Forensics President
and CEO Tom Cuthbert said in the report. "As the FBI and USA Today
have reported, fraudsters are using more sophisticated means to perpetrate
click fraud, including infiltrating mom-and-pop e-commerce sites. As a result,
it's more important than ever before for advertisers, publishers, ad networks
and search engines to cooperate and share data in order to stem what's on
target to be an even worse problem in 2008."
However, the click-fraud rates remained fairly steady, compared
to the third quarter of 2007, when the overall rate was 16.2 percent and the rate
for search engines was 28.1 percent.
Key findings of Click Forensics' report for the fourth quarter of 2007
- The overall industry average
click fraud rate rose to 16.6 percent for the fourth quarter of 2007, up
from 14.2 percent for the fourth quarter of 2006. The click-fraud rate for
the third quarter of 2007 was 16.2 percent.
- The average click-fraud rate
for pay-per-click advertisements on search engine content networks,
including Google AdSense and the Yahoo! Publisher Network, was 28.3
percent for the fourth quarter of 2007, up from 19.2 percent for the
fourth quarter in 2006. The rate for the third quarter of 2007 was 28.1
- The industry average click-fraud
rate for 2007 grew 15 percent over the rate for 2006.
- Click-fraud traffic from
botnets was 15 percent higher in the fourth quarter of 2007 than in the
third quarter of 2007.
- In the fourth quarter of 2007,
the greatest percentage of click fraud originating from countries outside
North America was from India
(4.3 percent), Germany
(3.9 percent) and South
Korea (3.7 percent).
The Click Fraud Index observes and reports information
gathered from the Click
Fraud Network to more than 4,000 online advertising and agency members.