Slashdot Mirror


Google Sues Click Inflators

Rollie Hawk writes "As is the case with any pay-per-click (PPC) advertising service, Google AdSense is vulnerable to click inflation, where the per-click values of ads go down thanks to excessive clicking. What is different this time is that it is not greedy webmasters clicking ads on their own site but rather the advertisers themselves. In a lawsuit filed last year, Google alleges that Auctions Expert used hired hands and automation to generate high numbers of ad clicks that resulted in $50,000 in revenues. This was done with two goals in mind: forcing wasted advertising expenses on competitors and inflating their own click values, lowering advertising costs. Industry insiders claim that Google AdSense and other PPC advertising providers are undermanned and therefore don't catch many of the estimated 20% fraudulent clicks. It certainly seems that some heuristic software could help reign-in some of these activities, yet Google seems to do a large amount of this work by hand. Often criticized for its policies of non-disclosure for many of its online services, Google claims the secrecy is justified in the case of not giving advertisers details on fraudulent clicking. They say the last thing they want to do is provide a 'road map' to would-be frauders."

29 of 277 comments (clear)

  1. Microsoft claims new reason for avoiding OSS by Anonymous Coward · · Score: 3, Insightful

    They say the last thing they want to do is provide a "road map" to would-be hackers.

    -Rick

  2. Security through obscurity? by TripMaster+Monkey · · Score: 4, Insightful


    From the article:


    Stricchiola harshly criticizes Google, saying the firm typically will not divulge much information to advertisers about the nature or scope of click fraud on their Web sites. Google defends the practice, saying it does not want to provide a road map for those with bad intentions.


    <sarcasm>
    Security through obscurity...always a sound threat-management strategy.
    </sarcasm>

    Seriously, what exactly does Google hope to accomplish by trying to keep a lid on this? News flash, Google: the 'road map' is already out there, and being used to the tune of approximately 20% of all clicks on ads (stat from TFA). The secret is out...no one can gain by covering up the problem...no one, that is, but the people perpetrating the click fraud.

    Google better do an about-face on this issue, and fast, before it winds up biting them on the ass even more than it has already.
    --
    ____

    ~ |rip/\/\aster /\/\onkey

    1. Re:Security through obscurity? by HitByASquirrel · · Score: 5, Insightful

      Anybody else notice the rapid crapification of Google since the IPO? There's a difference between "crapification" and "legitimization."

      Google needs to protect themselves and their legitimate clients. Why would a company allow practices that were essentially stealing money from them, and for that matter, why would someone invest in a company that allowed people to do such things?

    2. Re:Security through obscurity? by Anonymous Coward · · Score: 5, Insightful
      You know, "No security through obscurity!" is an aphorism, not a law of thermodynamics. It's not like disclosing their practices is going to accomplish anything (no, they're not waiting for your 1337ness to ride in and save them) and the fact that there's an existing problem isn't proof that things can't get any worse.

      Sorry, "No security through obscurity!" is just something Slashbots repeat to sound smart...

    3. Re:Security through obscurity? by Florian+Weimer · · Score: 4, Insightful

      The secret is out...no one can gain by covering up the problem...no one, that is, but the people perpetrating the click fraud.

      Not true. If you've got a solution for click fraud, you should keep it to yourself because it enables you to give better service to your customers, especially better than the competition who doesn't know of your discovery.

      Have a look at spam filter heuristics for some inspiration. The most effective ones are not widely published, and thus not widely used. I don't think this is a coincidence.

      Security through obscurity doesn't work in cryptography. A competitive edge through trade secrets is not completely unheard of. In the end economics win, and not cryptography.

    4. Re:Security through obscurity? by ajs · · Score: 4, Insightful

      "Sorry, "No security through obscurity!" is just something Slashbots repeat to sound smart..."

      What's more, it's often dead wrong.

      "Security through obscurity is no security at all" is often the mantra, and yet when pressed, you have to admit that having a password; having some systems be honeypots that feed DNSBLs; and many other valid security approaches are STO *and* are valid additions to your security framework.

      The key to good security is layering. Put out your STO layer, and then add in your logical security layer, followed by your physical security layer, followed by your auditing layer. This is how you build good security.

      At every point in your security model, you should have a sense that there's some ablative layer that can be compromised without a full failure of security. What's more, you should be auditing that intrusion to discover the failure, and ideally reacting to that information (e.g. by modifying firewall rules to stop the intruder).

      Getting back to our friends... Google is showing you the first layer of their security approach: don't tell them what our security model is. Now, if that's their whole model, then they're screwed, but it seems reasonable to assume that it's not (else, why bother not telling you?)

    5. Re:Security through obscurity? by tshak · · Score: 2, Insightful

      Security through obscurity is a valid means of security. Security is a matter of depth, meaning that you rely on multiple layers of security within your system. Obscurity is one of those layers. The "security through obscurity" cliche that you often see here on /. is in regard to security solutions that rely almost soley on obscurity.

      --

      There is no longer anything that can be done with computers that is nontrivial and clearly legal. -- Paul Phillips
    6. Re:Security through obscurity? by Anonymous Coward · · Score: 1, Insightful

      You seem to have confused the concept of a 'secret' (e.g. a password) with 'obscurity' (e.g. a 'hidden' web page that 'cannot' be found because you have not given out the URL... at least, you don't think you have).

      In some sense, any secret must also be somewhat 'obscure' (otherwise it could hardly be secret!), but that's not quite what's meant by "security through obscurity." The implication of "security through obscurity" is that the system is NOT secure, and the obscurity exists merely to hide that fact.

      In this case, it may well be that Google realizes the system is insecure (and they would appear to be all but admitting that), and thus relys on the obscurity to prevent the exploits from becoming even more widespread. Indeed, it is hard to imagine any way to reliably detect the fraudulent clicks when, as they say, they're being generated by humans with computers being paid slave wages in some poor country. In that regard, keeping their detection methods secret does provide some value in preventing evasion, though it is decidedly not secure by any means--if it were, there would be no way to evade it, and no harm in disclosing it.

  3. Good deal. by Future+Man+3000 · · Score: 5, Insightful
    Greed is ruining the Internet (pop-ups, e-mail spam, blog spam, P2P, ungrounded cease-and-desists, spyware/adware, "phone-home" software) and it's about time to defend one of the last remaining quality services of the Internet: search engines.

    Google got to the top of the game by providing an excellent service efficiently. But like anything else, people have no problems ruining it to make a little more money.

    --

    I never vote for anyone. I always vote against.
    -- W.C. Fields

    1. Re:Good deal. by PktLoss · · Score: 4, Insightful

      While google may not be doing the math. I (and other advertisers) most certainly do. I'm paying X for a click, %0.5 of clicks result in a sale, with a profit of X. If cost per click > profit per sale * percentage of sales, I stop buying.

      Fraudlent clicks lower the percentage of clicks that result in sales. So the value of a click decreases, along with Google's margin on the transaction.

      It's in their own best interest in the long run to combat this sort of thing.

    2. Re:Good deal. by jericho4.0 · · Score: 1, Insightful
      p2p saved the internet, as far as I'm concerned.

      --
      "A language that doesn't affect the way you think about programming, is not worth knowing" - Alan Perlis
    3. Re:Good deal. by 88NoSoup4U88 · · Score: 4, Insightful
      Greed is ruining the Internet

      Wait. And it's not ruining (part of) our daily real life ?

  4. I don't understand the issue by neurosis101 · · Score: 5, Insightful

    Google sets up a way of doing advertising business with them. You sign a contract that most likely links your rate with your clicks, provided they aren't fraudulent. Now somebody got caught and they're gonna get sued. What's the problem? Its not like its a right to have an advertisement on their site. Google can tell you to shove it if they want. Reading the summary makes me think the issue is that Google isn't disclosing how they caught this advertiser because its done by hand. Again, why should Google disclose more than necessary to prove to the court in their case? I'm not seeing the issue.

    1. Re:I don't understand the issue by Anonymous Coward · · Score: 2, Insightful

      The issue here is legitamate advertisers do not know the exact performance of the ads they are paying for, nor do they know how much they are paying each time someone clicks on their ads. Google has to become more transparent or advertisers will be forced to sign up for 3rd party services ala http://www.clickfacts.com/ If Google continues with their secrets, the advertisers will lose their trust in Google and leave.

    2. Re:I don't understand the issue by Nos. · · Score: 2, Insightful

      Most of us I think should actually encourage this action. The more fraudulent clicks that are not paid out the more valuable the service is. As a guy who tries to cover some of his costs by running google ads on a few sites, I'm happy they're going after this fraud. I'm not in this to make a fortune, but the more valuable the service overall is, the higher advertisers will pay for the click, the more money I make. If click fraud becomes rampant, the opposite happens and I lose the little bit of money I actually earn from my sites (I might actually cover the cost of my domain registrations this year!!!!)

  5. Umm, that's not what the article says... by MadAnthony02 · · Score: 5, Insightful

    The slashdot blurb gives the impression that Auctions Expert was clicking on other ads to drive up competitors advertising costs. But while that is mentioned in the article by another guy, what Auctions Experts was doing was standard "put google ads on our page, and keep clicking the links so we get paid"

    From the article:

    Auctions Expert allegedly recruited as many as 50 people to click on online advertising, generating about $50,000 in ad revenue. The self-clicking was "worthless to advertisers, but generated significant and unjust revenue for defendants," the Google lawsuit said. Auctions Expert, Google claims, appeared to be created solely to profit from manipulating the Internet ad process

  6. Click Fraud is a completely bogus non-issue by Anonymous Coward · · Score: 5, Insightful

    Its the "pay-per-click" method which is broken,
    because its too simplistic. The advertisers and
    search engines need to come up with better
    technology to make sure that payment only follows
    purchases.

    Clicking your mouse on a search engine results
    page, as many times as you want, should be
    considered a First Amendment protected form of
    Freedom of Expression. Clicking your mouse on your
    stock broker's BUY button, for instance, is
    obviously quite different, because you and the
    broker have a contract where your clicks are
    treated as orders.

    But there is no contract between the users of a
    search engine and the search engine's advertisers.
    If companies want to transfer money between
    themselves based on those clicks, they had better
    think long and hard about the conditions where
    that actually makes sense.

  7. Re:Pay to Surf Fraud by millwall · · Score: 4, Insightful

    I wonder why Google has decided, against their own interests, to go after fraudsters like this.

    I think it's a long term strategy from Google. If they would embrace the revenue generated by the scammers, the real and legitimate advertisers would get less out of their ads, and in the end stop using Google for marketing.

  8. Typical and long standing recipe for success by orionware · · Score: 1, Insightful

    1) Position yourself as the altrusitic, common man's company. Appear driven by community and the common good.

    2) Shop yourselves to VC's and get that IPO in motion.

    3) Now that you have the souls onboard, show your true motives. Profit!

    Pay per click is a model that invites dishonesty. CPM (Cost per thousand) impressions is a much clearer model, however less profitable.

    --


    Karma means nothing to me, so suck it...
  9. Re:Tracking purchases? by Mistlefoot · · Score: 4, Insightful

    That I don't purchase something means little.

    I can not EVER remember purchasing ANYTHING the first time I have visited a site. It almost always requires a 2nd or 3rd visit. The internet allow me to search for better prices or better products. That does not mean that I have never purchased something from a website that I found through an ad online....to the contrary. I have purchased much this way.

    It would not be fair to google for an advertiser to not be paid for getting me to a website via a google ad from work that led to me purchasing that item when I got home. I suspect that the majority of legitamite click throughs do not result in a purchase with the initial visit. Google (or any other ad provider) has done it's job properly though and should be rewarded.

  10. Oh, wow! by James+A.+Y.+Joyce · · Score: 4, Insightful

    You mean Google doesn't exist solely to satisfy Internet users?! Shurely shome mishtake!

    Come on, people. Just because something's on the Internet doesn't mean that defrauding cash from a company is magically illegal. Simply because you're physically removed from Google's computers doesn't mean you can't be busted for scamming them out of $$$.

  11. Re:Pay to Surf Fraud by Anonymous+Luddite · · Score: 4, Insightful

    >> I wonder why Google has decided, against their own interests, to go after fraudsters like this

    They are doing it precisely because it is in their best interests to do so. Advertiser's have many places to spend their budget. A lack of confidence in the adwords program would drive those dollars elsewhere.

  12. Re:Another proof... by stoanhart · · Score: 2, Insightful

    Well, the amount of mails received would be less than clicks, so to make it worth while, the price paid per mail would have to be substantially higher than price per click. That means crooked customers could mass mail, and make scam revenues way faster than with clicking, since they would have to repeat the act fewer times.

  13. Fraud is Illegal by HannethCom · · Score: 4, Insightful

    I don't see why people are bashing Google over this. They are trying to protect their company for illegal activities.

    I can also understand why this is a human process instead of an automated one. People always find ways around programs meant to detect unethical behavior. Just look at how often junk mail filter technology has to be changed. With people looking over the data, they can see things that you wouldn't think of writing software to look for.

    As for not disclosing their process, DUH! Sure people are getting past their checks, but they don't want to encourage people to try by telling them how they check for cheaters.

    --
    Microsoft, Apple, Google, Amazon what's the difference? All steal money from devs and control with walled gardens.
  14. Re:Tracking purchases? by ewg · · Score: 4, Insightful

    Also, many people research products on the web site and then pick up the phone to place the order. The web site supported the sale, but that fact can't be tracked to any individual web session.

    --
    org.slashdot.post.SignatureNotFoundException: ewg
  15. Re:Pay to Surf Fraud by Spudley · · Score: 4, Insightful

    And he never thought to just turn off his screensaver?

    --
    (Spudley Strikes Again!)
  16. Re:Tracking purchases? by mpcooke3 · · Score: 4, Insightful

    This doesn't really matter. For ad networks using CPA (cost-per-acquisition) rather than CPC the tracking is done using cookies which will record a sign up or purchase even on repeat visits.

    Although CPA based advertising is a lot less prone to fraud there are issues of which the biggest is in deploying pixels to do tracking on all sign up/purchase pages there are also more fixable issues with double counting (crediting to more than one ad network). CPA may be vulnerable to publisher fraud of course though this is usually less of an issue as you have a contractual relationship with them.

    CPC click fraud was a problem long before google starting selling space on a CPC basis. I believe commission junction used to have a whole fraud detection team (they may still do).

  17. Re:Yeah, I got slammed by this... by ad0gg · · Score: 3, Insightful

    Use overture, since the only fraud you'll get with overture is your competitors clicking your ads. AdWords has both website owners and your competitors defrauding it. I run both adword and overture, and my conversion ratio off overture is more than double that of adwords. I keep adwords around because even with the terrible conversion rate, there lowered ppc price evens it out in the end.

    --

    Have you ever been to a turkish prison?

  18. Re:low value webpages by bit01 · · Score: 3, Insightful

    Maybe Google should track and zero expired domain page ranking. The page rank is meaningless for an expired domain. Just a bunch of parasites taking advantage of an error.

    ---

    I'm not worried about the use of DRM. I'm worried about the abuse.