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On June 24, 2005, a lawsuit was filed against Google for so-called click fraud on the Adwords pay-per-click plan. The Plaintiff, Click Defense, promises Google did not enact appropriate measures to protect against fraudulent clicks causing unwarranted marketing charges. Click Defense states it has dropped over $5 million to click fraud.
Click Fraud
Click fraud is just a term with a unique meaning on the Internet. It identifies the deliberate hitting of pay-per-click ads by users which have no intent of actually making a purchase. It is common knowledge that unethical organizations may create click centers oversees where people are paid nominal wages to click on specific ads. Instead, organizations will use programs called press bots that automatically look for ads and do the same. The result, needless to say, is just a bevy of ticks that strain marketing budgets.
Google claims it requires appropriate preventive measures. This claim, but, is often met with a snicker since the sole way to obtain earnings for Google is advertising. This triggers an conflict of interest since Google has to maximize revenues to be generated by clicks. As a traded firm, Google is under great pressure to constantly show increased profits. Taking this under consideration, one must wonder how difficult Google works to limit deceptive clicks. If you have used this content search facet of Google Adwords, doubts must be certainly raised by the incredible poor conversion rates in your mind.
Press Fraud Rates
Neither Google, Overture nor any internet search engine has been prepared to publish click fraud prices due to their paid advertising program. Hints have now been presented regarding an interest rate of 20 percent. Effective publishers know, however, the rates could be greater with respect to the competition of the keywords under consideration. Click Defense, the Plaintiff in the litigation, is declaring a press fraud rate of 38 %.
Will That Influence PPC?
The lawsuit against Google was inevitable. Every site using Adwords is aware of the situation with click fraud. Honestly, it's an issue with every pay-per-click search engine although our experience has been better with Overture.
Therefore, may the search engines be forced by this lawsuit to clean up their act? Its difficult to express, but there must be one particular advantage. Within the lawsuit, Google could be required to reveal the true press fraud rates occurring in Adwords. If Google moves to quickly settle the case, it should be taken by you being an indication it really wants to keep the rates confidential. This, of course, will mean the click fraud proportions are high.
If you use pay-per-click search engines to advertise your website you must watch the development of the suit. Some very interesting information ought to be revealed. Whatever the outcome, click fraud is just another reason to pursue search engine optimization strategies. jt foxx
