Tackling PPC Click Fraud Announcing your site’s presence on the net with the aid of pay per click advertising is one of the most effective ways for businesses to find customers online. But the cloud cast by click fraud doesn’t need to be a blot on the horizon says Daniel Jupp…

A seductive cocktail of flexibility, easily controlled costs and precision targeting has pay per click advertisers flocking to Google and Yahoo in their droves. Unsurprising given that 80% of all internet users pass through at least one search page before arriving at their desired destination.

Billed as the best way to connect with customers at exactly the moment they’re searching for goods and services, pay per click is a potent weapon in the online marketplace. With such rich rewards ratcheting up the competition between rival companies, the possibility of click fraud; where individuals click on your ad not out of interest but simply to make you pay for the click, is growing almost as quickly as the popularity of its host.

A study released this week by specialist firm Click Forensics found the rate of fraudulent clicks on search-related online ads rose 14.1 percent last quarter, up from 13.7 percent at the beginning of the year.

Both Google and Yahoo claim this figure is widely exaggerated, citing sophisticated filters capable of weeding out suspect clicks and industry wide efforts to create comprehensive lists of known robots being used to click repeatedly on adverts. Recent court cases have also resulted in advertisers receiving advertising credits for clicks shown to be fraudulent.

As yet there are no cast-iron industry standards to tackle click fraud so the best way to protect your web site is to be vigilant…

1. Look for patterns in PCC log data If you see clicks from the same IP address using the same keyword in quick succession you can be pretty sure they’re a result of click fraud. Top Position uses this information to report to the service provider and secure a refund.

2. Spread the risk Top Position can use the daily budgeting features of Google and Yahoo Search Marketing to spread your appearances and pay per click (PCC) budget throughout the day. This helps prevent a concerted attack on your AdWords expenditure over a short space of time.

3. Look at conversion rates If you’re receiving a large number of hits but very low conversion on your site, it could be an indicator that click fraud is a problem. On the other hand, it could also show that your site is very poor at selling… but it will still be monitored by your pay per click (PPC) account manager.

4. Use analysis software Website traffic analysis software can help identify what visitors are doing when they arrive at your site. If the software indicates that a large number of visitors are arriving at the home page, not going anywhere else and leaving the site very quickly, this is a good indicator that click fraud is taking place.

One of the most effective ways Top Position tackles click fraud is to determine which web sites you do and do not wish to be seen on. Google automatically displays your AdWords advert on other partner sites such as ASK. If we determine that the quality of traffic from content web sites is not beneficial to your AdWords campaign, we will remove your pay per click (PPC) advert from content networking.

About Daniel Jupp: Daniel is the founder and managing director of leading pay per click management consultancy, Top Position. Top Position offers Google AdWords and Yahoo Search Marketing account management, specialising in reducing costs by as much as 40% while increasing internet visibility and optimizing account performance.