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infosys Site Admin


Joined: 12 Dec 2002 Posts: 1371
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Posted: Fri May 21, 2004 12:14 pm Post subject: India's Secret Army of Ad Clickers - Rupees for Clicks |
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Tee hee... I hate to say ' I told you so... " ... but... well... I told you so...
Since the introduction of Google Ads and various other 'pay for click' advertising schemes, I have been saying that it was open to abuse and that advertisers that 'pay for clicks' are probably 'paying to support some family in India and not attracting real clients or potential customers...'.
Here is a nice little story out of The Times of India that helps explain why advertisers are getting RIPPED OFF by these ' pay for click schemes '.
| Quote: |
India's Secret Army of Ad Clickers
The Times Of India:
With her baby on her lap, Maya Sharma (name changed) gets down to work every evening from her eighth-floor flat at Vasant Vihar. Maya's job is to click on online advertisements. She doesn't care about the ads, but diligently keeps count — it's $0.18 to $0.25 per click.
A growing number of housewives, college graduates, and even working professionals across metropolitan cities are rushing to click paid Internet ads to make $100 to $200 (up to Rs 9,000) per month.
"It's boring, but it is extra money for a couple of hours of clicking weblinks every day," says a resident of Delhi's Patparganj, who has kept a $300-target for the summer.
Traffic to click overseas Internet ads — from home loans to insurance — is spreading fast in India. "I have no interest in what appears when clicking an ad. I care only whether to pause 60 seconds or 90 seconds, as money is credited if you stay online for a fixed time," says another user.
Here's how it works: online advertisers in developed markets agree to pay hosting website each time an ad is clicked. With performance-based deals becoming dominant on the Internet, intermediaries have sprung up to "do the needful”.' Why, type in 'earn rupees clicking ads' in Google — you get 25,000 results.
If you advertise online, with Google Adwords or similar programs, be aware that scammy bizops like this may be driving your costs up
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The reason I find this worth noting is that these 'pay for click' scams are hurting web sites that depend on regular channels of advertising.
Advertisers have been impressed by the high number of CLICKS they get when they post a banner ad through Google Ads. They compare the clicks they get for regular banner ads against the number of 'CLICK THROUGHS' they get with these 'pay for clicks' and the statistics show that 'pay for clicks' get more clicks.
Oddly enough no one has really taken the time to do two things :
a) compare how many of those 'pay for clicks' actually lead to closings or tangible sales...
and
b) take note of where all these 'pay for clicks' are originating from... After all, 2 million 'click throughs' that trace back to some slum in India is not exactly the focused or targeted market that the advertiser was hoping and paying to get their advertisement in front of.
Eventually the advertisers whose limited budgets are being syphoned off will do a Return on Investment study and figure out that they spent a lot of money and got nothing more in return then a huge traffic flow from countries where the average monthly household income is about $100 per month or less...
But as I noted... unfortunately these ' pay for click ' schemes of Google and others are bleeding limited advertising budgets from companies, while depriving legitimate advertising channels of potential revenues.
Now I wonder why the advertising companies are so quick to support and embellish these 'pay for click' scams. Possibly they have no idea about the level of subversion and misrepresentation their click through stats represent. Or possibly the advertising agencies are simply lazy and take the pay for click route in order to generate higher number of 'apparent' click throughs to their clients.
But in the end this magical bubble is going to burst.... and I would suggest that these ' pay for clicks ' will bring about the next collapse of Internet advertising.
The original Internet advertising broke and brought on the initial collapse of Internet advertsing when advertising firms placed banner ads without any focus on the intended targets or market for the product or service they were promoting.
My personal favorite example being the Oracle banner ads that were placed in the Yahoo Personal Dating area. I have never heard a reasonable explanation who Oracle ( or Oracles advertising agency ) thought they were going to sell a $100,000 database product to in an area inhabited by singles hoping to score a date...
Sadly a lot of security related web sites have fallen into the trap of believing that these 'pay for click' banner ads are their salvation to reaping some revenue to support their sites. In most cases these web sites are operating honestly and simply cross their fingers that enough of their legitimate users will click on the ads to generate some cash flow for their sites.
On the other hand, there are some 'scam' web sites, yes even in the Security scene, that are participating in these 'pay for click' schemes and are forcing clicks or creating armies of 'paid clickers' to click on these pay for click banners. After all... the web site can afford to split the profits they generate from these bogus clicks with their accomplices.
As I was looking around Google about more information on this topic, I came across this interesting discussion that appeared elsewhere.
So I can take some pleasure that I am not alone in the woods wondering about these pay for ad clicks...
| Quote: |
This article is yet another one in the A-billion-plus-Indians-are-gonna-destroy-you genre that we’ve been seeing in recent times.
Not only is the reporter, N.Vidyasagar, trying to impart an India flavour to a topic(fraudulent banner/ad clicking) that has been around for almost as long as banner ads have been around, he is also guilty of giving false information to make his case appear stronger.
As proof of the Indian PPC racket Vidyasagar offers as proof the 25,000+ results on Google for the search phrase “earn rupees clicking ads”. I did run the query…and all I got was around 3,200+ results.
But if you do search for “earn dollars clicking ads”, the results are surprise, surprise…25,900!
I don’t expect much of integrity or objectivity from the Slimes publications, but is it too much to expect them to not fudge commonly available figures?!?
Posted by Jivha at May 4, 2004 01:47 AM | TrackBack
Comments
Oh! Further to what I mentioned below, Google only shows 20 of those 153 results, many of them being postings like these which question N.Vidyasagar's article.
Posted by: Premnath Kudva at May 10, 2004 04:34 PM | Permalink
Actually if you run that search in Google for the search phrase “earn rupees clicking ads” within quotes you will only get 153 results. Wonder how N.Vidyasagar got that 25,000 from.
Posted by: Premnath Kudva at May 10, 2004 04:31 PM | Permalink
I want to join you.
Posted by: Deepti aggarwal at May 8, 2004 07:06 PM | Permalink
TOI should come out with much better & sensible article.
Posted by: raghuram at May 5, 2004 06:55 PM | Permalink
The google search you did is neat. It's really not that hard to capture the IP of the box (or atleast the subnet address) from which click-throughs happen. In fact, I am quite sure it is done (I didn't check). I would (and know I can) do it if I count click throughs to pay dollars. That would pretty much eliminate any click-throughs that are geographically irrelevant. In fact, in the article, it says, "Clicks are bought to boost number of hits for web ads or online advertisers who are not tracking user location".
There may be some truth in the article. But, any decent online ad server can and will track user locations.
good day.
Selva.
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I found that the use of GOOGLE SEARCH to find all the scammers seeking to cheat Google Ads ( and similar Pay For Click companies ) to be kind of amusing and ironic...
It's odd that Google doesn't do anything to block out solicitations to conspire against Google 'Pay for Click' advertisers. But then again Google makes money everytime some housewife in India, or Pakistan, or Russia or Brazil clicks on one of their ads... And every bogus click helps bolster Googles stats on 'how effective' Google Clicks are for advertisers.
I know that Google takes the 'scammers' seriously and will attempt to ferret out the blatantly OBVIOUS ones... but they probably are only able to spot the .01% that are so stupidly obvious that they are literally begging to be caught...
I can't wait for the bubble to burst... as the burned advertisers retreat and start looking for more honest methods of bringing their products and services to the attention of potential customers.
Unfortunately in the meantime a good number of legitimate web sites will financially collapse waiting for the advertisers to wake up... A quick look around the security scene will show a number of quite respectable and well known web sites that are not generating any advertising revenue at all. Some of those web sites may not be with us by the Fall of 2004...
And the only sites that will be left to pick up the pieces will be the ones that were scamming the advertisers and falsely generating revenue through bogus clicks.
After all... in countries where the average monthly income is a few hundred dollars per month... you can see how the popularity of bogus ad clickers is growing expotentially.
But as the one chap wrote... the scammers who find ways to cheat the various 'pay for click' advertising schemes have existed from the start of the Internet and they will probably continue to exist years from now...
Well... that is my rant for today ahhahaha....
And as you surf the various web sites, not only the security ones, you can think of this little rant about those ' Google Ads ' that may appear in front of you. Give em a click... as the ones on the Security web sites are most likely not cheating and not getting paid for hosting those ads... It will drop a few coins into their pockets and it can't be any worst then some housewife in India doing it
Maybe this topic would be more openly discussed and investigated if they ever found out that the Al Qaeda were the ones profiting and behind the bogus 'pay for click' operations...
And oddly enough... SPAM gets all the real attention, because it clogs up people's email boxes... and yet seldom do people ever do stats that show how many of those SPAM's are somehow tied into some twirps efforts to force 'click throughs' to a specific web site to garner 'click through pay' for the spammer. Or in other cases, trojans are deployed on victim computers in order to generate a zombie army of 'click through' machines that can be commanded which links to click in order to generate pocket cash for some zombie master. Or worst yet... the number of web site operators that deploy various tricks on their web sites to trick people into clicking these 'pay for click' links.
Ah the seedy underbelly of the Internet... yah gotta love it...
Tee hee...
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Spanky Grand Wizard of all beneath


Joined: 07 Feb 2003 Posts: 656
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Posted: Sun May 23, 2004 8:59 pm Post subject: oh well |
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It will be sad to be honest when the ad market dies again and affects the smaller news and comic sites. I really hope companies, epsecially google start putting in some safeguards because all it will do is hurt their bottom line in the long run. Afterall even if you get a high click through on an ad if you get almost no business then its not worth much at all.
Although Marq you could increase your beer budget for a bit if you joined the dark side. heh |
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infosys Site Admin


Joined: 12 Dec 2002 Posts: 1371
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Posted: Mon May 24, 2004 7:49 am Post subject: |
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Tee hee... yeah an increase in the old beer budget would be a handy thing... but I have done my best over the years to avoid falling into the 'dark side' of Internet advertising.
I have always hated POP UP ads... and so I never would put one on my sites.
I always hated web sites that serve more as 'paid advertising news' type sites ( where the company pays you to post THEIR news stories ). So I have never accepted paid news stories. I hate 'info-mercials' on television and I don't think Internet based 'infomercials' are any different.
I always hated web sites that seem intent on using their user list to create mailing list that they could sell to third party companies. So I have never sold or even used e-mail addresses to make money or to send junk mail to users.
I always hated HUGE banner ads that took up more than 1/3 of the page... and so I avoided them like the plague. For some reasons advertisers felt that BIGGER IS BETTER - and so they were only buying ad space that took up one third of the web page, basically the 'web page' became a huge ad' and the 'content' basically was squashed off the page. So I tend to stick to the simple 200 X 200 pixel square ads or the 468 X 60 standard horizontal ads.
I always hated where web sites created 'intermediary' web pages or 'teaser' web pages where you would click on a link... it would take you to a half-way page with ads... and a 'tiny' bit of content... and you had to then click again on the article to get to the real page where the content was... with the intent being to force the visitor to view three or four pages in order to finally get to the article. It does wonders to boost up the apparent number of page clicks or page views that the web site can claim... but it is just another example of how some webmasters don't really care about the inconvenience they inflict on their visitors in order to boost their 'counts'.
Another example like that is where the web site will spread a tiny bit of content over four or five pages.... when that tiny bit of content could have ALL been placed on one web page instead. It is so annoying and blatantly insulting to the visitors who have to click through multiple pages ( and all those ad impressions ) in order to read a simple article or vulnerability report.
I always hated POINTLESS newsletters... and so I never bothered to create a pointless newsletter. But advertisers LOVE newsletters and pay big bucks to put ads in focused newsletters. So there are some web sites out there that have created newsletters for no other purpose then to place advertisements in. Many companies have asked SNP to create a newsletter and were willing to pay big bucks to place an ad in it... but I really couldn't justify creating a newsletter just to carry advertising. In fact, over the years I have subscribed and quickly unsubscribed to various newsletters when I saw that their content was usually one week or one month old and that it really didn't provide any USEFUL value to me... In the fast changing world of computer security news that is one week old is of no value to anyone. If you intend to keep ahead of the info-curve you need the latest breaking news - the fresher the better...
There are so many 'ways' for a web site to 'try' to make money. But unfortunately most of them really are not worth the effort and inconvenience they inflict on the users.
Over the years this may have been one of the reasons SNP and InfoSysSec continued to grow a larger viewership. I hope and believe that over time our users have seen that we don't try to take advantage of the folks that come to visit our sites.
And other sites that do take advantage of their users eventually end up losing their visitors or losing the trust of their viewership because people are not stupid and they don't appreciate receiving a ton of SPAM simply because they 'registered' on some site to gain access to its 'members only' features etc...
But you are right... I could probably increase the old SNP beer budget if I drifted over to the advertising 'dark side'... but it would feel very odd doing things on my sites that I find objectional or obnoxious on other web sites.
Hehehhehe... so I guess I am destined to remain poor forever... since I have some moral ethics...
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infosys Site Admin


Joined: 12 Dec 2002 Posts: 1371
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Posted: Mon May 24, 2004 5:01 pm Post subject: |
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Well... the latest figures are in and online ad sales are booming according to this news article. HOWEVER.... it appears that the 'pay for click' type ads are the vehicle of choice for advertising agencies and advertisers.
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Internet advertising revenue reached about $2.3 billion in the first quarter, a record for a single quarter, in the latest sign the industry is poised this year to surpass its bubble-era peak.
The preliminary total, announced Monday by the Interactive Advertising Bureau and PricewaterhouseCoopers, was 4 percent higher than the fourth quarter's record revenue of $2.18 billion and up 39 percent from a year ago.
The quarter-over-quarter growth is particularly notable because fourth-quarter ad revenue typically gets a bump from pre-holiday advertising. Meanwhile, the sharp increase from a year earlier, when spending was in the doldrums, indicates the industry's growth rate this year may be even steeper than the 10 percent to 15 percent predicted by many analysts, said Greg Stuart, president of the IAB.
Even the higher forecasts of nearly 25 percent growth ``might be a little bit low,'' Stuart said.
Annual online-ad revenue hit its peak in 2000, at $8.09 billion, according to the IAB, which has been tracking the industry since 1996. Last year's revenue was $7.27 billion.
Ads on search sites have driven the industry's recovery, with all other formats declining 7 percent in 2003 from the previous year. These simple text ads, which appear next to relevant Web searches and cost advertisers only when people click on them, have soared in popularity because they are easy to set up and effective at finding potential customers, advertisers say.
The IAB doesn't break out revenue by ad format in its preliminary results. Jupiter Research associate analyst Nate Elliott predicts that this year, ``the entire industry is going to grow in harmony.'' He said that after the dot-com shakeout, ``The players who are left are offering advertisers good stuff -- strong audiences, powerful formats.''
First-quarter results from major search players suggest that search advertising is still growing at a steady clip. Search giant Google Inc., which relies on such ads, saw advertising revenue jump 27 percent to $375.3 million from the fourth quarter. Similarly, marketing revenue for Yahoo Inc., which sells both search ads and display ads, rose 16 percent to $635 million sequentially.
The IAB and PricewaterhouseCoopers, both based in New York, compile preliminary ad-revenue figures based on surveying the top 15 online ad sellers and extrapolating from their results.
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Tee hee.... if Landrover and Mercedes report increased sales of luxury cars and SUV's in various impoverished villages in India.... well we will all know where the money was earned.... Clicking for Rupees...
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Spanky Grand Wizard of all beneath


Joined: 07 Feb 2003 Posts: 656
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Posted: Tue May 25, 2004 4:19 pm Post subject: no suprise |
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| Maybe I would make more in clicking for rupees then actually working pretty soon. Afterall I could just have a script to click through everything for me on various sites and use proxies to hit the same ones over and over. Hmm... I probably could have sold a more elaborate plan to the click schemers if they didn't think of it already. Oh well too bad I could never do it, so hopefully the companies will put some safeguards in place or i really feel it will hurt the ad industry as a whole in the long run pretty quick. |
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mquibell Lord of the Golden Hamster


Joined: 11 Feb 2004 Posts: 357 Location: Here
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Posted: Wed May 26, 2004 10:55 am Post subject: |
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| And every bogus click helps bolster Googles stats on 'how effective' Google Clicks are for advertisers. |
You hit it right on the nose there, along with the fact that advertising firms and even your local advertising DEPARTMENT in a company will use the click count rather than the actual ROI to boost themselves and fool the company into believing their AD people are top notch! LOL!! And maybe they don't even know any better!
Pay-for-click should be illegal, or exposed to those paying for the advertisements. |
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Spanky Grand Wizard of all beneath


Joined: 07 Feb 2003 Posts: 656
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Posted: Wed May 26, 2004 11:25 am Post subject: |
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| mquibell wrote: |
| Quote: |
| And every bogus click helps bolster Googles stats on 'how effective' Google Clicks are for advertisers. |
You hit it right on the nose there, along with the fact that advertising firms and even your local advertising DEPARTMENT in a company will use the click count rather than the actual ROI to boost themselves and fool the company into believing their AD people are top notch! LOL!! And maybe they don't even know any better!
Pay-for-click should be illegal, or exposed to those paying for the advertisements. |
I wouldn't say it should be illegal, but they will burn themsleves in the longrun when they are getting 1000s of bogus clicks with no sales at all. Afterall they should also look at where their traffic is coming from and if they're not complete dolts realize that all the traffic generated by the ad is bogus then they would quit paying for the ad. Besides the best ad companies know it doesn't matter how much exposure the ad gets if no one is buying it, then it is a failed ad. |
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mairu User

Joined: 27 May 2004 Posts: 7
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Posted: Thu May 27, 2004 8:23 pm Post subject: |
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Myself, being an Indian, i will confirm what Infosys said.
That was happpening in India bigtime, and the people who click inadvertently don't know why they are clicking or if there is something fundamentally flawed with the fact that one can get money clicking an ad.
However, this has come down drastically after the IT laws passed in India, but it definitely explains why low conversion rates occur for people who are investing in PPC. Sad. |
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infosys Site Admin


Joined: 12 Dec 2002 Posts: 1371
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Posted: Thu May 27, 2004 10:25 pm Post subject: |
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I thank you for your confirmation on some of the points I raise. And I hope that you will know that I am not blaming India in particular for the 'click for pay' stunts.
It is happening in every country where an extra $100 US a month represents a significant amount of money. And there are quite a few countries where $100 a month in US dollars would enable you to live like a King.
In Cuba the average monthly wage for MOST professions ( whether in IT, or a Doctor or an Engineer ) is about $35 PER MONTH. To receive a monthly bonus in your pay check of $5 is something that is greeted with great excitement by employees in that country. So you can imagine how many Cuban's would fight for an opportunity to earn $100 per month in US dollars. Fortunately the tight control over the Internet in Cuba stops most of these potential 'pay for click' candidates from doing it.
And of the 130 different countries that visit our web site, I would suspect that there are at least 20 or 30 countries where that $100 or more would be extremely attractive to someone.
I know that Google and the other 'pay for click' advertisers do their best to ferret out the most blatant or obvious abuses of their system. But it is simply a battle that is too large, too global and has extremely clever adversaries line up to counter any measure that might be put in place to thwart it.
My original reason for hating pay for clicks is that webmasters gave up space on their web sites to display these text based adverts. And the honest webmasters will not like see sufficient revenue earned from the 'pay for click' space they are dedicating to that feature. The advertisers on the other hand are getting 'free advertising' of their name on those sites and do not have to pay if no one bothers to click their link. In the end the advertiser has gained free exposure at the expense of the webmaster who thought they would make money or generate some revenue.
I suspect that the Google clicks will eventually fall out of favor as the webmasters start receiving notifications that their quarterly 'clicks' did not add up to a hill of beans and so no check will be sent to them for that quarter because they fell short of the minimum.
But as I have heard more about this pay for click nonsense, I have come to realize how the abusers of the system are syphoning off real and significant amounts of money from legitimate advertisers, who in many cases are operating with very limited advertising budgets.
But when advertisers are willingly or obligingly paying .10 cents, .25 cents or more PER CLICK... you can see how organized 'crimesters' ( a new word I just invented ) will work to take advantage of such a system for their own profit.
And my only other 'observance' on the 'pay for click' thing is that I have been noticing a number of 'non-profit' or 'hobbyist' web sites that are using those 'pay for click' systems to try to generate traffic to their sites. It always leaves me wondering if they are secretly wealthy to be able to pay chunks of chump change just to bolster the number of visitors to their sites. I suspect many of them will drop out of it once they get their first bill and the dollar figure they owe freaks them out. I really would like to know how some BLOG can pay to attract viewers... when their web site host no advertisements. I guess I am tooooo old to understand today's economics and ways of doing business by spending money you don't have in order to not make any money.
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mairu User

Joined: 27 May 2004 Posts: 7
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Posted: Thu May 27, 2004 11:26 pm Post subject: |
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| Quote: |
| And I hope that you will know that I am not blaming India in particular for the 'click for pay' stunts |
That'd be naive of me. I agree with your concern.
I'm going to research a bit on this, and post some findings here on what the current status of these scams is in India.  |
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pippin Beginner

Joined: 28 May 2004 Posts: 2
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Posted: Fri May 28, 2004 10:54 am Post subject: |
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| I'm missing something here. If I place a Google AdWord for my company, how is someone clicking on that ad in India diverting money to an intermediary, if I've contracted with Google directly? |
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infosys Site Admin


Joined: 12 Dec 2002 Posts: 1371
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Posted: Fri May 28, 2004 12:41 pm Post subject: |
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There are various flavors of ad generation available from Google... but in particular there are two types :
a ) ads that are contracted ONLY for display on GOOGLE, or
b ) ads that are contracted for display on GOOGLE 'partner sites' - which basically could be any one page web site on the Internet...
In the case of Group B type advertisers the scam is simple :
a ) advertiser contracts directly with Google
b ) Google SHARES that money it generates with the 'pay for clicks' with the web sites that actually host the text ad / link and from which the actual click originates...
c ) Evil web site that is hosting the Google links on its web pages has an army of link clickers or 'zombied computers' clicking the links on the evil web site
d ) Google records all the links being clicked at the evil web site
e ) Google bills the advertiser for all the wonderful clicks that were generated
f ) Google pays the evil web site its share for all the clicks generated.
g ) Evil web site then pays a 'per click' fee to its army of link clickers.
So in this example the advertiser's money goes down the path like this :
advertiser -- > Google ----> Evil Webmaster ----> Army of Link Clickers
So although an advertiser is paying money directly to Google.... Google is in turn is paying those web sites that host their adwords or GoogleAds....
In the case where the advertiser's ad is ONLY posted on the Google web site, then there is no intermediary and the money goes and stays directly into Googles pocket and there is no intermediary.
Hope that clarifies that...
Marq
Maybe I should post a story on how 'pay for clicks' are being abused in order to financially punish advertisers. In short... if there is a company that is paying for clicks then they are open to having an army of clickers deliberately target their link in order to drive up their bill with Google. It is sort of like a Denial of Service attack... but with targeted ad clickers you face a ramped up financial cost to the 'clicker attack'. I know of a limousine company that was using the Google adwords that ended up getting socked with a HELLUVA bill with Google.. because
a) an army of clickers targeted their ad, and
b) an army of zombied computers were directed to connect to that link by their zombie master. Basically the limo company spent their year's budget for 'pay for clicks' in one week.... and had to stop advertising.
And even funnier are the number of 'link farms' that exist out there solely for the purpose of generating 'clicks' that will pour money in to the evil webmaster's pocket. My personal favorite is the link farm owned by
http://www.ultrasearch.com/
WARNING : Before clicking on the above link to spy on his site, just be aware that this scum bag forces open extra windows and does every low life trick once you click on one of the domain names that he owns. But a visit to his primary domain name is a good experience for potential advertisers because it shows them exactly what kind of low life sites their ads appear on... and for which they are paying for. Since this guy is also making money off 'pay per impression' type ads that he stacks up his sites along with a the 'pay for click' links
This guy is based in Hong Kong and he owns and controls approximately 70,000 DOMAIN NAMES. What he does is buy up ANY expiring domain that expires and previously had traffic going to it. He then plants his 'link farm' on that domain name and crosses his fingers that some of the 'old traffic' that 'use' to go to that domain name will click on his links ( which he tries to disguise as being a valid 'search directory'. Problem is that there is NOTHING linked on that site EXCEPT 'pay for click' links. I would suggest that this chap is a millionaire several times over and it was the advertisers who fattened his pockets by using this extreme example of abusing or using the 'pay for click' advertising to his advantage.
I only became aware of his operation when he snapped up a number of security specific domain names that I was interested in purchasing. He converted all of those domains into 'pay for click' link traps ( errmm link farms ). And now people looking for those 'security specific' topics now land on a 'link farm' that is inhabited ONLY by 'pay for click' links.
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Last edited by infosys on Fri May 28, 2004 1:07 pm; edited 6 times in total |
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Spanky Grand Wizard of all beneath


Joined: 07 Feb 2003 Posts: 656
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Posted: Fri May 28, 2004 12:51 pm Post subject: |
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You made the perfect flowchart for a scammer lol. The sad part is with the current system its too easy for the scammers to exploit the system and burn the advertiser.
| infosys wrote: |
There are various flavors of ad generation available from Google... but in particular there are two types :
a ) ads that are contracted ONLY for display on GOOGLE, or
b ) ads that are contracted for display on GOOGLE 'partner sites' - which basically could be any one page web site on the Internet...
In the case of Group B type advertisers the scam is simple :
a ) advertiser contracts directly with Google
b ) Google SHARES that money it generates with the 'pay for clicks' with the web sites that actually host the text ad / link
c ) Evil web site that is hosting the Google links on its web pages has an army of link clickers clicking the links on the evil web site
d ) Google records all the links being clicked at the evil web site
e ) Google bills the advertiser for all the wonderful clicks that were generated
f ) Google pays the evil web site its share for all the clicks generated.
g ) Evil web site then pays a 'per click' fee to its army of link clickers.
So in this example the advertiser's money goes down the path like this :
advertiser -- > Google ----> Evil Webmaster ----> Army of Link Clickers
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Bank account
So although an advertiser is paying money directly to Google.... Google is in turn is paying those web sites that host their adwords or GoogleAds....
In the case where the advertiser's ad is ONLY posted on the Google web site, then there is no intermediary and the money goes and stays directly into Googles pocket and there is no intermediary.
Hope that clarifies that...
Marq
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pippin Beginner

Joined: 28 May 2004 Posts: 2
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Posted: Fri May 28, 2004 3:32 pm Post subject: |
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| The clarification is appreciated. Thanks all. |
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SSP Beginner

Joined: 28 May 2004 Posts: 1
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Posted: Fri May 28, 2004 6:17 pm Post subject: |
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I suspect the problem is overstated.
1) Google actively monitors for fraudulent clicks and doesn't charge for them (or, so I've been told).
2) When you set up a Google AdWords account, you specify which countries you want it to appear in.
3) The admin page shows "natural search" ad performance separate from "relevant content" ads (i.e., the kind that are supposedly being abused). If "relevant content" ads are showing lots of clicks but very few sales or conversions, you can turn off those ads with a single click in your admin page. |
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infosys Site Admin


Joined: 12 Dec 2002 Posts: 1371
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Posted: Fri May 28, 2004 8:35 pm Post subject: |
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As I mentioned before, I believe Google is actively trying its best to protect the integrity of its 'adwords' and 'GoogleAds'....
BUT....
Over the years... the PORN industry... who literally blazed a path in the field of innovative and incentive advertising have never been able to fully stop the abuse of their 'pay for click' or 'pay for performance' advertising.
The reason I mention this is that it would be silly to think that Google has solved a problem that has plagued the porn industry for years. It would be equivalent to saying that in a year or two Microsoft products would be 100% or even 95% fault free... it just can't happen.
Yes... there are some safeguards built into the Google administration controls... but in a similar vain those who wish to beat Google have found the ways and means to do so... and they have honed their ninja skills abusing the porn industry for years... so they have their 'methods, technology and science' pretty down pat and perfected.
Now I am sure that Google will monitor unusually high numbers of 'clicks' that are originating from certain IP's. That is one way they can narrow down where potential abusers may be hiding.
And similarly I am sure that Google will certainly be taking a real close look each month at WHO they are sending their 'partner pay for click' checks to. After all, if I had some 'partner' that was drawing monthly payments that were 'out of the ordinary' compared to the majority then I too would look at them closely to figure out 'why they are so successful'.
But take a look at this stat from Google for 2003 on how much money they paid out to their 'partner sites'
Did you grasp that figure in 2003 - $504 million paid out to its distribution partners.... that is a whole lot of bananas and you would have to have been living in a cave with Osama to blindly believe that a huge chunk of that change did not fall into the hands of 'click scammers'.
Googles revenues from companies seeking to strike it rich and benefit from the distribution of their ads via Google were just shy of $1 billion in 2003... which leads you to wonder how much higher it will be for 2004.
| Quote: |
As it marches toward an initial public offering, the
Web search heavyweight appears to be following the
lead of an earlier generation of Internet firms that
bet the farm on online ads and lost when the dotcom
bust saw demand for banner ads evaporate. In 2003,
95 percent of Google's revenue of $961.8 million came
from a new type of targeted advertisements.
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But let us ignore Google for a moment and look at the 'pay for click' advertising industry in 2003...
| Quote: |
U.S. spending on paid search advertising more than doubled
to reach $2.5 billion in 2003. That growth is expected to
cool this year, when paid search is projected to hit
$3.2 billion and account for close to half of all online
advertising spending, which is forecast at $8.4 billion,
according to Internet research company eMarketer.
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Get those numbers... pretty wild eh ? Let me emphasize that figure again... paid search is projected to hit $3.2 billion and account for close to half of all online advertising spending, which is forecast at $8.4 billion
If the bleed off by cybercriminals is even just .01% or even .001% of that figure then you can see the rewards are well worth it for the fraud clickster industry. In reality I had already guesstimated the bleed to be at about 10%... and that sure puts a hellishly big financial incentive into the equation for clickster frauds to become a continuous part of the equation for years to come ( something in the same vain as how the credit card industry automagically anticipates a bleed of 30% from fraud ). It will just be deemed a 'cost of doing business' - although steps will continuously be understaken to reduce it.
Now... let me stand on my soapbox and scream the following out at the top of my lungs... " No one can possibly believe that with that kind of money up for grabs that the 'evil underworld' is not working overtime to ensure that they grab and will continue to grab as large a share of that money as they can.... "
And filtering for 'countries' is not a perfect solution to blocking 'cheating clickers'. For example, if the company wishes to only handle and pay for 'clicks' originating from within the United States... then it can be abused in any of a number of ways :
a) use only 'click for rupee clickers' that are based in the United States, or
b) route clicks through anon proxies in the United States, or
c) harness 'zombied computers' within the United States to do the clicking.
d) use SPAM mail directed to US based locations that contain the 'pay for click' links.
But as I mentioned earlier, the porn industry has fought this same battle for years against the 'pay for click' abusers and frankly I would suspect that they have only ever been able to stop about 5% of the professional abusers. And when you consider the financial resources within the porn industry, you can imagine that their failure has not been through lack of effort or the willingness to invest in whatever state of the art technology exist to reduce the number of scammed 'pay for clicks'.
What Google is doing is nothing new. What Google has done however is bring their good name to bear on this type of advertising service - and that in turn instills confidence with the advertisers to use the service with a degree of confidence.
But I really don't think that the Google measures used to protect the integrity of their service is superior or as advanced as that of the Porn purveyors. The porn purveyors have not been able to fully conquer this problem and get things up to at least a 95% integrity level and so I really don't expect Google, even with their vast brain pool and financial resources to be much more effective. Logically the wise man would bet that the 'new kid' has not invented a better mousetrap then those who have had years of experience in that same battlefield. But I guess miracles can and do happen...
But this all ultimately boils down to smoke and mirrors and you can be assured that Google will never fully explain 'how their system is superior' at catching bad guys or abusers. They will for 'security reasons' only deal in vague non-specific details and hope that their 'good nane' is sufficient to instill confidence with the advertisers that 'they are safeguarding the advertisers from being taken advantage of'.
The Google folks are smart. There is no question about that. They also are cash rich and can afford to spend huge amounts of money finding ways to ensure the integrity of their system.... BUT
The Porn folks are also quite smart. There is no question about that as their revenues represent the majority of expenditures made on the Internet. As such they also are very cash rich and have spent huge amounts of money trying to find ways to ensure the integrity of their 'pay for performance' or 'pay for click' systems...
And yet huge porn link farms exist solely for the purpose of getting you to click on a link that will take you to a porn site ( one for which the webmaster will reap a financial stipend for sending traffic to that site ). And if you don't voluntarily click on the link... the scamsters find ways to force your browser to go to that link.... the end result being the same either way... the scamster gets their financial reward for sending that IP to a specific destination.
And how many 'mouse traps' exist on the web that keep forcing open porn web pages... each kicking back a financial stipend to some webmaster for directing that traffic to their web page.
And how many spam mails for porn sites exist ( or for that matter those damn annoying Viagra type spam ) where a click on a link in one of those e-mails results in a 'pay for click' fee going to some 'webmaster' or more appropriately a 'spam-master'
But I think the extent of the problem is clearly shown by that example I gave earlier about http://www.UltraSearch.com His empire of 70,000 link farms is just a tip of the iceberg.
And when the cash incentives exist for people to abuse something there are very few safeguards that can be put in place that will ultimately prove to be foolproof or abuse proof. It would be like expecting a blood thirsty mosquito to quit trying to bite at you simply because you have tried to cover up your body, or put on insect repellant or invoked some other countermeasure...
Hackers exist because they can find flaws in software.
Crackers exist because they can break any measure or safeguard.
'Pay for click' link farms exist because there has not been any effective countermeasures to stop them.
'Pay for click' scam artist exist because the financial rewards are just too tasty to ignore. And although the original article in the Times of India centered on the 'clicksters' that were earning a hundred bucks a month, I can assure you that the overall revenues going into the pockets of the 'scam clickster' industry will tally up into the millions and crossing into the billions - dependent on the success and expansion of Google like ad services.
Tee hee... it is a hellishly interesting topic and the scope of the problem is probably far greater then most folks realize.
But here is the best advice that I can provide on the topic to savvy stock investors. Put your money on Google while they enjoy the ever increasing revenue generation that the 'pay for clicks' are bringing unto them. And watch carefully for the day when the tide begins to turn and advertisers begin growing weary of the lack of return on their advertising investment. At that point the thing will collapse and advertisers will scurry off to find the next great flavor of the month to invest their advertising dollars in.... If you have Google stocks at that point, sell them before the exodus is epidemic... but enjoy the ride until that time.
Just remember that pop up ads once enjoyed their day in the sun... until advertisers figured out that their name attached to a pop up ad brought hellish negative associations which were not beneficial to the advancement of their brand name.
And more recently advertisers attempted to use HUGE banner ads - literally taking up 50% of a web page's masthead - on the theory that bigger was better and by being so, the user could not avoid seeing their message. That trend now has also begun to die off... because web sites that went along with that also ended up losing viewershiip - since the ad space was eliminating the 50% of content that previously use to occupy the space. Yahoo mail still abuses its trapped membership, but they seem to try to keep it down to about 33% of the web page space...
Oh well... I have blabbered on and really the only authoritative answer to this story will be when advertisers start discussing publicly the effectiveness of the 'pay for click' ads.
The Porn industry has no alternative except to continue using 'pay for clicks' to market their product.... this is simply because they do not have alternative advertising markets that will accept their adverts.
All other industries have the option to take their advertising dollars elsewhere if they do not generate a quantifiable return on their investment... and it will be at that time that the 'pay for clicks' will take a dive.
I wonder if anyone has ever done a study to see what percentage of links on web sites are basically cloaked 'pay for click' type text/URL ads. I would humbly guess that the number is greater then 10% and probably increasing day by day...
Here is another odd thought on the topic.... imagine how much bandwidth is wasted on the Internet each year by the transmission of the added 'pay for click' links that are embedded into web pages or carried in spam mails ? I bet the amount is pretty staggering and could easily represent the total network bandwidth of some small countries...
I find it all rather interesting... but then again I have been watching the impact of 'pay for clicks' for a long time... long before Google decided to jump into the game in their quest to find new advertising revenues.
But for some reason I don't think I have 'overstated' the extent of the problem. And hopefully I have provided some additional thoughts on the topic that might also cause you to wonder if the problem is being 'understated' by the parties that are presently benefiting the most from it.
One last thought struck me on the 'silence' of this topic in the main stream media... and that is the infamous 'Google Chill'. What if Google was really quite annoyed about people discussing abuses of their cash cow. We have all heard stories of sites that mysteriously disappeared from off the Google Directory..... and never been able to get listed again. Something that Google officials briskly deny was done by means of human intervention etc etc etc.... But Google is indeed so powerful a force in the Search Industry that many a web site could die and disappear off into obscurity if they were suddenly removed from the Google directory ). Fortunately our sites have expanded mostly through word of mouth and recommendations between friends... but I imagine that could prove enough of an incentive to keep many web sites silent on this topic... for fear of getting on the wrong side of the Google...
Uh... if my sites do suddenly disappear from the Google.... well you will know what 'may' have triggered it. I raised this thought after just looking at my logs and noting a Google signature from one of its BOTS...
[Fri May 28 20:50:48 2004] [error] [client 64.68.82.199] File does not exist: /home/infosys/public_html/-_@~!.%
The client 64.68.82.199 and the -_@~!.% are clearly Google checking in
Oh well... I am doomed....
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zebrahost Beginner

Joined: 29 May 2004 Posts: 1
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Posted: Sat May 29, 2004 11:42 am Post subject: PPC Works for me |
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The Indian Clicksters could be a problem for some PPC buyers but not if they would take the time to monitor their traffic. I have been using PPC advertising on many of my websites for a couple of years with great success.
I carefully monitor ROI and am currently getting a better than 60% net return on my adspend. I have tried most of the better known networks.
It has taken some effort to weed out the PPC engines that do not have adequate filters and fraud protection. I don't think you can totally eliminate the problem but if it is minimized it becomes a cost of doing business much the same as shoplifting is a cost to retailers. From my perspective PPC is the most important component of my marketing plan. Due to the massive volumes of spam I have totally eliminated email marketing from my budget.
Have Fun! |
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umesh Beginner

Joined: 31 May 2004 Posts: 1
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Posted: Mon May 31, 2004 4:00 am Post subject: Re: PPC Works for me |
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1) I am from India
2) I work for one of the top Internet companies in India
3) We are customers of Google and Overture since 2 years now.
4) We also do Adsense on one of our websites.
I read the article of The Times Of India - India's Secret Army of Ad Clickers. Well, have you ever read a local newspaper talking about new media and Internet technologies, they try to make a hype of it, half of the things are just writer's imagination. Its happens everywhere - India or US.
I don't even know if the writer of this article has ever used PC in his whole life. (BTW, if you get a chance to use Indiatimes.com a portal by the the newspaper The Times Of India - do let me know, half of the things don't even work on that website.)
Back to topic, if you travel in local trains in metros, or browse through those 10 cents (Rs.30) classifieds ads in the newspapers you will see thousands of these ads:
INTERNET Job
Work 2 hrs a Day Earn upto Rs. 10,000 (2000 USD) Per month
Internet connection required. Contact: 98xxxxxxxx
Well the real thing behind this no one knows, everyone make their own story. There is what really goes on behind (I tried this out just out of curiously). You will contact that no. given in the ad - a lady will answer your call- she will ask your details and then call you at a office.
It will be a office run in a small shop somewhere downtown. You will be given a software in a CD (62 mb with no un-installer) and ask they will ask upfront payment (Upto Rs.5000 to Rs.10,000 – USD 1-2K). Then only your name will be enrolled. You go home install the software, put the details as told to you and then your started:
10-50 paise per click.
5-10 rupees her hour to see a ad (just keep refreshing.
5 ruppees to sign-up a form.
The companies which come on your screen are not Google/Overure. But from the following industries:
Low cost PPC search engine – of which you must have not heard about.
Multi-level marketing schemes.
Lose weight/ gain weight programs – keep filling forms.
Download search bars, gator type programs and some weird type of cursors.
Also keep watching – home shoppe, casino, get rich quick etc. types of banners.
These are simply brokers who distribute these programs to Indian people in name of Internet jobs. You will find these brokers gone in three four months. Of course these brokers are Indians – which means US (shady) online Ads firms are one who are giving these guys financial support in return of FAKE TRAFFIC - NOT GOOGLE NOT OVERTURE.
If I advertise on Google and get fake traffic – its only my competition who will profit from it OR Google themselves (any doubts?) not an Indian ad clicker.
These online criminals are every where in the world not only in India – they are in US and UK. I get 50 emails from US IPs everyday selling me V*gra and P*nis e*large formula. 10 emails from those who send me “re: your document” type emails with viruses. I don't make stupid stories about it.
You guys need to understand - India is home of various multinational profiting IT and Internet companies – IBM, Oracle, Google, Yahoo, MSN, Wipro, Infosys, Rediff etc. etc. Ranked 11th in Internet usage of world - people here using Internet on everyday basis.
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mairu User

Joined: 27 May 2004 Posts: 7
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Posted: Tue Jun 01, 2004 1:37 pm Post subject: |
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Umesh, no one is ridiculing India here.
It just happens that the article in question was Indian-based. |
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Bruhah Super User


Joined: 01 Aug 2003 Posts: 106 Location: Detroit, Michigan
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Posted: Tue Jun 01, 2004 3:08 pm Post subject: |
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| mairu wrote: |
Umesh, no one is ridiculing India here.
It just happens that the article in question was Indian-based. |
I agree, here at SNP we do not try to ridicule anyone. You will also notice that most people replying in the message boards are not even from the US in the first place. Besides SNP isn't about politics, for the most part, and I think Marq wants to keep it that way. |
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