Google Confirms Click Fraud Rate is 0.02%

[Roman]

Google has now confirmed that user-identified click-fraud (the clicks not already filtered by Google) is actually less than 0.02% of all Google clicks. In addition, the average rate of invalid clicks (Google’s term for clicks that are filtered automatically and not charged to advertisers) is less than 10% of all clicks.

In an effort to respond to concerns raised by advertisers and so-called click fraud detection companies, Google also plans a number of initiatives for the coming year. Advertisers will get enhanced reporting, a Google guide to click fraud, and a standard method for reporting invalid clicks to Google. The most intriguing new feature will no doubt bring applause, but also call the bluff on advertisers claiming click fraud foul.

[SpaceBOT]

0.02%? Did google mention how they arrive at that click-fraud rate?

Because you can just pluck out a rate from thin air you know..

Click Fraud will happen no matter what. You can never detect small amounts of clicks like for example, a site owner who clicks on his own ads say once / day?

But overall, Google is taking the right direction. As long as they are able to let advertisers report fraudulent clicks and reverses them, then I bet advertisers would be happy.

[Roman]

Good points, Cool! Well...according to reports, Google sampled 3,000 advertisers.

[zul200289]

hmm..
is 0.02% considered quite high?

[Manny]

Google is testing a new advertising model to deal with click fraud: cost-per-action ads. Advertisers don't pay unless the customer performs a certain action: buys a product, fills out a survey, whatever. It's a hard model to make work -- Google would become more of a partner in the final sale instead of an indifferent displayer of advertising -- but it's the right security response to click fraud: Change the rules of the game so that click fraud doesn't matter.

So there goes the confirmation. Yes, definitely, it's quite high for massive clicks in one day.