Wednesday, June 10, 2009

How To Prevent Affiliate Fraud

The rise and rise of the Internet has brought new opportunities for companies, enabling them to reach new market segments and niches that otherwise would have been untouchable. To some extent, the power of business comes from online affiliate marketing.

Affiliate Marketing has been about the last 10 years or more, but now traders are facing one of the newest types of scams, ie the fraud known as an affiliate. Affiliate fraud is mainly because there is no money at stake, it is a sure sign that never stops.

Network of affiliates, while the technology and know-how in combating fraud affiliates, merchants may be unaware of the phenomenon. Here are my 2 cents.

Affiliates What is fraud?

Affiliate fraud is any type of illegal activity designed with the intention of cheating merchants, other affiliates or buyers. The merchants are at a loss of members who confuse the fraud in the payment of commissions that do not pay.

The extent of these practices varies from repeated clicks on links to generate revenue for the CPC (cost per click) the use of sophisticated software programs that simulate human activity.
Affiliates take loses because the black hat affiliate redirect to the site selling a parasite and cash the commission in this way is never the rightful, hard working member. There are more parasite techniques described in the following chapter.

Buyers are affected by spam, deceiving marketing techniques, or are miss-informed about the product / service they need. The negative effects are evident for both individual merchants and affiliate networks. Affiliate marketing networks are faced with the much feared danger of losing its members (ie, traders), who no longer want to get involved in affiliate programs for fear of having to face fraud affiliate, which also translates into the loss of their business customers.

Recognizing fraud Afiliats what to do about it

If you already have an affiliate program and create jobs, and you notice that things do not go the way you hoped that maybe it's time to do homework and do some research. Here are some of the symptoms specific to affiliate fraud. They can help with the detection of online fraud. Check the records of its business (together with their expertise) and get something that looks suspicious, any unusual pattern.

On the other hand, if you outsource your affiliate marketing for a network of affiliates, which make most of the work to combat and eliminate fraud, which means they are safe. Affiliates fraud takes many forms, among which the best known are:

• Use spamming techniques to promote products

Email spam is something we all hate. There are members who send tons and tons of bulk spam e-mails to customers, with the hope that this will increase their income. Of course, e-mails that end up being deleted, but bear in mind that not only advertise their products is not known, but there is also a great opportunity to have your name (and products) associated with such practices, which leads to a loss of credibility and, ultimately, conversions. Affiliate Networks strictly prohibit spam and take drastic measures against spam by affiliates, including having their account locked and barred the commission.

• Use (error) of the variation of the domain seller

This is a technique that refers to the act or to record multiple (error) variation of the domain name providers successfully, then the signature of all these variations of one (or more) particular merchant affiliate program. Fraudsters place their bets on a conscious buyers who will not make a difference between a seller and a black hat site partner site, because usually the difference is a bad or missing letter in the domain name.

As this technique is not based on creating added value, but in the use of non-conscious buyers, who steal visitors and sales that really should have been the merchant traffic, resulting in losses for traders themselves. Affiliate networks have a set of quality requirements to accept new members. It is likely that these affiliated sites do not pass the filters.

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