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Should Ad Networks Bother Fighting Click Fraud? (Yes, They Should.)

Mungamuru, Bob and Weis, Stephen and Garcia-Molina, Hector (2008) Should Ad Networks Bother Fighting Click Fraud? (Yes, They Should.). Technical Report. Stanford.




Suppose an ad network decides that a given click-through is invalid (or ``fraudulent''). The implication is that the ad network will not bill the advertiser for that click-through. On the other hand, if the ad network decides that the click-through was valid, they could charge full price. Therefore, arguably, the ad network is ``leaving money on the table'' by marking click-throughs invalid. As such, should ad networks even bother fighting click fraud? We analyze a simple economic model of the online advertising market and conclude that the answer is, unequivocally, ``yes''.

Item Type:Techreport (Technical Report)
Uncontrolled Keywords:click fraud, economics, publishers, advertising networks, advertisers
Subjects:Computer Science > E-Commerce
Projects:PORTIA (DB-Privacy)
Related URLs:Project Homepage
ID Code:840
Deposited By:Import Account
Deposited On:01 Jul 2008 17:00
Last Modified:10 Dec 2008 16:05

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