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Google accused of AdSense fraud

pnet news | Advertising:- Google is already in trouble over its AdSense money machine.

David Almeida, a Massachusetts-based private investigator, says Do No Evil is doing evil by defrauding advertisers out of millions of dollars.

But it could be even worse, says David Szetela in SearchEngineWatch.

“The lawsuit claims that Google defrauds advertisers by obscuring the fact that new AdWords campaigns are set by default to display ads on both Google’s search results pages (and like pages served by partners like AOL) and pages owned by site publishers who display AdWords ads via Google’s Adsense programs,” says Szetela .

The problem, according to InformationWeek, is Google lets AdWords advertisers set the maximum CPC.

Cost-per-click is Net formula under which advertisers only pay Google when a user actually clicks on their ad to visit their site, or sites.

Advertisers, “can submit different bid limits for ads that appear in search results lists and ads that appear, through Google’s AdSense program, on Google partner Web sites,” says the story, going on, “Google doesn’t make it clear that to avoid running ads on the Google AdSense network, one must enter a zero into the appropriate input box rather than leaving it blank.”

Brian Kabateck, representing Almeida, reckons Google isn’t, “fully disclosing what they’re doing.”

Most people will incorrectly assume leaving the input box blank will result in nothing being spent on content network ads, says InformationWeek, going on to quote him as saying, “This affects the most unsophisticated customers the most.”

Big companies such as Amazon and Wal-Mart, “work with Google ad sales representatives who can guide them through AdWords bid process,” the story says.

But, “I need to point out that the suit seems to get one important fact wrong. Reports today in CNET, Yahoo! Finance, Wired and other outlets imply that advertisers are presented with the ability to ‘opt out’ of displaying ads on the content network during campaign creation,” states Szetela in SearchEngineWatch.

“The truth is, advertisers don’t see this option during campaign creation.

“The only way for them to opt out of displaying ads on the content network is for advertisers to explicitly edit the settings of their campaign after creating it, and un-check the box labeled ‘Content Network’ - which is checked by default.

“Some [including Szetela, presumably] would reason this makes Google even more exposed to fraud charges.”

Google has become infamous for unilaterally cancelling AdSense displays on smaller sites, refusing to explain the reasons behind its actions.

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SearchEngineWatch - Google Sued for Ad Fraud; Another Class Action Settlement?, April 22, 2008
InformationWeek - Google Sued Over Ambiguity Of Blank AdWords Input Box , April 22, 2008
unilaterally cancelling - Google, p2pnet: Adsense saga, June 16, 2006


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One Response to “Google accused of AdSense fraud”

  1. Nocat Says:

    More on this your readers will be interested in checking out. Since April 1, Google is enforcing a new Display URL Policy. Not everyone knows about it, and those that do are wondering what it means. read Marketo post If your landing pages are hosted anywhere except your website . Marketo has created a fast and easy guide to Setting up DNS Aliasing for a Custom Subdomain on our Community Success forum.

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