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Traffic laundering

Unauthorised sub-syndication and hidden sources

An approved feed partner quietly passes its feed to other parties, or brings in traffic from sources the search engine never approved.

The short answer, from The Arbitrage Desk fraud map

How it works

A search engine licenses its ads to a syndication partner on stated terms: these sites, these traffic sources. Sub-syndication is the partner handing the feed on to a third party, who may hand it on again. Hidden sourcing is the reverse direction: unapproved traffic is brought in and declared under an approved source's name.

Think of a franchise that secretly sublets its shopfront. The brand owner believes it knows who is trading under its name; in fact it has no idea who is behind the counter. Some sub-syndication is permitted and disclosed, with each downstream publisher approved. The abuse is the undisclosed kind, where the people actually producing the clicks have never been reviewed.

Who pays for it

Advertisers, whose ads run in places nobody vetted. The approved partner, who is responsible for every click on the account and can lose the feed for a downstream party's behaviour. Honest sub-publishers on the same account, caught in the shutdown.

Who does it, and why

Feed holders monetising their approval by renting it out, and operators who were refused or lost a feed of their own. A feed is scarce, so access to someone else's is valuable.

Warning signs

  • More domains, apps or traffic sources in the logs than the partner has declared.
  • A partner unwilling to name downstream publishers or show their pages.
  • Channels or sub-IDs with no documented owner.
  • Sudden new traffic of unknown origin after another operator loses a feed.
  • Long redirect chains between the first click and the feed page.

Defences

  • Get written traffic source approval for each source and each downstream publisher.
  • Map one Channel ID to one accountable party and audit unassigned traffic.
  • Contractually ban onward syndication without consent, with audit rights.
  • Keep the chain as short as you can; every hop hides something.

An example

Real case: in 2006 researcher Ben Edelman traced paid clicks on Yahoo's search ads through chains such as advertiser → Yahoo Overture → intermediary → second intermediary → adware on users' computers. Pop-ups that cost the adware's customers about 1.5 cents each were being billed to search advertisers at 10 cents or more a click.

Documented cases

Sources