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Facebook Ad
Fraud Corroborated
Dr. Augustine Fou
acfou [at] mktsci.com
http://linkd.in/augustinefou
February 2014
-1-

Augustine Fou
First Hand Data
Corroborates Veritasium

-2-

Augustine Fou
Set Up a Company Page

https://www.facebook.com/marketingsc
ienceconsulting

-3-

Augustine Fou
Page Like Ad Campaign

-4-

Augustine Fou
Fake Profiles Liked Me

-5-

Augustine Fou
How Do I Know?
• No recent activity
• Misspellings, made-up names “Jane Boston”
• Random images used in updates (e.g. stock
images, plaigiarized images)
• No friends
• Thousands of likes, of completely unrelated
things
• Porn related images (e.g. selfies)
• All images are promotional (promote event)
-6-

Augustine Fou
Site Click Ad Campaign
Average click through rate 0.042%

-7-

Augustine Fou
Fake Facebook
Profiles
-8-

Augustine Fou
Fake Profiles on Facebook

plagiarized or stock image

-9-

Augustine Fou
Fake Facebook Profiles

- 10 -

Augustine Fou
Bot generated pages
on Facebook

using many of the same images and randomized content
- 11 -

Augustine Fou
Fake Likes on Facebook
How much do you like courgettes, the
green vegetable Americans call zucchini?
According to one Facebook page devoted
to them, hundreds of people find them
delightful enough to click the "like" button
– even with dozens of other pages about
courgettes to choose from.
There's just one problem: the liking was
fake, done by a team of low-paid workers
in Dhaka, Bangladesh, whose boss
demanded just $15 per thousand "likes" at
his "click farm". Workers punching the
keys might be on a three-shift system, and
be paid as little as $120 a year.

Source: Business Insider, August 2, 2013
- 12 -

Augustine Fou
The Problem Has Been
Known For a While
- 13 -

Augustine Fou
February 10, 2014 Video

http://www.youtube.com/watch?v=oVfHeWTKjag

- 14 -

Augustine Fou
BBC Reports Significant
“Like” Fraud (2012)
“These [fake accounts] all
seemed to have an
enormous number of
Likes, with many totaling
more than 10,000 and at a
“Liking” rate of more
than 500 a month.”

Source: Search Engine Journal July 2012
- 15 -

Augustine Fou
TechCrunch Reports Massive
Facebook Click Fraud (2009)
“Tracking 202 is telling me
11 clicks….Facebook is
telling me 145. That’s way
off .”

“Tested on 3 different servers at 3
different DCs (not a network issue).”

“FB click fraud update:
ratio is now EXACTLY
10:1. 10 clicks reported on
FB, 1 click on prosper.”

Source: http://techcrunch.com/2009/06/21/facebook-click-fraud-enraging-advertisers/

- 16 -

Augustine Fou
Facebook Display Ads
Can Work for Branding
(assuming they were viewed)
- 17 -

Augustine Fou
Facebook 7–9 Ads /pageview
2012
2011
2010

1
2
3
4
5
6
7
8
9

Source: Facebook Display Ads | go-Digital Blog
- 18 -

Augustine Fou
Auto Refresh Ads
Inflating ad impressions served

Same page, but ads are auto-refreshed every 2 mins; 7 more ad impressions
- 19 -

Augustine Fou
Users ignore Facebook ads

Source: Mashable, April 2012
- 20 -

Augustine Fou
Eye tracking proves …
“The ads to the right
are only noticed by
23% of the
respondents, and
they spend only
0.5 seconds on the
ads.”
Source: Mashable
12/29/2011

… users don’t look at the ads.
- 21 -

Augustine Fou
What Advertisers
Can/Should Do?
- 22 -

Augustine Fou
Areas of Optimization
1. Don’t just pay on a CPM basis for tonnage of impressions; if
you have some other performance metric which measures
actual actions that users take, use that instead
2. Pay on a CPC basis if you can, and use “conversion
tracking” provided by Facebook on your page or website
3. Move beyond counting the number of likes and use some
other metric that is more indicative of intent to purchase if
possible.

- 23 -

Augustine Fou
Dr. Augustine Fou – Digital Consigliere
“I advise clients on optimizing
advertising across all channels. One
main area of focus is reducing ad waste
due to fraud – fake impressions, clicks,
leads, and sales.”
FORMER CHIEF DIGITAL OFFICER, HCG (OMNICOM)
MCKINSEY CONSULTANT
CLIENT SIDE / AGENCY SIDE EXPERIENCE
PROFESSOR AND COLUMNIST
ENTREPRENEUR / SMALL BUSINESS OWNER
PHD MATERIALS SCIENCE (MIT '95) AT AGE 23

ClickZ Articles: http://bit.ly/augustine-fou-clickz
Slideshares: http://bit.ly/augustine-fou-slideshares
LinkedIn: http://linkd.in/augustinefou

- 24 -

@acfou

Augustine Fou
Related Articles
Digital Ad Fraud Briefing
By: Augustine Fou December 2013

Fake YouTube Videos
By: Augustine Fou, December 2013

Ad Fraud Fighting Techniques
By: Augustine Fou October 2013

Fake Linkedin Profiles
By: Augustine Fou, December 2013

How Display Fraud Works
By: Augustine Fou, May 2013

Fake Facebook Profiles
By: Augustine Fou, Dec 2013

How Click Fraud Works
By: Augustine Fou, November 2013

Fake Twitter Accounts
By: Augustine Fou, August 2013

The Magnitude of Digital Ad Fraud
By: Augustine Fou, November 2013

An Ecosystem of Digital Ad Fraud
By: Augustine Fou, October 2013

- 25 -

Augustine Fou

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Facebook Ad Fraud Corroborated by Augustine Fou Ad Fraud Forensics

  • 1. Facebook Ad Fraud Corroborated Dr. Augustine Fou acfou [at] mktsci.com http://linkd.in/augustinefou February 2014 -1- Augustine Fou
  • 2. First Hand Data Corroborates Veritasium -2- Augustine Fou
  • 3. Set Up a Company Page https://www.facebook.com/marketingsc ienceconsulting -3- Augustine Fou
  • 4. Page Like Ad Campaign -4- Augustine Fou
  • 5. Fake Profiles Liked Me -5- Augustine Fou
  • 6. How Do I Know? • No recent activity • Misspellings, made-up names “Jane Boston” • Random images used in updates (e.g. stock images, plaigiarized images) • No friends • Thousands of likes, of completely unrelated things • Porn related images (e.g. selfies) • All images are promotional (promote event) -6- Augustine Fou
  • 7. Site Click Ad Campaign Average click through rate 0.042% -7- Augustine Fou
  • 9. Fake Profiles on Facebook plagiarized or stock image -9- Augustine Fou
  • 10. Fake Facebook Profiles - 10 - Augustine Fou
  • 11. Bot generated pages on Facebook using many of the same images and randomized content - 11 - Augustine Fou
  • 12. Fake Likes on Facebook How much do you like courgettes, the green vegetable Americans call zucchini? According to one Facebook page devoted to them, hundreds of people find them delightful enough to click the "like" button – even with dozens of other pages about courgettes to choose from. There's just one problem: the liking was fake, done by a team of low-paid workers in Dhaka, Bangladesh, whose boss demanded just $15 per thousand "likes" at his "click farm". Workers punching the keys might be on a three-shift system, and be paid as little as $120 a year. Source: Business Insider, August 2, 2013 - 12 - Augustine Fou
  • 13. The Problem Has Been Known For a While - 13 - Augustine Fou
  • 14. February 10, 2014 Video http://www.youtube.com/watch?v=oVfHeWTKjag - 14 - Augustine Fou
  • 15. BBC Reports Significant “Like” Fraud (2012) “These [fake accounts] all seemed to have an enormous number of Likes, with many totaling more than 10,000 and at a “Liking” rate of more than 500 a month.” Source: Search Engine Journal July 2012 - 15 - Augustine Fou
  • 16. TechCrunch Reports Massive Facebook Click Fraud (2009) “Tracking 202 is telling me 11 clicks….Facebook is telling me 145. That’s way off .” “Tested on 3 different servers at 3 different DCs (not a network issue).” “FB click fraud update: ratio is now EXACTLY 10:1. 10 clicks reported on FB, 1 click on prosper.” Source: http://techcrunch.com/2009/06/21/facebook-click-fraud-enraging-advertisers/ - 16 - Augustine Fou
  • 17. Facebook Display Ads Can Work for Branding (assuming they were viewed) - 17 - Augustine Fou
  • 18. Facebook 7–9 Ads /pageview 2012 2011 2010 1 2 3 4 5 6 7 8 9 Source: Facebook Display Ads | go-Digital Blog - 18 - Augustine Fou
  • 19. Auto Refresh Ads Inflating ad impressions served Same page, but ads are auto-refreshed every 2 mins; 7 more ad impressions - 19 - Augustine Fou
  • 20. Users ignore Facebook ads Source: Mashable, April 2012 - 20 - Augustine Fou
  • 21. Eye tracking proves … “The ads to the right are only noticed by 23% of the respondents, and they spend only 0.5 seconds on the ads.” Source: Mashable 12/29/2011 … users don’t look at the ads. - 21 - Augustine Fou
  • 22. What Advertisers Can/Should Do? - 22 - Augustine Fou
  • 23. Areas of Optimization 1. Don’t just pay on a CPM basis for tonnage of impressions; if you have some other performance metric which measures actual actions that users take, use that instead 2. Pay on a CPC basis if you can, and use “conversion tracking” provided by Facebook on your page or website 3. Move beyond counting the number of likes and use some other metric that is more indicative of intent to purchase if possible. - 23 - Augustine Fou
  • 24. Dr. Augustine Fou – Digital Consigliere “I advise clients on optimizing advertising across all channels. One main area of focus is reducing ad waste due to fraud – fake impressions, clicks, leads, and sales.” FORMER CHIEF DIGITAL OFFICER, HCG (OMNICOM) MCKINSEY CONSULTANT CLIENT SIDE / AGENCY SIDE EXPERIENCE PROFESSOR AND COLUMNIST ENTREPRENEUR / SMALL BUSINESS OWNER PHD MATERIALS SCIENCE (MIT '95) AT AGE 23 ClickZ Articles: http://bit.ly/augustine-fou-clickz Slideshares: http://bit.ly/augustine-fou-slideshares LinkedIn: http://linkd.in/augustinefou - 24 - @acfou Augustine Fou
  • 25. Related Articles Digital Ad Fraud Briefing By: Augustine Fou December 2013 Fake YouTube Videos By: Augustine Fou, December 2013 Ad Fraud Fighting Techniques By: Augustine Fou October 2013 Fake Linkedin Profiles By: Augustine Fou, December 2013 How Display Fraud Works By: Augustine Fou, May 2013 Fake Facebook Profiles By: Augustine Fou, Dec 2013 How Click Fraud Works By: Augustine Fou, November 2013 Fake Twitter Accounts By: Augustine Fou, August 2013 The Magnitude of Digital Ad Fraud By: Augustine Fou, November 2013 An Ecosystem of Digital Ad Fraud By: Augustine Fou, October 2013 - 25 - Augustine Fou