Affiliate Fraud Definition & Impact on Go-to-Market Teams | CHEQ

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Affiliate Fraud

Stop affiliates from sending fake traffic to your site and fraudulently claiming commissions by shining a light on their activity

What is affiliate fraud and how does it operate?

Affiliates abusing the system will take credit for as many referrals and purchases as possible using deceptive practices. Malicious affiliates can create false attribution trails by placing cookies on unaware users (cookie stuffing) or creating PPC search campaigns to capture traffic (customer poaching).

Companies suffering from affiliate fraud will pay unearned and unnecessary commissions, lose control of their advertising channels and how their brand is portrayed, and potentially waste marketing budget advertising against their affiliates.

Common use cases

Cookie Stuffing

Partners drive fake clicks and visits to your site, to inflate their commissions and payouts

Fake Lead Fraud

Bots and fake users complete forms using stolen data, generating invalid leads in your pipeline

Chargeback Fraud

Affiliates use bots with stolen credit card data to make fraudulent purchases to collect the commissions

(Not so)

Fun Fact

$1.4 billion were lost due to affiliate marketing fraud in 2020. This accounts for 9% of all transactions within the $15 billion affiliate marketing industry which were affected by some type of fraudulent activity.

What are the threats to
the Go-to-Market Operation?

  • Affiliate fraud compromises the integrity of your affiliate marketing program, wasting budget on poor performing or fraudulent partners and taking away the opportunity to invest in legitimate affiliate partners driving clean traffic.
  • Fraudulent affiliates completing forms with stolen user information flooding your pipeline with false leads and harming the efficiency of your marketing and sales activity.
  • Bots and fake users coming through affiliate channels skew your data, analytics and measurement of KPIs, presenting you with a false picture of your marketing and business performance.

With CHEQ

Secure your site from affiliate fraud

CHEQ casts a light on all traffic from your affiliate partners, helping you block bad traffic and remove fraudulent affiliate partners who are driving fake clicks, leads and visits to your assets.

Ready to learn more about using CHEQ?

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