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


Lead-Gen Fraud

Prevent fake leads from contaminating your CRM and sales pipeline and maintain your teams’ focus on real potential customers

What is lead-gen fraud and how does it operate?

Lead generation fraud refers to automated tools that engage with your campaigns and website to create leads with fake or stolen user data within your marketing funnel. These realistic-looking leads could be the result of competitors or fraudulent ad publishers trying to boost conversion rates.

CRM databases and sales pipelines contaminated with bot data waste valuable sales and marketing resources by pursuing leads that will never buy anything, resulting in lower conversion rates, higher cost of conversions, and wasted time and energy.

Common use cases

Pipeline Flooding

Businesses use bots to flood their competitors’ pipelines with fake leads harming their sales team’s performance

Affiliate Lead Fraud

Affiliate partners fill out forms and generate fake leads using stolen data in order to increase commissions

Lead Form Exploit

Attackers submit fake leads to collect company data and email addresses, setting up malware attacks and phishing schemes

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Fun Fact

550 hours is the the average amount of time lost by sales and marketing teams chasing fake leads every year, costing as much as $32,000 per sales representative, according to a study by DiscoverOrg.

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

  • Fake leads take up the time and energy of your sales team, causing them to spend efforts chasing bots and fake users that will never convert, instead of focusing on real potential customers.
  • Bot and fake-user-generated leads skew your data, conversion rates, and other KPI measurements, presenting you with a false picture of your marketing and business performance.
  • Fake leads can be used to set up malicious attacks against your company through social engineering, including phishing attacks, malware injection, and other forms of harmful cyber attacks.


Secure your site from lead-gen fraud

CHEQ provides a layer of visibility over all bots and fake users coming to your site, allowing you to manage, mitigate, and block malicious actors looking to cause harm or commit fraud.

Ready to learn more about using CHEQ?