Welcome | View My Profile | Sign Out
MediaPost Home About MediaPost Privacy/Terms Media Kit Sitemap
Publications Home News
Online Media Daily Media Daily News Marketing Daily Mobile Marketing Daily Search Marketing Daily
Daily Feed> Email Daily Feed> Video Daily Feed> Social
Online Blogs
Online Spin Email Insider Search Insider Behavioral Insider Online Publishing Insider Mobile Insider Video Insider Gaming Insider Performance Insider Metrics Insider Social Media Insider Just An Online Minute Daily Online Examiner Raw Blog
Media Blogs
Research Brief Diane Mermigas:On Media TV Watch TV Board Magazine Rack Media Creativity Notes From the Digital Frontier Digital Outsider Mad Blog Red White and Blog
Marketing Blogs
Engage:Hispanics Engage:Kids 6-11 Engage:Moms Engage:Boomers Engage:Gen Y Engage:Teens Marketing:Green Marketing:Sports
Magazines
OMMA Magazine Media Magazine
Subscribe
Feedback Loop RSS Feeds Archives Subscribe
Dec 2 Search Insider Summit (Utah) Dec 6 Email Insider Summit (Utah) Jan 11 OMMA Agency of the Year (NYC) Jan 12 MEDIA Agency of the Year (NYC) Jan 26 OMMA Social (San Francisco) Jan 27 OMMA Performance (SF) Feb 24 OMMA Metrics Measurement (NYC) Feb 25 OMMA Behavioral (NYC) Mar 15 OMMA Global (San Francisco) Apr 14 Search Insider Summit (FL) Apr 18 Email Insider Summit (FL)
Recently Concluded Events
Nov 3 OMMA Adnets (NYC) Oct 30 OMMA Video (LA) Oct 29 OMMA Mobile (LA) Oct 29 OMMA Mobile & Video (LA) Sep 23 Creative Media Awards (NYC) Sep 23 The Future Of Media (NYC) Sep 22 Online All Stars (NYC) Sep 21 OMMA Awards (NYC) Sep 21 MediaPost Live at Advertising Week All-Access (NYC) Sep 21 OMMA Global New York (NYC)
All MediaPost/OMMA Events Event Blogging Past Event Videos
Industry Events Calendar
2010 OMMA Agency of the Year 2010 MEDIA Agency of the Year
2009 Creative Media Awards 2009 OMMA Awards 2009 Digital Out-of-Home Awards 2009 Media Agency of the Year 2009 OMMA Agency of the Year
All Awards
Employment Situations Wanted Services Offered Post a Job
Briefs Reports Online
MediaPost Directories
Mobile Insiders Group
People Finder Edit My Profile View My Profile My Contacts My Calendar
HOME • MANAGE SUBSCRIPTIONS • MEDIA KIT
Facebook Sued For Click Fraud
by Wendy Davis, Thursday, July 9, 2009, 3:27 PM

SHARE

TOOLS

RELATED ARTICLES
TAGS:  Social Networks, Legal, Click Fraud

MOST READ

Zuckerberg

Sports site RootZoo has sued Facebook for click fraud, alleging that the social networking site charged for more clicks than actually occurred. The lawsuit comes several weeks after Facebook users began flooding message boards with complaints about overcharging.

RootZoo, which advertised on Facebook from November of 2007 until June of last year, alleges that its own analytics programs showed significant discrepancies between the data provided by its own analytics programs and the numbers claimed by Facebook.

The complaint provides specifics for one day -- June 2, 2008. On that date, RootZoo's own software programs allegedly showed that 300 clicks had been generated by Facebook, but the company was charged for 804 clicks.

RootZoo said in its complaint that it asked Facebook for its log files and a refund, and that Facebook refused to comply with either request.

Facebook said in a statement that it takes click quality "very seriously" and that the lawsuit "is unnecessary and baseless."

"We have developed a series of sophisticated systems to detect suspicious clicks and ensure advertisers are not charged for this activity. In addition, we analyze tremendous amounts of data to discern larger click patterns and, in rare cases where this research or other analysis reveals advertisers have been charged for invalid clicks, we have always, and will continue to, issue credits to impacted advertisers," the company stated.

TechCrunch reported last month that Facebook advertisers were complaining on the WickedFire affiliate marketing forums about what they perceived as click fraud. Facebook says that those particular complaints stemmed from "an isolated bug with an ISP's toolbar."

The sports site, which filed the lawsuit Tuesday in federal district court in San Jose, Calif., is seeking class-action status. The site's law firm, Kabatek Brown Kellner, has previously sued Google, IAC and other companies for alleged click fraud.

This complaint seems to mark the first click fraud lawsuit against Facebook, but the gist of the dispute -- discrepancies between advertisers' and publishers' numbers -- isn't new.

Eric Goldman, director of the High Tech Law Institute at Santa Clara University, adds that it's hard to assess claims about the accuracy of records without more information. "Advertisers are always going to say, 'I didn't get what I bargained for. That's not unusual," Goldman says. "The question is: Do advertisers just want more for less, or are these complaints evidence of some fairly serious problems?"

29 people recommend this article. 



AUTHORS

ARCHIVES

Recent Online Media Daily Articles
'Grey's Anatomy' Sires Web Series Spin-Off   
Extending one of its more popular brands online, Disney/ABC Television Group on Thursday debuted an original...
New Dynamic Logic Service Brings In-Ad Surveys   
As an advertiser, how would you like to get instant feedback on an online ad right...
Social Media Fires Up Video Game Marketing   
Facebook and Twitter campaigns have fueled the fire of video game marketing by augmenting traditional widgets...
Study: Consumers Value Traditional Attributes In Online Brands   
While Google remains consumers' favorite online brand, Yahoo and Amazon are not far behind, according to...
Microsoft Targets Television Advertisers For Xbox Live, Embeds Nielsen Measurement In-Game   
Supported by Nielsen, Microsoft unveiled the first pilot Thursday on the second season of the Xbox...
Lawmakers, Inching Toward A Privacy Bill, Question 'Data-Mining Reapers'   
Lawmakers Thursday questioned whether businesses are amassing too much data about consumers without their knowledge or...
Most Mobile Users Indifferent To Or Don't Want Ads   
Nearly four in 10 consumers don't want to receive mobile ads for any reason -- and...
LinkedIn Launches Custom Groups For Marketers   
Expanding its monetization efforts, LinkedIn is launching a new program allowing marketers to create sponsored groups...
Judge Green-Lights Class-Action Against Citysearch   
Dealing a blow to IAC, a federal judge has decided that disgruntled online marketers can proceed...
Verizon App Offers All-In-One Easy Access to Social Nets, Twitter   
Verizon Wireless has partnered with iSkoot to launch an application promising easy access to popular social...
>> Online Media Daily Archives 
ABOUT MEDIAPOST • MASTHEAD • MEDIA KIT • RSS FEEDS • PRIVACY/TERMS & CONDITIONS
©2009 MediaPost Communications. All rights reserved.
1140 Broadway, 4th Floor, New York, NY 10001
tel. 212-204-2000, fax 212-204-2038, feedback@mediapost.com