However another problem here is there filters (accept for employee review) is based around stopping automated click fraud. What about the click fraud that occurs on a smaller scale, i.e. I allow several ads on my site and notify my reader base to please click on the ads on my site or I give them an incentive (free book) to click on them? These would happen in patterns and amounts that would look random and *appear* to most filters to be “real” clicks, when in fact these people aren’t real prospects. Such fraud is virtually undetectable and very difficult to eliminate. Add such fraud to an aggregate level and you still have a fundamental problem.

Google as do other pay to click models need to start charging fees on a performance measure rather than an action measure such as actual sales or conversitions. If they only collected revenue when someone bought the problem would not exist. I realize this is unlikely to occur as it does not even occur in mainstream advertising, but if we meet somewhere in the middle click fraud problems will become less of an issue.

Click fraud on Google search is likely very low, since there is no monetary incentive.

However, there is a huge incentive to falisify clicks on your own adsense website, and this is where Google’s numbers lie.

Yes, a little bluebird is telling me that they’ll have more explaining to do about these issues as the week winds down.

Google has yet to acknowledge that it has tackled the problem of distributed proxy networks, much less explained how it attempts to block them.