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Surging ''Click Fraud'' Imperils Internet Marketing; Click-fraud costs may hit $1 billion yearlyCHICAGO --(Business Wire)-- July 18, 2005 -- Marketers are at risk of soon losing over $1 billion annually through Internet "click fraud," according to SPSS (NASDAQ:SPSS), a worldwide leader in predictive analytics software. In December 2004, the Search Engine Marketing Professional Organization (SEMPO) found that one in five pay-per-click online advertisements are counterfeit. It is estimated that last year, click fraud cost businesses $800 million. If no action is taken, these costs are set to rise to $1.1 billion. "Click fraud" is a term used to describe how Web surfers excessively click on an item found on a Website, inevitably creating problems for the advertiser. Repeated clicking on the advertisement can put the item offline or leave the advertiser with a large bill. "Click fraud is an increasing concern in the industry," said SPSS President and CEO Jack Noonan. "If left unchecked, click fraud could threaten millions of dollars of online marketing investments and seriously endanger the future viability of Web advertising." "Marketers can limit their exposure to click fraud by applying predictive Web analytics software to online campaign responses and Website activity," added Noonan. "This enables companies to monitor what happens after the first click and identify advertisements that exhibit irregular behavior patterns." -0- *T SPSS has compiled five rules to help companies overcome click fraud: 1. Determine the policy for online search advertisements before signing any contracts. 2. Use Web analytics to better understand traffic to your Website. 3. Monitor Website activity closely through the entire lifespan of an online campaign. 4. Apply predictive analytics software to anticipate fraud. 5. Flag possible fraud cases with online search advertisers as soon as identified. *T SPSS' predictive analytics software connects data to effective action by drawing reliable conclusions about current conditions and future events. More than 250,000 commercial, academic, and public sector customers rely on SPSS technology to help increase revenue, reduce costs, improve processes, and detect and prevent fraud. About SPSS SPSS Inc. (NASDAQ:SPSS) is a leading worldwide provider of predictive analytics software and solutions. The company's predictive analytics technology connects data to effective strategic action by drawing reliable conclusions about current conditions and critical future events. More than 250,000 commercial, academic, and public sector customers rely on SPSS technology to help increase revenue, reduce costs, improve important processes, and detect and prevent fraud. More than 95 percent of the Fortune 1000 companies are SPSS customers. Founded in 1968, SPSS is headquartered in Chicago, Illinois. For additional information, please visit www.spss.com. Safe Harbor Statement This press release contains forward-looking information made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward looking statements can be identified by phrases such as "anticipates," "believes," "estimates," "expects," "plans," "intends," "could," "designed," "should be" and other similar expressions which denote expectations of future events rather than statements of fact. These forward-looking statements involve factors that are subject to risks and uncertainties. These risks and uncertainties, which may not be currently ascertainable and many of which are beyond the Company's control, may cause the Company's actual results, performance or achievements to be materially different than the results, performance or achievements expressed in or implied by the forward-looking statements. These risks and uncertainties are described in the Company's filings with the Securities and Exchange Commission ("SEC"). Copies of these filings are available either on the SEC's website at www.sec.gov or from the Company's investor relations department. In light of these risks and uncertainties, the inclusion of forward-looking statements in this press release should not be regarded as a representation by the Company that any future results, performance or achievements will be attained. These forward-looking statements speak only as of the date on which they are made. The Company assumes no obligation to update the forward-looking statements contained in this press release. |
