Affiliate

Paying affiliates based on performance, right? But are you paying for the performance that drove genuine results? There’s a common misconception that affiliate campaigns are low-risk because they’re performance-based. Well, not quite. Everything has two sides and so do affiliate campaigns. On one side, affiliate campaigns promise scale, reach, and revenue. However, the other one is a darker side of unseen threats due to various types of affiliate fraud techniques, brand abuse, attribution hijacking, misuse of coupon codes, etc. Many campaigns may show rising ROAS, but what’s often missing is how that performance was achieved. Was that traffic truly incremental, or did an affiliate use deceptive techniques just to win last-click attribution? According to an mFilterIt first-party analysis of 343 campaigns run in 2024, 43% of affiliate fraud was detected in India, 35%, 34%, and 33% in MENA, US, and Europe, respectively. In 2025, affiliate marketing success isn’t just about conversions – it’s about validating authenticity, protecting your brand, and rewarding partners who play fair. In this article, we will explore the hidden threats undermining affiliate marketing and understand how affiliate monitoring & brand-safe performance can actually amplify campaign impact when you monitor it right. The Hidden Threats in Affiliate Campaigns While affiliate marketing remains one of the most scalable performance channels, marketers need to recognize the warning signs, to protect both brand equity, budget, and stay ahead. 1. Unauthorized Brand Bidding on Keywords (Search Hijacking) One of the most common forms of affiliate fraud and manipulation is brand bidding. Using this tactic, affiliates bid on your branded search terms, hijacking users who are already looking for your product or website. Instead of converting through organic results or direct visits, users are rerouted through paid ads, earning the affiliate a commission they didn’t truly earn. Impact: This not only inflates your paid search costs but also creates internal competition between your media team and your affiliate partners. And you end up paying twice for traffic that was already yours. 2. Misleading Creatives and Unauthorized Branding Affiliates and influencers often deploy creatives that fall outside your official brand guidelines and misrepresent your brand using outdated logos, fake discount banners, or fabricated promotional messaging. These visuals are designed to grab attention, inflate clicks, creating confusion or mistrust among customers. Impact: Misrepresentation damages brand credibility. These unauthorized creatives often appear on platforms or websites where your team has limited visibility, making enforcement difficult unless you’re actively monitoring across channels. 3. Typo-Squatting and Duplicate Listings Fraudsters often set up websites or marketplace listings using typo-ed brand names or unauthorized duplicates of your product pages. They optimize these pages to rank high in organic results or promote them through ads, redirecting users through affiliate links. Impact: You lose official visibility, and customers may unknowingly buy from unverified resellers or outdated sources, damaging your brand integrity. 4. Promo Code & Cashback Abuse Affiliates and influencers often misuse coupon codes to manipulate attribution. When these codes are placed on public coupon websites, they begin ranking on search engines attracting organic traffic that would’ve come directly to your site. In some cases, influencers even post their codes in comment sections of social media posts, hijacking conversions without truly driving demand. Impact: Skewed performance reporting, reduced margins, reputational damage, and customers conditioned to always expect discounts, even when you don’t offer them 5. Hidden Redirects and Cloaking Techniques Some affiliates use browser extensions, in-app overlays, or cloaked links to secretly redirect users through affiliate URLs, without ever making it visible to your team. What the user experiences and what your tracking tools record may be two very different things. Impact: Lost visibility, deceptive tracking, and lost control over customer journey insights. These invisible tactics not only violate user trust but also pollute your performance data, making optimization difficult. Advanced Affiliate Fraud Tactics in 2025 Every Marketer Should Know About Affiliate fraud today is no longer about random bad actors exploiting obvious loopholes. It has evolved into a coordinated, intelligent system often powered by automation, artificial intelligence, and sophisticated evasion techniques used by affiliates to earn commissions. Affiliate Collusion – Two or more affiliates working together Fraudsters now operate in groups or affiliate rings, where multiple affiliates coordinate their efforts to game attribution models. They rotate tracking links, share device IDs and IP addresses, and even simulate varied browser behaviors to avoid detection. Because each affiliate in the ring appears to act independently, the fraud doesn’t trigger obvious alerts. Without deep behavioral analysis or identity mapping, affiliate collusion generates invalid traffic that siphons off the marketing budget and corrupts data, misleading overall performance. Affiliate Cloaking Fraud Affiliate cloaking involves showing a compliant, brand-approved landing page to your audit tools or standard fraud detection systems while redirecting real users to unauthorized destinations/landing pages. To the brand, everything looks clean: your code sees the right creatives, landing pages, and parameters. But the end user might see fake offers, misleading discounts, or even be redirected to counterfeit products pages. This gives you a false sense of compliance while exposing your customers to experiences you don’t control and can’t see. Why Standard Campaign Metrics Can’t Detect Any of These Most affiliate managers track surface metrics: click-through rates, ROAS, last-click conversions, etc. But what if that conversion came from a hijacked keyword? What if the click came from a cloaked URL? What if the influencer was running fake creatives on irrelevant inventory. Affiliate fraud thrives in the gray zones between attribution layers, browser behaviors, and third-party channels. The truth is you can’t see affiliate fraud in a dashboard; you need affiliate monitoring tools that go deeper. If you’re not validating the “how” behind affiliate conversions, you’re only seeing half the picture. What These Threats Cost You Let’s break down the real impact of affiliate fraud: Paid commissions on traffic that would’ve converted anyway Loss of organic traffic due to brand keyword hijacking Inflated KPIs leading to poor optimization decisions Reputational damage that can erode long-term customer loyalty Missed growth opportunities and lack of strategic

Affiliate marketing, as a concept, is revolutionary. It enables businesses to make money by using the influence of popular online publishers. When the right affiliates are involved, affiliate marketing not only drives more sales, but also boosts long-term brand performance metrics like brand recall value and trustworthiness of the brand.   At the same time, by design, affiliate marketing ensures the publishers bring their A-game in getting brands maximum visibility and ensuring their audiences view them in a positive light. After all, more sales also translate to better affiliate payouts for the publishers.   Thanks to this symbiotic nature of affiliate marketing, it is nearly the perfect marketing activity. Nearly.   Instances of affiliate marketing fraud can quickly impact the fantastic results of even the most carefully executed campaigns. Fraud associated with affiliate marketing can drain ad budgets and bring low-intent users to interact with brand’s ad campaigns.   Thankfully, advertisers are not powerless in the face of affiliate marketing fraud. In fact, by employing affiliate monitoring and brand safety best practices, advertisers can completely eliminate the threat of affiliate marketing fraud.   However, before we begin discussing how affiliate fraud prevention works, let’s quickly size up the threat that is affiliate marketing fraud.   The Rising Threat of Affiliate Fraud in 2025  In the next two years, the affiliate marketing market is expected to grow to a whopping $27.78 billion. While this might seem like great news, it also means that fraudsters have that much more incentive to come up with sophisticated ways to commit fraud and dupe advertisers. According to mFilterIt analysis, 43% of the fraudulent traffic is coming from affiliate networks in India.   Where there is money, the instances of fraud also rise. Similarly, in the space of affiliate marketing, Affiliate fraud has existed almost since the inception of this marketing channel . As digital technologies became more accessible, affiliate fraud practices evolved in tandem with the evolution of affiliate marketing itself and alarmingly, the trend continues.   Today, fraudsters have access to sophisticated artificial intelligence models and automation technologies, enabling them to commit fraud in complex and hard to detect ways. At the same time, such technologies also enable bad actors to commit fraud on an expansive scale, targeting both web and app ecosystems. For brands, these activities translate to a damaged brand reputation, inflated customer acquisition costs, and poor user retention.   How are such fraudulent schemes implemented? Which are the most common ones? Knowledge is the first step to prevention. Let’s peek behind the curtains of affiliate marketing fraud:  Common Affiliate Fraud Techniques & Their Impact  Fraudsters have found various methods to corrupt the affiliate schemes to use to their advantage. While there are some common methods, with evolving technology fraudsters have found new and advanced ways to commit fraud. Some of them are here:   – Incent Fraud   Running incent campaigns is perhaps one of the oldest forms of affiliate fraud and yet, it is exceptionally difficult to detect before the fraud has made a significant dent in your marketing budget. Simply put, affiliates incentivize their audience with a reward in exchange for completing a specific action, such as downloading an app and completing an action once the download is complete. Incentives can include small rewards such as loyalty points or even a small share of the affiliate payout.   Since the users complete these actions because of the lure of the reward offered by the affiliate they seldom have any genuine interest in interacting with the advertiser’s app or website. As a result, the advertiser ends up paying for the interactions with these uninterested users while gaining nothing of significance in exchange. This further leads to a high uninstall rate and the advertiser has to pay more to acquire more customers.   – Brand Bidding   This is especially problematic for brand bidding as it drains their marketing budget twice as fast. By bidding for the same keywords as the brand, fraudsters increase the competition around those keywords, leading to an inflated cost-per-click (CPC) paid by the brand. Additionally, the brand still ends up paying much more than the CPC for the traffic it loses in the ads as it is redirected to their website as affiliate traffic by the fraudsters.  – Trademark Misuse  Another common yet clever form of affiliate fraud is impersonation. Fraudulent publishers create fake websites that share striking similarities with an advertiser’s website. Using these, fraudsters may impersonate the brand to attract high-intent traffic and then use affiliate links from the real brand on their fake websites to get affiliate rewards.   – Cookie Stuffing & Attribution Fraud  With cookie stuffing, fraudulent affiliates drop a cookie in the user’s browser when they visit a brand’s website. This way, even if the user visits the brand’s website directly, the attribution of the sale is allocated to the fraudster, enabling them to get affiliate commission for a sale they did not enable.   This not only results in the brand paying affiliate commission on an organic sale, it also manipulates the sales metrics, making data unreliable.  – Fake Lead Generation & Form Spamming  One of the most common tools employed for committing click fraud is a bot. Fraudsters use a network of bots with varying sophistication to complete tasks that get them affiliate revenue. Bots are programmed to act like real human users and generate clicks and fill out lead generation forms with fake information.   If an advertiser pays affiliate commissions for lead generation actions, they may easily fall victim to a fake lead generation and form spamming fraud. This can not only lead to wasted marketing spending and poor conversion rate, but it can also have a long-lasting impact on the advertiser’s overall marketing efforts because it dilutes and skews their marketing performance and CRM data.   – Misuse of Advertiser’s Brand Assets  In some cases, fraudsters may stoop down to directly scam the users. While this usually does not lead to wastage of marketing budgets, it can hurt advertisers and brands in other equally significant ways.  Fraudsters may create fake