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In this episode of our exclusive video series In Conversation with Technology Leaders, we spoke to the Co-Founder of Marcode about affiliate fraud.
Affiliate fraud in paid search occurs when affiliates manipulate attribution systems to earn commissions they didn’t rightfully earn. This is often done through brand bidding, affiliate hijacking, cookie stuffing and fake voucher sites.
Although trademark policies exist, but enforcement is inconsistent.
This lack of a centralised domain and ad account verification allows anyone to bid on almost any keyword with minimal checks, says Andy Cooney, Co-Founder of Marcode, a platform that provides brand protection in paid search.
In this episode of our exclusive video series In Conversation with Technology Leaders, we spoke to Andy about how affiliate marketing promises performance-based ROI, but for many brands, it’s become a costly illusion.
The interview exposes how widespread affiliate fraud — from brand bidding and cookie stuffing to search arbitrage and fake voucher tactics — siphons budgets and distorts attribution.
TOP INSIGHTS
- Affiliate fraud is a silent tax on ad budgets, siphoning commissions for sales that would’ve happened anyway.
- Brand bidding by affiliates drives up your own CPCs while stealing credit for your direct traffic.
- Without enforcement, affiliate programs become a loophole for arbitrage rather than a channel for value.
- A single affiliate with search arbitrage tactics can cannibalise brand traffic across an entire campaign.
ALSO WATCH: In Conversation with Kartik Mittal, Head Ad Sales & Monetisation at Snapdeal
Ad fraud persists because dominant ad platforms lack the incentive to close systemic loopholes, shifting the burden to third parties and advertisers. Real change demands stronger platform-level verification, greater transparency, and industry-wide cultural shifts toward accountability.
Watch the full interview here.
