Mark Monitor, the global leader in brand protection had undertaken a detailed study of e-commerce and put together a report about how the counterfeiters through their unethical behaviour have been diverting traffic looking for genuine luxury brands. Their report is based on the extensive analysis of public data relating to five leading global luxury brands. It is evident from the data that the fraudsters are intercepting significant amounts of traffic searching for the luxury brands by subverting legitimate search engine marketing techniques.
Frederick Felman, CMO of Mark Monitor said while releasing the report, “fraudsters are savvy online marketers and are extremely effective in generating high volumes of traffic.” They are not guided by any professional code of conduct and have created a sophisticated, highly visible online ecosystem specializing in criminal behavior and fraud.
There are several methods that the fraudsters use to divert traffic to their sites. Cybersquatting is the most popular method of intercepting internet traffic for the fraudsters. There are over 1,100 sites containing one of the five luxury brand names in the domain name to capitalize on direct navigation behavior and optimize SEO rankings. Fraudsters are even investing in paid search advertising. There are over 50 suspected vendors who after buying a luxury brand as key word are driving traffic to their sites.