An IP address is a unique numerical label assigned to every device connected to a computer network that uses the Internet Protocol for communication. Think of it like a home address for your computer or phone on the internet. IP addresses allow devices to find and communicate with each other across networks.
How IP addresses work
Every time you connect to the internet, your device gets an IP address. This address can be either static (permanent) or dynamic (temporary and changing). Most home internet connections use dynamic IP addresses that change periodically.
IP addresses come in two main versions: IPv4 and IPv6. IPv4 addresses look like 192.168.1.1, while IPv6 addresses are longer and include letters, like 2001:0db8:85a3:0000:0000:8a2e:0370:7334.
Why IP addresses matter for click fraud
IP addresses play a crucial role in identifying and preventing click fraud. Bad actors often use multiple IP addresses to hide their tracks when generating fake clicks.
Fraudsters may use techniques like:
- VPNs to mask their real IP address
- Proxy servers to route traffic through different locations
- Botnets that control many devices with different IPs
- IP spoofing to fake their location
A real-life example of IP address cloaking
Let’s say that you have a set of targeted ads that are directed towards personal injury lawyers in Florida. But, all of a sudden, those ads start getting clicked on by quite a few people in Oregon.
You start to think that, perhaps, Oregonian lawyers/customers are the people you should be targeting. This makes sense, given who is engaging with your ads.
During the weeks that follow your investments into targeted ads centered on Oregon lawyers, you notice that overall engagement has decreased.
The reason for the above is as follows — none of those Oregon-based clicks were genuine. Each one of these clicks was actually a click routed through an Oregon IP address but not an actual Oregon-based potential client.
How to use IP addresses to fight fraud
Monitoring IP addresses helps detect suspicious patterns in ad traffic. Multiple clicks from the same IP address could indicate click fraud. Geographic mismatches between IP locations and target audiences may also reveal fraud.
Advanced click fraud prevention tools track IP addresses along with other signals. They can identify suspicious behavior patterns and block malicious IPs automatically. This helps protect your ad budget from wasteful invalid clicks.
IP address best practices
When analyzing traffic quality, look for these IP address red flags:
- High click volumes from single IPs
- Clicks from data centers or hosting providers
- Traffic from unexpected geographic locations
- IPs associated with known fraud operations
- Unusual patterns in IP address distribution
