Sweet As? Advertising on Rogue Websites in New Zealand
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Sweet As? Advertising on Rogue Websites in New Zealand
48 Pages
Posted: 16 Jul 2014
Last revised: 14 Aug 2014
Date Written: April 2014
Abstract
Recent studies have highlighted the role that internet advertising plays in supporting the revenue of rogue websites (Taplin, 2013; Watters, 2014). Certainly, such advertising generates enormous profit margins for operators of these websites, and present an ongoing threat to the viability of New Zealand’s creative industries. However, a recent study by Watters (2014) investigated the harms to Australian users from viewing the increasingly “high risk” nature of advertising being hosted on these sites.
An analysis of advertising transparency was undertaken using the methodology developed by Watters (2014). A set of webpages was sampled from Google’s ad transparency report and were downloaded in New Zealand, for (a) movies and TV shows or (b) music downloads. Each page was verified as being in breach of the Digital Millenium Copyright Act (DMCA), and each ad banner on each page was categorised as being High Risk or Mainstream. 3.66% of movie and TV ads were Mainstream, while 96.34% were High Risk. Similarly, 6.74% of music ads were Mainstream, while 93.26% were High Risk. The prevalence of Mainstream ads being served to Kiwis is higher than advertising being shown to Australians (Watters, 2014), but lower compared to Singapore (Watters, 2013a) and Canada (Watters, 2013b). The mechanisms by which Mainstream advertisers may be unwittingly caught up in sites linked to piracy are explored.
The policy implications of this result and future research directions, including methodology enhancements, are discussed.
Keywords: Advertising, malware, rogue sites, copyright, piracy, New Zealand
JEL Classification: K42, K14
Suggested Citation:
Suggested Citation
Watters, Paul, Sweet As? Advertising on Rogue Websites in New Zealand (April 2014). Available at SSRN: https://ssrn.com/abstract=2466696 or http://dx.doi.org/10.2139/ssrn.2466696
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