Cliff Notes for AFF Zango Drama

[gonzo]

Zango is the latest buzzword in the adult webmaster community.
The controversial piece of software created by the much-maligned 180solutions has drawn the ire of the webmaster community, and many feel it could change fundamentals of the affiliate/sponsor relationship.

Use of Zango by some prominent sponsors has sparked passionate debate on adult message boards recently, particularly its use among adult dating sites. AdultFriendFinder has acknowledged publicly its use of Zango, reasoning that current marketplace conditions and competitors’ use of Zango have forced the company into using it to compete effectively with chief rival SexSearch.

According to webmaster news sites, Zango works in a number of ways to intercept traffic by using diversionary popover windows, overwriting cookies, misleading mislabeled keywords and more.

For example, if an infected surfer clicks a dating banner, a new window from a competing dating sponsor served by Zango could popover the surfers’ original intended destination. If the surfer isn’t paying close attention to the screen, he might think the Zango popover window is from the banner he originally clicked.

Webmasters claim this method undercuts the affiliate on whose banner the surfer clicked, effectively “stealing” his commission and giving it to the sponsor who bid on the keyword.

The use of Zango also has pitted affiliate programs against each other by using competitors’ keywords against them, which results in popovers intended to confuse the surfer with his intended destination. Even if the surfer clicks off the popover, it’s been reported on GFY.com that other windows or consoles could appear, mousetrapping the user.

DatingGold CEO Allan Henning is a staunch opponent of Zango. He posted an official company announcement on GFY.com.

“We would like to state that we do not in any way knowingly purchase or allow in-house or affiliate traffic that comes from Zango, spyware or similar sources,” Henning said. “We have had the opportunity to work with Zango after seeing them at AdTech, however upon reviewing where their traffic comes from, we thought that would be highly unethical to ourselves, affiliates and other sponsors. We do not feel this is a proper way to run a business. We feel that the only parties who will gain from this kind of marketing are the networks, i.e. Zango, search engines like Google and the sponsor.”

Henning continued, “We encourage affiliates to make better decisions about what kind of companies they want to work with. We think companies that allow this kind of marketing have reduced their integrity and are just out to make a quick buck with total disregard for their affiliates or competitors.”

Zango parent company 180solutions was in hot water with the Justice Department earlier this year. The Federal Trade Commission received a formal complaint from the Center for Democracy and Technology claiming that the adware maker continues “deceptive and unfair” methods in distributing software that generate popup ads.

In the complaint, the Washington, D.C.-based nonprofit group told the FTC that 180solutions has “remained brazenly reckless in its efforts to get its software on users’ computers.” The CDT said it expects injunctions and penalties against 180solutions through the FTC. The company is best known for a 2004 incident in which it was accused of stealing commissions from its own affiliates.

While many webmasters stand unequivocally opposed to Zango, there has not been enough of a groundswell of support among sponsor programs to discontinue its use.

“Zango should affect the affiliate/sponsor relationship because sponsors who work with or condone the use of such software are working against the interests of their own affiliates, as well as those of other programs,” CarpeJugular.com’s John Foulds told XBIZ. “But online porn is very light on professionals. In that context, the actual reaction to the latest flurry of drama will probably be minimal. Because, unfortunately, [the sponsors] can afford to be cynical, based on past webmaster reaction, and imagine they are not risking their relationship [with affiliates] at all — at least not enough to matter."

AdultFriendFinder.com partner and spokesman Legendary Lars Mapstead said he remains sympathetic to affiliates’ concerns over AFF’s use of Zango, and that the company will look further into the matter — but stopped short of saying AFF will drop Zango altogether.

“AdultFriendFinder from time to time as a small part of its advertising budget, places ad buys with companies which some people might call adware,” Mapstead said. “One of the motivating factors in AdultFriendFinder placing such adware ads is to effectively compete in the online dating marketplace — namely if AdultFriendFinder does not place such ads, our competitors will make deals with the adware companies to place such ads to our detriment.

“It has come to our attention that some affiliates are unhappy about some uncommon and unintended side effects of adware advertising,” Mapstead said. This scenario certainly makes us uncomfortable and creates a catch-22 for us. If we stop buying the contextual adware ads our competitors’ sites will pop up and we may lose sales, and if we keep buying adware ads we may find from time to time our ads will pop up near our affiliate’s ads for our sites.

“Suffice it to say that for now we appreciate the comments that have been made on the boards to date by our affiliates, yes even the adverse ones, and we will attempt to address this unforeseen consequence of adware ad buys in the near future.”

[fusionx]

Originally Posted by lars

"It has come to our attention that some affiliates are unhappy about some
uncommon and unintended side effects of adware advertising"

uncommon? not really. unintended? pure bullshit.

the software is designed for this purpose.

catch-22? Simple answer: don't support them. Period.

[Mike AI]

Zango is the next logical step in this corrupt business.

It will get worse.

[Hammer]

Originally Posted by gonzo

“AdultFriendFinder from time to time as a small part of its advertising budget, places ad buys with companies which some people might call adware,” Mapstead said. “One of the motivating factors in AdultFriendFinder placing such adware ads is to effectively compete in the online dating marketplace — namely if AdultFriendFinder does not place such ads, our competitors will make deals with the adware companies to place such ads to our detriment.

First of all, if Zango works for them, it sure won't be a 'small' part of their budget that gets spent on it and second, what the fuck is he talking about? It sounds like he's saying we know it's unethical, but our competitors will use it so we have to too in order to compete.

Gee, do you think his competitors shave? Sure, so I guess I can conclude that AFF has to shave to compete.

My questions is, would any honest businessman stoop to unethical practices just because his competitors did? If so, then he's not an honest businessman anymore and someone I sure as hell won't do business with. Especially when he's dumb enough to try to justify it by telling me that everyone else does it.

[will76]

Originally Posted by Hammer

First of all, if Zango works for them, it sure won't be a 'small' part of their budget that gets spent on it and second, what the fuck is he talking about? It sounds like he's saying we know it's unethical, but our competitors will use it so we have to too in order to compete.

Gee, do you think his competitors shave? Sure, so I guess I can conclude that AFF has to shave to compete.

My questions is, would any honest businessman stoop to unethical practices just because his competitors did? If so, then he's not an honest businessman anymore and someone I sure as hell won't do business with. Especially when he's dumb enough to try to justify it by telling me that everyone else does it.

I see you finally read up on this issue

[gonzo]

Originally Posted by will76

I see you finally read up on this issue

And glad to see you made it out of the Zoo to do some business.

[Hammer]

Originally Posted by will76

I see you finally read up on this issue

I was waiting for the cliff notes.