Fake Sales in Affiliate Marketing: How to Identify and Handle Fraudulent Orders

What Are Fake Sales in Affiliate Marketing?

Fake sales are orders in your online shop that will never result in actual payment. The customer never had any intention to purchase – instead, they're trying to enrich themselves through various fraud schemes.

Important to understand: A fake order is initially a technically correct order in your system. The crucial difference lies in the customer's lack of payment intent.

Typical Characteristics of a Fake Order

The payment method is almost always bank transfer/prepayment – because there's no immediate payment obligation. The fraudster hopes that goods will be shipped before payment receipt is verified.

How Do You Recognize Fake Orders?

Watch for these warning signs in incoming orders:

Address Data

• Non-existent addresses (verifiable via Google Maps or map services)
• Incomplete or obviously false address information
• Combinations that don't make sense (e.g., street name doesn't match postal code)

Shopping Cart Behavior

• Unusually high order value – significantly above your shop's typical cart value
• Example: Average sale €99, suddenly €599 or more
• Large quantities of one product without apparent reason

Personal Data

• Unusual names (e.g., obviously generated or not matching the region)
• Suspicious email addresses with:
• • Exotic country extensions (.to, .ws, .tk, etc.)
  • Random character combinations
  • Free providers with poor reputation

Combination of Multiple Factors

Individual anomalies aren't proof yet – but when several of these signals come together, you should be alert.

Correct Response to Fake Orders

Immediate Actions

1. Cancel the Order Cancel the suspicious order immediately in your shop system. With most e-commerce platforms (Shopify, WooCommerce, Shopware), the cancellation is automatically transmitted to Selecdoo.

2. Don't Ship Goods The most important rule: Never ship goods before payment receipt for prepayment orders. Always wait for the actual credit to your account.

3. Report Partner to Selecdoo If the fake order came through an affiliate partner, report the incident to Selecdoo. The network will review the case and take appropriate measures.

Technical Handling by Shop Integration

Shop System Integration (Shopify, WooCommerce, Shopware):

• Cancellation in shop is automatically transmitted to Selecdoo
• No further manual action in Selecdoo necessary
• No commission payment occurs

Pixel Integration or Custom Solution:

• Order must be manually searched in Selecdoo dashboard
• Proactive cancellation in Selecdoo required
• Documentation of the process recommended

How Does Selecdoo Handle Fake Orders?

Selecdoo takes fraud attempts seriously and follows a multi-stage approach:

Review Process

• In-depth analysis of reported order
• Review of affected partner
• Check for patterns and repeat offenders

Consequences for Partners

For first offense or minor violations:

• Warning to partner
• Addition to internal watchlist
• Close monitoring of future activities

For severe or repeated violations:

• Complete blocking of partner in network
• Possible legal action in serious cases
• Protection of other shops from this partner

Preventive Measures

Selecdoo conducts regular automated checks to ensure partner quality and detect suspicious activities early.

Why Are Fake Orders Placed?

Fraudsters pursue various goals – all based on unlawful enrichment:

Direct Financial Enrichment

• Obtaining free goods for personal use or resale (e.g., on eBay)
• Cashback fraud by exploiting cashback programs
• Commission fraud by generating affiliate commissions without real sales

Damaging Competitors

• Competition sabotage: Discrediting other affiliates through fake sales
• Shop damage: Deliberate attempt to harm your shop (e.g., through chargebacks)

Fake Orders Exist Everywhere – Not Just in Affiliate Marketing

Important to know: Fraud attempts are not a specific affiliate problem. They occur in all e-commerce channels:

• Direct traffic to your website
• Paid advertising (Google Ads, Meta Ads)
• Social media sales
• Marketplaces (Amazon, eBay)

The motivation is always the same: Fraudsters try to get free goods or enrich themselves in other ways.

Effective Protection Against Fake Orders

The Most Important Protective Measure

Basic Rule: Never Ship Goods Before Payment Receipt

This simple rule offers the most effective protection against fake orders with prepayment. Always wait for the actual credit to your account before processing and shipping the order.

Technical Protective Measures

Use Payment Methods Intelligently:

• Only accept secure payment methods for suspicious orders
• Prefer PayPal, credit card, or instant bank transfer
• Exclude prepayment in risk situations

Automate Order Verification:

• Use fraud detection tools (e.g., Signifyd, Riskified)
• Set cart value limits for new customers
• Implement address validation

Manual Review for Anomalies:

• Manually check suspicious orders
• Contact customer when uncertain
• Better to check one order too many than too few

Selecdoo's Protection Mechanisms

The affiliate network offers additional protection through:

• Automated partner quality controls
• Fraud detection algorithms
• Quick response to reported cases
• Consequences for fraudulent partners

But: Selecdoo can only protect the partner area. The final shipping decision lies with you – which is why the basic rule "no shipping before payment receipt" is so important.

Conclusion: Fake Sales Are Annoying, But Manageable

Fake orders in affiliate marketing are no reason to panic. With the right identification features, consistent cancellation, and the golden rule "no shipping before payment receipt," you can protect yourself effectively.

Most Important Takeaways:

• Watch for warning signs in orders
• Cancel suspicious orders immediately
• Never ship goods before payment receipt with prepayment
• Report fraudulent partners to Selecdoo
• Use technical protective measures

Fraud attempts are not a specific affiliate problem but occur in all e-commerce channels. With attention and the right processes, you keep the risk minimal.