Filthy stinking thieves! Um, where?
February 13, 2007
Okay, I'm not naive. I know that digital theft occurs, especially in the Internet Marketing sector.
However, I'm revisiting my previously held opinion that theft is a huge problem (and by huge I mean in the order of 10% for digital products in the IM sector). Let me tell you why.
By now you've probably already heard of my $7 Secrets report. It comes with a set of scripts that let people setup and sell their own reports in a similar manner.
Well it turned out that there was a massive gaping security hole in the original scripts. It's fixed now, but it was there up until yesterday morning.
Now, from the time that I started selling the report until the security hole was plugged, over 5,000 copies of the report have been sold. Looking back through my records, guess what? I found virtually no instances of anyone exploiting the fairly obvious security hole.
What does that mean? Well, to me, it has two meanings:
1) People are generally honest and will pay for the products they want.
Yes, I think the majority of people are basically honest, and don't want to steal anything. Whether or not that honesty comes from principle or from fear of reprisal is known only within the individual, but the bottom line is they don't steal.
2) The dishonest people aren't very bright.
Doesn't this make sense, too? Have you ever watched any of those "reality TV" police shows? Aren't the criminals awfully stupid? Of course there are much higher level criminals who aren't so dumb, but those criminals aren't likely to be getting online to try and steal digital internet marketing products.
What all of this boils down to, at least for me, is a big sigh of relief. I don't fret over the thieves so much, and more especially now that I've found a great way to cut refunds to next to nothing ($7 Secrets).
In fact, I found out about the security hole, not because it had been exploited, but because somebody who bought the product was testing it out and discovered the hole. Rather than wait for a bunch of $7 Secrets-based products to come out so he could get them for free, he immediately made known the problem so it could be fixed. Again, a testament to people's general honesty.
Does this mean that you shouldn't protect yourself, or worry at all about theft? Of course not. Theft does occur, and taking simple steps can greatly reduce it from happening.
What it does mean, however, is that you don't have to be excessively concerned about theft in your efforts to sell your products online. Take the precautions, but don't make life so difficult on your customers or visitors that you "secure" your way out of a sale!
One example of how this happened was the attempts to secure ebooks by making them downloadable, installable software applications. All that did was cut out a significant percentage of people who use Macs or other Operating System platforms who now couldn't buy the ebook! Then there was the hassle of customer support from people who had trouble installing the software in the first place.
Besides, someone who is really dishonest will buy (or "borrow") your digital product, and turn around and sell it on eBay or on forums or other places. Having an extremely secure purchase and download system will not prevent that!
So strive to find the right balance between security and accessibility. Make it as secure as you can without sacrificing your customers welfare or purchasing experience. You will be rewarded for doing so!
Comments
25 Responses to “Filthy stinking thieves! Um, where?”
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Jonathan Leger has been earning his living online full-time since the fall of 2004. He regularly posts advice about search engine optimization (his current passion), AdSense and Internet Marketing. 
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You just can't stop the really dishonest people - if they don't hack your download page, they'll just buy your product and then turn around and demand a refund.
Good thing the majority f us ae honest. :o)
Cheers
/Curt E
I think the worst offenders in this area are Internet Marketers, we know the systems and methods so it's not so difficult if you're that way inclined. The risk is extrememly low when selling outside that niche in my experience.
Some people make it just too easy though by not using index pages in every directory, hint hint JL…
Tony
As the RIAA and major labels are finding out in the music industry, the more security is added (DRM) the more the customers resist or prefer to buy from AllOfMP3. The more they tighten their grip the more they slip through their fingers (a quote from a film, know which?)
For the truly dishonest people make them downloading and sharing your document less damaging by using affiliate links and promoting your other materials, at least then it increases your exposure and possibly earn you a few bucks.
Hi Jonathan …one & all
Sad is it Not … how some sad bandits can rip off a Low-Cost $7.00 product especially when it has been set up to be reproducible for all who see above the radar, my thoughts are on this subject you just cant judge how low some folk will stoop to get out of supporting the general good informational goodies that are made available for honest people trying to improve & share their skills online today. Great news though you must be warned and think above and beyond helping the honest people and to spare a thought about the Dishonest baddies that lurk out there in cyberspace…
All my best to you and yours
Phillip Skinner
Great post. I was actually looking into DL Guard to help protect the download page for a product I'm developing. But alas, it just may be in vain.
I did read on one forum about a guy helps combat theft by actually offering bonuses and saying something like the following within his product:
"Thanks for downloading this ebook/software - whether you paid for it or not. If you are one of our many customers who paid, please click this link now to get your promised bonuses."
The strategy is to have all who have the product to click over to a squeeze page where you can collect their name and email. The crazy thing is that those who did NOT pay will click over as well and subscribe to your list on your Squeeze page.
So now you have their name and email and possess the opportunity to market to them thereby recuperating lost revenues caused by the theft of your product.
Still, it really is a good thing that a lot of folks lean towards honesty.
Peace!
- Jay
Hi Jon,
I have been on the receiving end of this for months.
I sell a hypnotics ebook series and have managed to make it to number one spot on a very popular Alexa site that gives out URL`s for zipped files.
All I did was throw in affiliate links galore and have benifitted greatly from it.
I turned a negative into a positive.
Cheers,
Craig McPherson
Hi Jonathan,
I agree with you that most people consider theft as something very dishonest they don’t want to be involved in. The problem is those greedy people that consider themselves as honest but take advantage of every little possibility you give them. The problem with refunds you mentioned in your $7 Secrets report is a good example. If you offer a refund with no questions asked, they think that they have the right to take advantage of it and still think they are honest. There are a lot of greedy people out there. I am so happy every time I come across real honest people like the ones posting on this blog.
Thanks
Thanks for the warning and the email Jonathon.
Kind regards,
Ric
Hi Jon,
I feel that it is a minority that people are dishonest. Let us be on guard and don't let them stop our business from growing.
John Tan
Free Adsense Calculator:
I've heard nothing but good things about DLGuard, and I'm not against using some up-front security, but once a person does download whatever it is you're selling, they can just attach it to an email and send it to a friend…
As has been repeated in all the comments, thank goodness most people are honest enough to not steal a digital product.
Seeing that I sell digital products online, I was asked about security recently, and here's how I responded:
* If Microsoft can't prevent piracy with their software, who am I to think I can?
* I'd rather focus my time, energy, and resources on promotion instead of prevention. One moves you forward, the other holds you back.
* When you add security to any software app, you're asking for a lot more support issues (people loosing serial numbers, strange lock-ups, etc.). I don't need the extra headaches.
* When it comes to the little guy, most people are generally honest (at least that's been my experience).
* I think there's an underlying appreciation from customers that you trust them. That's a very valuable thing to me.
I take some minor precautions, but once things are in place, I never give it a second thought.
Derek
Well put Derek.
Also, good point Craig. If you have to deal with theft, at least benefit from the distribution with your affiliate links.
I would like to address dishonest web character from a different point of view.
We are all aware of thieves who try to get over on whom, and whatever they can get away with.
Well,…I am a blind marketer, and it is very frustrating when I try to do things on the web,
only to find that aweful "Type this in the BoX" security measure.
This is taken granted for all of you sighted people,…But, Think for a moment what you would do if you were totally blind, and you couldn't see what you are supposed to put in the box!
Very!…Very!…Frustrating.
I know these measures are needed to insure security,…But PPlleeaassee!
Dont forget that there are blind, and disabled people who use the web too.
Kevin:
Good point. I don't use those boxes myself, and this is another good reason not to.
Thanks Johnathan, for a very timely discussion. I about to release a 300 page digital product, and being new to this game, I have found this very helpful.
What a relief to know that most people are honest, after all. I like the idea of spending the time on promotion and not prevention, as mentioned in a previous comment.
That doesn't mean you want to leave gapping holes, and my fingers are crossed that I get this part right when I release the product.
Thanks,
Julie
Notice to Newcomers:
If you’re one of the many few just getting started in an online business, you’re about to be educated.
Jonathan,
I’m glad to hear you’ve plugged up the security hole on your end to prevent a handful of the theft that will take place at your download location. (I’m hoping this information can be spread to all the lucky people who purchased your $7 report, plus script-so they are given the opportunity to fix any security holes that may be on their systems as well. That’s customer support at work, indeed!)
On the other hand, I have my own experiences regarding dishonest online marketers, and let me tell you-no matter how you slice it, dishonest people always get the short end of the stick (one way or the other).
What I mean by this is, we’re all conducting business on the Net and understand the risks involved in doing so. Since this is true for the majority of us, why not use measures to turn a negative into a positive from the starting gate? If we understand that it’s possible some will “hack” our systems and resell or give-a-way our products-why not setup your digital products ahead of time with adequate advertisements inside each to work WITH the problem instead of against it?
Ever since my first book was exploited back in 2002, each new product I’ve produced since then (whether it was produced to sell or used as a viral tool)-now holds adequate pages inside the product to generate leads or new sales directly from inside it. This provides two instant benefits:
I am given more opportunities to sell other items to the existing (paying) customers and;
I am given “additional” sales opportunities to grab new prospects that happen to own the book as a result of obtaining a pirated copy of it.
Either way, I come out the victor because I have been given the chance to pre-sell to consumers of my product-whether they paid for it or not. How can this be a bad thing? I guess it would depend on which side of the bargaining table you’re sitting on and how you perceive the circumstances.
—–SIDEBAR—–
No, I don’t like getting ripped off, nobody does.
No, I don’t understand why people feel it’s necessary to steal.
—– SIDEBAR—–
But if this is a risk of doing business, we’ve got to learn to deal with it in a fashion that’s acceptable to us and then move forward-especially if the other alternative means closing our doors and shutting off the profit valves.
I don’t intend to let my fear of being ripped off prevent me from moving forward in my business, and I would hope the same holds true for you and all the rest reading this post.
Once again, thank you Jonathan for sharing your insights, I do appreciate your candid approach.
Kind regards,
Bonnie
Hi Jonathan
I think most people are honest in their dealings.
By the way it sure was great to see some deposits into my Paypal via your $7 report. I have lots of junk on my computer that has never paid off.
Regards,
Jim
Jon,
I think the real reason why you experienced such a low level of dishonesty with your $7Secrets is simply this:
Each one who bought / received the ebook could just turn right around and in 10 minutes start selling it like their own AND earn 100% on every sale.
With an deal like that, who wants to think of how to rip you off? We were all too busy sending out that ebook so we could stuff our pockets! You handed us money on a platter!
Some of us must have thought you're a fool gone crazy. And it was your loss. And who cares? Not when it's showering dollars.
It was just too easy to be 'honest', and too much work to be dishonest and hijack the code.
The dishonesty was there (it always is), but the greed was stronger.
You may or may not have realized it, but this tactic is a master stroke of genius. Not only did it minimize dishonesty to an extreme level, but you made good use of human greed to maximize your gains.
Cheers!
Spot on again Jonathan. The big companies ought to listen to the common wisdom that if it's cheap enough, fewer people will feel the need to rip it off. They should also listen to more commonsense and realise that no security will ever be really effective against the determined element.
I agree with you wholeheartedly Jonathan. It's a waste of time to worry about the rip-off artists. After taking available precautions, it's time to move on to creating new products and ideas.
During 16 years in the gift basket business other designes have stolen my slogan and design ideas. They never lasted long enough to profit from them.
Excellent post on thieving, Jon. Interesting timing too. A couple weeks ago, I purchased a network marketing e-book, a clickbank product. It was $69. The e-book was delivered in one of those secure system that requires a user name and password to open it. No matter how many times I tried to unlock the thing, it wouldn't open. I contacted the author and he told me I had to turn off all my computer security to get the ebook.
Now, I didn't want to do that but I started the process of doing so. Some of the stuff I could deactivate, although it took me a 1/2 hour to do so. One of the programs I couldn't deactivate unless I uninstalled it, which I wasn't willing to do. So I e-mailed the guy again (by this time, we'd gone back and forth 4 times or so and I'd told him I was an e-book author myself and had three products selling from clickbank). I told him I gave up and could he get the ebook to me another way.
He responded with a long lecture about how people steal e-books and he's been burned and he won't let it happen again. He spent 2 paragraphs explaining how people can pass around e-books etc. He told me he'd refund his money.
To say I was angry was an understatement. Not only had I wasted nearly an hour of my time trying to get his stupid e-book open, now he was insulting my intelligence and my integrity. And I'm an author too! You think I don't know about the risk? I also have three published books that sell in stores–you think people don't pass those around or copy pages from them? Geesh.
This person not only lost business, he made an enemy.
In our business, you can't afford to do that.
So I wholeheartedly agree with you.
And thanks for giving me a place to vent.
Greetings all,
After having experiences similar to previous posters, I have resolved never to buy another ebook that has any type of digital rights management or other protections that require extra effort on my part. If I can't open it in Adobe Acrobat in one or two clicks, I won't read it, and I certainly won't pay for it, period.
I am not in the internet marketing business, but I do offer books for sale online, and I have one that is free. Both are pdf files with no protection. I keep an eye out for egregious copywrite violations (and have taken action on a few), but I consider this a small price to pay for the convenience of my audience.
A really interesting place to read more on "theft" of written works is http://www.mcwilliams.com/philo.htm
All of Mr. McWilliams' books are available online for FREE! (and they have nothing to do with internet marketing, just so you know).
I agree with some very good points already made.
On digital products I also consider a waste of time to implement very rigid security protections *after* the customer purchases - it will always penalize the customer and you, not the casual thief.
But regarding the protection of the commissions of my affiliates, I do whatever I can to protect them. And I have a curious story about this with ClickBank.
On 2003 when I released my first digital product (software), I developed on my site a system to avoid the steal of ClickBank commissions from my affiliates.
It worked pretty well, but those with some knowledge took some time to discover the way my site was working with ClickBank and then took also the advantage of some “back doors” ClickBank had (and still has) that allowed to circumvent the protection on my site and steal the commissions.
What they didn’t know (those that stole the commissions) is that my system tracked everything, and I knew almost all actions they did on my site, what were the referrer pages, the original ClickBank id (from my affiliate) they had when arrived at my site, how many times they tried to circumvent the system and the ClickBank id they used to purchase, their IP, email and so on.
And to my surprise, from the few that stole the commissions, some were (and still are) very WELL KNOWN people in this IM area. Was I shocked? At that time, yes! Mainly when some of them were telling people on forums and newsletters that stealing commissions was wrong and how pis**d they were every time they knew about it.
I know that I lost some sales by implementing such system, but it helped me (and my affiliates) also to know who are who on this IM arena, with whom I want to do business and from whom I will never buy anything.
So, backing to the topic, everyone should implement system securities on their web sites to prevent people from stealing without purchasing.
After a customer purchases, it’s a waste of time and resources to make strong protections. For example, I never buy software that needs to “phone” home to register the product - with just one exception and that is Microsoft software because I need the OS
We live in interesting times. The web is growing so fast and integration is always a problem. There is never enough time to test every situation. It is great when someone will be honest with you and let you know you have a hole.
You both end up feeling good about it.
The dumb criminals and the smart criminals, it would appear to me, would not be downloading ebooks on the web. Even the big stores can't stop theft, which is probably where the dumb criminals would go anyway.