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Is QuinStreet About To Crash Due to Bad Leads and FTC Issues?

If you’re to believe this article on SeekingAlpha, QuinStreet is in in trouble and is facing more and more fines from the government due to their less-than ethical marketing. According to the article, “Numerous lawsuits, customer & employee testimony, and independent analysis suggest these methods include egregious ACPA (cyber-squatting) and TCPA violations, selling low-quality/recycled leads, non-credited leads, and more” will create problems for the company.

One part of the analysis claims that much of their income is due to cybersquatting.  “QuinStreet and its partners sites’ allegedly utilize an illegal tactic called “cyber squatting” wherein users are deceived into believing that they are on an actual insurance company’s site rather than a lead gen site. QuinStreet and its partners have been sued by numerous parties for these actions. (see Windows USA and The General complaints linked above, Insurance Depot complaint here).”

Another question the article brings up, is their issues with selling leads over and over again, possibly in violation of the law. “While lead buyers are told that leads will be sold no more than twice, hence making them “more valuable” to the customer, QuinStreet’s own language implies leads are sold up to 5 times, while partners such as AWL permit up to 8 times, customer complaints claim over 5 times, and potential customers complain of having received “over 20 calls.” (see customer complaints below, Sullivan suit, and our study of QuinStreet websites below).”

Pesach Lattin
Pesach Lattin
Pesach "Pace" Lattin is one of the top experts in interactive advertising, affiliate marketing. Pesach Lattin is known for his dedication to ethics in marketing, and focus on compliance and fraud in the industry, and has written numerous articles for publications from MediaPost, ClickZ, ADOTAS and his own blogs.

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