Well, it depends on what leads you are offering. Take a LeadGen SOI Offer in Germany for example thats pays 4$ per lead for filling out some information on winning a iPhone 11 or something. If your affiliate is sending 400 leads that day and 30 of them are bogus (duplicates or just fake info) then there is no way to monetize this information, so you are paying the affiliate 120$ for fraudulent leads or fake leads that you cannot do anything with. Thats how it affects businesses. I am not sure what kind of affiliate program you are offering, if its for software or something else, but there will always be a % of fake and fraudulent leads that you have to deal with. How you are going to deal with it, is up to you, if its not a significant number, then you might as well pay the affiliate, but if the fake leads go into the XXX$ then you need to take measurements in order to prevent that from happening, cause you are the one that will lose money on this.
Basically. Good leads are leads with valid information and leads that you can use for monetization (Blast them with eMails, sell them their software, cold calls, etc) - Bad leads are those leads that you cannot monetize because they either have fake information (wrong adress, name, phone number, email, etc) or the information is already in the system.
