We swallow the bait, hogging second spot on the Net (7)
I believe the answer is:
website
'spot on the net' is the definition.
'we swallow the bait hogging second' is the wordplay.
'swallow the bait' becomes 'bite'.
'hogging' means one lot of letters goes inside another.
'second' becomes 's' (common abbreviation).
'bite' enclosing 's' is 'bsite'.
'we'+'bsite'='WEBSITE'
(Other definitions for website that I've seen before include "Wise bet on internet location" , "A place on the Internet" , "Internet location with address beginning www." , "Internet location giving information" , "Internet pages" .)