The internet has been buzzing with controversy over the popular browser extension, Honey, owned by PayPal. Initially heralded as the ultimate money-saving tool for savvy online shoppers, Honey is now facing allegations of deceiving users and creators alike. A viral video from YouTuber MegaLag has sparked discussions about Honey's practices, leading many to question whether the extension truly delivers on its promises of best deals and savings.
For those unacquainted, Honey is touted as the go-to browser extension for finding coupons and discounts during online shopping. Its motto suggests it can automatically scour the internet to find the best promotional codes, allowing users to save money effortlessly. With over 19 million users, it's particularly lauded for its ease of use—simply install it, and it claims to handle the deal-hunting.
But what lies beneath this surface allure? MegaLag's extensive investigation raises some serious red flags. Over several years, he delved deep, analyzing Honey's function and unscrambling its hidden tactics. The findings suggest not only does Honey fail to provide the lowest prices and optimal deals, but it also strategically redirects revenue away from creators who partner with it. Allegedly, when users shop through links promoted by their favorite influencers, Honey hijacks the opportunity, replacing the influencer’s affiliate link with its own. This means creators miss out on earned commissions—something they should rightfully receive for guiding consumers to products.
MegaLag went so far as to label this scheme the "biggest influencer scam of all time." His 23-minute exposé, which racked up millions of views almost immediately, highlights alarming findings. While shopping on popular retail sites, he noted instances where Honey failed to apply more advantageous coupons available online and instead offered lesser discounts. This practice casts doubts on Honey’s credibility, as it appears to be undermining its central promise of finding the “best coupon codes on the internet.”
One significant claim from his investigation states, "If Honey links to a discount code offered by merchants, it might throttle access to higher value codes.” This restriction is pivotal, as it takes control away from consumers, who trust Honey to serve them the most lucrative options. Customers may not look beyond the Honey pop-up thinking they’re getting all available discounts, which is far from the truth.
But it gets even murkier. The relationship between Honey and the influencers who promote it has now come under scrutiny. Content creators like MrBeast and Linus Tech Tips have long shared links to Honey with their audience, believing they’re aiding their followers save money. Instead, it turns out they’ve been potential victims of Honey’s practices as well. MegaLag revealed how the browser extension effectively deletes the cookies of existing affiliate links. Consequently, influencers who marketed Honey and their discount codes were left with zero compensation when their audience went on to make purchases.
The notion of affiliate cookies isn’t foreign to online creators. When someone clicks on these links, they’re tracked to compensate creators for their efforts. MegaLag’s exposé implies Honey is not only misleading users but also betraying the very creators who helped it gain prominence. He cites several instances where Honey has come between influencers and their rightfully earned commissions.
This controversial narrative has fueled backlash on social media, where users express outrage at the alleged betrayal. Many former users of Honey have taken to platforms like X to discuss their shock and disappointment. Comments like, "I’m uninstalling Honey right away; it never has any discounts anyway," showcases the erosion of trust among consumers who once found value in the extension. Other users echo similar sentiments, even questioning the integrity of those influencers who had previously promoted Honey.
PayPal, which acquired Honey for around $4 billion back in 2020, has largely remained silent amid the controversy. Josh Criscoe, PayPal’s VP of Corporate Communications, did address some of the claims by insisting, "Honey follows industry rules and practices, including last-click attribution." While this defense attempts to legitimize their business model, the blowback appears to be growing.
Details within MegaLag’s video also revealed Honey’s cashback features have been criticized as inadequate. Shoppers were lured with the promise of cash back on purchases only to find the returns minimal compared to what they could save through other means. The point is clear: shoppers may be sacrificing personal data and affiliate credits for savings they could have uncovered with basic internet searches. While Honey claims to be free to use, it challenges the adage, "If you’re not paying for the product, you are the product.”
To add another layer to this conversation, many content creators have realized the true nature of their relationship with Honey and opted out. One such example emerged from Linus Media Group, where employees made clear they’d dropped Honey due to its affiliate practices. This trend could prompt even more influencers to reconsider their involvement with the extension, sparking fears around its future viability.
Stepping back from the finger-pointing, it’s important to reflect on the values online creators and consumers share. Both groups rely on transparency and fair play; consumers trust creators to guide them toward savings, and creators depend on fairness and reward for their efforts. When these pillars are shaken, like they are now, it leads to widespread disillusionment.
So, is the game up for Honey? With its growing list of grievances, the pressure for change mounts. Already, users are uninstalling the extension right and left, questioning if this once-hallowed tool is worth keeping installed. Shoppers might think twice before getting lured back, allowing other discount-seeking methods to thrive.
The digital marketplace is rife with opportunities for deception, with myriad platforms offering deals touted as the best; Honey's case now stands as both a warning and a wake-up call for consumers and creators alike. Staying vigilant against misleading practices is no longer just good advice; it’s becoming absolutely necessary as they navigate the choppy waters of online shopping and affiliate marketing. Only time will tell if this controversy leaves lasting scars on Honey’s reputation or if they can regain the trust of those they stand to benefit from the most—the consumers and creators they claim to support.