If you want to know how Honey makes money, then this article is the right one for you.
Honey is an amazing app that can help you save money when you shop. You also get cashback from the use of this app.
This article reveals a lot about Honey, especially how it makes money.
What is Honey?
Honey is a browser extension. It aggregates and automatically applies online coupons on ecommerce sites.
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With this app, you can access thousands of coupons that can save you money.
It allows you to find coupon codes for tons of online sites where people shop from.
With just one click this extension will automatically find and try coupon codes that you can apply to your shopping.
Honey works at thousands of stores in the US, Canada, Australia, India, and the UK.
It is owned by the popular payment gateway company PayPal.
Honey was founded in 2012 by George Ruan and Ryan Hudson.
This company has grown since its inception. As of 2014, it had more than 900,000 organic users.
How Honey Works
If you are interested in knowing how this platform works, then here are steps on how to use it:
- Visit the JoinHoney.com website to download the browser extension. This extension will automatically appear on the type of browser you use. It supports major browsers like Firefox, Safari, Edge, Chrome, Opera, etc.
- Downloading and installing this app on your computer is 100% free and you don’t need to do much.
- To install Honey on your Firefox( this is the browser I use), follow these steps:
- Follow this link to your Firefox Add-ons to install Honey on Firefox.
- Click on Add to Firefox, Add, and then OK.
- Honey is successfully installed!
- Once you’ve installed Honey, you’ll see a small “h” when you shop on thousands of your favorite sites.
- Also, you should know that On Chrome, Firefox, Opera, and Edge, the app is on the top right corner.
- If the h is orange, Honey is supported on that shopping site.
- When Honey finds any coupons for that site then the h would be illuminated in green.
- You can start shopping on select websites. Honey will automatically look for coupon codes in the background.
- The platform will apply the code you have selected and you will save on your purchases.
So, when you click on the Honey button during checkout Honey will automatically apply the best coupon codes to your shopping cart at over 40,000 stores.
How Honey Makes Money
Honey makes its money mainly through commissions.
They earn Commission from Merchant Partners when someone uses a coupon on the Honey app or extension.
Honey makes its money mainly from commissions from its merchant partners.
These partners include some of the biggest retailers and stores. These partners are more than 40,000.
When a member uses Honey to find available savings, honey receives a commission from the merchant.
The merchant who made the sale will pay a percentage of their revenue as a fee.
The commission will vary based on the deal that the merchant and Honey signed.
The commission fee will range from 0.5 to 10% but, in the luxury category, it can go all the way up to 20%.
According to the Honey website:
“Honey makes commissions from our merchant partners.
We earn these commissions when a member uses Honey to find available savings or to activate Honey Gold rewards.
We work with affiliates to help confirm your purchase, so we can get a commission from the merchant.
What makes Honey unique is that we pass some of our earnings back to our members in the form of Honey Gold, our free rewards program.
This is a win-win for our members and us and it’s what allows us to provide a free service (and without selling anyone’s data).”
Honey cooperates with 24 affiliate networks. Some of the biggest ones include:
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5 Key Features of Honey
1. Multiple Stores Partners
Honey partners with more than 40,000+ top brands.
These include top stores, retailers, restaurants, travel companies airlines, and so on.
These are merchant partners reward Honey when they shop for items.
The most interesting thing is that Honey adds new merchants as customers keep suggesting.
2. Honey Gold
Honey Gold is a free rewards program offered by this company.
It allows you to earn Gold towards store gift cards on every eligible purchase.
When you shop participating stores with the Honey browser extension, you can get a chance to earn Gold on your purchase.
Once you’ve earned enough Honey Gold, you can redeem it for an e-gift card on the Redemption Page from participating merchants!
When you have earned 1,000 Honey Gold (for USD redemption) or more, you can redeem it for an e-gift card on the Redemption Page.
You should know that Gold is rewarded on the subtotal of eligible items and does not include tax or any additional fees such as shipping.
If Honey Gold is offered on a shopping site, you’ll see it listed in the browser extension.
So, it is not offered in every store that has Honey support.
3. Honey Exclusive Offers
Honey provides users with opportunities to earn extra Honey Gold.
The platform provides exclusive offers on specific items.
If this is made available on the item you are shopping for, you will see the Honey pop-up while viewing the product page to notify you.
Each Exclusive Offer can only be redeemed once per recipient, per item.
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4. Honey Droplist
Droplist is a price-taking tool put in place by Honey.
If you are not ready to buy an item, you can add it to Droplist.
Honey will alert you when they detect a store that has dropped its price below the amount you choose.
The Droplist feature monitors the prices of items you choose for 30, 60, 90, or 120 days.
You will receive an email when there a price drop is detected on the item and amount you selected.
According to Honey “Keep in mind, Droplist is not available on every site – so, keep an eye out for that h button to save items.
Shipping, tax, handling, and any other additional costs are not factored into the price drop.”
5. Honey Referral Program
All you need to do is send the Honey Referal link to your family and friends.
You can share the link through your email or your social media account.
Once your referral signup to Honey using the link you sent and they make their first qualifying purchase, you can earn 500 Gold.
Once you collect 1,000 Gold through the referral, you can redeem them for a $10 gift card.
The above are details about Honey and how it makes money.
It is a web browser extension that users can use to save money while shopping.
Once you install this app on your browser, it will help you find stores where you can save money with coupon codes.
Honey makes its money mainly through the commission it receives from merchant partners where shoppers have bought items.