Honey’s deal-hunting browser extension is accused of ripping off customers and YouTubers

The PayPal Honey browser extension is, in theory, a handy way to find better deals on products while shopping online. But in a video posted this weekendYouTuber MegaLag claims that the extension is a “scam” and that Honey has been “stealing money from influencers, including those who have paid to promote their product.”

Honey works by popping up an offer to find coupon codes for you while you’re checking out at an online store. But as MegaLag notes, it often fails to find a code, or offers a Honey brand, although a simple search on the Internet will cover something better. U Honey’s website is that “find every promotional code that works on the internet”. But according to the MegaLag video, ignoring better offers is a characteristic of Honey’s partnerships with its retail clients.

MegaLag also claims that Honey will divert affiliate revenue from influencers. According to MegaLag, if you click on an affiliate link from an influencer, Honey will trade in its own tracking link when you interact with its pop-up deal at checkout. It’s regardless of whether Honey found you a coupon or not, and this results in Honey getting the credit for the sale, instead of the YouTuber or website whose link brought you there.

Paypal VP of corporate communications Josh Criscoe said in an email to The Virgin that “Honey follows industry rules and practices, including last click attribution.”

MegaLag is not the first to make such statements. A Post Twitter 2021 advises to use the Honey discount codes in a different browser to avoid taking the affiliate credit. An employee of Linus Media Group also explained in a response to the 2022 forum that Linus Tech Tips dropped Honey as a sponsor on their affiliate link practices.

Honey’s convention resulted in the extension being widely recommended, including in nearly 5,000 Honey-sponsored videos on about 1,000 YouTube channels, according to MegaLag. We also recommend here at The Virgin; now we don’t.

Here is Criscoe’s full statement:

Honey is free to use and provides millions of shoppers with additional savings on their purchases whenever possible. Honey helps merchants reduce cart abandonment and comparison shopping while increasing sales conversion.