So I’ve been seeing a lot of Honey ads and sponsorship as of late. I know this service aggregates online shopping coupons and lets its users use it for discounts while shopping.
But what does Honey (the company) get out of it? They are obviously spending a lot of money on ads and sponsorships. The service itself is free and from a quick look at their website, I don’t see any “premium” version of the service.
So it more or less boils down to DATA right? To be more specific they’re earning money from selling online shopping data right? What else did I miss? Have you guys tried the service? How was it?
They make their money by affiliation. When you buy something through Honey you get a percent off/back, but Honey also gets a percentage of the transaction from the retailer. So if you get 2% at a retailer, Honey may also get 2% as well. A lot of coupon/deal apps work using this model.
If you read Honey’s privacy policy they claim to not sell your data.
Alright, so commission. I should have dug more I guess. Have any of you guys tried the service yet? I tried it once on a throwaway email (you have to register an account to use it) I didn’t find a deal. I think this works best for online shops in the US
While I haven’t used Honey (my mother does), I use a similar service (Ebates) that seems to work well enough. A percentage here and there never hurts for stuff I was going to buy anyways.
ill just quote Wendel.
“If something is free, you’re the product”.
be it one or the other way, they ad a free product to you in hopes of earning money off you.
like gmail, they don’t read your emails for keywords? it’s free, you’re the product.
point being no one spends money on ads, or products, if they don’t expect to earn money on them.
