4.8 • 1000 Ratings
🗓️ 6 January 2025
⏱️ 28 minutes
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0:00.0 | Honey has now reportedly lost millions of users since accusations that it scammed both creators and consumers went mega viral a few weeks ago while the show was on hiatus. |
0:08.2 | Right, so if you don't know, Honey is a free browser extension owned by PayPal that automatically searches for coupon codes when you're shopping online and applies them to your card so you can save some cash. been popular for a long time. Tons of creators promoted it over the years. But then, boom, |
0:20.8 | we see this video get posted by a creator by the name of Megalag in December, alleging |
0:24.4 | that Honey was scamming creators by essentially hijacking their affiliate revenue. Because when |
0:28.3 | you click a link from a creator to buy a product, the creator is supposed to get a commission |
0:31.6 | off that, or at least get credit for referring you to the site, and the site knows how the customer wound up there in the first place. But in Megalag's video, he claimed that Honey took that money by putting in its own tracking link |
0:40.7 | at the last second to steal credit, even if it didn't offer a coupon. |
0:44.2 | And then on top of that, Megalag also alleged that Honey dupes consumers by not finding coupon codes |
0:48.2 | are not offering the best coupon code available. |
0:50.5 | Now, with that, at the time, PayPal tried to shut down those claims saying that it follows industry rules. But you had the allegations blowing up, creators talking about it left and |
0:58.1 | right, people like MKBHD, who had previously had videos sponsored by Honey now warning people |
1:02.4 | against it. But then all of that leading to massive YouTuber and lawyer, legal legal, kicking off |
1:06.7 | the year by announcing a class action lawsuit against PayPal, with him posting a video doubling |
1:11.3 | down on Megalag's claims and saying, I believe that Honey lied to consumers about what it offered. |
1:16.6 | And I believe that Honey lied to creators about what it was doing. And perhaps the worst part |
1:22.1 | about all of this is that Honey, now owned by PayPal, allegedly made creators the unwitting accomplices in stealing |
1:28.6 | from their own pocketbooks. |
1:30.2 | Think about how insidious this all was. |
1:32.4 | Honey spent tens of millions of dollars, maybe even hundreds of millions of dollars, sponsoring |
1:36.8 | some of the most beloved and successful creators on the planet. |
1:39.7 | Honey allegedly seeded those audiences with their extension. |
1:43.4 | And that extension probably stayed on their audience's browsers, |
... |
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