The Honey Trap: How PayPal’s Honey Extension Became the Biggest Influencer Scam of All Time

If you’ve spent any time on YouTube, you’ve likely heard of Honey, the browser extension that promises to save you money by automatically applying coupon codes at checkout. Promoted by countless influencers, Honey has become a household name. But what if I told you that Honey isn’t just a money-saving tool—it’s one of the biggest influencer scams of all time? This article dives deep into the Honey Trap, exposing how PayPal’s $4 billion acquisition has been stealing from both consumers and content creators.

The Megalag Honey Exposé: How It All Began

The story of Honey’s deception first came to light through an investigation by Megalag Honey, a pseudonymous whistleblower who uncovered the shady practices behind the extension. Megalag’s findings revealed that Honey wasn’t just saving users money—it was actively stealing affiliate commissions from the very influencers who promoted it.

As Megalag Honey put it:
“Honey is a scam. It’s not just stealing from consumers—it’s stealing from the influencers who trusted it.”

This exposé sparked a wave of scrutiny, revealing a web of advertising fraudaffiliate fraud, and data manipulation that has cost content creators millions of dollars.

How Honey Steals Affiliate Commissions

At the heart of the scam is Honey’s manipulation of affiliate marketing. Here’s how it works:

  1. Affiliate Links: Influencers like Linus Tech Tips share affiliate links, earning a commission when users make a purchase.
  2. Honey’s Interference: When a user clicks an affiliate link and reaches the checkout page, Honey pops up, claiming to find coupon codes.
  3. Cookie Override: Behind the scenes, Honey replaces the influencer’s affiliate cookie with its own, stealing the commission.

This practice, known as last-click attribution fraud, ensures that Honey pockets the commission, even if it provides no value to the consumer.

The Three Scenarios of Honey’s Scam

Megalag Honey identified three primary ways Honey scams users and creators:

  1. Coupon Code Override: Honey replaces affiliate cookies even when no valid coupon codes are found.
  2. Honey Gold (PayPal Rewards): Honey offers users a fraction of the stolen commission as “cashback,” while keeping the majority for itself.
  3. Forced PayPal Checkout: Honey prompts users to checkout with PayPal, even when the option is already available, ensuring it claims the sale.

In one test, Megalag Honey found that Honey stole a $35 commission and rewarded the user with just 89 cents in cashback.

The Lies Behind Honey’s Marketing

Honey’s marketing claims are equally deceptive. The extension promises to find every working coupon code and apply the best deal to your cart. However, investigations revealed that Honey intentionally withholds higher-value codes to benefit its partner stores.

As one Honey employee admitted in a podcast:
“Honey allows businesses to control which discount codes are shared with consumers. It’s about converting customers, not saving them money.”

This double-dealing undermines Honey’s core promise, leaving consumers with subpar discounts while padding PayPal’s profits.

The Impact on Influencers and Consumers

The Honey scam has far-reaching consequences:

  • Influencers: Content creators who rely on affiliate commissions have lost millions to Honey’s practices. Even tech-savvy channels like Linus Tech Tips were unaware of the scam for years.
  • Consumers: Users are misled into believing they’re getting the best deals, while Honey manipulates their purchases for profit.
  • Small Businesses: Stores partnering with Honey are pressured to control discount codes, often at the expense of customer satisfaction.

Conclusion: The Bitter Truth About Honey

The Honey Trap is a stark reminder that if a product is free, you’re likely the product. PayPal’s Honey extension has betrayed the trust of both consumers and influencers, prioritizing profit over transparency.

As Megalag Honey’s investigation shows, the digital landscape is rife with scams that exploit unsuspecting users. It’s up to us to stay informed and hold companies accountable for their actions.

Have you been affected by Honey’s deceptive practices? Share your story in the comments below or reach out to us at contact@tiktokrefugees.website. Let’s spread awareness and demand accountability from companies like PayPal.

References

  1. Megalag Honey’s Investigation
  2. PayPal’s Acquisition of Honey
  3. Linus Tech Tips on Honey Scam

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