Late last year, a revealing video exposed questionable affiliate tactics utilized by PayPal’s coupon Chrome extension, Honey, and quickly gained widespread attention.
The 23-minute video received over 17 million views, prompting legal action against PayPal from prominent content creators.
In response to the findings about Honey, significant changes have been made to Google’s Chrome extension policies regarding affiliate advertising and marketing practices.
Understanding Honey
Honey is a Chrome extension that notifies users about available coupon codes while shopping online. In exchange for providing these discount codes, Honey activates PayPal’s affiliate link, allowing the company to earn a commission on each purchase made through that link.
Discussion on alleged Honey ‘scam’
However, many users of the Honey extension were largely unaware of its inner workings. The video also revealed that Honey would insert its affiliate link even if it failed to find any active coupon codes, and replace an existing link without user consent, effectively claiming credit for sales that weren’t originally through them.
The backlash from Honey users over these affiliate tactics revealed a broader impact on content creators. Often, YouTubers and influencers recommend products through personal affiliate links, which provide essential revenue. Honey’s practices were seen as undermining these creators by diverting potential earnings.
New Policies from Google Chrome
The controversy surrounding Honey prompted Google to implement updated affiliate advertising policies for Chrome extensions.
According to the revised policy, “Affiliate links, codes, or cookies must only be included when the extension provides a direct and transparent user benefit related to the extension’s core functionality.” The guidelines explicitly prohibit adding affiliate links without user interaction and without offering a clear benefit.
Google provided examples of violations, stating that it is unacceptable to insert an affiliate link in the absence of a coupon or discount. Furthermore, the policy mandates that a user must actively initiate any action that results in the injection of an affiliate code.
To clarify, the policy requires that users be notified when an extension replaces an existing affiliate link. Any extension that alters a link without the user’s awareness is in violation of these new guidelines.
This updated policy seems to directly target Honey’s affiliate practices while still allowing legitimate coupon and cashback extensions to provide value to users.