Honey made an estimated revenue of around $100M in 2018, and it was acquired by PayPal for around $4B in 2019.
The surprising thing is that the Honey App doesn’t sell anything by the company itself!
How does the Honey App make money?
This is a very great question that you have asked!
Because, if you understand the Honey App (JoinHoney.com) business model, you might open a wide opportunity for yourself in order to make money online without selling any product or service by yourself.
And you are in the right place to find the answer!
In five minutes only, I will help you understand the business model of the Honey app easily, and I will let you know if you can take advantage and make money with the same method and where to get started with it.
So, without further ado, let’s begin!
How Does The Honey App Make Money?
The Honey App makes money by referring potential customers to marketplaces and brands that offer coupon deals, in exchange of a commission on every paying customer that Honey brings to them.
And this commission is called an affiliate commission, and the whole business model of the Honey App and browser extension (JoinHoney.com) is called affiliate marketing.
And this is a 100% legitimate business model my favorite one for making money online, especially that the affiliate, like Honey, doesn’t need to create or sell any product, ship anything, provide customer support, …etc.
The affiliate is just a middleman that connects customers to sellers like Amazon, Nike, Target, and others, through good deals and discounted offers, and gets a commission on doing that.
To take an example on how this model works, let’s say that a user uses Honey to look for a coupon to buy stuff from Kohl’s website, they would find some deals like the ones in this screenshot.
And if they click the “Get Deal” button, they would be redirected to Koh’ls website through a unique link (affiliate link), which helps the original merchant, Kohl’s, recognize that this person has come to them from the Honey App.
And if that person ends up buying anything from that merchant’s site, the merchant will give Honey credit for that sale in the form of a commission, which is usually a percentage of the order value, anywhere from 2%-10% or more.
And with the same way, people would use Honey to find deals from different online stores in order to buy all sorts of products.
And since tens of thousands of people use the Honey app to find deals everyday, then expect Honey to make thousands of affiliate commissions everyday.
And this, my friend, is how Honey makes money online without selling anything, and how they generated around $100M in revenue in one year with their business model.
And here’s a question that you might have:
How does Honey convince their users to click on affiliate links before buying anything from the original stores?
The answer is simple.
Honey brings to its users discount coupons that are difficult to find elsewhere, which makes the users click on Honey’s links in order to get these deals instead of paying the full original prices.
And this is a great business model of making money online that many other coupon sites utilize, such as Brad’s Deals that makes money this way.
And now to the most important question:
Can You Generate Money with The Honey App Business Model?
Sure, you can.
Almost anyone with a laptop and an internet connection can make money with the business model of the Honey app, like I personally do.
Affiliate marketing is a popular business model because it’s a beginner-friendly model, and the one that doesn’t require a big investment in order to get started with.
And what’s better, is that you can use this method to make money online in almost any industry or niche that you choose.
You don’t have to do like JoinHoney.com and promote all sorts of products in every industry.
It is easier when you choose a specific niche or category of products to work with.
You can choose a niche based on something you like, or something you are interested.
For example, your niche could be related to a:
- Hobby.
- Certain sport.
- Passion or cause.
- Skill or a profession.
- …etc.
And you can promote different kinds of products as an affiliate and make commissions like Honey app does.
These could either tangible products, or digital products like: ebooks, online courses, software tools, …etc.
I personally have many affiliate businesses in different niches such as: entertainment, basketball, software tools, ecommerce, and more.
For example, I have an affiliate business related to basketball where I promote to my readers a video training program that teaches players how to increase their vertical jump in order to dunk, and I get a commission everytime someone joins the paid program through my website.
And you too can start your own affiliate business and potentially make money like the Honey app in almost any niche that you choose.
The nice thing about this model of JoinHoney.com is that you can get started without a prior experience or technical knowledge, and at a very affordable cost, thanks to the resources in the following sections below.
Can You Make Money with The Honey App itself?
Yes, you can make money with the Honey app with the same model they themselves follow, affiliate marketing.
Here, you need to join Honey’s referral program, and they would give you a unique link that you can use to invite people to use the Honey App, and they would give you a small commission on every new user you bring to them.
But the commission you get on this is a bit low ($5), and there’s a limit-cap on how much you can make with the Honey App as an affiliate, which is around $1,000.
3 Easy Steps to Start Your Own Mini-JoinHoney.com Site TODAY
To start a website that makes you money like JoinHoney.com, there are three steps you need to follow:
1 – Select a Niche to Work on
Choosing a specific niche or audience is an important step to succeed in any business, online or offline.
And affiliate marketing is no different.
The reason for that is that picking a niche helps you focus your efforts and understand your audience much better, so that you finally promote to them what they really need, and convince them take the recommendations you made through your links and make you money.
This is much easier than promoting everything under the sun like the Honey app does, especially when getting started.
You better choose a niche that you like or you are interested in, so that you can work on it without getting bored, such as:
- An art that you know or practice, such as: painting. drawing, playing violin, …etc.
- A passion or a cause that you care about, such as: meditation, reiki, dieting, weight loss, cooking, …etc.
- A hobby you have, such as: trekking, camping, doing magic tricks, …etc.
- A sport that you like or play, such as: football, baseball, swimming, bicycling, …etc.
- A profession or skill that you are good at, such as: marketing, DIY woodworking, graphic design, …etc.
Almost anything you can think of.
Just to pick an example, let’s say that you want to work on the coffee machines niche, which is one of many categories of products available on the Honey App.
2 – Start a Simple Affiliate Site Like JoinHoney.com
This doesn’t require any experience or technical knowledge anymore.
With the available tools and services, you can start an affiliate site in the matter of few minutes.
The important thing to understand is that you need a website in order to place the offers you found, and to bring your target audience and show them these offers and get them click on your links to buy them so that you get a commission like the Honey app does.
3 – Help Your Audience Like Honey App Does
The Honey App doesn’t just tell people to click on affiliate links and buy stuff in order to make money.
The Honey App helps its users by getting the products they want at the best possible prices instead of paying the full price.
That’s why people use the Honey chrome extension and phone app to look for deals before buying what they want.
And you need to help your target audience in the same way Honey does, by finding the best deals on the products they need to solve their problems or improve their lives.
And you don’t necessarily need to bring discount coupons like Honey does, that’s just an option.
Sometimes, helping people means assisting them in choosing the right product or service from a wide range of available options, as having many options might get some people confused and not know what to choose.
Sticking to our example of coffee machines, your target audience might ask on Google stuff like:
- Best coffee machine for home
- Best coffee machine with grinder
- Best coffee machine bean to cup
- Best coffee machine for latte
- Best coffee machine under 1000
And so on.
Your role here, is to research and find answers for each one of these searches.
And then, you would write a list-based article where you list the top 5-10 options available, and where people can buy them for the best price.
And beside each option, you would link to the online store, like Amazon, where people can buy that option, buy you would link through an affiliate link so that you get a commission if someone purchased what you recommended to them.
Exactly like in this example site that promotes the best coffee machines with grinders, using the same business model of the Honey app.
And the more people come to your affiliate site and find your content to be helpful in making decisions and knowing what to purchase, the more money you can potentially make as an affiliate.
These are the three easy steps that you need to follow in order to build a business that makes money like the Honey app does.
Looking for a Step-by-Step Guide to Start a Business Like The Honey App?
Although the affiliate marketing model of the Honey App is a beginner-friendly one that is easy to get started with, but there’s lots of misinformation about it, due to the outdated info all over the web.
And this might cause you waste time and money trying to figure out things on your own.
That’s why I recommend that you follow a step-by-step plan that is proven to work, and learn from the best in this industry.
And I know where to go, which is the same place I personally went to learn and start my successful affiliate marketing businesses.
This place is a great online platform and community that is called Wealthy Affiliate.
This place provides you with all of what you need to start and build a successful affiliate business, such as:
- A step-by-step affiliate marketing plan.
- A detailed training program that explains every step.
- An easy-to-use website builder with a great web hosting service and support.
- Research tools for finding opportunities for making money as an affiliate like JoinHoney.com does.
- And the most amazing and supportive online community of more than 2 million like-minded entrepreneurs who are willing to help you whenever you ask.
And you get all of that for an affordable monthly fee that gives you everything without any upsells or hidden costs.
Not sure yet?
Here’s the deal:
This recommended platform gives you a 100% FREE Starter plan to try it before investing any money in the premium membership.
And this plan gives you access to the first level of the training (10 lessons), which explains the whole business model in details.
That’s where you need to go if you really want to build a successful business following the business model of the Honey App.
You can Check out this review of Wealthy Affiliate in order to learn more about this platform and see how you can get started with the FREE Starter plan first.
Conclusion
That’s it.
This is how the Honey App makes money online without selling anything, and that’s how you can use the same business model of GetHoney.com in order to make money online like it does, even if you don’t have a prior experience and don’t have a big budget, thanks to the platform mentioned in the previous section.
If you still have any questions regarding anything I mentioned in this guide, please, let me know in the comments’ section below, and I will do my best to come back to you asap 🙂