3. Analysts are calling for gains of more than 10 percent for a wide range of companies, from Apple to PayPal. Honey's hyper-personalization approach puts the buyer first in terms of selecting the products they want and finding the lowest possible price. 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ET Judging by its largest acquisition ever, PayPal believes it can capture. "PayPal shares that vision and together we can build powerful commerce capabilities that create real value for both consumers and retailers around the world. "Honey's vision has always been to give consumers the tools they need to make the best decisions with their money," said Ruan. Due to limited demographic information, these models can be used for early engagement based on the lifetime value. ContactsInvestor Relations ContactsGabrielle Rabinovitch[emailprotected], Media Relations ContactJosh Criscoe[emailprotected]646.667.5065, Cision Distribution 888-776-0942 Forward-Looking StatementsThis announcement contains "forward-looking" statements within the meaning of applicable securities laws. "We're thrilled to complete this transformative transaction and to welcome the Honey team to the PayPal family," said Dan Schulman, president and CEO of PayPal. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. This cookie, set by YouTube, registers a unique ID to store data on what videos from YouTube the user has seen. The Motley Fool owns shares of and recommends Apple, PayPal Holdings, and Square. Forward-looking statements may be identified by words such as "seek", "believe", "plan", "estimate", "anticipate", expect", "project, "forecast", or "intend", and statements that an event or result "may", "will", "should", "could", or "might" occur or be achieved and any other similar expressions. This website uses cookies to improve your experience while you navigate through the website. Honey also collects data from its users that might prove to be valuable to PayPal. Honey would like to identify and acquire new high-value users. Sign up to receive the latest news to your email. But opting out of some of these cookies may affect your browsing experience. Forward-looking statements and information relate to future events and future performance and reflect PayPal's expectations regarding the impact of this transaction on PayPal's and Honey's financial and operating results and business, the operation and management of Honey after the acquisition, and the timing of the closing of the acquisition. For more information, visit paypal.com. Great for questions about PayPal, transactions and problems! Environmental, Social and Governance (ESG), HVAC (Heating, Ventilation and Air-Conditioning), Machine Tools, Metalworking and Metallurgy, Aboriginal, First Nations & Native American. Honey, in combination with PayPal's two-sided network, will transform the shopping experience . jcriscoe@paypal.com Forward-looking statements may be identified by words such as "seek", "believe", "plan", "estimate", "anticipate", expect", "project, "forecast", or "intend", and statements that an event or result "may", "will", "should", "could", or "might" occur or be achieved and any other similar expressions. YSC cookie is set by Youtube and is used to track the views of embedded videos on Youtube pages. Hello, I recently found out that PayPal bought the Honey Science Corporation. . Matthew Cochrane owns shares of PayPal Holdings and Square. Honey currently works across approximately 30,000 online retailers ranging from fashion and technology, to travel and pizza delivery. Try contacting PayPal support using social media such as Facebook or Twitter as this works more often than telephoning. Press question mark to learn the rest of the keyboard shortcuts. 408.221.1984. We'll assume you're ok with this, but you can opt-out if you wish. Honey has continued to grow and evolve, expanding its suite of products and services to include a mobile shopping assistant, offers and rewards program, and price-tracking tools and alerts. For more information, visit paypal.com. To build this platform, the company raised a relatively small amount of venture capital:$49 million. More Resources. Calif. Analysts expect companies in the S&P 500 to report a jump in earnings for the first three months of the year. This announcement contains "forward-looking" statements within the meaning of applicable securities laws. Long before Honey was purchased by PayPal for $4 billion dollars, we reached out to Ryan, the founder, on Linkedin to see if they could use our service. A live webcast of the conference call, together with a slide presentation, can be accessed through the company's investor relations website at https://investor.paypal-corp.com. Honey Co-founders George Ruan and Ryan Hudson will continue to lead the Honey team as part of PayPal's global consumer product and technology organization, reporting to Senior Vice President John Kunze. My exposure was always to the partnership side of their business and having those professionals who were able to build relationships and work with brands and retailers is what made them successful, helped grow their business and will continue to drive the product forward., Honey is proving the next generation of customer loyalty, building a deep and long-term consumer relationship. PayPal.com To learn more and join Honey, visit www.joinhoney.com/paypal. The Motley Fool recommends eBay and recommends the following options: long January 2021 $18 calls on eBay, short January 2020 $70 puts on Square, short January 2020 $39 calls on eBay, and short January 2020 $97 calls on PayPal Holdings. If frictionless payments become commoditized, essentially available from nearly every merchant and financial platform, then a large part of PayPal's value proposition to consumers and merchants simply disappears. By leveraging technology to make financial services and commerce more convenient, affordable, and secure, the PayPal platform is empowering 300 million consumers and merchants in more than 200 markets to join and thrive in the global economy. More unfamiliar is Honey's mobile app, which launched earlier this year. While it paid a high price for Honey Science, the potential created from the two entities' synergies is clear and feasible. This can then be expanded to other stages with similar patterns of usage. PayPal Honey is a browser extension that automatically finds and applies coupon codes at checkout with a single click. The acquisition supports PayPal and Honey's shared mission to simplify and personalize shopping experiences for consumers while driving conversion and increasing consumer engagement and sales for merchants. Honey Science Corporation. Making the world smarter, happier, and richer. 3 5 Related Topics PayPal Financial services Financial sector Business Business, Economics, and Finance 5 comments Best Add a Comment About PayPalPayPal has remained at the forefront of the digital payment revolution for more than 20 years. With approximately 17 million monthly active users, Honey has helped millions of people find more than $1 billion in savings in the past year. Forward-looking statements and information relate to future events and future performance and reflect PayPal's expectations regarding the impact of this transaction on PayPal's and Honey's financial and operating results and business, the operation and management of Honey after the acquisition, and the timing of the closing of the acquisition. At PayPal, we promise to treat your data with respect and will not share your information with any third-party. LinkedIn sets this cookie to store performed actions on the website. This transaction will . November 21, 2019, 5:41 AM PayPal Holdings, Inc. PYPL has acquired Honey Science Corp. for a hefty amount of about $4 billion in a bid to expand beyond the core payments business. Deliver digital experiences that drives competitive advantage. If you experience any issues with this process, please contact us for further assistance. What started as a browser extension has grown into a suite of free tools that help everyone shop with confidence. These cookies will be stored in your browser only with your consent. "The combination of Honey's complementary consumer products with our platform will significantly enhance our ability to drive engagement and play a more meaningful role in the daily lives of our consumers. Please note that with the current CoVid-19 crisis that support is very limited at PayPal. . Image source: PayPal Holdings. Honey Co-founders George Ruan and Ryan Hudson will continue to lead the Honey team as part of PayPal's global consumer product and technology organization, reporting to Senior Vice President John Kunze. Honeys vision has always been to give consumers the tools they need to make the best decisions with their money, said Ruan. Sign up to receive the latest news to your email. Global Business and Financial News, Stock Quotes, and Market Data and Analysis. The company does not sell users' data and does not track search engine or browser history or email usage on sites that are not retail-related. Visit www.joinhoney.com to shop smarter. This week PayPal announced that it paid $4 billion for Honey Science, a startup that was launched in 2012. Many shoppers are familiar with Honey's browser extension, which was launched when the company was founded. Forward-Looking StatementsThis announcement contains "forward-looking" statements within the meaning of applicable securities laws. PayPal expressly disclaims any obligation or undertaking to disseminate any updates or revisions to any forward-looking statements contained herein to reflect any change in the expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based. SAN JOSE, Calif., Nov. 20, 2019 /PRNewswire/ -- PayPal Holdings, Inc. (NASDAQ: PYPL) today announced that it has agreed to acquire Honey Science Corporation, a rapidly-growing technology platform for shopping and rewards, for approximately $4 billion. By accepting all cookies, you agree to our use of cookies to deliver and maintain our services and site, improve the quality of Reddit, personalize Reddit content and advertising, and measure the effectiveness of advertising. Forward-looking statements may be identified by words such as "seek", "believe", "plan", "estimate", "anticipate", expect", "project, "forecast", or "intend", and statements that an event or result "may", "will", "should", "could", or "might" occur or be achieved and any other similar expressions. Honey Science Corporation provides Honey, an online service that automatically finds coupon codes for the website users are shopping at and apply them to their order when they check out, saving money and coupon searching time. Visit. The forward-looking statements contained in this announcement speak only as of the date hereof. This transaction will transform the shopping experience for PayPal's consumers while increasing sales and customer engagement for its merchants. PayPal's management has proven to be adept at deal-making in the past. Technology companies will be under scrutiny because thats where expectations for revenue growth are close to the highest. ", "Combining PayPal's assets and reach with our technology, we can build powerful new online shopping experiences for consumers and merchants," said Hudson. For more information, visit paypal.com. YouTube sets this cookie to store the video preferences of the user using embedded YouTube video. Top 5 Legal Mistakes For Startupsand How To Avoid Them, Four Tips For Succeeding With Influencer Marketing, Why Agritech Should Be Where Your Business Is At. Venmo.com Honey charges retailers between 0.5%to 10% of the sales using the coupons the app found. The company sports 17 million monthly active users and works across 30,000 participating merchants' websites. Forward-looking statements involve risks and uncertainties which may cause actual results to differ materially from the statements made, and, accordingly, readers should not place undue reliance on forward-looking statements and information. Following the acquisition, Honey will retain its headquarters and brand in Los Angeles, California. 2. Qatalyst Partners is acting as sole financial adviser to Honey, while Latham & Watkins, LLP is acting as its legal adviser. inkedIn sets the lidc cookie to facilitate data center selection. ET, 1 Stunning Metric That Makes PayPal Stock a Screaming Buy, Nasdaq Bear Market: 3 Exceptional Growth Stocks Down More Than 60% to Buy Before They Start Soaring. The combination will help accelerate growth across both companies. Similarly, PayPal applies a fix-fee and percentage-fee paid by the vendor for each financial transaction facilitated. Despite the initial onboarding friction of installing a browser plug-in, Honey fulfills its promise of decreasing the time and energy needed to find online deals. Tom (@ttaulli) is the author of the book,Artificial Intelligence Basics: A Non-Technical Introduction. By leveraging technology to make financial services and commerce more convenient, affordable, and secure, the PayPal platform is empowering 300 million consumers and merchants in more than 200 markets to join and thrive in the global economy. Honey adopts a future-forward model of automation and analytics. Forward-looking statements and information relate to future events and future performance and reflect PayPal's expectations regarding the impact of this transaction on PayPal's and Honey's financial and operating results and business, the operation and management of Honey after the acquisition, and the timing of the closing of the acquisition. Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features. PayPal was once a part of Amazon competitor eBay, and Amazon does not accept PayPal as an option in check-out. Forward-Looking Statements which answers most questions. [7] [8] [9] Nearly immediately after PayPal acquired Honey, Amazon claimed to its users that the extension was a security risk that sold personal information. Before checking out, Honey checks the retailer for any coupons or promo codes and applies them to the sale. (excluding tax or any additional fees, such as shipping), in order to determine the amount of Gold points you may earn for that order. The company develops toolsincluding a Chrome browser add-onthat make it easier for. Honey was founded in 2012 and headquartered in Los Angeles. First of all, it should be noted that as privacy and security processes go in today's digital age, Honey's policies appear to be better than most. acoffee@paypal.com And the most fastidious buyers have been conditioned to look for Honey's Best Deal indicator before making their purchases. SAN JOSE, Calif., Jan. 6, 2020 /PRNewswire/ -- PayPal Holdings, Inc. (NASDAQ: PYPL) announced today that it has completed its acquisition of Honey Science Corporation for approximately $4 billion in cash. grabinovitch@paypal.com, Media Relations Contact PayPal was once a part of Amazon competitor eBay, and Amazon does not accept PayPal as an option in check-out. And lastly, to do that, they built a great team. On average, Honey's users save $126 per year due to its platform, or about 17.9% per purchase. Intermediaries for a Win-Win transaction PayPal cannot earn the transactional fee if the buyer does not complete a purchase. In addition, an archive of the webcast will be accessible for 90 days through the same link. You can sign up for additional alert options at any time. Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. They can then weed out the less active users afterward. Installed by Google Analytics, _gid cookie stores information on how visitors use a website, while also creating an analytics report of the website's performance. To see, I reached out to some veterans in the tech industry: Virgil Wong, the Global Practice Head and VP of Digital Experience/Creative at HGS Digital: Honey hits the sweet spot with data and hyper-personalization. As a partner of choice for our merchants, this is another way that we can help them build and strengthen their customer relationships, provide personalized offers, and drive incremental sales. PayPal CEO: Consumer spend is still strong and we are not seeing a recession, During the height of the holiday shopping season, Amazon warned some users that the browser extension Honey could be a "security risk.". I am a bot, and this action was performed automatically. *Average returns of all recommendations since inception. Forward-looking statements and information relate to future events and future performance and reflect PayPal's expectations regarding the impact of this transaction on PayPal's and Honey's financial and operating results and business, the operation and management of Honey after the acquisition, and the timing of the closing of the acquisition. PayPal has remained at the forefront of the digital payment revolution for more than 20 years. Many payment companies are looking to move beyond the checkout by providing value-added services to consumers and merchants in order to avoid a race to the bottom.. Heads-up new paypal scam - Fake Invoice + email. Drives increased sales and conversion for PayPal's merchants SAN JOSE, Calif., Nov. 20, 2019 / PRNewswire / -- PayPal Holdings, Inc. (NASDAQ: PYPL) today announced that it has agreed to acquire Honey Science Corporation, a rapidly-growing technology platform for shopping and rewards, for approximately $4 billion. Visit www.joinhoney.comto shop smarter. Gabrielle Rabinovitch Bots perform the massive computational tasks that are requiredand present the subsequent actions or data to humans for more subjective decision-making.. During the height of the holiday shopping season, the e-commerce giant warned some users that the browser extension could be a "security issue. "We're thrilled to complete this transformative transaction and to welcome the Honey team to the PayPal family," said Dan Schulman, president and CEO of PayPal. Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. Necessary cookies are absolutely essential for the website to function properly. This cookie is installed by Google Analytics. You also have the option to opt-out of these cookies. I recently got charge a $17 charge I was wondering if anyone knew why and if it'll be reoccurring. Customers who have buried themselves in pages of Google search results in the past looking for working promo codes can now instantly identify and apply them using Honey. The combination of Honey and PayPal adds another significant and meaningful dimension to our two-sided platform.". ", "We only use data in ways that directly benefit Honey members helping people save money and time and in ways they would expect. About HoneyHoney Science Corporation is an L.A.-based tech company building tools to help people save time and money when shopping online. Honey Co-founders George Ruan and Ryan Hudson will continue to lead the Honey team as part of PayPal's global consumer product and technology organization, reporting to Senior Vice President John Kunze. Visit www.joinhoney.com to shop smarter. Amid ad delivery issues, market saturation, etc., cost per user acquisition tends to fluctuate on the independent channel level. It provides a broad portfolio of services to simplify the consumer shopping experience, while at the same time making it more affordable and rewarding, said Dan Schulman, president and CEO of PayPal. After all, SaaS companies need extremely healthy gross margins to flourish. Josh Criscoe The _ga cookie, installed by Google Analytics, calculates visitor, session and campaign data and also keeps track of site usage for the site's analytics report. Down 63.5% in This Bear Market, Can PayPal Recover in 2023? From notifying you when a price drops, to showing you the lowest prices available, Honey provides you with the information that you need to make the best decisions with your money. SAN JOSE, Calif., Jan. 6, 2020 /PRNewswire/ -- PayPal Holdings, Inc. (NASDAQ: PYPL) announced today that it has completed its acquisition of Honey Science Corporation for approximately $4. Amazon has a beef with the start-up PayPal recently acquired, Honey. That adds a tremendous amount of relevance to consumers." I recently got charge a $17 charge I was wondering if anyone knew why and if it'll be reoccurring. 646.667.5065. usually within minutes, free-of-charge using PayPal's in-app cash-a-check feature. Subject to customary closing conditions, including the receipt of regulatory approvals, the transaction is expected to close in the first quarter of 2020. What started as a browser extension has grown into a suite of free tools that help everyone shop with confidence. Cost basis and return based on previous market day close. This week PayPal announced that it paid $4 billion for Honey Science, a startup that was launched in 2012. The forward-looking statements contained in this announcement speak only as of the date hereof. More information about these and other factors that could adversely affect PayPals results of operations, financial condition and prospects or that could cause actual results to differ materially from those expressed or implied in forward-looking statements can be found in PayPal Holdings, Inc.'s most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and other filings with the Securities and Exchange Commission (the "SEC"), and its future filings with the SEC. So how did Honey create such a strong platform? FILE - This March 10, 2015, file photo, shows signage outside PayPal's headquarters in San Jose, [+] Calif. Analysts expect companies in the S&P 500 to report a jump in earnings for the first three months of the year. "The addition of Honey to our platform enables a significant step forward in our commitment to provide powerful services and tools for merchants and consumers, move beyond our core checkout proposition and significantly enhance the shopping experience for our 300 million consumers and merchants.". For more information, visit paypal.com. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. They charged me 75$!! Sign up to receive the latest news to your email. Honey was profitable on a net income basis in 2018. Honey will enable PayPal to reach consumers at the beginning of their shopping journeys and will enhance PayPals ability to help merchants acquire and convert consumers by delivering offers that are personalized, timely, and optimized across channels. Perella Weinberg Partners LP is acting as sole financial adviser to PayPal, and Skadden, Arps, Slate, Meagher & Flom LLP is acting as its legal adviser with regard to the transaction. Honey is amongst the most transformative acquisitions in PayPals history. They can select the products they want on Amazon, Macy's, Target, Walmart, J. Punch worked with Honey for over 2 years until we helped transition them to their own in-house team and were being audited by Ernst & Young. What started as a browser extension has grown into a suite of free tools that help everyone shop with confidence. On the conference call, management noted that Honey's users were "predominantly" U.S. based, 70% were millennials, and 79% were females. The cookie indicates an active session and is not used for tracking. PayPal Holdings, Inc. Acquired Party. To learn more and join Honey, visit www.joinhoney.com/paypal. Our commitment is clearly spelled out in our privacy and security policy. Investor Relations Contacts SpringML partnered with Honey on exploring how data science and machine learning could be leveraged to improve its marketing efforts by understanding its customers and providing additional value to vendors and loyal users.