Around three years ago, PayPal announced its acquisition of Honey, a shopping platform that searches for coupons for users when shopping online. Today, it is introducing more functions for PayPal users through the PayPal Rewards Program.
While limited to U.S. users only, the program provides users with redeemable rewards when buying from participating retailers. With PayPal Rewards, PayPal integrates its cash-back savings, merchant offers, and products as one experience.
Greg Lisiewski, Vice President of Shopping and Global Pay Later, stated:
“With the financial challenges people face these days, brought on by rising prices and the need to tighten budgets, it can be frustrating to shop for everyday essentials or plan for the holidays. PayPal Rewards makes it easy to find sales, discounts, and great deals when making a purchase with PayPal – through cash back, discount codes, or other rewards.”
The program is a replacement for Honey Gold, introduced at the time of Honey’s acquisition by PayPal. The Rewards Program lets customers combine rewards earned via multiple PayPal platforms like the PayPal app, PayPal Honey browser extensions, and, as the company claims, on future card products. Secondly, it organizes the earned rewards in the PayPal app, letting users track and redeem the points. Customers can also earn rewards through personalized engagement on PayPal’s app, the browser extension, or reward-earning payment cards from PayPal. Lastly, there is no restriction on the number of points redeemed; PayPal offers $1 for 100 points. The cash earned through the cash-back option can be transferred to the user’s bank or PayPal savings account, donated to charity or sent to other users.
Here's a summary provided by PayPal about the program:
- One, Unified Rewards Program Across PayPal: Customers can combine rewards earned across multiple PayPal products and shopping experiences including PayPal Honey browser extensions and the PayPal app, and in the future, various card products.
- Designated Rewards Destination: Rewards will now be housed in a new part of the PayPal app, making it simple to track and redeem rewards earned across many PayPal products and shopping experiences.
- More Ways to Earn: Customers will be able to earn PayPal Rewards points in a variety of ways, including personalized engagement with the PayPal app, and using the PayPal Honey browser extension to find discounts. Points can be redeemed for cash back and other rewards. PayPal Rewards can provide even greater benefit when using a reward earning payment card to make purchases using PayPal.
- More Ways to Redeem: Customers will have the flexibility to redeem rewards points without category restrictions or amount minimums throughout the PayPal ecosystem, such as cash back or at PayPal checkout. Once redeemed for cash back into their PayPal balance, the funds can be transferred to their linked bank account, deposited into their PayPal Savings account3, donated to a charity, or sent using P2P
The PayPal Rewards Program is available for U.S. residents; users can choose to link an existing PayPal account or create a new one to benefit from the program.