After announcing their acquisition, PayPal completed its acquisition of Honey on January 6th. Honey, a platform that helps consumers save money on e-commerce transactions, gives PayPal the opportunity to target consumers at the beginning of their shopping journey.
As experts in commercial due diligence in the FinTech space, we think this is an interesting acquisition that opens new avenues for PayPal’s expansion. Honey’s suite of services allows PayPal to add product discovery and loyalty services to their existing portfolio. PayPal merchants also gain the ability to create customised offers for consumers based on demand, driving engagement and increased sales and conversions. Judging from the $4 billion PayPal spent on this acquisition – an almost 6-fold increase on Honey’s previous valuation – it’s evident that PayPal has big expectations from their new partner.