Milk is a new app that allows users to save money on groceries without clipping paper coupons. The app is from the makers of the coupon-code site, Honey, and it scours ads from grocery stores to present the deals you’re looking for in one location.
There are a number of coupon apps already available. Ibotta, SavingStar, Checkout 51, Shopmium and Groupon Snap all provide services that save money at the store. Nevertheless, there are a couple features which make Milk stand out from other apps.
Most current coupon apps work more like a rebate than a coupon. You check out as normal, scan a code or a picture of the receipt into your phone, and then the app will reward you based on the ads that were running for the week. Milk acts more like a traditional coupon, where you “clip” ads to your store loyalty card to save at the checkout.
“Each year, 315 billion coupons worth well over $400 billion dollars are distributed. But only a tiny fraction is redeemed–0.8%–and usage is dropping,” Honey co-founder George Ruan told TechCrunch. He and his partners are aiming to use Milk to improve those numbers for consumers.
There are two downsides to Milk. The app uses loyalty cards for the foundation of its coupon program. Many stores have done away with store loyalty cards in favor of other digital coupons. This may limit where people can shop with the app.
The company also plans to charge a monthly fee for Milk. Even though Ruan says the average beta tester saved $27 a month with the app, people who coupon may not want to pay money each month. They are out to save money, not spend it.
Currently, Milk is free to download for iOS and will soon be available for Android.