In a medium saucepan, add the cranberries, orange zest, orange juice and water.
Cover with a lid, and heat over medium to medium high heat for about 10 minutes.
Lift off the lid, and use a wooden spoon to stir the cranberries, they should be sauce at this point
Add in the honey to taste and desired sweetness level.
Add the vanilla and stir.
Allow to cool to room temp. Serve at room temp or if not using, put in an airtight container and keep in the fridge.