Stockholm-based Klarna, a “Buy Now, Pay Later” fintech company, announced on Wednesday its strong growth throughout Europe.
In Q2, the company reported up to 14 per cent YoY increase in Gross Merchandise Volume (GMV), surpassing the 1 per cent growth witnessed in the e-commerce sector during the same period.
Since 2020, Klarna has launched in 11 European markets, most recently in Romania and the Czech Republic.
The Swedish company amassed 100M European consumers and has partnered with over 470,000 merchants with recent new multi-market deals including TIER, MandMDirect, and Deichmann.
A recent Klarna survey revealed that 74 per cent of European customers use Klarna at least once a month with trust coming out as the top reason why they choose to shop with Klarna, followed by ease of payment.
“It’s fantastic to see this sustained, phenomenal growth across Europe, with GMV up 14 per cent in the region. While other, smaller players dial back their commitment or leave the region altogether, we’re doubling down, further strengthening our position in Europe, as well as the US,” says Sebastian Siemiatkowski, CEO of Klarna.
Klarna: Pioneering BNPL
Founded by Niklas Adalberth, Sebastian Siemiatkowski, and Victor Jacobsson in 2005, Klarna is an eCommerce payment solutions platform for merchants and shoppers.
Best known for its Buy Now Pay Later products, Klarna’s instant debit option, Pay Now, has been rolled out across all European markets and accounts for around a third of all transactions.
It means consumers now have the choice to pay in full immediately or pay over time – all without interest.
It is seamlessly integrated into the checkout process when customers select Klarna as their payment method at participating retailers.
Moreover, Klarna’s mobile app features AI-powered product recommendation engine integration.
It will assist customers in discovering and purchasing items that best match their interests and needs. The product feed dynamically updates in real-time, showcasing a range of products and deals.
Klarna also offers additional growth tools for retailers, including Klarna’s creator platform, a match-maker for creators and retailers to scale and optimise campaigns.
Influencers such as Lydia Tomlinson, Lovisa Barkman and NISI are already signed up as Klarna Creators, and a multitude of brands are seeing triple-digit revenue growth following campaigns.
