Klarna — Flexible Payments, Smarter Shopping

Klarna is a checkout and shopping platform that lets customers choose how to pay—now, later, or over time—while helping merchants lift conversion and reduce risk. At its core is “buy now, pay later” (BNPL): short-term, interest-free installments or pay-after-delivery options with instant, transaction-level approval. Around that, Klarna wraps a consumer app for discovery, price tracking, order management, and virtual one-time cards to use Klarna almost anywhere online. For retailers, Klarna underwrites the purchase, pays the merchant upfront, and handles collection, fraud checks, and chargeback risk. The result: faster checkouts, fewer abandoned carts, and new demand from Klarna’s shopper network. Availability and terms vary by market, but the promise stays the same—reduce friction from browsing to delivery, give buyers flexibility without the card clutter, and give brands a performance channel that sits directly in the purchase flow.

Key Features
• Pay in 4 & Pay Later: Split purchases into four interest-free installments or pay up to 30 days after delivery; clear schedules and reminders help keep payments on track.
• Longer-Term Financing: For bigger baskets, apply for monthly financing at checkout with transparent costs and instant decisions tailored to the transaction.
• One-Time Virtual Card: Generate a single-use card in the Klarna app to use installment options even at stores that haven’t integrated Klarna natively.
• Shopping App & Price Alerts: Discover products, track shipments, create wishlists, and get notified when prices drop—turning Klarna into a lightweight shopping companion.
• Merchant Tools & Protection: Klarna pays merchants upfront, assumes default/chargeback risk, offers analytics, on-site messaging, and placements inside the Klarna app to drive traffic.
• Controls & Transparency: In-app spending limits, payment calendars, snooze options, and support chat keep customers informed and in control.

Use Case Highlights
• Fashion & Returns: Order multiple sizes, keep what fits, and pay after delivery—less friction, faster decisions.
• Electronics & Appliances: Spread a one-time expense across months without applying for a traditional credit card.
• Seasonal Spikes: Smooth cash flow for holiday purchases with clear installment plans and reminders.
• Non-Integrated Stores: Use a one-time virtual card to access Klarna’s flexibility almost anywhere online.
• Global Brands: Shoppers discover retailers inside the Klarna app; merchants tap a ready audience to lift first-time purchases.

Benefits
• Higher Conversion: More checkout approvals and fewer abandoned carts when buyers see flexible options.
• Lower Perceived Risk: Try-before-you-pay builds confidence, especially for new brands or higher-priced items.
• Cash Flow Certainty for Merchants: Payment upfront from Klarna; reduced exposure to fraud and chargebacks.
• Simpler Management: One app to track orders, returns, due dates, and deals.
• Customer Acquisition: Merchants gain exposure through Klarna’s discovery surfaces and on-site messaging.

User Experience
Klarna’s flow is fast: select a payment option, get a near-instant decision, and finish checkout in seconds. The app centralizes everything—purchase history, delivery tracking, upcoming payments, and price alerts—so shoppers aren’t digging through emails or banking apps. Clear timelines, push reminders, and the ability to reschedule within policy reduce missed payments. For merchants, Klarna embeds natively in checkout and adds branded prompts (“Pay in 4 with Klarna”) that reassure buyers without slowing them down.