Payment processing platform Klarna announced on Monday it has reached a record 7.85 million U.S. customers. The company reported the milestone is driven by apparel, beauty, and footwear brands partnering with its platform to offer their customers flexible buy now, pay later options.
Klarna offers a range of products within payments, shopping, and personal finances to make it easier for people to shop on and offline, including buy now pay later services, in-store payment solutions, and a new direct-to-consumer shopping app. Klarna is now powering more than 200,000 retailers globally, which includes H&M, Sephora, Timberland, The North Face, Shein, Fender, Anine Bing, FORWARD, and ModCloth. Klarna further revealed it has seen its number of US retail partners grow by 163% year over year as of May 2020.
“More than 4,200 US retailers have now been added to the company’s global base of more than 200,000 retailers. Klarna’s app has also seen significant traction and now has more than 1 million monthly active users in the US. Klarna’s app has been downloaded more than 4.4 million times, and this year alone has outpaced all of its closest competitors with more than 1.7 million downloads.”
David Sykes, Head of U.S. production at Klarna, then stated that due to COVID-19, retailers are “sharply focused” on leveraging the key channel they have available online. He then added:
“At the same time, more shoppers than ever before are turning to e-commerce for a wide range of product categories, and they are looking to pay for things in a smarter way that lets them manage their finances without having to use credit options that come with interest, fees and revolving debt. At Klarna, we’re working closely with retailers and supporting them in attracting new customers and retaining them as retail starts to rebound.”