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Klarna reports strong US growth

Source: Klarna

Klarna, the leading global payments provider and shopping service, today announced it is continuing to see tremendous momentum in the US, including a record 15 million customers overall to kick off 2021.

This momentum builds on a strong 2020 for the firm, which saw it more than double the total number of users in the market to 15 million. Additionally, acquisition of new users has continued to accelerate with more than 1 million US customers joining Klarna each month since October 2020.

The Klarna app has also seen rapid growth, reaching 3.5 million monthly active users as of the end of December, an increase of 204% year over year, while recording an all-time high in shopping volume in the same month. The app averaged 60,000 new daily downloads in December and totalled nearly 4 million more app downloads than its direct competitors last year. It was also among the top 10 most downloaded shopping apps in the US during Q4 2020, according to Apptopia.

“Klarna’s accelerating growth is evidence of strong consumer demand for smarter, seamless, and more flexible shopping and purchase experiences,” said David Sykes, Head of Klarna US. “As the effects of COVID-19 continue to change consumer purchasing behavior, the Klarna app allows our users to shop at any online store, receive price drop notifications and exclusive deals, and take advantage of our interest-free payment options. We’re also partnering with thousands of retailers, big and small, to ensure they are ready for a full return to in-store shopping to complement their e-commerce business.”

The Klarna app is an all-in-one shopping platform that allows consumers to shop at any online store as well as in-store at leading retail brands. Consumers can also create shareable Wish Lists, get price drop notifications and access exclusive deals from the brands they love through the app, all with the option to pay over time with zero interest or fees. The Wish List has quickly become one of the Klarna app’s most popular features, with users adding more than 5 million items to their Wish Lists by the end of 2020, with 1 million additional items already added in January 2021 alone.

Klarna’s no-fee loyalty program, Vibe, which rewards consumers who make purchases through the Klarna app, has grown to more than 1 million members since launching in June 2020. To date, Vibe members have claimed nearly 500,000 gift cards to use at their favorite stores, including Amazon, Walmart, Starbucks, Sephora, and H&M. Starting this week, Vibe members can access rewards from even more brands, including The Home Depot, Saks Fifth Avenue, Finish Line, Foot Locker, American Eagle, and more.

Several renowned brands have also recently joined Klarna’s US retail network, including Macy’s, Saks OFF 5TH, Lululemon, Bluemercury and Pandora, bringing the total number of retail partners to more than 6,000 out of more than 200,000 globally. Klarna is also available in more than 60,000 physical retail stores in the US, giving brick-and-mortar customers the ability to make purchases using four, interest-free payments while enjoying the same level of service and convenience as they would when shopping online.

Following its super growth in the US last year, Klarna is launching its first Big Game ad campaign on February 7th during the fourth quarter. By participating in one of the biggest sporting, entertainment and advertising events in the US, the company is showcasing that Klarna’s smart, flexible payment and shopping services are designed for everyone. The commercial also reflects Klarna’s ongoing commitment to the US market and its optimism for the retail sector in the year ahead. The spot “The Four Quarter-Sized Cowboys” can be viewed here.

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