Swedish fintech Klarna has further extended the reach of its buy now, pay later (BNPL) product and is confident of more mainstream adoption of its services.
The firm has expanded an existing partnership with Worldpay, an Ohio-based, commerce-focused payments technology and solutions provider. This enhanced deal will see Klarna’s product offered to thousands of new merchants as a default payment method, alongside traditional card methods.
Though Worldpay is a US-based enterprise and Klarna has lofty ambitions in the country, the former’s network is global with over a million merchants in 2023. The deal will offer Klarna’s services across multiple markets as a result.
Pete Wickes, Worldpay General Manager EMEA, remarked: “Worldpay’s first of its kind collaboration with Klarna underscores our commitment to providing merchants with impactful innovation at scale to create the best payments experiences.
“Klarna is at the cutting edge when it comes to delivering new ways to pay. Our expanded relationship will support Klarna’s transformation into a network of choice for global merchants looking to improve the consumer experience and reach their potential in a competitive digital landscape.”
Klarna has emerged as one of the most prominent fintechs in Europe, with its BNPL offering its most widely used solution. The company has enjoyed widespread adoption across the EU and in the UK, driving successive positive financial results.
It has also become one of the most vocal proponents of AI of late, making extensive use of the tech throughout its operations. The success experienced over recent years has led to Klarna eyeing up a potential US IPO, with Deutsche Bank analysis this week putting the firm’s value at £120.6m.
With a US listing seemingly on the horizon, Klarna states that its latest deal with WorldPay shows that it is successfully transforming from an alternative payment option’ to a ‘convenient default method which retailers expect’.
David Sykes, Klarna Chief Commercial Officer, said: “We want Klarna at every checkout, available everywhere, for everything, all the time. This expanded partnership is a massive leap towards that goal, making Klarna the default payment method for hundreds of thousands of retailers.”
