Swedish fintech Klarna is expanding its partnership with video games retailer Gamestop to include virtual shopping and faster checkout for Irish customers.
This will be the games retailer’s first foray into virtual shopping, connecting customers with in-store experts at Gamestop and giving them access to real-time live product advice via chat and video calls, reviews and recommendations.
Gamestop previously offered its customers Klarna’s Buy It Now, Pay Later services, with the “Pay in 3” product, which gives consumers the ability to split the cost of a purchase into three interest-free, fee-free equal payments. The extension will allow customers to log into their Klarna account to access express checkout and additional security safeguards.
“Gamestop’s strategy is to provide our customers with an engaging, informative and personalized online shopping experience,” said Maximiliano Donzelli, Gamestop’s director of marketing and e-commerce. “As such, we are excited to expand our partnership with Klarna in Europe, which will be instrumental in providing our customers with greater payment and shopping choices and providing them with in-store customer service when shopping online.”
Klarna also plans to expand further into Europe, launching payments and express checkout in Germany and Italy for Gamestop customers.
“We are delighted that Klarna Gamestop’s express checkout and shopping services are available to customers in Ireland and are being rolled out in new markets as we see increasing demand for flexible payment options and social shopping tools,” said Colin Creagh, Head of Business Development in Ireland at Klarna.
“Consumers across Europe will enjoy the flexibility and convenience of Klarna’s payment options while having access to personalized virtual customer service.”
The Swedish payments company officially launched into the fledgling buy-now-pay-later market in the republic, aiming to capitalize on the surge in online shopping accelerated by the Covid-19 pandemic. The group’s 250,000 retail partners worldwide include names such as H&M, Ikea, Samsung and Macy’s.
Buy-it-now-pay-later companies make their money by charging merchants 2-5 percent of a product’s purchase price. Klarna doesn’t charge late fees or interest with the Pay in 3 offer, but starts with customers with small transactions in order to develop a profile for further loans.
A report by research group Research and Markets, released in July last year, found that the Irish buy-now-pay-later market is expected to grow at around 50 per cent a year and reach around US$1.2 billion by 2028. is currently worth approximately $267 million.