In September of 2020, Swedish company Klarna announced that it had raised $500 million in funding, in what was one of the largest funding rounds for a Swedish company in recent years. The round was led by investment firm Silver Lake, with participation from existing investors Declaration Partners, Venture Partners, and Dragoneer Investment Group.
With the new funding, Klarna is now valued at $31 billion, making it the most valuable European fintech company. The company plans to use the new funding to continue expanding its business into new markets and product categories.
Klarna was founded in 2005 and is headquartered in Stockholm, Sweden. The company provides payment solutions for online merchants and consumers. Klarna’s flagship product is its “Buy now, pay later” service, which allows consumers to make purchases and spread the cost out over time. Klarna has over 70 million consumers and 150,000 merchants using its services.
In recent years, Klarna has been expanding its business beyond its core “Buy now, pay later” service. The company has introduced new products such as Klarna Card, which is a co-branded credit card with Mastercard, and Klarna Financing, which offers installment loans to consumers.
Klarna has also been expanding its merchant services beyond Europe. In 2019, the company launched Klarna Merchant Services in the United States. The company has since partnered with a number of major U.S. retailers, including Birchbox, Reebok, and opening its first physical store in the U.S., called Klarna shopping center.
The new funding will help Klarna continue its expansion into new markets and product categories. Klarna plans to use the new funding to continue expanding its business into new markets and product categories. With the new funding, Klarna is now valued at $31 billion, making it the most valuable European fintech company.
Klarna’s “Buy now, pay later” service
Klarna’s flagship product is its “Buy now, pay later” service, which allows consumers to make purchases and spread the cost out over time. Klarna’s “Buy now, pay later” service is available in 14 countries and is used by over 70 million consumers.
Klarna’s “Buy now, pay later” service is offered at checkout on thousands of online stores. When a consumer chooses to use Klarna’s “Buy now, pay later” service, they are given the option to pay for their purchase in installments.
Klarna’s “Buy now, pay later” service has a number of benefits for merchants, including:
Increased Sales: A study by comScore found that shoppers who use Klarna’s “Buy now, pay later” service spend 68% more than shoppers who do not use the service.
Improved Conversion Rates: Klarna’s “Buy now, pay later” service has been found to improve conversion rates by up to 20%.
Reduced Fraud: Klarna’s “Buy now, pay later” service reduces fraud for merchants by allowing Klarna to shoulder the risk of fraud.
Klarna Card
Klarna Card is a co-branded credit card with Mastercard. Klarna Card is available in the United Kingdom and Germany. With Klarna Cards, consumers can enjoy all the benefits of a Mastercard, with the added benefit of being able to spread the cost of their purchases over time.
Klarna Financing
Klarna Financing is an installment loan product that is offered to consumers in the United States. Klarna Financing offers loans of up to $10,000 with terms of up to 24 months.
Klarna Merchant Services
Klarna Merchant Services is a suite of payment solutions for online merchants. It’s Services is available in the United States, Europe, and Australia. Klarna Merchant Services includes the following products:
Klarna Checkout: Klarna Checkout is a One-Step Checkout solution that allows merchants to increase conversion rates and reduce shopping cart abandonment.
Klarna Order Management: Klarna Order Management is a tool that allows merchants to manage orders, payments, and fraud prevention from a single platform.
Klarna Payments: Klarna Payments is a payment gateway that allows merchants to accept credit and debit cards, as well as Klarna’s “Buy now, pay later” service.
Klarna Fraud Protection: Klarna Fraud Protection is a fraud prevention solution that uses machine learning to identify and prevent fraudulent orders.
Related FAQs
1. What is Klarna?
Klarna is a global payments provider that offers consumers financing options at the point of sale. The company has been growing rapidly, with a reported 70% year-over-year growth in 2018.
2. What countries does Klarna operate in?
Klarna has operations in 14 countries and serves over 60 million consumers.
3. How much revenue did Klarna generate in 2018?
In 2018, Klarna generated $244 million in revenue and processed $23 billion in transactions.
4. Who are some of Klarna’s partners?
Klarna has partnerships with over 200,000 merchants, including H&M, ASOS, IKEA, and Adidas.
5. What is Klarna’s valuation?
Klarna’s latest funding round valuates the company at $5.5 billion.
6. What is swedish klarna 500m 650m september?
Klarna, a Swedish fintech company, announced in September 2019 that it had raised $500 million in funding, valuating the company at $5.5 billion. Klarna is a global payments provider that offers consumers financing options at the point of sale. The company has been growing rapidly, with a reported 70% year-over-year growth in 2018.
