17 October 2023 - Klarna, the AI-powered global payments and shopping service provider, has entered the Hungarian market. The fintech company will enable Pay in 3 with its retail partners, allowing consumers to split their purchases into three interest-free instalments and receive the product before they pay in full. Amongst the brands where you can already pay with Klarna are fashion retailer Orsay and other retailers, such as Footshop, Zoot, Puma, with more brands expected to be launched within the next weeks.
Klarna, founded in Sweden in 2005, has been expanding its presence in Central and Eastern Europe over the past two years and has now started operations in Hungary, following several countries in the region. Starting today, Hungarian shoppers can use Klarna’s “Pay in 3” service at Klarna's retail partners online and via the Klarna app. Buyers can choose to pay in three interest-free instalments (Pay-in-3), with the first instalment at the time of purchase and the remaining instalments every 30 days. This allows consumers to spread the cost of their purchase evenly and receive the product before they pay in full.
According to a survey* conducted by Klarna in the summer of 2023, a large proportion of Hungarians are interested in this solution. 79% of respondents would prefer to shop in an online store that allows them to see and try a product before paying for it, with 59% stating they feel safer if the online store offers the option to pay after the delivery. It is also worth noting that almost half of the population of Hungary (48%), a country where BNPL-type solutions are relatively new, declares that they would prefer to split payment using BNPL when buying a more expensive product.
"It is super exciting to bring Klarna to Hungary. All around the world consumers are getting tired of the tricks played by established banks and are looking for a new, healthier way to manage their finances.”, said Sebastian Siemiatkowski, CEO of Klarna, on the launch of the Hungarian market.
With more than 150 million monthly active users worldwide, the Klarna supports consumers in making informed decisions. In the app users can manage their budgets, have spendings in one place, but also keep digital receipts, track deliveries and returns or look for the best offers.
Fashion retailer Orsay is one of the first brands offering Klarna’s flexible payments in Hungary. "It is very important for us to be able to offer consumers secure, flexible payment methods to meet their expectations, that’s why we are happy to be Klarna's partner in entering the Hungarian market", said Jan Fahoun, CEO of Orsay. Globally Klarna has more than 500 000 retail partners and more local and international brands are expected to be launched in Hungary within the next weeks.
"This is a very important step for Klarna and I am pleased that Hungary is the next stage of our expansion in the CEE region, following Poland, the Czech Republic and Romania. As in other countries, we want to be a growth partner for local retailers supporting them with our experience and global presence, helping them grow locally, as well as expand abroad-, added Lukasz Dwulit, Head of CEE at Klarna .
With the newly launched Hungarian market, Klarna is available in 24 countries. Being a global brand makes it easier to support local merchants' development, enabling them to offer consumers from other markets flexible payment options they are already familiar with. In addition to its payment services, Klarna offers its retail partners a suite of partner marketing services that help attract, convert, and retain customers.
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More information about Klarna’s offering in Hungary can be found at klarna.hu
* Insights from Klarna’s consumer research, conducted in cooperation with Dynata in July 2023. In total, 1,027 consumers participated. The sample sizes are nationally representative and have been selected by research agency Dynata.