Why consumers choose Klarna.

10 December 2021 - 4 min read





At Klarna, we offer a smoooth shopping experience and a fairer, more sustainable way to shop, bank and pay. We put consumer needs at the heart of our business with our buy now pay later options offering multiple advantages. The most obvious is the ability to purchase items now and split the cost into interest-free installments, which offers greater cashflow flexibility. And, our pay in 30 days payment method allows consumers to try an item and be fully satisfied with it before the money leaves their account. 

In the UK, we have over 15M active shoppers and over 17,000 merchants, but who is the average Klarna consumer?

Klarna Consumers.

Globally, we are seeing a shift in consumer preference when paying for everyday purchases. Consumers increasingly choose debit as their primary payment method rather than credit cards with an open line of credit and minimum payments leading to eye-watering balances.  In fact, 71 % of UK shoppers now prefer to pay via debit, compared to 25% who prefer credit.

We can understand why consumers are embracing fairer and more sustainable payment options across demographics that suit their needs. Our average customer is 33 years old in the UK, which is the same to  average first-time homebuyer. Our fastest-growing age group is between 41-56 and, over 1m people aged 56+ used Klarna over Black Friday weekend. 

People of all ages 18+ who use our buy now pay later products have worked out that it is a smarter and simpler way to manage their money. Klarna’s average order value is £75, while the average outstanding balance is only £48 compared to £1081 on credit cards – with 40% of our consumers paying back early. 

We believe in making payments and shopping easier for consumers wherever they shop and although fashion is a major category,  Klarna is used just as much for home, garden, beauty and electrical purchases. 

When use Klarna?

We believe people should pay with the money they have first and foremost but that on occasion, credit makes sense. For example, credit provides greater security and flexibility for online purchases and when shopping with an unfamiliar merchant, than pure debit payments, where there is limited payment protection and money is taken from the account straight away. Another reason consumers opt to use credit is when they want to try multiple products in the comfort of their homes before committing to a purchase and only paying for what they keep.

In these situations, it’s important to choose a healthy, low risk credit option. Our BNPL products are interest-free and come with an upfront repayment plan to keep you out of long term debt. 

But don’t just take our word for it… 


Why consumers choose Klarna.
Why consumers choose Klarna.
Why consumers choose Klarna.

Financial wellness.

We invest significantly in financial wellness and our products are designed to encourage responsible spending. From clear repayment plans, visible terms of use, order delivery tracking and money management tips to new in-app products like a spending control limit,  budgeting tools and carbon footprint tracking – Klarna gives consumers the tools they need to manage their budget. 

In the last two years, over 50% of our marketing budget in the UK has been spent on Financial Wellness and financial education. We are dedicated to educating our users about responsible spending and encouraging healthy money habits and we will continue this work. 

Most recently, Klarna launched the Money Talks card game to encourage open conversations around money. The Money Talks card game combines questions around money habits with a fun twist to help break the stigma around money, opening up honest discussions around spending, shopping and wellbeing.

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Copyright © 2005-2024 Klarna. Klarna Financial Services UK Ltd is authorised and regulated by the Financial Conduct Authority (“FCA”) for carrying out regulated consumer credit activities (firm reference number 987889), and for the provision of payment services under the Payment Services Regulations 2017 (firm reference number 987816). Klarna Financial Services UK Ltd offers both regulated and unregulated products. Klarna’s Pay in 3 instalments and Pay in 30 days agreements are not regulated by the FCA. Incorporated in England (company number 14290857), with its registered office at 10 York Road, London, SE1 7ND.