KLARNA LAUNCHES CUSTOMER LOYALTY PROGRAM

Klarna is launching a new customer loyalty program called Vibe this summer, becoming the first buy now, pay later service provider to offer a rewards program.

The no-fee program will be rolled out to the U.S. market in June before being extended to Klarna’s other key markets of Germany, Australia, Sweden, and the UK within the next year. The move is the next phase in Klarna’s efforts to evolve the shopping experience to deliver inspiration, convenience, and even more value.

The no-fee Vibe program applies to all purchases U.S. Vibe members make directly through the Klarna app no matter the store and also when using Klarna at over 200,000 partner retail stores globally. Program members earn one “Vibe” (point) for every $1 they spend, and Vibes can be redeemed for rewards such as gift cards from customer favorites like Starbucks, Sephora, Foot Locker, and Uber. Vibe members will have access to exclusive online and offline sales and shopping experiences and can even earn an extra layer of rewards if they are already part of an existing loyalty program through the retailer that they are purchasing items from.

As the first mover globally in the buy now, pay later space to offer such a program, Klarna is aiming to deliver curated rewards benefits to customers without the fees and high-interest rates often attached when using credit cards and their accompanying loyalty programs. To encourage and reward responsible spending habits, members will earn Vibes once their payments are completed and paid on time. Klarna developed the Global Vibe program with direct input from customers, who said they often find traditional credit card loyalty memberships confusing and difficult to navigate and that they wanted more freedom within a rewards program.

“We’re extremely proud to be the first company in the buy now, pay later space to offer a personalized rewards program,” said Sebastian Siemiatkowski, CEO of Klarna. “We’re laser-focused on providing our nearly 8 million US consumers with the most convenient, seamless, and enjoyable shopping experience possible, from end to end, and the Vibe program builds on our efforts and success. Vibe members have the freedom to shop everywhere and will enjoy access to unique, tailored benefits from hand-picked partners in addition to exclusive offers, deals, and other rewards.”