Klarna introduces Google Pay for safer in-store payments during Covid-19

Payment service unicorn Klarna is introducing Google Pay for in-store purchases in the US as the country tackles the pandemic.

Sephora, Journeys and rue21 are among the first Klarna merchant partners to offer Google Pay, for in-store purchases, which the Swedish FinTech hails a key feature to provide safer options through the coronavirus crisis.

“We’re focused on providing all of our users with a seamless, contactless shopping experience as stores reopen and the pandemic continues to affect communities across the nation,” said David Sykes, head of US at Klarna.

“At the same time, it’s critical we help our retail partners drive business growth, both online and offline, to give them a competitive advantage at a time when margins are tight. We’re excited to introduce this safe and secure option to consumers who use Android devices to ensure we provide them with a smooth and convenient shopping experience, end to end.”

Klarna is extending the contactless payment options it offers at a time when consumers’ use of touch-free payments is rising due to concerns about health and safety. Overall use of contactless payments in the US has grown by 150% since March 2019.

Klarna initially launched in-store payments in the US for iPhone users with Apple Pay in January of this year.

Covid-19 has reportedly been worked as an accelerator for Klarna’s growth in the US. In June, the company said that it had reached a record 7.85 million US customers on the back of signing multiple retail partnerships and partly due to the coronavirus forcing more businesses to embrace digital solutions.

The news about Klarna integrating Google Pay comes almost two months after Klarna announced its new customer loyalty programme Vibe. It said it would roll out the programme in the US in June before extending the initiative to Germany, Australia, Sweden and the UK within the next year.

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