eBay and Klarna partner to bring flexible payment options to Germany

By Amelia Isaacs on Tuesday 15 March 2022

Digital Banking

eBay and Klarna are partnering to bring additional flexible payment options to German shoppers.

eBay and Klarna partner to bring flexible payment options to Germany
Image source: eBay.

In a potential blow to PayPal, eBay is partnering with Klarna to bring new flexible payment options to German shoppers.

The two new Klarna payment options being added to eBay.de will supplement the existing payment methods, which include Klarna’s Pay Now service (Sofortüberweisung). 

Customers will now also be able to access Pay Later (Invoice) and Financing, giving them several options to choose from on every purchase, whether that’s paying immediately or at a later time.

“We constantly survey customer preferences and actively incorporate our buyers’ feedback in how we design our platform and user experience,” vice president of eBay Germany Oliver Klinck said.

The roll-out of both options is being phased in, starting with select sellers over the coming weeks and following with a wider roll-out later this year.

It is also news that could be a blow to payments giant PayPal, formerly a subsidiary of eBay that was spun out in 2014 and is still the exclusive pay later provider for eBay in many countries.

“Consumers across the world are moving away from traditional payments to alternatives that better meet their expectations by offering smart and transparent services, the eBay customer is no different,” head of Northern and Central Europe at Klarna, Jani Tyyni, said.

“With our strategic partnership with eBay, we are now able to further enhance the shopping experience by offering millions of customers Klarna´s payment options - empowering them to save time, make informed decisions and be in control of their personal finances.”

The partnership marks the latest in a series of ventures for the Swedish fintech as it expands across Europe.

A few weeks ago the company announced that it was launching a new rewards programme in the UK which will allow shoppers to earn points each time they pay with Klarna. 

It is also reportedly working on a new funding round that could see its price reach $60bn.

The company raised $639m to be valued at $45.6bn just last June and is only continuing to grow.

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Companies in this Article:

Klarna
PayPal