Klarna has announced its partnership with GARAGE and DYNAMITE to offer in-store payment at the store locations across Canada, the US, and the UK.
The Sweden-based digital bank and flexible payments provider has extended its services into more than 300 physical stores operated by Canada-based Groupe Dynamite, which owns the GARAGE and DYNAMITE fashion brands.
Customers shopping at the two retailer locations can now scan a QR code at checkout using their phone, which directs them to complete the transaction through the Klarna app. Within the app, shoppers can choose to pay for eligible purchases in full or split the cost into interest-free instalments. The process mirrors the payment flow customers already use when shopping with the brands online, extending a single payment experience across both digital and physical retail channels.
Context within Klarna's retail strategy
The rollout forms part of Klarna's continued expansion into physical retail, an area in which the company has been building out its presence alongside its established ecommerce offering. By enabling in-app payment completion through a QR code, Klarna is positioning its BNPL infrastructure as a channel-agnostic tool rather than one limited to online transactions.
Lisa Robinson, Klarna Head of Partner Success, US East Coast and Canada, says the expansion allows GARAGE and DYNAMITE shoppers to access the same payment choice and control in-store that they already use online.
Stacie Beaver, President and Chief Operating Officer of Groupe Dynamite, adds that the integration was designed to give customers more flexibility at checkout while maintaining consistency between the retailer's digital and physical channels.
Market relevance
The expansion arrives as retailers across North America and Europe continue to integrate BNPL payment options into physical checkout flows, following a broader shift in consumer demand for flexible payment methods that were first popularised in online retail.
Klarna builds its services on the retailers’ interest to diversify their check out options. Earlier this year, the company has extended its partnership with a few other luxury and fashion retailers (Harvey Nichols in the UK, and H&M in Romania and Hungary), as well as with payment platforms (Buckaroo) in Europe.
