Swedish payments fintech, Klarna has announced the global rollout of Ads Manager and Creator Shops, designed to help retailers and creators engage with consumers more effectively.
Ads Manager, a self-service advertising platform has been made available in the UK and Sweden following its initial rollout in the US.
Moving in the opposite direction from Europe to the US, Creator Shops is now live allowing creators to build their own customized storefronts.
“Building on our suite of marketing and ad solutions for retailers, Klarna’s Creator Shops and Ads Manager continue to transform the company beyond BNPL into a growth partner and retail media network within the industry,” said David Sandstrom, CMO, Klarna.
He added: “Our combined network of over one million retail partners and creators globally now have even more powerful ways to reach Klarna’s 150 million high-intent shoppers, while consumers can enjoy a more relevant and personalized shopping experience.”
Driving traffic back to the retailer
Through the Ads Manager platform, consumers willingly share their information with Klarna in order to receive a more personalized shopping experience. It enables retailers to reach shoppers who are actively seeking brands and products similar to their own and offers features such as ad creation and audience targeting as well as in-platform reporting for campaign optimization.
A key strength is its ability to drive traffic and engagement directly back to the retailer with no intermediation between brand and consumer. According to the firm, retailers in the US running ads with Klarna have seen click-through-rates up to 25x those of industry averages. Ads Manager will roll out to all of Klarna’s global markets over the next few months, Klarna said.
Earning revenue from a single post
With Creator Shops, users can launch their own storefronts, allowing shoppers to find and shop their favourite creators’ product recommendations in one place. Creators can also share shoppable videos, photo content and their personal shop across their social channels.
It comes on the back of a recent US survey conducted by Klarna which said 68% of Gen Zers (age 18-26) and 59% of Millennials (age 27-42) get their shopping inspiration from social media, yet finding products remains a challenge and the journey from browsing to buying is unpredictable.
According to Klarna, there is potential to earn revenue from a single post on any social media platform. Creators can achieve this by including links to every item, enabling their followers to click through to their shop and buy, the firm said.