Klarna takes on traditional FS providers with #WhyPayInterest campaign

Buy now, pay later big hitter, Klarna, has launched a UK campaign titled #WhyPayInterest.

Running across OOH, online, on social media and in print, this aims to highlight the difference between BNPL products and traditional credit cards.

The former have come under fire from various quarters in recent times.

Earlier this year, for instance, Labour MP Stella Creasy called on fashion retailers such as boohoo and Missguided to temporarily halt BNPL schemes, labelling them a “financial scandal waiting to happen”.

#WhyPayInterest looks to turn the spotlight on traditional finance providers, challenging what Klarna calls “outdated business models and products that don’t serve consumers’ best interests”.

£144? 👀 Well, guess the next round’s on you 🍻 pic.twitter.com/6OubwMXo6O
— Klarna (@Klarna) May 17, 2021

The campaign includes advertising spots such as Piccadilly Lights, as well as 400 taxis, and full page slots in national newspapers such as The Guardian, The Sun, The Times, The Daily Mail and The Financial Times.

Sebastian Siemiatkowski, CEO at Klarna, says: “Traditional banks and card companies have been overcharging customers for far too long. Last year they made £5.7 billion in credit card interest alone.”

“That’s why we launched #WhyPayInterest, to highlight the massive amounts of interest and fees charged by traditional credit providers. At Klarna we offer a smarter way to shop, bank and pay, which is free and fair for consumers.”

“Buy now pay later saved UK consumers £76 million in credit card fees in 2020, and those savings will grow in 2021 as more and more consumers say ‘no thanks, old banks!’”