BigCommerce and Klarna Form Global Payments Partnership

BigCommerce has announced a partnership with Klarna, the payments and commerce network, to offer flexible payment solutions to merchants worldwide.

The agreement establishes Klarna as a global preferred payments partner for BigCommerce, enabling merchants to integrate Klarna's payment options through a single integration. 

This allows retailers to offer customers alternatives to traditional payment methods without needing to establish relationships with multiple regional payment providers.

BigCommerce provides e-commerce infrastructure for both business-to-consumer and business-to-business retailers, allowing them to build and manage online stores. 

The platform operates on a Software-as-a-Service (SaaS) model, where merchants pay a subscription fee rather than licensing software.

Klarna, which processes 2.9 million transactions daily, offers several payment options through the partnership. These include Pay in Full for standard transactions, Pay in 4 for instalment payments and Fair Financing for larger purchases. 

Global checkout optimisation

The partnership aims to address the fragmentation in payment processing across different regions, allowing merchants to optimise their checkout experience globally through a single provider.

“BigCommerce is committed to empowering merchants with the flexibility and tools they need to grow on their own terms,” says Michaela Weber, SVP of Strategic Business Development and GM of Payments at BigCommerce. 

“Klarna's extensive global reach, trusted brand and shopper-first approach make them an ideal partner for our merchants.”

The integration comes at a time when payment flexibility has become a standard expectation among online shoppers.

Klarna's Chief Commercial Officer, David Sykes, says: “Today's consumers expect greater flexibility and convenience in how they pay. Our partnership with BigCommerce enables brands and retailers to streamline their operations through a single global solution, eliminating the need for fragmented regional providers.”

Technical implementation

The integration has been designed as a native feature within BigCommerce's platform, meaning it can be enabled without requiring separate software development. 

This native integration approach allows the BigCommerce development team to maintain the integration, ensuring compatibility with future platform updates.

For merchants requiring customised checkout experiences, the native integration provides more flexibility than third-party plugins, which often have limited customisation options.

SportsShoes.com, an online retailer specialising in running and outdoor equipment, has already implemented the integration. 

The company's Chief Technology Officer, Jon Cleaver, says: “Implementing Klarna with our BigCommerce store has been a big asset to our strategy to provide a market-leading purchasing experience. Our customers appreciate the flexibility it gives them.”

The technical implementation process involves enabling Klarna through BigCommerce's payment settings panel, followed by configuration of which payment options to offer customers. 

The integration handles currency conversion automatically, allowing merchants to sell in multiple regions without managing separate payment processors.

Merchants using the integration will have access to Klarna's risk management tools, which use artificial intelligence to assess transaction risk and prevent fraud. 

These tools analyse over 180 variables per transaction to determine approval, reducing the risk of chargebacks while maintaining high approval rates.

BigCommerce merchants can view transaction data from Klarna payments directly within their store management dashboard, providing a consolidated view of sales across all payment methods. 

The reporting includes metrics on conversion rates by payment method, allowing merchants to optimise their payment strategy.

Klarna's integration also includes support for recurring payments, enabling subscription-based business models without additional development work. This feature allows merchants to expand into subscription commerce without changing their e-commerce platform.

“Our partnership with BigCommerce enables brands and retailers to streamline their operations through a single global solution, eliminating the need for fragmented regional providers and delivering a smooth, scalable experience for businesses and their customers alike,” concludes David.

Explore the latest edition of FinTech Magazine and be part of the conversation at our global conference series, FinTech LIVE. 

Discover all our upcoming events and secure your tickets today.

FinTech Magazine is a BizClik brand