Klarna expands in-store payments at Garage & Dynamite

Klarna has launched its in-store payment option at GARAGE and DYNAMITE shops in Canada, the United States and the United Kingdom, covering more than 300 stores.

The move extends Klarna's existing relationship with the fashion retailers, which already offered its payment service online. In store, shoppers can now pay in full or split eligible purchases into interest-free instalments through the Klarna app at checkout.

The expansion adds another bricks-and-mortar retail partner as Klarna looks to widen its in-store presence. Customers at all GARAGE and DYNAMITE locations across the three markets can use the service.

At the till, shoppers scan a QR code with their phone and complete the purchase in the Klarna app using one of the available payment options. The process mirrors the payment choices already offered on the retailers' websites.

GARAGE and DYNAMITE are owned by Groupe Dynamite, a Montreal-based fashion retailer with operations in Canada and the United States and a more recent expansion into the UK. The group targets younger women's fashion shoppers through its two brands.

The launch comes as retailers look for greater consistency between online and physical shopping journeys, especially in apparel, where customers often browse digitally before buying in store. Payment groups have also pushed to bring app-based checkout and instalment plans from eCommerce into physical retail settings.

Klarna has more than 120 million active users globally and handles 3.8 million transactions a day. It is listed on the New York Stock Exchange and works with more than 1.2 million retailers, according to figures it provided.

Klarna said the expansion is designed to extend the flexibility customers have online into physical stores. Lisa Robinson, Head of Partner Success, US East Coast and Canada at Klarna, said the rollout reflects the company's view of checkout.

"Great checkout shouldn't stop at the browser," Robinson said.

"GARAGE and DYNAMITE shoppers can now enjoy the same choice and control in-store that they value online, making it even easier to shop for the styles they love in a way that works for them."

For Groupe Dynamite, the change is intended to give shoppers the same payment experience across channels as the group heads into a key sales period for autumn fashion. 

"Our customers expect shopping with GARAGE and DYNAMITE to feel inspiring, easy and seamless wherever they engage with us," said Stacie Beaver, President and Chief Operating Officer at Groupe Dynamite.

"Expanding Klarna into our stores gives customers more flexibility and choice at checkout, while creating a consistent experience across our digital and physical channels. We are excited to introduce this added convenience ahead of the important fall shopping season," Beaver added.

Groupe Dynamite employs about 7,200 people and operates retail stores and digital channels under both brands across its markets.