Klarna Expands Retail Footprint With Ulta Beauty Deal

Beauty product shoppers can now pay over time for their cosmetics and other purchases. Klarna, a major Buy Now, Pay Later provider, has partnered with Ulta Beauty, the largest specialty beauty retailer in the United States.

Customers may pay using Klarna when shopping at Ulta.com and when using the Ulta  Beauty app. Klarna payment options at checkout include paying in full, splitting purchases into four, interest-free installments, and using longer-term financing for larger purchases.

With Klarna, purchases can be split into four interest-free installments.

“Our digital channels play an increasingly important role in how guests discover, explore and shop beauty,” said Jodi Williams, Vice President of Ecommerce at Ulta Beauty. 

“Partnering with Klarna allows us to enhance that experience with more payment flexibility at checkout, supporting a seamless journey that gives guests more control over how they shop Ulta Beauty online and in our app.”

David Sykes, Chief Commercial Officer at Klarna, spoke about the wide range of beauty products and brands offered by Ulta Beauty.

“Ulta Beauty is where millions of Americans turn for everything beauty and wellness has to offer, from emerging to established brands across all price points,”  Sykes said. 

“Whether a guest is checking out on Ulta.com or tapping through the Ulta Beauty app, they now have the power to pay in full, split their purchase into four interest-free installments, or select financing, giving them the freedom to choose what works best.”

Klarna has more than 119 million global active users and handles 3.4 million transactions per day in its AI-powered payments and commerce network. Consumers can pay with Klarna online, in-store and through Apple Pay and Google Pay. 

0119,000,000 Klarna users

More than 1 million retailers use Klarna’s payment solutions. These retailers include Uber, H&M, Saks, Sephora, Macy’s, Ikea, Expedia Group, Nike, and Airbnb. 

The U.S. PIRG Education Fund offers these tips for using BNPL services such as Klarna.

Read the fine print. Make note of BNPL terms and conditions before signing up. It's important that you understand the specific terms you are agreeing to.

BNPL plans typically split purchases into four payments. The first payment is due at checkout. The other three payments are usually due every two weeks. The payments are billed to a debit card, credit card, or bank account. So take a look at your finances and be ready to pay the amount due in full in six weeks.

Some BNPL programs charge interest and you also may be charged a late fee if you are tardy with a payment. So be careful with your payments. These are both things to look for in a program’s terms and conditions.

Most BNPL providers, with the exception of Affirm, do not report your transactions to the major credit bureaus. So BNPL is not the way to build up your credit. Klarna does share information to TransUnion and Experian but only for loans.  

Avoid making more than one BNPL purchase at a time. Multiple BNPL payments may be confusing to manage, and they may take a big bite out of your budget.