Klarna, the AI-powered payments network, and CarTrawler, a B2B technology provider for car rental and mobility solutions, have partnered to introduce flexible payment options for travelers. This collaboration enables customers to utilize Klarna’s suite of payment solutions, including interest-free Buy Now Pay Later (BNPL), when booking car rentals on over 70+ airlines and 250+ travel websites.
CarTrawler's platform aggregates over 2,000 car rental and mobility suppliers, facilitating car rental services for 250 airlines and online travel agencies. Klarna is now available on 25 airline websites across 15 countries, with further expansion planned.
The global car rental market, valued at $122 billion in 2022, traditionally relied on credit card payments. However, this collaboration introduces a fairer credit access option for consumers, aligning with Klarna's commitment to transparent and responsible financial services.
Klarna's interest-free BNPL products aim to prevent consumers from accumulating large balances. The company conducts rigorous eligibility checks for each transaction, providing a real-time view of a consumer's financial situation. Moreover, Klarna automatically restricts credit services for customers who miss payments, resulting in lower losses compared to traditional credit card companies.
Raji Behal, Head of Western and Southern Europe, UK & Ireland at Klarna, expressed enthusiasm for the agreement, stating, "We are excited to bring our fair payment methods to travelers across Europe with this CarTrawler agreement." This partnership reflects Klarna's commitment to providing flexible payment options that cater to consumers' needs.
Darren Lovern, Chief Customer Officer of CarTrawler, emphasized the growing demand for innovative payment solutions in the travel industry. He highlighted the partnership with Klarna as a response to changing consumer preferences, offering more choice and budget control for car rental and airport transfers. This collaboration aims to drive ancillary revenue growth for airline and travel partners while enhancing the overall customer experience.
