Indochino has released a case study showing that Klarna’s Pay in 4 option has been a success for the global leader in custom apparel. Klarna, the leading global retail-bank, payments and shopping service, offers the payment option through its Klarna for Business. The Pay in 4 option allows customers to split purchases into four interest-free payments while Indochino is immediately paid in full.

Indochino highlighted the option on its website through Klarna’s On-Site Messaging and added Klarna’s Facebook and Instagram ads. The result was a 16 percent increase in average order value and a 20 percent increase in conversion through the paid ads.

“Our aim is to make great-fitting, personalized clothing accessible to everyone, so partnering with Klarna on Stripe to add more flexible payment options was a natural fit for us,” said Indochino E-commerce Director Alex Nazarevich. “We’ve noticed a shift in younger individuals, often at the start of their professional careers, who are suiting up with Indochino through Klarna. We’re looking forward to helping them continue to upgrade their wardrobes and become Indochino fans for life.”

The young demographic is made up in large part by Millennials and Gen Z–ers, with 67 percent of them using Klarna on Indochino’s website. According to Klarna’s 2021 Reopening Report, 74 percent of shoppers are looking for flexible payment options.

“We’re really excited that our partnership with Indochino has enabled the company to reach a broader audience of shoppers who are refreshing their looks and seeking more transparent, flexible ways to shop and pay,” said Klarna Head of North America David Sykes. “Klarna research found that 89 percent of shoppers are updating their wardrobes by cleaning out their closets and investing in ‘going out’ clothes and new basics. By joining forces with Klarna, Indochino supports shoppers who are seeking budget-friendly payment options within the high-quality menswear space.”