Sebastian Siemiatkowski, CEO of Swedish company Klarna Buy Now, Pay Later (BNPL), expressed his frustration with the current global investment environment.
“The consequence of the new environment is that investors are valuing companies differently,” he said at the Slush conference in Helsinki this week, Bloomberg reported on Friday (November 18). “That means money isn’t as cheap as it was a year ago. This does not allow you to invest as much in the future as you would like.
“We have to live with the reality that investors expect us to show a little more here and now, rather than talk about the future,” he added, according to the report.
In July, Klarna suffered one of the most high-profile writedowns of the year after the company raised $800 million in funding at a post-money valuation of $6.7 billion. This came after a huge $639 million funding round in June last year that valued Klarna at $45.6 billion.
At the Slush conference, Siemiatkowski said provider BNPL should focus on engaging its existing users rather than acquiring new users, according to the report. He added that the United States remains a “top priority” for the company, even though expanding into the market has hurt the company’s profitability in the past.
To diversify its offering, Klarna has introduced new features including a price comparison tool, purchasable video content, a donation function and an improved CO2 tracker, as well as a platform that connects creators and retailers.
“The new products unveiled today mark a major step in Klarna’s evolution to become a place where consumers and retailers can now search, discover and create,” Siemiatkowski said last month when announcing the features. . “From inspiring product discovery to delivery tracking, digital receipts and seamless returns, we power e-commerce and accelerate commerce across the globe.”
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