The Checkout

2023

The Checkout is Klarna’s global annual summary of the year through the lens of your purchases.

Smaller items that
bring greater joy.

Despite recent unprecedented events, Millennials and Gen Z have once again proven their resilience. They’ve decided they can have their cake, and eat it too—opting to spend money on smaller things that bring them greater joy, without draining their wallets. From record-breaking concerts to dopamine-induced interiors, this year’s Checkout is all about maximizing life.

Life maximized

Fandom
fashion

+ 1601%

According to Klarna’s Shopping Index, in August, rhinestone cowboy hats saw a boost in sales of 1153% in the US. The item became a wardrobe staple, with a 1601% increase in global sales.

Concert glam to rival performers.

Entertainment standards soared to new heights in the past year. Huge crowds flocked to sold-out tours, sporting events, and blockbuster phenomena such as the Barbie movie. Spectators embraced the chance to become a part of the show through fashion, wearing metallic eye shadow, friendship bracelets, and all things pink.

Top trending items

Bold decor and
bursts of color.

It was hard to let go of the ‘greige’ color, which has been the hallmark of interior design for the past decade. But in 2023, the world collectively decided to spice up their interiors. Rich pops of color, wavy mirrors, checkered blankets, and geometric candles have turned living spaces into eye candy, marking a 180-degree pivot from our minimalist past.

Top trending items

Host with
the most

+84%

Klarna’s Shopping Index shows that movie nights just got a lot more cinematic, with a 77% surge in mini projector purchases in the US. Globally, the trend saw a sales increase of 84% from January to September 2023.

Next-level
house parties.

People are taking the Danish cozy concept of ‘hygge’ to a whole new level. And they’re not doing it alone, choosing to host others at home, upping their game with charming dinner settings, and even investing in film projectors for communal movie nights. From every kind of ice bucket imaginable, to scented oil diffusers and sustainable glass straws, no detail was spared.

Top trending items

About Klarna’s Shopping Index

Klarna’s Shopping Index is calculated based on the number of items sold relative to total items sold and reflects the true trends regardless of sales growth in the category. The information is from online purchases with Klarna in the US, UK, Germany, Sweden, Spain, France, Italy, and Poland between January 2023 to September 2023.

Welcome to Klarna’s Black Friday & Cyber Monday deep dive!

The pandemic accelerated digital innovations and now shoppers are online more than ever before. Additionally, over the past 6 months, millions of consumers have been affected by price inflation and thus have adapted their spending habits accordingly.

In this report, we find out what these changes in behavior mean for this year’s Black Friday & Cyber Monday sales. Read on to learn more about shoppers’ plans and their expectations in the lead-up to the most intense shopping days of the year.

What’s more, we will continue to update the global shopping insights based on our shopping data so don’t forget to check back in for the latest news on developments this year.

Enjoy!

Methodology.

Insights from Klarna’s consumer research, conducted in cooperation with Nepa across 17 countries (the US, the UK, Ireland, Australia, New Zealand, Germany, Austria, Poland, France, Belgium, the Netherlands, Italy, Spain, Portugal, Sweden, Norway and Finland). The research was conducted during October and November 2022 and includes a minimum of 1,000 respondents in each country. In total, more than 17,000 consumers participated. The sample sizes are nationally representative, naturally including both Klarna users and non-Klarna users, and have been selected by research agency Nepa.

17,390 consumers

17 countries

150m consumers

450,000 retailers

Online shopping data.
Insights from Klarna’s shopping data. Klarna serves more than 150 million consumers and 450,000 retailers.

Online & in-store.

Bargain hunting season has started. Here’s where shoppers are heading and why.

Black Friday shopping no longer requires protective gear.

Many retailers have evolved their online presence to meet shoppers’ increasingly digital expectations. But does this mean physical stores are irrelevant? Not at all. Our research shows that physical stores still play an essential role for shoppers.

That said, many people anticipate that they will shop online more than usual during the hectic November sales. As such, online stores look bound to take an even larger share of the (digital) foot traffic this year.

IRL vs. digital shopping.

The charts below show how shoppers in each country think they will split their shopping between online and in-store. The remaining population thinks they will split it evenly between the channels.

Why are shoppers turning online?

A consumer’s choice of shopping channel heavily depends on whether they are looking to save time and money or whether they are looking for social interaction and customer service.

This helps to explain why shoppers are planning on digitizing their purchases during the biggest (and often most intense) sales days of the year.

74%

think they get lower prices online.

78%

prefer online stores to save time.

In-store with a digital footprint.

Ever been standing between the aisles and grabbed your smartphone to check product reviews or compare prices? You’re not alone.

The in-store shopping journey begins online.

The digital shopping revolution doesn’t only mean that people are shopping more online. Online research, also called “webrooming,” plays an important role throughout the in-store shopping journey. For the majority of people, a trip to the mall starts before they arrive.

81%

are sometimes (or often) researching online before they go in-store, out of which:

27%

do it often.

Smartphones have forever changed the in-store shopping experience.

Even when shoppers are physically in-store, they are also online, using their phones to compare competitive prices and offers and to check product reviews and testimonials to make sure they have found the right product.

70%

are sometimes (or often) using their smartphones in-store, out of which:

22%

do it often.

Planning makes perfect.

Executing the perfect bargain hunt requires proper planning. We found that there is a strong correlation between setting a budget, planning purchases, waiting to make more expensive big-ticket purchases, and expecting to make bargains during the sales days.

Online shoppers are more meticulous.

Shopping online and in the physical world are done differently. Meticulous planning, budgeting, and price awareness are strongly correlated with online shopping. Those who intend to shop in-store tend to make their purchases more spontaneously.

Online shoppers more often:

– know what they’re going to buy.

– wait until the sales to buy big ticket items.

– compare prices between retailers to find the cheapest item.

– try to make larger share of their holiday gift purchases during the sales periods.

Gen Z’ers & Millennials are on it, too.

Younger generations have a clearer idea of how much they are going to spend and what they are going to buy before the sales even get started.

8 out of 10

Gen Z’ers and Millennials will more often compare prices between retailers, and make more of their holiday shopping during the sales period, compared to last year.

The vast majority think they will buy something during the Black Friday sales.

And this is particularly true for the younger generations.

67%

think they will buy something during Black Friday/week, out of which:

25%

are sure they will do it.

Shopping for yourself and others.

Many take advantage of the sales to buy for themselves and for their nearest and dearest. Many shoppers will aim to get a bargain both on products they use themselves and on holiday gifts for loved ones.

75%

will buy something for themselves, while…

72%

will buy for others.

Top gifting categories.

These are the top products consumers are looking to bag for themselves and others ahead of the holidays.

Children’s Products

is the most popular gifting category, while…

Clothing & Shoes and Electronics

are the most popular categories to buy for oneself.

Evolving payment preferences.

Naturally, payments are a fundamental part of the shopping experience. Yet continual technological innovation means our payment preferences are constantly evolving.

The rise of Buy Now, Pay Later.

Shoppers all over the world are turning to Buy Now, Pay Later to an increasingly higher extent.

According to consumers, the primary benefits of Buy Now, Pay Later over credit cards are avoiding the open line of credit and saving money. Most believe that Buy Now, Pay Later is cheaper compared to credit cards that charge additional fees and interest.

16 out of 17

the preference for Buy Now, Pay Later is higher than credit cards in 16 out of 17 countries.

Why pay interest?

Most people find it helpful to split the payments for holiday gift shopping into equal parts, without any additional cost or interest.

80%

of shoppers find it useful to be able to split a payment into equal parts without paying fees or interest, on a global average.

2022 data updates.

Black Friday 2022 takes place on the 25th of November and Cyber Monday on the 28th.

Klarna will continually update this section over the upcoming weeks based on our shopping data.

The online shopping map.

Select a country from the list below to see where people shop the most online per capita, where people are shopping the most during the sales period (compared to an average day), and how the most popular product categories shift across regions.

The index for “Favourite Products” is calculated in relation to the national average in a particular country. It does not necessarily reflect the products that are most frequently bought overall but in comparison with other regions in that country.

The data includes Black Friday, 2022-11-25 full day.

And that’s that.

Thirsty for more knowledge?

Make sure to check out the other reports available at Klarna Insights.

Dreams.

Dreams take many forms. There are the ones when people shut their eyes and nod off to sleep—whether for a brief snooze or a restful evening—and there’s the more aspirational sort. Some dreams see a person take flight and soar high above the earth, and some involve purchasing or acquiring a desired object. 

While Klarna hasn’t yet figured out how to make that dream of you shooting laser beams from your eyes a reality (don’t worry, we’ll get engineers on it!), we are laser-focused on helping shoppers score the dream item they’ve always wanted. 

In celebration of World Dream Day we’ve conducted research including more than 20 000 consumers from across the world to better understand what shoppers dream about (from the literal to the figurative). And based on what we learned we’ve created the Dream Deals Report, exploring shoppers’ dreaming habits and patterns, and their dream purchases and shopping desires.

Methodology.

Klarna research occurred in May 2022, in cooperation with Dynata and across 19 countries (US, Canada, UK, Ireland, Australia, New Zealand, Germany, Austria, Poland, Netherlands, Belgium, France, Sweden, Norway, Finland, Denmark, Italy, Spain, and Portugal). The survey includes a minimum of 1,000 respondents in each country. In total, 20,413 consumers ages 18 to 75 participated.

19 countries

20,413 consumers

Dreams.

First, the literal. With nearly 8 billion people in the world, there is a whole universe of imagination created by our subconscious every day.

This chapter explores people’s actual dreaming habits and patterns, looking at how often people dream, the types of dreams, and the most common themes globally and nationally.

The dreamiest nation is…

Quantifying the number of dreams every day is a herculean task, but when asked how frequently a person can recall their sleeping dreams, the global average comes to 119 days in a year. For those moments during the day when people drift off for a bit, the average number of days with daydreams is 107, making the combined number of total dreams for the average person around 226 per year.

While nighttime dreaming is consistent worldwide, there is a much more diverse frequency for daydreaming connected to the region where a person lives.

For example, people in Ireland are most likely to daydream (145 per year), while those in Poland are significantly more unlikely to do so (43 per year). The difference between the Nordic countries of Sweden (132), Finland (128), and Norway (124), though, is much less pronounced, with a difference of only 8 separating them. And while thousands of kilometers divide the nations, there’s no separation between the people of Australia and New Zealand when it comes to daydreaming.

  • Canadians have the most dreams at night (143) on average, while the US has the most daydreams (141) per year.

  • The Irish have the highest number of dreams (272) per year, counting both night and day.

  • Men and women average the same amount of dreams at night per year (119), while women daydream 13% more over a year.

Daydream believers.

The US has the most average daydreams per year (141), while Ireland is the country with the most daydreams compared to night dreams (+19 more daydreams), and Poland and France are on the opposite side (+63 more night dreams).

Day dreamers

US, UK, Ireland, Australia, New Zealand, Sweden, Finland

Night dreamers

Canada, Germany, Austria, Poland, Netherlands, Belgium, France, Norway, Denmark, Italy, Spain, Portugal

The dreams of youth.

The younger you are, the more likely you will have healing dreams or ones where you dream something that later actually happens, while lucid and recurring dreams seem consistent across generations. On a global average, Gen Z’ers are more than twice as likely to have healing (+145%) and prophetic (+123%) dreams than Baby Boomers.

Highest share of

Healing dreams: US, Canada (24%)

Prophetic dreams: US, Canada, Poland (32%)

Lucid dreams: Spain, Portugal (50%)

Recurring dreams: Sweden, the Netherlands (53%)

Keeping the dream alive.

While everyone has dreams, not every dream gets remembered. About every fourth person occasionally writes down their dreams, but only a few keep a regular dream diary.

The eagerness to recall dreams seems to be a generational preference, as Gen Z’ers (45%) and Millennials (37%) are far more likely to write down their dreams as compared to Gen X’ers (17%) and Baby Boomers (7%).

Most people (60%) say they have researched what their dreams mean, and 1 in 4 Gen Z’ers (24%) do it often.

Would you like cheese on that?

More than a third of people (37%) say they’d actively choose to eat or drink something that would help them remember their dreams better. That’s especially great news for dairy manufacturers, as research shows cheese may help with dream recall. Thanks to their cheese consumption, Canadians (37%) are the most likely to have already remembered a dream. Italians are very willing to try this (53%), making them more than twice as willing as the Danish (25%) to do so and significantly outpacing their American (24%) and European (19%) counterparts.

Dreams of adventure.

As for the most common types of dreams, people often experience exploring nature and seeing distant places, more so than imagining themselves as an athlete, musician, or artist. If you’re experiencing an even more far-out dream, you’re in good company, 1 in 5 people has dreamed about going to outer space.

Distant new places.

  • Women dream more often about exploring nature and seeing distant places on Earth. In contrast, men more often dream about going to outer space. However, the differences are more significant across generations than between genders.

  • 30% of Gen Z’ers have dreamt about being social media influencers. That’s least prevalent in Austria (21%) and most common in New Zealand (40%).

Dreamed I was someone new.

Reflecting their values and interests, Gen Z’ers and Millennials are more likely to dream about quitting their jobs to pursue passions or turn hobbies into careers, or dream about innovating something impactful or innovative for the greater good.

Meanwhile, for people over the age of 40 there seems to be a drastic decrease in dreams overall.

The only consistent dream among all generations is around travel or going on vacation.

Balancing good and villainy.

Dreams where a person becomes a superhero, are more common than dreaming about being the villain in all countries, but there are wide variations in how frequent it is across borders. Spanish people are ten times more likely to dream about being a superhero than a villain, whereas in Finland and Poland, they dream about being a villain almost as often as being the hero.

In a similar comparison, it seems that there is a clear divide between countries when it comes to whether it’s more common to dream about becoming a real person or a fictional character.

The ideal dream purchase.

Having explored what people dream about while asleep, in this section, we explore what shoppers across the world consider to be a “dream purchase.” For many shoppers, there is one (or many!) items out there they have been pining over or admiring from a distance. Some items are more obtainable, others are more aspirational. Either way, we checked in with shoppers on how long they’d wait to make a purchase, how much they’re willing to spend, and more.

What triggers a dream purchase?

In some countries, as many as two-thirds of people have an ideal dream purchase they are looking to purchase. And about half say there is a specific event that would trigger a dream purchase. What that occasion is, varies across countries and generations, but the most common reason seems to be moving to a new residence.

Baby Boomers (20%) are four times more likely to consider retirement a motivator for a dream purchase compared to younger age groups (5%) for whom retirement feels much farther away. On the contrary, at the starting point of working life, Gen Z’ers (20%) are ten times more likely to consider graduation a motivating factor compared to Baby Boomers (2%).

Dreaming for someone else.

Shoppers aren’t only thinking of themselves, approximately half also have a “dream purchase” for someone else. Most often, that someone is a family member or significant other—this is consistent across age groups. However, the younger you are, the more likely you are to be planning to surprise a friend over a family member with their ideal dream purchase.

Defining a dream purchase.

The idea behind dream purchases is something that solves a particular need or opens up new life opportunities, and is consistent across generations. However, younger generations are more likely to consider dream purchases as something to support their hobbies, or that has emotional value.

Open up new life opportunities or solve a particular need?

  • Americans and Australians are more likely to consider a dream purchase to open up new life opportunities. At the same time, Canadians and Europeans are more likely to want something to solve a particular need.

The price is right? Or the time?

More than one-third (37%) insist it’s impossible to put a price tag on what should be considered an ideal dream purchase, and most shoppers (55%) say there is no specific timeframe one has to wait for an item to become a dream purchase.

And the older (and more experienced?) a person is, the more likely they are to believe a dream purchase doesn’t have to come with a specific price tag or that they have to wait to make their dreams come true. However, among those who would put a price tag on a purchase, only 15% say it has to cost more than $5,000.

And for those saying one needs to wait a specific time before an item becomes a dream purchase, it appears people are eager to make their dreams come true, considering purchasing the item in roughly 95 days, or three months, on a global average.

Reasons for a dream deferred.

The top hindrance preventing a dream purchase is cost (62%). Overall, the average time people are willing to wait for a discount for their dream purchase is 134 days, or about 4-5 months. At the same time, 26% of people are willing to wait however long they have to, while 13% say they won’t wait for a discount at all.

Gender, more than age, seems to have a bigger impact when it comes to being patient for a good deal. Women (29%) are more willing to wait as long as it takes compared to men (22%), while Baby Boomers are both twice as likely to wait as long as it takes (36%) and not wait at all (19%) compared to Gen Z’ers (16% and 7%).

The objects of dreams.

One common experience we’ve seen across demographics and borders is people dreaming about something they do not yet own or possess—call it the “Rosebud effect,” in honor of Citizen Kane. Moving from the ethereal to the (potentially) more tangible, for many people, there are also items they don’t yet possess but are considered “dream purchase.”

Dreams about missing items.

It’s widespread to dream about participating in an activity requiring an object you don’t have (imagine skiing without the skis). Another common theme involves owning an item you don’t actually possess when you wake up (like a magic wand that turns random objects into pastries). About half (43%) of people can recall dreams with these ideas. In these dreams, people are most commonly participating in sports or exercise without the proper equipment, or owning unique fashion items. One noted difference, men regularly imagine owning high-end electronics only to wake up and realize it was just a dream.

Lemme upgrade ya.

Half (49%) of shoppers worldwide are currently looking to level up or improve something important to them. Among the genders, men are more likely to be waiting to make purchases for Electronics, Entertainment, and Leisure, and Sports & Hobby, while women favor Clothing & Shoes, Jewelry & Accessories, Beauty, and Home & Garden to a greater extent.

The most popular products to dream about are electronics, but comparing all age groups to each other, the priorities more clearly shifts:

  • Gen Z: Beauty, and Jewelry & Accessories.
  • Millennials: Children’s Products, and Beauty.
  • Gen X: Leisure, Sports & Hobby, and Home & Garden.
  • Baby Boomers: Baby Boomers: Home & Garden, and Leisure, Sports & Hobby.

Kicking up the look.

Among those looking for fashion items, shoes are the top item to level up or replace for both women (49%) and men (50%). Apart from footwear, men want new jeans and jackets, while women prefer dresses and jewelry.

Top of the fashion carts.

  • US shoppers are looking for accessories like hats, gloves, and belts (31%) and jewelry (49%) to a greater extent than in any other country, while in Spain (40%) of people are most eager to level up their swimwear.

  • The greatest differential in priority comes around the desire to buy a new bag with New Zealand (37%) and Germany (7%) in stark contrast.

Leveling up their favorite things.

Hobbies are one of the areas where people are actively looking to upgrade or replace their current items. Overall, about 24% of people on average are looking to do so, with some activities (like making music or learning a new instrument) seeming to attract more dream purchases than others.

Gamers want to level up.

  • More than one-third of people playing computer/video games (35%), and those who make music or are currently learning a new instrument (34%), would like to improve an item they use for that activity.

  • The activities people feel less inclined to level up or replace an item are dancing, yoga, and pilates.

Dreams and DIY activities.

More than one-fourth (26%) say DIY activities like painting, sculpturing, knitting, and crocheting are among the things they like to do the most.

The most popular DIY activity for all generations is painting, except for Baby Boomers who prefer knitting. However, comparing the preferences of all age groups to each other, the preferred activities become more diverse—and so do the things they would like to try the most.

The DIY activities that each generation currently do, and would like to try, the most compared to other generations.

Age groupCurrent favoriteWould like to try the most
Gen ZSculpturingKnitting
MillennialsCalligraphyKnitting
Gen XCandle & Soap makingJewellery
Baby BoomersKnittingPainting

And that’s that.

Thirsty for more knowledge?

Make sure to check out the other reports available at Klarna Insights.

Loyalty cards.

Plastic loyalty cards. Most of us have a whole bunch of them stacked in our wallets or lying around at home and have most definitely been offered to sign up to many more. They promise us discounts, cashback and rewards for being loyal customers when shopping in-store. But there are only so many loyalty cards you can fit into one wallet. How can brands convince consumers to sign up to yet another loyalty program? How is shoppers’ behaviour with respect to loyalty cards changing in the face of the rising popularity of mobile payments?

In this report, we deep dive into the attitudes towards loyalty cards across 19 markets, with responses from 20,000 consumers across the world.

Happy exploring!

Methodology.

Klarna research occurred in May 2022, in cooperation with Dynata and across 19 countries (US, Canada, UK, Ireland, Australia, New Zealand, Germany, Austria, Poland, Netherlands, Belgium, France, Sweden, Norway, Finland, Denmark, Italy, Spain, and Portugal). The survey includes a minimum of 1,000 respondents in each country. In total, 20,413 consumers ages 18 to 75 participated.

19 countries

20,413 consumers

Are there more loyalty cards or wallets in the world?

The retail version of the “doors or wheels” brain teaser could be “loyalty cards or wallets”. If you check the homes and pockets of shoppers across the world, will you find more loyalty cards or wallets?

The majority has more than one.

Many retailers offer incentives and benefits to retain loyal customers and it’s clear they are very popular. While very few shoppers are not tempted by discounts and rewards from their favorite retailers, the vast majority has more than one.

84%

have at least one loyalty card.

68%

have more than one.

Most loyalty card holders use it at least one once a week.

Whether you’re shopping for groceries and everyday essentials, making a dream purchase or have found yourself at the checkout with an impulse buy, reward programs appear to work well as an incentive for using loyalty cards. After all, every penny spent counts towards a return. 2 out of 3 are using a loyalty card on a weekly basis, while 9 out of 10 are using them once a month. An estimate based on the frequency of usage shows that the average shopper uses a loyalty card around 108 times each year.

Overwhelming amounts of physical cards.

Today, despite a massive shift towards digital payments, you are still very likely to find a plastic loyalty card in most shoppers’ wallets. But you are equally as likely to find a shopper who has left one or more of their cards at home, or rejected the idea of signing up to another loyalty program altogether, unwilling to carry another card with them while out shopping.

The wide availability of loyalty programs is overwhelming for shoppers.

Ever been out shopping and been asked to join another reward program? You are not alone. We’ve all been there, stood at the checkout weighing up whether it’s worth signing up to another loyalty program. Is the opportunity to save money great enough? Is it worth having to carry another card with me? With the majority of retailers offering a loyalty program these days, consumers are feeling overwhelmed. This sentiment is felt most strongly by younger generations, while the Baby Boomers are the most open to joining new and a broader number of programs.

Many loyalty cards are left behind by shoppers.

Despite the benefits of discounts, rewards and cash back loyalty programs, the majority of shoppers are not bringing all their loyalty cards with them when they go shopping – which means that they risk losing out on the benefits if caught without their card at the checkout.

52%

52% of shoppers don’t carry all their loyalty cards with them.

Gen Z

are the most likely to leave their physical cards at home, and less than a third (31%) have all their loyalty cards available when they go shopping.

The vast majority of shoppers have rejected a new loyalty card.

There are no downsides to signing up for a loyalty card… or are there? Despite loyalty cards being offered to shoppers for free, with the intention to save users money, consumers still reject signing up to new loyalty programs. Why? For the majority, it comes down to how attractive the reward program is, although nearly one-third have also avoided a loyalty program simply because they didn’t want to add another card to their wallet. What’s clear is for retailers to onboard new loyalty members, the kickback needs to outweigh the hassle of signing-up and committing to another card.

74%

of shoppers have rejected a loyalty card. Gen Z’ers (81%) are the most likely to have done so, while Baby Boomers (55%) are the least.

33%

say it is because they don’t want another card to carry with them – or any plastic cards at all.

Missing out on the benefits.

Have you ever reached the checkout to discover you left your loyalty card at home so can’t collect the reward points? Or that you previously declined one in the same checkout because you didn’t want to carry another plastic card? You are not alone with this either, and you are once again more likely a member of the younger generations.

Is the future of loyalty cards digital?

The shift towards digital has never been faster. Today shoppers are in search of more efficient solutions that help them save time and money when shopping. With smart ways to pay on your phone, loyalty cards will follow a similar transition.

Shoppers are positive towards replacing their plastic cards with a mobile app.

Unsurprisingly, given that shoppers express feeling overwhelmed by the amount of loyalty programs available and as a result, the number of plastic cards they need to carry with them, an overwhelming majority are positive towards carrying them digitally.

73% of shoppers globally are positive about replacing their plastic cards with an app that stores all of their loyalty and rewards programs digitally. While this trend is reflective across demographics, the sentiment is the strongest among the younger generations, with 81% of Gen Z’ers and 82% of Millennials look forward to a future in which they never miss out on potential benefits in the checkout when shopping at their favorite stores – assuming they wouldn’t leave their smartphones at home.

And that’s that.

Thirsty for more knowledge?

Make sure to check out the other reports available at Klarna Insights.

Welcome to Klarna’s mobile shopping report!

Consumer shopping habits have changed. More reliant on digital devices than ever before and with a growing preference towards mobile which is driving significant behavioral changes among consumers, today there is an increased demand for convenience and flexibility while shopping.

As Klarna has recently launched its new shopping app, we took the opportunity to examine how the rise of mobile has changed consumer shopping habits, as well as to identify the emerging trends that will shape shopping in the future as consumers continue to embrace the mobile experience.

In summary, as shopping becomes more mobile-oriented consumers are looking for a digital-first shopping experience overall, with streamlined shopping apps, digital credit cards, and more.

Methodology.

Klarna’s Shopping App Survey was sent out online in collaboration with research agency Dynata to a representative sample of more than 13 000 participants from 13 countries, conducted in collaboration with research agency Dynata.

This report uses additional consumer research conducted with NEPA across 11 countries  (the US, UK, Australia, Germany, Austria, the Netherlands, Belgium, France, Sweden, Norway, and Finland). The research is conducted on a quarterly basis and always includes a minimum of 1000 respondents in each country per quarter. In total, 18,000 consumers participated during Q4 2021 (October-December).

13 countries

18,000 consumers

3 continents


High usage of mobile phones when shopping.

Mobile phones have grown to become one of the most prominent channels for shopping. They have changed the way consumers shop online, helping people to  discover and find what they need quickly, wherever they are and at whatever time.

Mobile shopping as common practice.

Shopping has become increasingly mobile-oriented, with 71% of people on average saying they have shopped on their mobile.

5 in 7

consumers have already shopped on their mobile phones.

79%

of Americans have already shopped on their mobile phones.

Mobile shopping is on the rise compared to two years ago (before the pandemic).

Many consumers have changed their purchasing habits as a result of the pandemic, with more now turning to their mobile devices to carry out their shopping needs.  Although much of the growth in mobile shopping compared to two years ago is Gen Z and Millennial-driven, this trend is reflective across demographics. 

76%

of Gen Z’ers have shopped more on their mobile phones compared to two years ago, compared to 56% of the general population

1 in 2

Baby Boomers in the US, the UK and France have done the same

An increased preference for mobile phones when shopping.

Although the majority of consumers still prefer to purchase online using traditional desktops or laptops, a number of consumers prefer to use mobile devices, and this preference is on the rise.

  • There is a clear trend for increasing mobile preference in the Nordics. Meanwhile, German shoppers are turning in the opposite direction.
  • The US is the only country where the majority of shoppers have a higher preference for mobile devices than computers.
  • The only countries with a mobile preference lower than 30% are Belgium and France. Four countries (Austria, Finland, the Netherlands and Sweden) have a preference below 30% but mobile shopping has clearly trended upwards during 2021.

Millennials rely more on their smartphones for online shopping.

Preferring to shop on mobile correlates with consumers who have a higher online shopping frequency in general. In general, preference for mobile shopping is  highest among younger generations (Millennials and Gen Xers).

This chart illustrates the preference for mobile shopping for consumer groups that are well above the general average.

37%

shop online at least once a week on their mobile phone.

48%

of Millennials shop at least once a week on their mobile phone.

In-store with a digital footprint.

The ability to research products online before visiting a store is an integral part of the path to purchase. Many shoppers start their shopping journey by doing research online using their mobile devices before visiting the store to shop for their final purchases.

The in-store shopping journey begins online.

The digital evolution does not only mean people are shopping more online. Online research, also called “webrooming,” plays an important role throughout the in-store shopping journey. The majority of modern day trips to the mall start online.

The chart below illustrates the percentage of in-store shoppers who usually research online before shopping in physical stores.

  • Online pre-search is most prevalent for Clothing, Electronics and Beauty products.

  • Electronics stands out as a high pre-search category. Consistent across all generations, at least 8 out of 10 shoppers say that they research items in this category before buying in-store.

Online research has become part of the in-store shopping experience.

The evolution of smartphones has forever changed the in-store shopping experience. Similar to online, in-store shoppers are also making comparisons for competitive prices and offers and checking product reviews and testimonials to make sure they are buying the right product. If you see someone on their phone in a store, there’s a high chance they are doing some additional product research before making a final purchase.

The chart below illustrates the hare of in-store shoppers using their smartphone to research products while in physical stores. 

  • Americans, Australians and Scandinavians do this most often.

  • The stereotypical Nordic preference for having more personal space may come as quite handy for in-store shoppers wanting to keep shop owners unaware that they are not texting or checking the weather, but in fact using their mobile to draw price comparisons and see whether the grass is greener somewhere else.

Mobile shopping has also changed the way consumers interact with brands. As a growing number of consumers embrace mobile, the expectations on the online experience continues to reach new heights.  Nowadays, people are looking for a seamless online shopping experience, that meets their personal needs.

More informed mobile shoppers.

While the digitalization of retail has given additional power to the consumer—including more choice and information—it has also made the decision-making process more complex.Drawing price comparisons and searching for deals and promotions are the most common activities people do when shopping online, followed closely by the ability to manage bought and returned items through delivery tracking.

9 in 10

consumers compare prices and look for deals and promotions online.

88%

of consumers keep track of their deliveries and returns

Virtual cards on the rise.

Virtual cards, also known as electronic cards, can be used when making online purchases and act as replacements to regular physical cards.

This chart illustrates the percentage of consumers across the globe who have heard of virtual cards and those who have also used them when making online purchases.

3 in 5

consumers have heard of virtual cards for online transactions

2 in 5

of Gen Z and Millennials have used virtual cards for online shopping

Reasons behind using a virtual card when shopping.

Convenience is key. When shopping online, consumers are actively searching for more efficient and quicker ways to checkout, making it the first driver for using a virtual card.

68%

use virtual cards for convenience in the US.

1 in 2

consumers use virtual cards for improved anonymity, privacy and security.

Online shoppers embracing virtual cards in the future.

When making future online purchases, it is clear that virtual cards are going to be increasingly embraced by consumers.

81%

US Millennials would prefer using a virtual card for their future online purchases.

4 in 5

of Gen Zers would purchase with a virtual card when shopping online.

High usage of mobile apps and shopping apps.

Consumers today have a vast selection of apps installed on their phones, ranging from travel and transportation to shopping, music, and healthcare, among many others. Nonetheless, only a few apps are being used on a weekly basis and consumers express clear frustrations in regards to the number of apps on their devices and how they need to continuously switch between them.

Apps downloaded on one’s phone.

53

is the average number of downloaded apps a Norwegian or Dutch consumer has on its phone.

48

is the average number of apps on a Gen Zer’s phone.

Smartphone owners are only using a few apps on a weekly basis.

Although smartphone users are spending more time in apps than before, there is an upper limit as to how many apps a consumer regularly uses on a weekly basis. Consumers have a limited level of engagement with most of their installed apps.

On average, only a few mobile apps are used on a weekly basis.

1 in 4

uses between only 1 to 10% of their mobile apps.

8%

of consumers use more than half of their existing apps.

High number of shopping apps downloaded.

On average, 1 in 5 consumers have approximately 6 to 10 shopping apps downloaded on their mobile devices.

Number of shopping apps used on a weekly basis.

Among the consumers who have shopping apps installed on their phones, on average over 80% use only 1 to 5 (or none at all) on a weekly basis.

Shopping apps overload.

Although mobile shopping is now common practice, the majority of consumers think they have too many shopping apps on their phones.

The chart illustrates the number of apps a consumer considers of no use and would like to delete off their phone whilst going through their  installed shopping apps.

1 in 4

would delete more than half of their existing shopping apps.

33%

of Swedish consumers would delete more than half of their existing shopping apps.

Preference for one single shopping app.

The majority of consumers would like to move away from a very cluttered and complex shopping app landscape and have expressed clear interest in having one single shopping app to simplify their online shopping experience.

Overwhelmed by too many apps.

The majority of consumers feel overwhelmed about the number of shopping apps available.

The chart illustrates the percentage of consumers feeling overwhelmed by the amount of available shopping apps

40%

 of consumers across the globe feel overwhelmed by the number of apps available.

51%

of Finnish and Dutch consumers feel overwhelmed by the number of apps available.

Preference for one single shopping app.

Consumers are embracing the idea of having one single app that consolidates shopping, payments and post-purchase management, such as order management, delivery and returns tracking – all in one place.

70%

would prefer to have one single app that incorporates all the features of the shopping apps they currently use.

3 in 4

Gen Z and Millennials would prefer to have one single app.

The advantages of having one global shopping app.

Simplicity and convenience seem to be the key motivators for having one single shopping app, allowing consumers to perform multiple actions in one place, as opposed to  having to switch between different apps.

Simplicity.

70% would use one app because they feel it simplifies the whole shopping experience.

Convenience.

68% of consumers are shopping on mobile devices because it saves them time.

The future of mobile shopping.

70%

would prefer having one single app that would incorporate all the features of the shopping apps they currently use.

3 in 4

of Gen Z and Millennials would prefer having one single app.

That’s it for this time!

The insights in Klarna’s Shopping Pulse is updated on a quarterly basis, so stay tuned for future updates.

Thirsty for more knowledge?

Make sure to check out the other reports that are available at Klarna Insights!

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