Introduction

Klarna, a global leader in financial technology, has embarked on a transformative journey by integrating an AI-powered assistant into its customer service framework. Launched globally on February 27, 2024, this innovative solution leverages OpenAI’s cutting-edge technology to enhance the shopping and payment experiences for Klarna’s 150 million consumers worldwide. This case study delves into the significant impact of Klarna’s AI assistant within its first month of operation, highlighting its effectiveness in handling customer interactions, improving service efficiency, and driving substantial profit improvements.

The Challenge

Klarna, known for its commitment to consumer-centric solutions, faced the challenge of scaling its customer service operations to meet the demands of a growing global user base. Traditional customer service methods, while effective, were resource-intensive and often resulted in long wait times and inconsistent service quality. Klarna sought a solution that could handle a large volume of inquiries efficiently, provide consistent and accurate responses, and support a multilingual, global audience.

The Solution: Klarna AI Assistant

Klarna’s AI assistant, powered by OpenAI, was developed to address these challenges head-on. Designed to be available 24/7 across 23 markets and capable of communicating in over 35 languages, the AI assistant aimed to revolutionize customer service by providing quick, accurate, and reliable support. Key features include:

• 24/7 Availability: Ensuring customers receive assistance at any time, reducing wait times significantly.

• Multilingual Support: Catering to a diverse global audience by handling inquiries in over 35 languages.

• Efficient Query Resolution: Managing a wide array of tasks from refunds and returns to payment-related issues and financial advice.

• Enhanced Customer Satisfaction: Matching human agents in customer satisfaction scores and reducing repeat inquiries by 25%.

Results

The introduction of the AI assistant has yielded impressive results in its first month:

• Volume of Interactions: The AI assistant engaged in 2.3 million conversations, managing two-thirds of Klarna’s customer service chats.

• Equivalent Work of Human Agents: Performing the work of 700 full-time agents, significantly reducing the need for extensive human resources.

• Customer Satisfaction: Achieving parity with human agents in customer satisfaction scores, indicating a successful deployment.

• Efficiency: Reducing the average time to resolve customer issues from 11 minutes to less than 2 minutes.

• Profit Improvement: Expected to drive a $40 million USD profit improvement for Klarna in 2024.

Impact on Diverse Communities

The AI assistant’s multilingual capabilities have notably improved communication with local immigrant and expat communities, enhancing their experience with Klarna’s services. This inclusivity is pivotal in providing equal access to financial services and fostering stronger customer relationships globally.

Future Developments

Klarna is committed to continuously enhancing the AI assistant, with exciting new features in the pipeline aimed at further improving customer interactions and financial management. Despite the technological advancements, Klarna ensures that customers can still choose to interact with live agents if preferred, maintaining a balance between innovation and personal touch.

Leadership Perspectives

Brad Lightcap, COO of OpenAI, emphasized the pioneering role of Klarna in AI adoption, stating, “Klarna is at the very forefront among our partners in AI adoption and practical application. Together we are unlocking the vast potential for AI to boost productivity and improve our day-to-day lives.”

Sebastian Siemiatkowski, co-founder and CEO of Klarna, highlighted the broader implications of this technological leap, “This AI breakthrough in customer interaction means superior experiences for our customers at better prices, more interesting challenges for our employees, and better returns for our investors. We are incredibly excited about this launch, but it also underscores the profound impact on society that AI will have.”

Conclusion

Klarna’s AI assistant represents a significant milestone in the evolution of customer service in the financial technology sector. By leveraging AI, Klarna has not only enhanced the efficiency and effectiveness of its customer support but also set a new standard for the industry. As Klarna continues to innovate and expand its AI capabilities, it remains dedicated to providing superior service and fostering positive societal impact through thoughtful and responsible AI integration.

About Klarna

Since 2005, Klarna has been on a mission to accelerate commerce with consumer needs at its heart. With over 150 million global active users and 2 million transactions per day, Klarna’s AI-powered payment and shopping solutions are revolutionizing the way people shop and pay online and in-store. More than 500,000 global retailers integrate Klarna’s innovative technology and marketing solutions to drive growth and loyalty.

About OpenAI

OpenAI’s mission is to create safe and powerful AI that benefits all of humanity. Through strategic partnerships and cutting-edge technology, OpenAI is committed to unlocking the vast potential of AI to improve lives and drive progress across various industries.