Repair specialists aim to split cost over time
Technology repair chain iSmash has signed a deal with Sweden-based payments provider Klarna to facilitate customer payments.
The deal will see the implementation of Klarna’s “pay in 3” service in iSmash’s 26 stores across the UK, which splits the cost of a repair into three equal instalments.
The first of these instalments is paid at the point of sale, the second thirty days after, and the third 60 days after. The service has no additional interest or fees.
Klarna works with almost 4,000 UK retailers and has served 4.4 million UK customers, according to its UK general manager Luke Griffiths.
Speaking to Mobile News, iSmash founder and managing director Julian Shovlin said: “In a world where the value of devices is increasing and therefore the cost of repairs is increasing, we’re looking to find ways to make repairs more accessible to our customers. This solution with Klarna is one of those ways.
“A device repair is not planned, it’s a distressed purchase. Couple that with the fact that people are heavily reliant on their device means that rather than the customer having to save for a number of months to get a £200 payment done, they can slice their payment in three which means they can potentially get it fixed within the same week.”
Griffiths added: “The heart of our business is an analytics engine which assesses fraud and identifies the likelihood to get paid on a transaction. We take on that risk and pay the retailer as soon as the transaction is completed; the benefit for the retailer is that it’s risk-free.”
Shovlin said that iSmash was planning on expanding to 70 stores “over the course of the next two to three years”. Part of the expansion includes partnerships and accreditation with brands and manufacturers.