Klarna has used AI to streamline marketing campaigns and design graphics, saving almost $10 million a year.During the quarter, the company reduced its marketing and sales budget by 11%. Klarna attributed 37% of these investments to AI. The company at the same time increasing the number of campaigns by $6 million at the expense of corporate graphics through enhanced AI tools like Midjourney, DALL -E and other tools.
Klarna updates its app and website each week to coincide with major retailers such as Valentine’s Day, Mother’s Day and summer sales. According to CMO David Sandstrom, AI has made it possible to create bespoke models for these occasions. The have significantly decrease the cost and increase savings, ending the reliance on stock models.
In the first quarter of 2024, Klarna generated more than 1,000 models using AI. Also, reducing model development timelines from six weeks to just seven days. Additionally, the company saved $4 million by cutting costs on outside marketing services including translation, production and social media agencies.
Moreover, Klarna partnered with OpenAI to develop an AI assistant to serve customers, effectively employing 700 full-time employees.