Hi everyone, I’m Lee, and I work at giffgaff as a Product Manager in the Phones team. Recently, we’ve been building a new way to buy a phone on finance that I wanted to let you know about.
As our relationship with Ratesetter comes to an end, we want to make sure we can keep giving members the level of flexibility that they’ve come to expect from giffgaff. While we looked at a lot of options, the stand-out to work with going forward is Klarna, a company you may already be familiar with.
If you already have a loan with Ratesetter then you’ll continue to pay off and manage your loan exactly as you do today. Once we’ve rolled this out fully, anyone buying a phone will be doing it with Klarna.
Members will still be able to choose the term of their loan from a range of options, as well as their up-front payment amount - it’ll just look a little different. Once you’ve bought a phone this way, you’ll be able to manage your loan at Klarna’s end, through their website or app, and use the tools they already have available to manage or pay off the loan as it suits you.
I want to take you through the typical journey someone might have when buying a phone. For those of you wanting to pay outright, you can of course still use your credit or debit card to do so, but this journey will also benefit from some of the updates we’ve made to the checkout experience. These are not quite final yet, so might look a little different at the actual launch, and we’ve blacked out anything related to cost as that can change per phone and depending on your selection, but it should give you an idea of the way it’ll work.
Phone details page
This is pretty similar to the current page, but you should notice some key differences. We’ve chosen an iPhone XR to demo this with, but we’ll likely launch on a different phone as our test - this is just an example.
If you’re already logged in and have a goodybag, you’ll not need to do this, but if you’re buying a phone when joining, here’s where you’ll choose your goodybag.
Login and register
This’ll be skipped if you’re already logged in, of course.
This is so we can get your phone to you. We’ll pre-fill what we can if you already have an account, but some things we might need to confirm.
This page summarises your order and is where we collect the card for your up-front payments for your goodybag and phone. This is processed on our side.
This one summarises the loan that you’ll have with Klarna for the remainder of the phone price, and allows you to choose your payment term. This might be different for different kinds of phones, depending on what we can offer. Once you’ve chosen that and click Continue to Klarna, that’s when the credit check will happen.
After this you’ll go to a Klarna agreement page. We haven’t got a preview of that, as it’s tailored to each individual and deal that’s chosen. Make sure you read it all and are comfortable with proceeding.
This helps Klarna verify that it’s really you that’s buying this phone. They’ll use the mobile number you provided earlier for this.
This is a final summary of your loan. As this is just a summary of the credit agreement, it won’t include what you’ve already paid to giffgaff as an up-front payment.
You’ll then see a screen like this one. This will also be personally tailored to the agreement you’ve chosen. When you click “I sign the agreement” at the bottom, that’ll confirm your order in full.
You’ll then be taken back to giffgaff and we’ll summarise what you’ve bought. Keep an eye out for your new phone at your door.
We’re going to start offering phones this way on just one phone at first, so that we can make sure it’s right, and will be rolling it out to more devices over the next few weeks. Looking forward to seeing what you think!