Klarna's Sebastian Siemiatkowski defends 'burrito now, pay later' DoorDash deal amid social media backlash

Klarna CEO Sebastian Siemiatkowski has taken to social media to defend his company’s recent US deal with DoorDash after it received criticism over the thought of hard up Americans taking months to pay off a $25 fast food delivery.

It’s another big tie up for the Swedish FinTech giant, which also this month announced that it will become the exclusive provider of buy now, pay later loans for Walmart, nabbing the partnership from rival firm Affirm.

Proponents called it fantastic momentum as Klarna publicly filed a registration statement (Form F-1) with the US Securities and Exchange Commission (SEC) for a proposed initial public offering (IPO) of its ordinary shares,

In the coming months, DoorDash customers in the US will be able to tap Klarna’s service when purchasing groceries, retail, and DashPass Annual Plan - on DoorDash.com or through the venture’s app. When they reach check-out, they’ll see Klarna as an additional payment option, including the ability to pay in four equal interest free installments.

The deal quickly became the subject of jokes and acerbic asides on social media as people questioned the wisdom of using a BNPL offering to purchase a pizza for two.

“Excited to announce that I closed on a $31.38 transaction to secure a burrito and side of chips 20-year senior fixed rate financing was provided by Klarna DoorDash provided delivery of the asset Congratulations to all involved,” said one X user.

Another quipped: “Klarna and DoorDash should not even know each other exist. That’s a collab fresh from the gates of hell.”

“Sorry girl, I can't go out tonight. Klarna just took out the rest of my 4 for 4 from doordash,” said another.

And on a more serious note: “If you need a loan to buy a damn burger, you’re not the customer - you’re the product. @DoorDash and @Klarna aren’t helping people; they’re vultures picking at the bones of a broken economy.”

“They know wages are stagnant. They know people are drowning in bills. Instead of fixing the problem, they found a new way to profit off desperation. “Eat now, pay later” isn’t convenience - it’s a trap. And like all traps, the people who set it aren’t the ones who get caught.”

In response, Siemiatkowski posted on X: “Klarna offers many payment methods: Pay in full (wallet) All purchases at the end of month Pay in 4 Fair financing US customers will discover! DoorDash offers many products beyond food! I know we are most famous for pay in 4. But you can use a credit card at DoorDash as well.”

Where do you stand on this hot topic, dear reader? Let us know your thoughts in the comments section below.

2025 RTIH INNOVATION AWARDS

Payments will be a key focus area at the 2025 RTIH Innovation Awards.

The awards. which will open for entries in March, celebrate global tech innovation in a fast moving omnichannel world.

Our 2024 hall of fame entrants were revealed during an event which took place at RIBA’s 66 Portland Place HQ in Central London on 21st November, and consisted of a drinks reception, three course meal, and awards ceremony presided over by comedian Lucy Porter.

In his welcome speech, Scott Thompson, Founder and Editor, RTIH, said: “The event is now into its sixth year and what a journey it has been. The awards started life as an online only affair during the Covid outbreak, before launching as a small scale in real life event and growing year on year to the point where we’re now selling out this fine, historic venue.”

He added: “Congratulations to all of our finalists. Many submissions did not make it through to the final stage, and getting to this point is no mean feat. Checkout-free stores, automated supply chains, immersive experiences, on-demand delivery, next generation loyalty offerings, inclusive retail, green technology. We’ve got all the cool stuff covered this evening.”

“But just importantly we’ve got lots of great examples of companies taking innovative tech and making it usable in everyday operations - resulting in more efficiency and profitability in all areas.”

Congratulations to our 2024 winners, and a big thank you to our sponsors, judging panel, the legend that is Lucy Porter, and all those who attended November's gathering. 

For further information on the 2025 RTIH Innovation Awards, please fill in the below form and we will get back to you asap.