Buy now Pay later firm Karna and loyalty program Flybuys are partnering to allow customers to earn reward points for every dollar repaid through through the BNPL platform.

Starting in May, Flybuys’ members can use the Klarna app online and in-store and shop, and when making their repayments can earn 1 ‘vibe’ per dollar repaid, which convert to 3 Flybuys points.

“This partnership with Klarna opens up new opportunities for our members to collect points, and even more ways to be savvy with their shopping,” said Flybuys chief executive officer John Merakovsky.

“We’re incredibly proud to welcome Klarna into the fold as our first buy now, pay later partner.”

This is the latest major partnership from Flybuys, which last year also developed and launched a new payments platform, Flypay, with supermarket Coles.

And, in an economic environment where customers are looking to make the most out of each purchase, increasing the reach of a loyalty program into different methods of payment could make it easier to onboard new customers.

According to Klarna general manager for ANZ Fran Ereira, the new partnership has been designed for “modern customers”.

“Shoppers want more flexibility in payment options so they can get what they want now, but they also want to be rewarded for taking this option,” Ereira said.

“Klarna’s partnership with Flybuys rewards both our customers by tripling their points collection and rewards potential.”