Walgreens Diversifies Mobile Rewards by Adding Android Pay

Rewards are considered a key driver to get consumers to adopt mobile payments, and Walgreens has tied its loyalty program to Android Pay.

The program allows Walgreens Balance Rewards members, of which it has more than 85 million, to earn and spend points at checkout through Android Pay without having to scan their loyalty card or enter their account information.

“We’re continually looking at ways to enhance the customer experience through innovative and forward-thinking technologies,” Abhi Dhar, Walgreens senior vice president and chief information officer, said in an Aug. 22 news release. “We’re proud to have been the first retailer to integrate our loyalty program with the two leading mobile payment providers, and to give our customers another channel for greater access, choice and convenience.”

Walgreens' mobile strategy includes embedding payments in other mobile transactions, such as marketing and health care management. In November Walgreens made the same move with Apple Pay, letting users earn Walgreens Balance Rewards points during an Apple Pay transaction. Other pharmacies, such as CVS, are also including payments as part of a broad-based mobile approach that considers a consumer's entire experience at the pharmacy.

Users add their Balance Rewards card information to the Android Pay app and to apply their rewards information, hold their phone near the PIN pad before paying. To checkout, members hold their Android device near the PIN pad again for payment.