Dive Brief:

• Walgreens’ loyalty program is now available through Apple Pay, marking it the first U.S. retailer to integrate their customer rewards platform with Apple’s mobile payments service, TechCrunch reported.

• The partnership will enable the drugstore chain’s over 85 million Balance Rewards members the ability to use Apple Pay at checkout using either their iPhone or Apple Watch.

• To use the service, customers have to add their Rewards card information to Apple’s Wallet app, and then place their finger on Touch ID while holding the phone near the contactless reader at the retail checkout. Apple Watch owners can double-click the side button, pick their Rewards card, and then hold their watch face up to the reader.

Dive Insight:

With this move, Apple Pay, which has already garnered the most attention and support by retailers in the battle for mobile-wallet supremacy, gets a further leg up in the race. Retailers have placed a premium on finding new, digital ways to drive sales and brand loyalty via their rewards programs, and Apple Pay is making it easier for them to do just that.

Dunkin Donuts, Panera Bread, Coca-Cola, and Wegmans Food Markets are also planning Apple Pay loyalty card integrations, TechCrunch reported.

And earlier this year, Apple Pay enhanced its mobile-payment service to support retail cards. Kohl’s store card, for one, is now compatible with Apple Pay; J.C. Penney, and B.J.’s will follow suit, the retailers said.

Walgreens' integration with Apple Pay is not only the first of its kind, but reflects the retailer’s massive consumer reach, as it boasts over 80 million loyalty card shoppers.