Walgreens has supported NFC payments for a number of years, even when other retailers were trying to fight it. They are taking it a step further by becoming the first retail store to support their loyalty card via NFC on Android Pay. There are many stores that support managing their loyalty/rewards cards in Android Pay, but Walgreens is notable for being the first to support their card via NFC. Walgreen's Balance Rewards program works exactly how you would expect - purchasing items earns points, which you can then spend in-store.

Instead of showing the actual Rewards card at checkout, you can now simply tap your phone on the PIN pad. You still have to pay for your purchase by either using Android Pay again or using another payment method, but it saves you from carrying another card around.

It's not clear when exactly this functionality went live. Android Pay 1.4 was released back in June, adding support for future loyalty cards. The cached version of Google's loyalty program support page (last updated August 15) mentions Walgreens. More than likely, support for the loyalty program started rolling out recently, and only today Walgreens is formally announcing it.

The only other NFC loyalty card supported in Android Pay is 'My Coke Rewards,' which only works at select Coca-Cola vending machines.

UPDATE: 2016/08/22 4:18pm PDT BY

This post has been updated to better explain that Walgreens is the first retailer to support loyalty cards/rewards via NFC. There are many stores and companies that support managing their loyalty card in Android Pay, but Walgreens is the first to support using it via NFC.

PRESS RELEASE

Source: Business Wire