Walgreens announces plan for co-branded Mastercard credit, prepaid debit cards

It's part of a push by the company to bring together health and wellness and consumer loyalty.

Eligible customers will be able to use the Walgreens credit card for purchases at more than 9,000 Walgreens stores, Walgreens.com and via the Walgreens mobile app.

Walgreens is making the next move in the retail health wars. On Jan. 13, the pharmacy giant announced it will launch a prepaid debit card and Synchrony-issued credit cards — both powered by the Mastercard network.

The credit cards will connect with Walgreens new customer loyalty program, myWalgreens, which launched in November. Cardholders will be able to receive myWalgreens cash rewards and other offers, and the co-branded credit card will offer a wider range of benefits provided through Synchrony and Mastercard when used at other retailers and service providers. Eligible customers will be able to use the Walgreens credit card for purchases at more than 9,000 Walgreens stores, Walgreens.com and via the Walgreens mobile app. Cards are expected to be available in the second half of this year.

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“Walgreens is committed to providing our customers and patients with unparalleled loyalty and rewards experiences for managing their health and well-being, and we are excited to partner with Synchrony and Mastercard, who share our commitment to support healthy communities,” Walgreens president John Standley said in a statement. “As we continue to focus on creating new revenue streams, we look forward to exploring and introducing even more health and well-being payment initiatives in the near future.”

The new cards will be the first in a range of new financial products and services planned by Walgreens, which has renewed its focus on health and well-being while also enhancing loyalty programs and customer personalization. Walgreens plans to explore a number of Mastercard solutions, according to the company, including such services as insight and analytics, cybersecurity, and point-of-sale financing.

Over the past 18 months, other major retailers also have made strides to capture a greater share of the health care market. Walmart expanded its retail clinic offerings at specific locations, and CVS opened additional “HealthHubs” featuring substantially more health care services and expanded clinics.

In other news, Walgreens Boots Alliance (of which Walgreens is a subsidiary) has partnered with iA, a provider of software-enabled automation solutions for retail, hospital, federal health care, and mail-order pharmacy markets. Investment from WBA will support iA’s expansion and further development of pharmacy automation solutions to benefit the entire pharmacy industry, according to officials.

“The role of pharmacists as an integral part of the health care system and patients’ care teams has never been more critical,” Stefano Pessina, executive vice chairman and CEO of Walgreens Boots Alliance, said in a statement.

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