Walgreens and Apple have partnered to offer a $50 bonus to new cardholders that spend $50 in 30 days at the drugstore chain, according to Apple's website.
Apple card users earn additional rewards like 3% cashback on purchases from Walgreens. The card offers similar rewards on purchases made from Nike, Uber, Uber Eats and T-Mobile stores, per the company's website.
The card does not charge annual fees, foreign transaction fees or late fees, and it does not limit how much cashback consumers can earn, per the company site.
Apple launched its credit card in last August. The card includes features aimed at helping cardholders manage their finances, including transaction categorization, spending summaries and a detailed accounting of how payments could impact their interest charges.
Before the COVID-19 pandemic, companies including Venmo, Lands' End and REI had introduced their own branded cards as well as expanded benefits for consumers. In pursuit of enticing customer perks, Venmo also enlisted various merchants to its platform, including Target, Sephora and Sam's Club, as part of its limited cashback offer.
But the coronavirus pandemic has pushed consumers to pay off their credit card debt, caused an unprecedented spike in unemployment and upended already vulnerable nonessential retailers. Apple didn't explain why it chose to partner with Walgreens and introduce a sign-up incentive at a time like this, but the company has collaborated with Walgreens since shortly after the card launched for 3% Daily Cash on purchases.
As for Walgreens, the drugstore retailer has been trying to find its footing and adapt to the current times. In January, the company reported a first-quarter sales increase of 1.6% to $34.3 billion, but retail sales declined by 2.2% year-over-year. Its earnings have remained lackluster despite initiatives with FedEx and Kroger, among others. However, as an essential retailer, the drugstore could see a boost in sales from the pandemic. Last month, the retailer introduced an 'order ahead' service to allow shoppers to collect select health and wellness items through participating drive-thrus as customers largely stayed home due to the outbreak.