Amazon offers Prime memberships for Medicaid recipients for $5.99; 54% discount

by Susie Olson March 8, 2018, 1:56
Amazon offers Prime memberships for Medicaid recipients for $5.99; 54% discount

Amazon is making another move in its courtship of lower-income shoppers, announcing a discount on its Amazon Prime monthly membership fee for recipients of Medicaid. The $5.99-a-month price compares to the regular $12.99 pay-by-month option and is almost $30 cheaper than the $99-annual-fee plan.

Prime offers benefits such as free day unlimited two-day shipping on tens of millions of products, as well as other services such as streaming of various entertainment offerings.

When Amazon rolled out its discounted Prime rate to EBT cardholders last summer, the Wall Street Journal described it as a move to steal business away from Walmart, which sees a huge portion of its sales from SNAP beneficiary customers.

Targeting low-income customers is a key part of the war between Amazon and Walmart.

Amazon is seemingly shopping for new customers given that many upper-income consumers have already subscribed to Prime in the past. In turn, Walmart is also vying for Amazon customers, as the retailer has been significantly improving its online store in recent years to better compete against Amazon.

The discounted membership price works out to about $72 for 12 months.

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"Once these folks try Prime, we feel like we're going to make lifetime Prime members out of them", Perrine said.

The Prime members will still receive benefits of full paying members such as Prime Video, Music, Photos, Reading, Audible channels, Prime Now, and even free same-day and one-day shipping.

Obviously, the discounts help people save money compared to the normal cost of Amazon Prime.

To qualify for for the discounted membership, customers can visit and upload an image of their EBT card or Medicaid card.

Customers will need to renew their membership every year and the lower rate will only be available for four years for each customer. Her youngest son has a rare genetic disorder that prevents her from working full time and makes going to the store more hard.

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