Cheaper Amazon Prime for Medicaid Recipients

Cheaper Amazon Prime for Medicaid Recipients

Last summer, Amazon offered the discounted membership price to customers on other government assistance programs, including the Supplemental Nutrition Assistance Program (SNAP), and Women, Infants, and Children Nutrition Program (WIC).

Prime costs $99 annually, or $12.99 on a monthly basis.

A Prime membership includes free two-day shipping and streaming access to movies, TV shows and music.

Inc. declined to say how many people signed up for Prime under the EBT card expansion, but Aaron Perrine, who oversees the program, says those that did sign up kept the service and were engaged Prime users.

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"We hope to make Prime even more accessible", said Cem Sibay, Vice President, Amazon Prime in the post.

Amazon has been working to offer more services for lower-income shoppers, including discounted Prime memberships and Amazon Cash. Amazon doesn't say how many Prime customers it has, but market research company Forrester Research says that the majority of American households with annual income over $100,000 already pay for a Prime subscription. For Amazon, it also opens up a new customer base. But it's not altruism; Amazon Prime has been widely adopted by middle-class and well-off Americans, so if the membership program is going to continue to grow in the USA, the company has to figure out how to attract other demographics. As of 2016, roughly 44 million people got benefits from SNAP, the program formerly known as "food stamps".

In that regard, offering a social benefit for people who may have more challenges getting to a store or affording faster shipping could become sound business, too, said Avi Greengart, an analyst at Global Data.

Regardless of the larger retail battles being waged, are cheaper $5.99 Amazon memberships actually a good deal for poor people? He mentioned Wendy, a single mom with four kids who lives in rural Missouri.

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