Home » Money

Amazon slashes the price of its Prime fee for Medicaid recipients

08 March, 2018, 03:47 | Author: Shawna Walton
  • Amazon is taking aim at Walmart by offering a 54 percent discount on Prime memberships for Medicaid recipients

Amazon is expanding its discounted Prime membership to Medicaid recipients.

The new discount slashes the membership cost from $12.99 to $5.99 per month. A full-price membership typically costs $99 annually or $12.99-a-month for those who don't want to commit to an annual fee.

By establishing a tier for medicare recipients, the government-sponsored health care scheme for low-income pregnant women, adults, seniors, and people with disabilities, Amazon adds another entry point to its services to people in lower income brackets. Prime members have access to free two-day shipping on most items, same-day delivery in some locations and streaming music and videos. While Amazon doesn't say how many members Prime has, those customers usually spend more and buy more frequently than non-members.

Amazon in June started offering that discounted rate to people with Electronic Benefit Transfer, or EBT, cards, which are used to give money for food assistance and other government-aid programs. There is no annual commitment and customers can cancel the membership at any time. If you receive Medicaid benefits, you can now get Prime at a discounted rate as well.

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.

The move is the latest push by the e-commerce giant to reach lower-income customers. In cases like this, we can look at Prime as something of a loss leader for the company, with the idea being that a subscription to Prime encourages users to do more of their shopping through Amazon. Amazon also a year ago began a program to deliver groceries to food-stamp recipients. The use of the discount is capped at four years.



Australia and East Timor reach historic worldwide agreement
The dispute had prevented the development of the Greater Sunrise gas fields in the region, which are owned by a joint venture which includes Royal Dutch Shell PLC.

Alexa is laughing at people, unprompted; Amazon is working to fix it
All Amazon has said on the matter is, "We're aware of this and working to fix it". It's also not unheard of to have people talk to users through their Echo devices.

Toyota Supra returns as Gazoo Racing motorsport concept
The doors are lined with carbon fibre panels and it gets a racing display instead of the usual instrument clusters. TOYOTA GAZOO Racing has since become the worldwide umbrella organization for Toyota's global sporting program .

Peele makes history with screenplay win
When asked about the importance of the awards and big accolades he said, "I didn't know how important it was". Taking to Twitter shortly after his win, Jordan Peele acknowledged the moment saying , "I just won an Oscar".

Italy's anti-immigrant League hails unprecedented results in elections
Founded in 2009 by comedian Beppe Grillo , who denounced cronyism in Italian politics, Five Star is now led by Luigi Di Maio , 31. The bitter and divisive contest yielded no overall victor , but the swing towards populist extremist parties should be a concern.

Include a SpaceX Falcon 9 launch in your late Monday night plans
This is due to unfavorable weather conditions in the recovery area from Florida's Atlantic Coast, the company's website said. SpaceX rescheduled today's mission from February 24 to correct a problem with the Falcon 9's fairing pressurization system .

Deontay Wilder takes on 'King Kong' Ortiz in NY
Deontay Wilder blasts Luis Ortiz through the ropes during their WBC heavyweight title fight in NY . Wilder (40-0, 39 KOs) is lighter than his rivals but he still has unquestionable knockout power.

Walmart launches meal kits
Walmart is cooking up a solution with new meal kits set to roll out to more than 2,000 stores this year. Thai curry chicken and chicken fried rice can be made with the rotisserie chicken.

It's snow joke for West Ham as they are crushed by Swansea
Ayew had a shot well saved by Adrian but King was in the right place at the right time to poke home the rebound. However, van der Hoorn believes the win over West Ham shows Swansea have bounced back from that defeat.

This deadly flu season has peaked, but a late bump could loom
The FDA requires that vaccines be grown in chicken eggs, but some strains, like this year's H3N2 don't grow well in eggs. The highest rate of admissions was among people age 65 and older, followed by people age 25-64, the data showed.