Walmart slashes price of its online subscription service for those on government aid by half

NEW YORK (AP) — Walmart, the nation’s largest retailer, has slashed the price of its online subscription service in half for those on government assistance, a move that should help perk up membership.

The Bentonville, Arkansas-based retailer said the Walmart+ service will cost $49 a year, or $6.47 per month for those on Medicaid, Social Security, the Supplemental Nutrition Assistance Program (commonly known as food stamps) or other programs. Its regular membership costs $98 annually.

Perks for Walmart+ membership include free grocery deliveries, free shipping for online orders, gas discounts and access to Paramount+ streaming services.

More than 41 million people in the U.S. receive SNAP benefits, according to the Center on Budget and Policy Priorities.

Walmart launched its subscription service in 2020, and has been adding more perks as a way to compete with Amazon Prime, which was unveiled in 2005. Amazon’s annual membership now costs $139 per year, and it also has been adding benefits. The online retailer began offering discounts to those on government assistance in 2017.

Walmart also said it is the first retailer to accept SNAP benefits online and in its stores in all 50 states with the recent addition to Alaska. Big box stores have been accepting SNAP benefits but not in all states.

Walmart’s move comes as low-income shoppers are feeling more financially squeezed after a pandemic-era boost in SNAP benefits expired this year. Adding to the pressure is stubbornly high inflation on food and other necessities.

During the pandemic, all SNAP recipients had their benefits increased though an Emergency Allotment program. The duration of those extra payments was originally connected directly to the duration of the public health emergency, but that was changed in December 2022 and the final pandemic-boosted SNAP payments went out at the end of February.

_____

Follow Anne D’Innocenzio: http://twitter.com/ADInnocenzio