Amazon's move comes nearly nine months after it said previously that it would offer customers on US government aid discounted membership fees.
As many as 35 million adult Americans are eligible for the discounted rate.
Amazon Prime has been a hit with more affluent customers, but the membership fee likely has been a hurdle for the less affluent.
The New York Times says the move expands a previous Amazon effort started a year ago, when it offered Prime discounts to people with Electronic Benefit Transfer cards, used to distribute aid for food purchases. They can renew their discounted Amazon Prime membership every year, for up to four years, and can cancel anytime.
Amazon Prime customers typically spend more and buy more frequently on Amazon than non-members do.
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. Walmart, meanwhile, accounts for 18% of annual spending through the food stamps program, which is formally called Supplemental Nutrition Assistance Program.
On an annual basis, savings stack up to a 27 percent discount from Amazon's $99-a-year regular freight in the U.S.
Whether the discounted Prime membership program will be a success or not depends on how you look at it.
Amazon's blind spot for low-income users has been a benefit to some of its largest competitors who have managed to offer services to recipients of government assistance.