Amazon.com (AMZN) said Tuesday that it will start offering discounts to members of its Prime subscription service who receive U.S. government aid. 

The initiative directly takes aim at Amazon rival Walmart (WMT) , the biggest recipient of the Supplemental Nutrition Assistance Program (SNAP), with at least one in five Walmart consumers paying via food stamps. Dollar stores such as Dollar General (DG) and Dollar Tree (DLTR) , which also accept food stamps, could also be hurt by Amazon's new approach. 

Seattle-based Amazon said it would offer the $10.99 per month Prime service for $5.99 per month to those receiving government assistance including welfare and food stamps.

Shares of Amazon were rising slightly on Tuesday. 

(Amazon.com is held in the Growth Seeker portfolio. See all of the holdings with a free trial ).

Read More Trending Articles:

More from Stocks

A Guide to Investing in the Fast-Emerging Cannabis Industry

A Guide to Investing in the Fast-Emerging Cannabis Industry

Cramer: Amazon Will Be an 'Outsized Winner' When Consumer Trends Shift Online

Cramer: Amazon Will Be an 'Outsized Winner' When Consumer Trends Shift Online

EBay Stock Tumbles 8.9% to Hit Lowest Level in Nearly 2 Years

EBay Stock Tumbles 8.9% to Hit Lowest Level in Nearly 2 Years

Disney Is One of Jim Cramer's 10 Best Stocks for a Market Pullback

Disney Is One of Jim Cramer's 10 Best Stocks for a Market Pullback

Your Need to Know - Forward Look

Your Need to Know - Forward Look