Patent Application
20210004854
The present invention relates to the promotional offer industry, and more particularly to reducing fraud and speeding settlement for redeemed promotional offers.
In the promotional offer industry, including, without limitation, coupon programs, loyalty programs, and real-time payment programs, there are currently limits and difficulties imposed on participants in the promotional offer industry. For example, using traditional methods, a manufacturer issues coupons for its products and then has little or no control over coupon redemption and payment or effects of the couponing program until later (whether thirty days, sixty days, or six months later), when the manufacturer discovers how well the coupon program worked. At the same time, there is a significant risk of fraud in generation of fraudulent coupons, fraudulent reporting of redemption, and the like. Such problems are exacerbated by the convoluted redemption and settlement process.
A significant problem inherent in the promotional offer industry is this convoluted redemption, reconciliation, and settlement process. It is typical for redeemed coupons to be collected at the point of sale then shipped out of country to a location where inexpensive labor can be sourced for coupon counting. Coupon counting is typically done by hand in such locations, though in some instances, coupons are not actually counted, but the number of coupons redeemed is estimated based solely on weight. It is not uncommon for a certain amount of fraud in the process to simply be assumed, whereby retailers where coupons were redeemed do not receive the full value of collected and redeemed coupons, but instead receive some percentage thereof, such as 80%, whether or not the retailer participated in any fraudulent activity relating to redemptions of the promotional offer.
Furthermore, the manual nature of the current redemption, reconciliation, and settlement process means that often a significant amount of time passes between the coupon issuance, redemption, reconciliation, and settlement. This process ties up funds for all parties involved. In particular, manufacturers or other promoters cannot be sure of the total outlay associated with a promotional offer until sometimes many months after expiration of coupons or other promotional offers issued as part of a promotional offer campaign. The best that can be done is to extrapolate from past promotional offer campaigns of the manufacturer or of similarly situated manufacturers and to hope for the best. If a redemption rate exceeds expectations, the manufacturer may find itself liable to retailers who accepted the coupons or other promotional offers to an extent not anticipated. Accordingly, manufacturers and other promoters are harmed by the delay inherent in the traditional promotional offer environment.
Retailers and other merchants that accept coupons and other promotional offers are also similarly harmed. Retailers are expected to accept less than full value for goods or services at the time of sale and to then be reimbursed at a later time. Unfortunately, because of the delay inherent in traditional reconciliation and settlement processes, retailers may have to wait as much as several months to be reimbursed while manual verification of coupons occurs, often out of the country. Furthermore, because of fraud and estimation difficulties inherent in traditional promotional offer redemption, retailers and other merchants often only receive back a percentage of total coupons or offers accepted, such as 80%. Accordingly, these difficulties cause significant problems for retailers. As a result, some retailers have gone to the extreme of refusing to accept coupons and promotions rather than deal with the problems inherent to the reconciliation and settlement processes.
Still further problems are inherent in the reconciliation and settlement process. While much of the reconciliation process, such as counting of received coupons, occurs in other countries to take advantage of lower labor costs involved in manual counting, there are still significant costs involved in transporting coupons, and paying for manual counting. Other significant costs include auditing costs associated with preventing fraud on the part of the count provider or other entities involved in the promotional offer process. Accordingly, not only is the current reconciliation and settlement process wasteful in terms of time, but it involves significant costs with little beneficial return.
Implementation of the invention provides systems and methods for managing the promotional offer industry offer, redemption, and settlement processes in ways that address and facilitate improvements in the reconciliation and settlement process. Implementation of the invention provides methods facilitating rapid and accurate settlement in the promotional offer industry, as well as systems for implementing such methods, such as computer systems and networked computer system, as well as non-transitory computer-readable media for causing computer systems to implement such methods. Implementation of the invention may be performed using computer systems managed by a single entity as well as in distributed computing environments wherein aspects of the method are implemented by disparate parties.
According to implementations of the invention, a method for facilitating rapid and accurate settlement in the promotional offer industry is provided. The method includes steps of associating a one-time-use unique bank card number with an initial promotional offer and transmitting the bank card number to a consumer computing device over an electronic communications network as a received promotional offer, whereby a consumer operating the consumer computing device is enabled to use the bank card number at a point of sale to redeem the received promotional offer. The method also includes steps of receiving, over the electronic communications network, an indication that the bank card number was used at the point of sale to redeem the received promotional offer and allocating payment for redemption of the received promotional offer within one week of receipt of the indication that the bank card number was used at the point of sale.
In some implementations, the method further includes, upon association of the bank card number with the initial promotional offer, writing the association of the bank card number with the initial promotional offer as a transaction on a blockchain and, upon reception of the indication that the bank card number was used at the point of sale, writing a record of redemption of the received promotional offer to the blockchain. In some implementations, payment is allocated to a merchant associated with the point of sale within three days after redemption of the received promotional offer. In some implementations, payment is allocated to a merchant associated with the point of sale within one day after redemption of the received promotional offer.
In some implementations, the method further includes assigning a value of the initial promotional offer to the bank card number upon association of the bank card number with the initial promotional offer, whereby the bank card number can be used as partial payment in an amount of the received promotional offer. In some implementations, on redemption of the received promotional offer at a point-of-sale electronic device, the bank card number is transmitted to a third-party bank card authorization processor. In some implementations, payment for redemption of the received promotional offer is allocated to a merchant associated with the point of sale.
In alternate implementations, a value is not assigned to the bank card number, whereby the bank card number cannot be used as a traditional bank card for partial payment in redemption of the received promotional offer, but on redemption of the received promotional offer, the bank card number is transmitted to a third-party bank card authorization processor for a no-value authentication that the received promotional offer was used. In some implementations, payment for redemption of the received promotional offer is allocated to the consumer or an account associated with the consumer.
In some implementations, the method further includes receiving payment for the initial promotional offer at or before a time when the bank card number is associated with the initial promotional offer from a promoter and storing the payment for the initial promotional offer in a promotional offer account. The step for allocating payment for redemption of the received promotional offer includes an electronic transfer of money for the received promotional offer from the promotional offer account in some implementations.
In further implementations, the bank card number is transmitted to an app operating on the consumer computing device, and payment for redemption of the received promotional offer is allocated to a consumer account associated with the app. In some implementations, receiving an indication that the bank card number was used at the point of sale to redeem the received promotional offer represents entry of the bank card number at a point-of-sale computing device, an authorization transaction between the point-of-sale computing device and an authorization server system, and receipt of an acknowledgement of use of the bank card number from the authorization server system.
According to certain implementations of the invention, a method is provided for preventing fraud in the promotional offer industry. The method includes steps of receiving information regarding a promotional offer campaign involving providing an initial promotional offer to a plurality of consumers, receiving funding for the promotional offer campaign, representing funds and fees to provide redemption of a determined number of the initial promotional offer, serializing the determined number of the promotional offer with unique serial numbers, and recording the serialized promotional offers on a blockchain. The method further includes steps of associating a one-time-use unique bank card number with each of the determined number of the initial promotional offer and transmitting one of the bank card numbers to a consumer computing device as a received promotional offer, whereby the consumer is enabled to use the bank card number at a point of sale to redeem the received promotional offer. The method also includes steps of receiving, over the communications network, an indication that the bank card number was used at the point of sale to redeem the received promotional offer as a redeemed promotional offer, confirming on the blockchain that the redeemed promotional offer has not yet been used, allocating payment for redemption of the redeemed promotional offer within one week of redemption, and updating the blockchain to show that the redeemed promotional offer has been used.
In some implementations, the method also includes assigning a value of the initial promotional offer to the bank card number upon association of the bank card number with the initial promotional offer, whereby the bank card number can be used as partial payment in an amount of the received promotional offer. In some implementations, on redemption of the received promotional offer at a point-of-sale electronic device, the bank card number is transmitted to a third-party bank card authorization processor. In certain implementations, payment for redemption of the received promotional offer is allocated to a merchant associated with the point of sale. In some implementations, payment for redemption of the received promotional offer is allocated to the merchant within three days of redemption.
In certain implementations, a value is not assigned to the bank card number, whereby the bank card number cannot be used as a traditional bank card for partial payment in redemption of the received promotional offer, but on redemption of the received promotional offer, the bank card number is transmitted to a third-party bank card authorization processor for a no-value authentication that the received promotional offer was used. In some implementations, payment for redemption of the received promotional offer is allocated to the consumer or an account associated with the consumer. In certain implementations, the bank card number is transmitted to an app operating on the consumer computing device, and payment for redemption of the received promotional offer is allocated to a consumer account associated with the app.
The objects and features of the present invention will become more fully apparent from the following description and appended claims, taken in conjunction with the accompanying drawings. Understanding that these drawings depict only typical embodiments of the invention and are, therefore, not to be considered limiting of its scope, the invention will be described and explained with additional specificity and detail through the use of the accompanying drawings in which:
A description of embodiments of the present invention will now be given with reference to the Figures. It is expected that the present invention may take many other forms and shapes, hence the following disclosure is intended to be illustrative and not limiting, and the scope of the invention should be determined by reference to the appended claims.
Embodiments of the invention provide systems and methods for managing the promotional offer industry offer, redemption, and settlement processes in ways that address and facilitate improvements in the reconciliation and settlement process. Embodiments of the invention provide methods facilitating rapid and accurate settlement in the promotional offer industry, as well as systems for implementing such methods, such as computer systems and networked computer system, as well as non-transitory computer-readable media for causing computer systems to implement such methods. Embodiments of the invention may be performed using computer systems managed by a single entity as well as in distributed computing environments wherein aspects of the method are implemented by disparate parties.
In contrast to the time-wasting processes previously employed by the promotional offer industry, systems and methods in accordance with embodiments of the invention allow for rapid, secure, and verified redemption of promotional offers in a unique way that permits relatively rapid reconciliation and settlement. Accordingly, manufacturers and other promoters that operate promotional campaigns are assured that redeemed coupons are accurately recorded and can be redeemed. Merchants, retailers, and other businesses that accept promotions are also protected against fraudulent coupons and other promotions, but more importantly are enabled to rapidly report redemption of promotional offers such that reconciliation and settlement can occur much more rapidly than in the past. In accordance with embodiments of the invention, settlement and payment can occur within hours to within approximately one week. In essence, the settlement process can occur as quickly as the associated economics (e.g., cost of transfer of funds) allows.
According to embodiments of the invention, a method for facilitating rapid and accurate settlement in the promotional offer industry is provided. The method includes steps of associating a one-time-use unique bank card number with an initial promotional offer and transmitting the bank card number to a consumer computing device over an electronic communications network as a received promotional offer, whereby a consumer operating the consumer computing device is enabled to use the bank card number at a point of sale to redeem the received promotional offer. The method also includes steps of receiving, over the electronic communications network, an indication that the bank card number was used at the point of sale to redeem the received promotional offer and allocating payment for redemption of the received promotional offer within one week of receipt of the indication that the bank card number was used at the point of sale.
In some embodiments, the method further includes, upon association of the bank card number with the initial promotional offer, writing the association of the bank card number with the initial promotional offer as a transaction on a blockchain and, upon reception of the indication that the bank card number was used at the point of sale, writing a record of redemption of the received promotional offer to the blockchain. In some embodiments, payment is allocated to a merchant associated with the point of sale within three days after redemption of the received promotional offer. In some embodiments, payment is allocated to a merchant associated with the point of sale within one day after redemption of the received promotional offer.
In some embodiments, the method further includes assigning a value of the initial promotional offer to the bank card number upon association of the bank card number with the initial promotional offer, whereby the bank card number can be used as partial payment in an amount of the received promotional offer. In some embodiments, on redemption of the received promotional offer at a point-of-sale electronic device, the bank card number is transmitted to a third-party bank card authorization processor. In some embodiments, payment for redemption of the received promotional offer is allocated to a merchant associated with the point of sale.
In alternate embodiments, a value is not assigned to the bank card number, whereby the bank card number cannot be used as a traditional bank card for partial payment in redemption of the received promotional offer, but on redemption of the received promotional offer, the bank card number is transmitted to a third-party bank card authorization processor for a no-value authentication that the received promotional offer was used. In some embodiments, payment for redemption of the received promotional offer is allocated to the consumer or an account associated with the consumer.
In some embodiments, the method further includes receiving payment for the initial promotional offer at or before a time when the bank card number is associated with the initial promotional offer from a promoter and storing the payment for the initial promotional offer in a promotional offer account. The step for allocating payment for redemption of the received promotional offer includes an electronic transfer of money for the received promotional offer from the promotional offer account in some embodiments.
In further embodiments, the bank card number is transmitted to an app operating on the consumer computing device, and payment for redemption of the received promotional offer is allocated to a consumer account associated with the app. In some embodiments, receiving an indication that the bank card number was used at the point of sale to redeem the received promotional offer represents entry of the bank card number at a point-of-sale computing device, an authorization transaction between the point-of-sale computing device and an authorization server system, and receipt of an acknowledgement of use of the bank card number from the authorization server system.
Embodiments of the invention further reduce fraud in the promotional offer industry. The method includes steps of receiving information regarding a promotional offer campaign involving providing an initial promotional offer to a plurality of consumers, receiving funding for the promotional offer campaign, representing funds and fees to provide redemption of a determined number of the initial promotional offer, serializing the determined number of the promotional offer with unique serial numbers, and recording the serialized promotional offers on a blockchain. The method further includes steps of associating a one-time-use unique bank card number with each of the determined number of the initial promotional offer and transmitting one of the bank card numbers to a consumer computing device as a received promotional offer, whereby the consumer is enabled to use the bank card number at a point of sale to redeem the received promotional offer. The method also includes steps of receiving, over the communications network, an indication that the bank card number was used at the point of sale to redeem the received promotional offer as a redeemed promotional offer, confirming on the blockchain that the redeemed promotional offer has not yet been used, allocating payment for redemption of the redeemed promotional offer within one week of redemption, and updating the blockchain to show that the redeemed promotional offer has been used.
In some embodiments, the method also includes assigning a value of the initial promotional offer to the bank card number upon association of the bank card number with the initial promotional offer, whereby the bank card number can be used as partial payment in an amount of the received promotional offer. In some embodiments, on redemption of the received promotional offer at a point-of-sale electronic device, the bank card number is transmitted to a third-party bank card authorization processor. In certain embodiments, payment for redemption of the received promotional offer is allocated to a merchant associated with the point of sale. In some embodiments, payment for redemption of the received promotional offer is allocated to the merchant within three days of redemption.
In certain embodiments, a value is not assigned to the bank card number, whereby the bank card number cannot be used as a traditional bank card for partial payment in redemption of the received promotional offer, but on redemption of the received promotional offer, the bank card number is transmitted to a third-party bank card authorization processor for a no-value authentication that the received promotional offer was used. In some embodiments, payment for redemption of the received promotional offer is allocated to the consumer or an account associated with the consumer. In certain embodiments, the bank card number is transmitted to an app operating on the consumer computing device, and payment for redemption of the received promotional offer is allocated to a consumer account associated with the app.
Embodiments of the present invention embrace one or more computer-readable media, wherein each medium may be configured to include or includes thereon data or computer executable instructions for manipulating data. The computer executable instructions include data structures, objects, programs, routines, or other program modules that may be accessed by a processing system, such as one associated with a general-purpose computer capable of performing various different functions or one associated with a special-purpose computer capable of performing a limited number of functions. Computer executable instructions cause the processing system to perform a particular function or group of functions and are examples of program code means for implementing steps for methods disclosed herein. Furthermore, a particular sequence of the executable instructions provides an example of corresponding acts that may be used to implement such steps. Examples of computer-readable media include random-access memory (“RAM”), read-only memory (“ROM”), programmable read-only memory (“PROM”), erasable programmable read-only memory (“EPROM”), electrically erasable programmable read-only memory (“EEPROM”), compact disk read-only memory (“CD-ROM”), or any other device or component that is capable of providing data or executable instructions that may be accessed by a processing system. While embodiments of the invention embrace the use of all types of computer-readable media, certain embodiments as recited in the claims may be limited to the use of tangible, non-transitory computer-readable media, and the phrases “tangible computer-readable medium” and “non-transitory computer-readable medium” (or plural variations) used herein are intended to exclude transitory propagating signals per se.
With reference to
Computer device 10 includes system bus 12, which may be configured to connect various components thereof and enables data to be exchanged between two or more components. System bus 12 may include one of a variety of bus structures including a memory bus or memory controller, a peripheral bus, or a local bus that uses any of a variety of bus architectures. Typical components connected by system bus 12 include processing system 14 and memory 16. Other components may include one or more mass storage device interfaces 18, input interfaces 20, output interfaces 22, and/or network interfaces 24, each of which will be discussed below.
Processing system 14 includes one or more processors, such as a central processor and optionally one or more other processors designed to perform a particular function or task. It is typically processing system 14 that executes the instructions provided on computer-readable media, such as on memory 16, a solid state drive, a removable solid state drive, a magnetic hard disk, a removable magnetic disk, a magnetic cassette, an optical disk, or from a communication connection, which may also be viewed as a computer-readable medium.
Memory 16 includes one or more computer-readable media that may be configured to include or includes thereon data or instructions for manipulating data, and may be accessed by processing system 14 through system bus 12. Memory 16 may include, for example, ROM 28, used to permanently store information, and/or RAM 30, used to temporarily store information. ROM 28 may include a basic input/output system (“BIOS”) having one or more routines that are used to establish communication, such as during start-up of computer device 10. RAM 30 may include one or more program modules, such as one or more operating systems, application programs, and/or program data.
One or more mass storage device interfaces 18 may be used to connect one or more mass storage devices 26 to system bus 12. The mass storage devices 26 may be incorporated into or may be peripheral to computer device 10 and allow computer device 10 to retain large amounts of data. Optionally, one or more of the mass storage devices 26 may be removable from computer device 10. Examples of mass storage devices include solid state drives, hard disk drives, magnetic disk drives, tape drives and optical disk drives. A mass storage device 26 may read from and/or write to solid state memory, a magnetic hard disk, a removable magnetic disk, a magnetic cassette, an optical disk, or another computer-readable medium. Mass storage devices 26 and their corresponding computer-readable media provide nonvolatile storage of data and/or executable instructions that may include one or more program modules such as an operating system, one or more application programs, other program modules, or program data. Such executable instructions are examples of program code means for implementing steps for methods disclosed herein.
One or more input interfaces 20 may be employed to enable a user to enter data and/or instructions to computer device 10 through one or more corresponding input devices 32. Examples of such input devices include a keyboard and alternate input devices, such as a mouse, trackball, light pen, stylus, or other pointing device, a microphone, a joystick, a game pad, a satellite dish, a scanner, a camcorder, a digital camera, and the like. Similarly, examples of input interfaces 20 that may be used to connect the input devices 32 to the system bus 12 include a serial port, a parallel port, a game port, a universal serial bus (“USB”), an integrated circuit, a firewire (IEEE 1394), or another interface. For example, in some embodiments input interface 20 includes an application specific integrated circuit (ASIC) that is designed for a particular application. In a further embodiment, the ASIC is embedded and connects existing circuit building blocks.
One or more output interfaces 22 may be employed to connect one or more corresponding output devices 34 to system bus 12. Examples of output devices include a monitor or display screen, a speaker, a printer, a multi-functional peripheral, and the like. A particular output device 34 may be integrated with or peripheral to computer device 10. Examples of output interfaces include a video adapter, an audio adapter, a parallel port, and the like.
One or more network interfaces 24 enable computer device 10 to exchange information with one or more other local or remote computer devices, illustrated as computer devices 36, via a network 38 that may include hardwired and/or wireless links. Examples of network interfaces include a network adapter for connection to a local area network (“LAN”) or a modem, wireless link, or other adapter for connection to a wide area network (“WAN”), such as the Internet. The network interface 24 may be incorporated with or peripheral to computer device 10. In a networked system, accessible program modules or portions thereof may be stored in a remote memory storage device. Furthermore, in a networked system computer device 10 may participate in a distributed computing environment, where functions or tasks are performed by a plurality of networked computer devices.
Thus, while those skilled in the art will appreciate that embodiments of the present invention may be practiced in a variety of different environments with many types of system configurations,
Similarly, embodiments of the invention embrace cloud-based architectures where one or more computer functions are performed by remote computer systems and devices at the request of a local computer device. Thus, returning to
Historically and even often today, promotions typically involved printing and distribution of a number of generic or identical coupons in newspapers, magazines, mailers, and the like. The provision of such coupons entitled the bearer thereof to receive a discount (a percentage or set amount off) at any retailers accepting coupons provided by the manufacturer. Typically, such coupons are valid for a limited period of time, after which they are no longer accepted at retailers or other locations. The provision of generic or identical paper coupons in this manner leads to certain problems for the parties involved in the promotional offer and redemption process. Often, it can be difficult to estimate a rate at which the promotional offers will be redeemed. Additionally, paper coupons are subject to duplication attempts whereby more coupons may enter the stream of commerce than the promoter 50 originally intended. Accordingly, promoters 50 cannot predict the frequency at which coupons will be redeemed, or do anything to stop a promotion that results in greater redemption than expected, whether due to fraudulent causes or to other innocent causes. As a result, some promotions have resulted in promotion overspending.
Traditional coupons are typically entered into point-of-sale computer systems by the owners of the point of sale, either once near the start of a promotion, or on an ongoing basis as each coupon is received. Some traditional coupons are printed with bar codes or other redemption indicia that facilitates computer-based scanning or other automated entry by the point-of-sale systems, but traditional coupons are typically identical such that they all share an identical bar code or other scanning indicia. Again, such coupons are not at all fraud resistant, and furthermore they lack any mechanism that permits rapid verification of coupon authenticity and redemption in a way that would permit rapid reconciliation and settlement. Accordingly, the retailer is forced to accept a loss on sales until enough time has passed to allow for sending in received coupons, transport of such coupons to an offsite (often out-of-country to take advantage of reduced labor costs) location for verification and counting, auditing, and any other reconciliation processes before the retailer is ever reimbursed for applied discounts. Additionally, if the coupon is entered incorrectly at the point-of-sale systems, it can result in coupons being redeemed for more or less than face value, again leading to problems for the retailer and/or the promoter 50.
Systems and methods in accordance with embodiments of the invention address these and similar concerns. In the representative environment illustrated in
In the embodiment illustrated in
To fund the promotional campaign, the promoter 50 transfers an appropriate amount of money (e.g., the $500,000 plus any fees charged by the promotions provider 52) to the promotions provider 52. At that time, the promotions provider 52 internally serializes an appropriate number of coupons or promotional offers (if in a form other than a coupon), whereby each coupon or promotional offer receives its own serial number. Because each coupon or promotional offer is individually serialized, its issuance and redemption can be tracked for a variety of purposes, including permitting rapid reconciliation and settlement.
Accordingly, the promotions provider 52 in some embodiments adds information about the coupons or promotional offers and their serial numbers to a blockchain. Accordingly, because the coupons or promotional offers are recorded on the blockchain, they are resistant to tampering and can be readily tracked. As coupons and promotional offers are issued (offered to consumers) and then redeemed, their accompanying records on the blockchain are updated in some embodiments such that a comprehensive record of the coupons or offers is maintained. In some embodiments, redemption attempts can be checked against the blockchain before authorizing redemption to prevent fraudulent double redemption attempts, coupon/offer copying, and the like.
In some embodiments, the serial numbers assigned to the individual coupons or promotional offers are only used internally to the promotions provider 52. The serial numbers operate as an internal tracking mechanism used by the promotions provider in processes such as tracking offers issued and redeemed, and in generating reports. Such reports may include internal reports as well as reports issued to the promoter 50.
In some embodiments, the promotions provider 52 communicates with a bank card processor 54 to facilitate transactions with the coupons or other promotional offers. The bank card processor 54 may be any of a variety of current or future existing payment processors capable of authorizing and processing payments on bank cards (e.g., credit cards). By way of example, the bank card processor 54 may be an entity such as Mastercard Incorporated, capable of processing MasterCard-branded bank cards. Of course, the bank card processor 54 may be any desirable bank card processor or payment processor. In some embodiments, the promotions provider 52 and the bank card processor 54 are the same business entity or are divisions within a single business entity.
The promotions provider 52 also communicates with a consumer computing device 56 that is operated by a consumer. Accordingly, an at least intermittent communicative connection is established between one or more computing devices of the promotions provider 52 and the consumer computing device 56. Such communicative connection may be established using existing network infrastructure, including wired and wireless connections, and including use of portions of the Internet, for example. The consumer computing device 56 may be any of a variety of devices in accordance with varying embodiments of the invention. By way of example, the consumer computing device 56 may be a smart phone, a tablet computer, a laptop computer, a desktop computer, a special-purpose computing device such as an application-specific device, and the like.
The promotions provider 52, in running the promotion, makes a determination to issue a coupon or promotional offer to the consumer through the consumer computing device 56. This determination may be made in a variety of manners and taking into account a variety of factors. By way of one example, the promotions provider 52 may determine to issue a coupon or promotional offer to the consumer through the consumer computing device 56 based on a geographic location of the consumer computing device 56 (e.g., as determined via a GPS determination or by passage through a geofence as determined by GPS or RFID data). As a specific example of this, a coupon or promotional offer relating to offerings by a local convenience store (e.g., a gasoline promotion, a promotion on fountain drinks, a promotion on snacks, or the like) may be triggered upon passage of the consumer computing device 56 (in this case a mobile device like a smart phone) into a geofenced area surrounding a branch of the convenience store.
As another example of manners and factors in determining to issue a coupon or promotional offer, the consumer may use the consumer computing device to indicate an interest in promotional offers in general or in promotional offers of a particular type. In some embodiments, the consumer uses a program such as a smartphone app or a website that is dedicated to coupons and promotional offers. In other embodiments, the consumer uses a program such as a smartphone app or a website that is dedicated to providing a particular type of service (e.g., a gasoline price/purchase app or website, a supermarket app or website, etc.). Regardless of the app, program, or website used, when the consumer indicates interest in coupons or other promotional offers, the promotions provider 52 makes a determination as to whether the consumer is eligible for any applicable coupons or promotional offers.
When the promotions provider 52 determines that the consumer is eligible to receive a coupon or promotional offer, the system does not necessarily immediately issue the coupon or promotional offer. Instead, in some embodiments, the promotions provider systems initially present information about the promotional offer to the consumer computing device 56, whereby the consumer is enabled to evaluate the promotional offer and determine whether or not the promotional offer is one the consumer wishes to take advantage of. If so, the consumer can so indicate by way of an action, such as an interaction with a program, app, or website, as is known in the art. In other embodiments, such as when the consumer has already expressed an interest in promotional offers or coupons, the promotions provider 52 may immediately proceed to issuing a coupon or formal promotional offer.
At the point where the promotions provider 52 determines to issue a coupon or promotional offer, one of the serialized promotional offers or coupons is allocated to the promotional offer, and a one-time-use bank card number is assigned to the promotional offer or coupon. For example, where the bank card number is a MasterCard number, the bank card number assigned to the promotional offer or coupon may be a sixteen-digit number. The bank card number acts as a redeemable code for redemption of the offer or coupon. Where information about coupons and/or offers is maintained on a blockchain, the bank card number associated with the offer/coupon is recorded to the blockchain, potentially along with information associated with the consumer to whom the offer/coupon is to be issued, along with information indicating that the offer/coupon was issued to the consumer. The offer or coupon is then issued to the consumer using the consumer computing device 56. No other consumer receives the same bank card number.
The consumer may receive and use the coupon or offer in a variety of different ways. In some embodiments, the consumer receives a printable coupon, and may use a printing device (not shown in
When the point-of-sale device receives the bank card number, the point-of-sale device initiates an authorization process with the bank card processor 54. Accordingly, the point-of-sale device 58 is in at least transient or intermittent communicative connection with the bank card processor 54. The bank card processor 54 performs an authorization step to verify that the bank card number is valid and unused, which step may be performed by communications with the promotions provider 52. Accordingly, the promotions provider 52 has a communicative connection with the bank card processor 54. The promotions provider 52 can then check the bank card number against its records to ensure that the bank card number is valid and has not been used, and can update its records, including the blockchain, to reflect that the coupon or other promotional offer associated with the bank card number has been used and cannot be used again. Assuming the coupon has not yet been used and is otherwise still valid (an applicable promotional period has not expired or passed the expiration date assigned to the bank card number), an authorization is transmitted back to the point-of-sale device.
Funds associated with redemption of the coupon or other promotional offer can then be allocated as necessary on an ongoing basis. In some embodiments, settlement of necessary funds can occur each day at the end of the day. In other embodiments, settlement of funds occurs less frequently, such as every three to five days or weekly. In other embodiments, settlement of funds can occur in real time. In general, settlement of funds may occur on a time schedule that greatly increases the rapidity with which retailers receive their money, taking into account factors such as money transfer costs associated with many small transfers (e.g., some accumulation may occur to minimize transfer fees). Thus, as may be appreciated, settlement of funds may occur on any desired schedule, taking into account ensuring relatively rapid settlement of funds while avoiding unnecessary transfers of small amounts of money repeatedly. In other words, in some embodiments, settlement of funds may occur no later than the earlier of after a certain amount of time has passed or after a minimum settlement amount is owed to a particular retailer or other person or entity associated with redemption of the coupon or other promotional offer.
In some embodiments, settlement occurs with payment to the retailer or other business or individual at which the coupon or other promotional offer was redeemed. In other embodiments, settlement occurs with payment to an account of the consumer that redeemed the coupon or other promotional offer. Each of these involves a slightly different mechanism or process associated with the bank card number of the coupon.
In some embodiments, when the bank card number is issued to the consumer, a fund amount associated with the coupon or promotional offer is associated with the bank card number. In effect, the consumer receives a bank card (equivalent to a gift card) with a monetary value equal to the coupon or promotional offer value (e.g., three dollars, ten euros, etc.). In such embodiments, the bank card number can be used like any traditional credit or gift card as partial payment for the goods or services associated with the promotional offer or coupon. In such embodiments, accordingly, the retailer receives the bank card number at the point-of-sale device 58, and an authorization request is sent to the bank card processor 54 in the amount of the face value of the coupon or other promotional offer. When the authorization is approved (potentially in conjunction with the promotions provider 52), the discount is reflected in the total bill to the consumer at the point-of-sale device 58, and the remaining balance can be paid by the consumer using traditional methods. In this case, funds for the amount of the discount are transferred to the retailer associated with the point of sale.
In other embodiments, when the bank card number is issued to the consumer, no funds are directly associated with the coupon or promotional offer. When the bank card number is received at the point-of-sale device 58, the new authorization transaction with the bank card processor 54 is a zero-value authorization transaction, a zero-ping code, or the like. As this authorization is not a traditional authorization requiring the transfer of actual money to the retailer with guarantees by the bank card processor 54, the bank card processor 54 may optionally charge less for processing this authorization transaction, thereby reducing the cost of processing for the promotional campaign. The promotions provider 52 is still notified of the transaction and is still able to determine whether the transaction relates to an issued and unused coupon or other promotional offer, and can still record the transaction (e.g., on the blockchain), but no money is transferred to the retailer. Instead, at most, an “authorized” transmission is returned to the point-of-sale device 58, and the consumer still pays full price at the point of sale. When it comes time to settle the coupon or promotional offer value, the value is returned directly to the consumer, typically by crediting a consumer account associated with the consumer and/or an app operating on the consumer computing device 56.
An advantage of either process is that the retailer need not manually or otherwise program coupons and promotional offers into its systems. Instead, if the bank card is associated with a value, redemption of the card can occur by way of a traditional card authorization, with the bank card processor 54 returning an authorization communication that includes the amount of the partial payment received from the bank card. Similarly, if the bank card is not associated with a value, redemption of the card occurs by way of a zero-value authorization, and the consumer still pays full value at the point of sale. The consumer then is reimbursed or receives associated funds directly without merchant involvement. Accordingly, the burden on retailers and other merchants accepting coupons and promotional offers is greatly reduced for both the settlement process as well as the process of being able to accept coupons and promotional offers.
An example of a zero-value authorization environment is illustrated with respect to
In some embodiments, the coupon or other promotional offer is first presented to the consumer through the app provided by the app provider 60. The consumer is also able to accept the offer and receive the coupon or other promotional offer through the app. The consumer may also be able to present the coupon or other promotional offer at the point of sale using the app.
In this environment, when the bank card number is not associated with a value whereby the consumer can partially pay at the point of sale with the bank card number, the system can still provide an equivalent value to the consumer. When the consumer redeems the coupon or other promotional offer at the point-of-sale device 58 and the zero-value authorization transaction occurs, in some embodiments the promotions provider 52 notifies the app provider 60 of the transaction and transfers appropriate funds to the app provider 60. The app provider then credits an account of the consumer on the app with an amount equal to the coupon or other promotional offer. The consumer can then use the funds for goods or services through the app or using the app at other points of sale, if the app provides such functionality. In other embodiments, the app may allow the user to transfer funds from the app to the user's bank account or to other app users.
All this functionality is provided without requiring a direct funds authorization through the bank card processor 54. Instead, because the promotions provider 52 is aware that the coupon or other promotional offer was associated with the bank card number and was issued to the consumer (e.g., upon request of the consumer or upon satisfaction of a geo-location requirement or other precondition), when the promotions provider 52 receives notification of the zero-value authorization request, the promotions provider 52 knows the coupon or other promotional offer was used and can undertake settlement of the value of the offer through any desired process, including nontraditional mechanisms. This settlement process may be immediate or on any appropriate time schedule (e.g., daily, every few days, weekly, etc., as discussed previously).
As may be appreciated, embodiments of the invention utilize bank card numbers for each coupon or other promotional offer. Accordingly, as illustrated in
Because the use of legitimate bank card numbers in the process represents a cost to the promotional campaign, bank card numbers are typically only associated with coupons or other promotional offers at the time of issuance of a specific coupon or other promotional offer. In embodiments where the coupon or other promotional offer is associated with locational proximity to the location where the coupon or other promotional offer will be used, there is a high likelihood that the coupon or other promotional offer will be redeemed. Nevertheless, a certain amount of non-redeemed offers is to be expected, again representing a cost of the promotional campaign. Nevertheless, embodiments of the invention represent a significant improvement over current coupon promotional campaigns where often a vast number of coupons go unused.
Embodiments of the invention also represent a significant improvement in promoters' and manufacturers' abilities to monitor and control their promotional campaigns. Because coupons and promotional offers can be offered directly to interested consumers and consumers that are in geographic proximity to locations of use, the redemption rate for coupons and other promotional offers is relatively high. Accordingly, fewer overall coupons and promotional offers need be issued, and issuance of coupons and promotional offers can stop at any time, thereby limiting outflow of money relative to the promotional campaign. The promoter 50 and/or manufacturer will not find itself in a position of underestimating the appeal and/or redemption rate of coupons or promotional offers, such that promoters 50 need not be concerned that promotional campaigns will greatly exceed their allocated budgets.
The promotions provider 52 is also able to provide various reports to the promoter 50 to keep the promoter 50 informed of the status of the promotional campaign. Reports may be provided on a scheduled basis, or the promoter 50 is in some embodiments enabled to access reports on demand to view real-time status of the promotional campaign. The promoter 50 and the promotions provider 52 are thus informed and able to take action if necessary to discontinue or modify the promotional campaign.
Because of the tools and real-time control provided to the promoter 50 by embodiments of the invention, the promoter 50 is able to exercise control over the promotional campaign in ways so as to better achieve campaign goals. By way of example, the promoter 50 may wish, and may have arranged with the promotions provider 52, a promotional campaign that will result in a certain number of promotional redemptions in a certain amount of time. As a specific example, the promoter 50 may intend for a promotion to run for two weeks and may allocate $1 million dollars initially intended to be distributed as 200,000 $5 dollar promotional offers. As the promotional campaign progresses, the promoter 50 may access reports provided by the promotions provider 52 at any time, and may determine that either fewer or more promotional offers are being accepted and redeemed than expected.
If fewer promotional offers are being accepted and redeemed than expected, the promoter 50, possibly consulting with the promotions provider 52, may determine to modify the manner in which the promotions are being offered to consumers or may elect to make the terms of the promotional offer more enticing. As a specific example, if a week of the two-week promotional period has passed and only 10,000 (of the 200,000 anticipated) promotional offers have been accepted, let alone redeemed, the promoter 50 may elect to increase the rate at which or manners by which promotional offers are displayed to consumers for acceptance. Alternately or additionally, the promoter 50 may elect to increase the number of products to which the promotional offer applies. Still alternatively or additionally, the promoter 50 may elect to increase the value of the promotional offer to $6 dollars or some other increased value over the original $5 dollar offering. Any appropriate action may be taken to modify the promotional campaign to achieve campaign goals.
Similarly, if more promotional offers are being accepted and redeemed than initially expected, the promoter 50 may elect to take an action to modify the promotional campaign appropriately. As one example, the promoter 50 may elect to dedicate more funds to the promotional campaign to permit more promotional offers to be extended. Alternatively, the promoter 50 may elect to modify future offered promotions to apply to fewer goods or services, or may even reduce the value of yet-unaccepted or yet-offered promotions to make promotional campaign funds last longer. Such actions can be taken at any time in real time, and can be applied to all offered promotions moving forward.
In some limited circumstances (typically to the benefit of consumers), changes to promotional offers may be made even after acceptance by the consumer but before redemption. For example, a promotion accepted by the consumer may be increased in value after acceptance to encourage redemption. In some embodiments, for example where the promotional offer is provided through an app on the consumer computing device 56, the consumer may be reminded of accepted, but unredeemed, offers from time to time, such as upon a return of the consumer to a local where the promotional offer may be redeemed. Such reminder may include a notification that a value of the promotional offer has increased if such has occurred.
Reminders of accepted promotional offers may serve as another control by which the promoter 50 or promotions provider 52 may seek to modify a redemption rate associated with the promotional campaign. If, for example, an initial reminder rate fails to result in an anticipated or desired level of redemption of promotional offers, the promotions provider 52 may provide an opportunity for the promoter 50 to elect to increase the number of reminders provided to consumers who accepted the promotion. Accordingly, embodiments of the invention provide significant advantages to promoters 50 and to promotional campaigns in the manner in which campaigns can be controlled in real time.
Embodiments of the invention greatly protect against fraudulent activity, essentially eliminating the opportunity for fraud. Additionally, embodiments of the invention greatly improve the settlement process, whereby the recipients of coupons on redemption no longer need participate in a time-consuming manual or pseudo-manual process to receive reimbursement for received coupons. Instead, the prior months-long settlement process is reduced to as little as a day or a few days. In some embodiments, settlement can occur at the time of each transaction (e.g., in real time), essentially eliminating all settlement delay. Because fraud is eliminated using embodiments of the invention, settlement occurs at full coupon value, greatly benefiting honest retailers who often received only 80% or less of coupon value using traditional methods.
The promotions provider 52 maintains a full transaction log of all transactions from creation of the promotional campaign through settlement, including serialization of the coupons or other promotional offers, assigning of the bank card numbers on issuance of the coupons or other promotional offers, redemption thereof, and settlement for redeemed offers. In some embodiments, this information is maintained on the blockchain to prevent data tampering. Accordingly, the promotions provider 52 and the promoter 50 are able to fully able to audit the promotional campaign and verify return on investment at any point in the process, representing a significant improvement over prior methods.
Additionally, methods in accordance with embodiments of the invention provide significantly more information to promoters 50 about the effectiveness of their promotional campaigns. Embodiments of the invention allow the promotions provider 52 to track far more information than merely the number of redeemed offers at the end of a promotional campaign. Instead, the promotions provider 52 can track the rate at which offers are accepted by consumers compared to the rate offers were shown to consumers. The promotions provider 52 can also track the rate at which offers are redeemed as opposed to the rate at which offers were accepted by consumers. Furthermore, more granular data can be obtained, such as by way of comparison of offer acceptance and redemption rates in certain locations, with certain timing, and the like. Promoters 50 and manufacturers can accordingly be much better informed as to the effectiveness of their promotional campaigns.
The present invention may be embodied in other specific forms without departing from its spirit or essential characteristics. The described embodiments are to be considered in all respects only as illustrative and not restrictive. The scope of the invention is, therefore, indicated by the appended claims, rather than by the foregoing description. All changes which come within the meaning and range of equivalency of the claims are to be embraced within their scope.
