U.S. patent application number 09/759023 was filed with the patent office on 2001-11-08 for system and method of maintaining a posted street price for fuel while offering different prices to identified customers.
Invention is credited to Nicholson, G. Randy.
Application Number | 20010039512 09/759023 |
Document ID | / |
Family ID | 26787928 |
Filed Date | 2001-11-08 |
United States Patent
Application |
20010039512 |
Kind Code |
A1 |
Nicholson, G. Randy |
November 8, 2001 |
System and method of maintaining a posted street price for fuel
while offering different prices to identified customers
Abstract
A method of providing multiple level, price-per-unit (PPU)
discounts on gasoline to a customer who purchases at least one
cross-marketed product. The customer is awarded a first PPU
discount on the gasoline based on a purchase by the customer of a
first cross-marketed product, and is awarded a second PPU discount
based on the purchase of a second cross-marketed product. The first
discount is then added to the second discount to determine a total
PPU discount, and a paper receipt is printed for the customer with
a customer identification and a transaction identification encoded
in a bar code thereon. The total discount is stored in a discounts
issued database. The customer then scans the encoded bar code with
a bar code scanner at a gasoline dispenser to redeem the discount.
The total discount is retrieved from the discounts issued database,
and the gasoline station then reduces the price-per-unit-volume of
the gasoline by an amount equal to the total discount. When the
customer completes the gasoline purchase, a value of the total
discount redeemed is determined and stored in a discounts redeemed
database. Portions of the discount redeemed are then allocated to
vendors of the first and second cross-marketed products according
to predetermined criteria.
Inventors: |
Nicholson, G. Randy;
(Abilene, TX) |
Correspondence
Address: |
Steven W. Smith
Smith, Danamraj & Youst, P.C.
Suite 1200, LB-15
12900 Preston Road
Dallas
TX
75230
US
|
Family ID: |
26787928 |
Appl. No.: |
09/759023 |
Filed: |
January 10, 2001 |
Related U.S. Patent Documents
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Application
Number |
Filing Date |
Patent Number |
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09759023 |
Jan 10, 2001 |
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09253275 |
Feb 19, 1999 |
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60093813 |
Jul 23, 1998 |
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Current U.S.
Class: |
705/14.17 ;
705/14.25; 705/14.26; 705/14.27 |
Current CPC
Class: |
G06Q 30/0236 20130101;
G06Q 30/02 20130101; G06Q 30/0215 20130101; G06Q 30/0211 20130101;
G06Q 30/0224 20130101; G06Q 30/0226 20130101; G06Q 30/0239
20130101; G06Q 30/0238 20130101; G06Q 30/0225 20130101 |
Class at
Publication: |
705/14 |
International
Class: |
G06F 017/60 |
Claims
What is claimed is:
1. A method of providing multiple level discounts on a first
product to a customer who purchases at least one cross-marketed
product, said method comprising the steps of: awarding a first
discount on the first product to the customer based on a purchase
by the customer of a first cross-marketed product; awarding a
second discount on the first product to the customer based on a
purchase by the customer of a second cross-marketed product; adding
the first discount to the second discount to determine a total
discount on the first product; and awarding the total discount to
the customer.
2. The method of providing multiple level discounts of claim 1
wherein the customer purchases the first cross-marketed product
from a first merchant, and purchases the second cross-marketed
product from a second merchant.
3. The method of providing multiple level discounts of claim 1
wherein the first product is a consumable good sold in multiple
units, and the first, second, and total discounts are discounts on
the price per unit of the consumable good.
4. The method of providing multiple level discounts of claim 3
wherein the consumable good is gasoline, and the first, second, and
total discounts are discounts on the price-per-unit-volume of
gasoline.
5. The method of providing multiple level discounts of claim 4
further comprising: issuing an electronic coupon to the customer,
said coupon providing a customer identification and a discount
identification; and storing the total discount in a discounts
issued database which associates the total discount with the
discount identification.
6. The method of providing multiple level discounts of claim 5
wherein the electronic coupon is selected from the group consisting
of: a paper receipt with the customer identification and discount
identification encoded in a bar code imprinted thereon; a paper
receipt with the customer identification and discount
identification encoded in a code number imprinted thereon; a
frequent shopper card with the customer identification and discount
identification magnetically encoded thereon; a prepaid card with
the customer identification and discount identification
magnetically encoded thereon; a credit card with the customer
identification and discount identification magnetically encoded
thereon; a radio frequency identification (RFID) device with the
customer identification and discount identification encoded in a RF
transmission; and a smart card.
7. The method of providing multiple level discounts of claim 6
further comprising the steps of: presenting the discount for
redemption at a gasoline station; and reducing, by the gasoline
station, the price-per-unit-volume of the gasoline by an amount
equal to the total discount.
8. The method of providing multiple level discounts of claim 7
wherein the step of presenting the discount for redemption at a
gasoline station includes scanning an encoded bar code with a bar
code scanner at a gasoline dispenser, and the method further
comprises, after scanning the encoded bar code, the step of
verifying the discount scanned from the bar code by comparing the
scanned discount with the stored discount in the discounts issued
database.
9. The method of providing multiple level discounts of claim 8
wherein the step of verifying the discount also includes requesting
the customer to enter a personal identification number (PIN).
10. The method of providing multiple level discounts of claim 8
further comprising, after the step of storing the total discount in
a discounts issued database, the steps of: storing, in the
discounts issued database, a maximum number of gallons of gasoline
to which the discount applies; and storing, in the discounts issued
database, a minimum purchase of gasoline required in order to
qualify for the discount.
11. The method of providing multiple level discounts of claim 10
further comprising the steps of: determining a value of the total
discount redeemed; verifying that the value of the total discount
redeemed is less than or equal to the maximum discount allowed; and
verifying that the amount of gasoline purchased is greater than or
equal to the minimum purchase required to qualify for the
discount.
12. The method of providing multiple level discounts of claim 11
further comprising the steps of: storing the value of the discount
redeemed in a discounts redeemed database; and allocating portions
of the discount redeemed to vendors of the first and second
cross-marketed products according to predetermined criteria.
13. A method of providing a discount on a first product to a
customer who purchases at least one cross-marketed product, said
method comprising the steps of: awarding a first discount on the
first product to the customer based on a purchase by the customer
of a first cross-marketed product; issuing a coupon to the
customer, said coupon providing a customer identification and a
transaction identification; storing a discount amount in a
discounts issued database which associates the discount amount with
the customer identification and the transaction identification;
inputting by the customer in a subsequent transaction, the customer
identification and the transaction identification; retrieving the
discount amount from the discounts issued database; and reducing
the price of the first product by the discount amount.
14. The method of providing a discount on a first product of claim
13 further comprising, after the step of awarding a first discount,
the steps of: awarding a second discount on the first product to
the customer based on a purchase by the customer of a second
cross-marketed product; and adding the first discount to the second
discount to determine a discount amount on the first product.
15. The method of providing a discount on a first product of claim
13 wherein the first product is gasoline, and the discount amount
is a discount on the price-per-unit-volume of gasoline.
16. A method of providing multiple level discounts on gasoline to a
customer who purchases at least one cross-marketed product, said
method comprising the steps of: awarding to the customer, a first
discount on the price-per-unit-volume of the gasoline based on a
purchase by the customer of a first cross-marketed product;
awarding to the customer, a second discount on the
price-per-unit-volume of the gasoline based on a purchase by the
customer of a second cross-marketed product; adding the first
discount to the second discount to determine a total discount on
the price-per-unit-volume of the gasoline; printing a paper receipt
for the customer with a customer identification and a discount
identification encoded in a bar code thereon; storing the total
discount in a discounts issued database; storing, in the discounts
issued database, a maximum number of gallons to which the discount
applies; storing, in the discounts issued database, a minimum
purchase of gasoline required in order to qualify for the discount;
scanning the encoded bar code with a bar code scanner at a gasoline
dispenser; verifying the discount scanned from the bar code by
comparing the scanned discount with the stored discount in the
discounts issued database; reducing, by the gasoline station, the
price-per-unit-volume of the gasoline by an amount equal to the
total discount; determining a value of the total discount redeemed;
verifying that the value of the total discount redeemed is less
than or equal to the maximum discount allowed; verifying that the
amount of gasoline purchased is greater than or equal to the
minimum purchase required to qualify for the discount; storing the
value of the discount redeemed in a discounts redeemed database;
and allocating portions of the discount redeemed to vendors of the
first and second cross-marketed products according to predetermined
criteria.
17. A method of providing a price-per-unit-volume discount on
gasoline to a customer who purchases a cross-marketed product in a
sales transaction, said method comprising the steps of: awarding
the price-per-unit-volume discount to the customer based on a
purchase by the customer of a cross-marketed product; issuing an
electronic coupon to the customer, said coupon identifying the
customer and the sales transaction; storing the
price-per-unit-volume discount in a discounts issued database which
associates the discount with the customer and sales transaction;
storing, in the discounts issued database, a maximum number of
volume units of gasoline to which the discount is applied; storing,
in the discounts issued database, a minimum purchase of gasoline
required in order to qualify for the discount; beginning a sales
transaction by entering a customer identification and a transaction
identification at a gasoline dispenser at a gas station; retrieving
the price-per-unit-volume discount from the discounts issued
database; reducing, by the gasoline station, the
price-per-unit-volume of the gasoline by an amount equal to the
discount; determining a value of the total discount redeemed;
verifying that the value of the total discount redeemed is less
than or equal to the maximum discount allowed; verifying that the
amount of gasoline purchased is greater than or equal to the
minimum purchase required to qualify for the discount; and storing
the value of the discount redeemed in a discounts redeemed
database.
18. The method of providing a price-per-unit-volume discount on
gasoline of claim 17 wherein a residual discount is stored in a
residual value database, and the method further comprises, after
retrieving the price-per-unit-volume discount from the discounts
issued database, the steps of: retrieving the residual discount
from the residual value database; and adding the residual discount
to the price-per-unit-volume discount.
19. The method of providing a price-per-unit-volume discount on
gasoline of claim 18 wherein the step of reducing the
price-per-unit-volume of the gasoline by an amount equal to the
discount includes the steps of: determining whether the discount is
greater than or equal to the price-per-unit volume of the gasoline;
and setting the price-per-unit volume of the gasoline equal to zero
on a gasoline dispenser upon determining that the discount is
greater than or equal to the price-per-unit volume of the
gasoline.
20. The method of providing a price-per-unit-volume discount on
gasoline of claim 19 wherein the step of setting the price-per-unit
volume of the gasoline equal to zero includes the steps of:
determining whether the dispenser is of a type that can set the
price-per-unit volume to zero; setting the dispenser to the minimum
price-per-unit volume that the dispenser allows, upon determining
that the dispenser is of a type that cannot set the price-per-unit
volume to zero; and setting a sales transaction value of zero when
the transaction is completed.
Description
BACKGROUND OF THE INVENTION
[0001] 1. Technical Field of the Invention
[0002] This invention relates to the generation and redemption of
discount coupons for multiple vendors and, more particularly, to a
method of controlling the generation, distribution, and redemption
of coupons, and the allocation of discounted values to multiple
vendors involved in cross-marketing ventures.
[0003] 2. Description of Related Art
[0004] Vendors of various products often find it desirable to enter
into cross-marketing agreements in which the purchase of a product
from a first vendor earns a discount coupon for the consumer on a
product from a second vendor. As used herein, the term "vendor"
refers to the manufacturer of a specific product or the supplier of
specific services. The term "high volume retailer (HVR)" refers to
the store where the products or services are purchased, such as
grocery stores, discount stores, warehouse stores, supercenters,
etc.
[0005] Systems and methods exist which track the redemption of such
cross-marketing coupons and control the allocation of discounted
values between the vendors. These systems and methods, however, do
not enable vendors to associate issued coupons directly with
specific customers or transactions. Nor do existing systems and
methods generate coupons or rewards applicable to discounts on the
price per unit of a cross-marketed product such as gasoline which
is sold by the gallon or liter. In addition, existing systems and
methods are not flexible and do not enable a vendor to offer
variable discounts which increase if a customer purchases a
plurality of cross-marketed products or purchases products from a
plurality of cross-marketing vendors. The discount amount is fixed
for each purchase.
[0006] This is a disadvantage if vendors attempt to use existing
systems and methods to cross-market a consumable such as gasoline
which is sold at a particular price per gallon. Since the total
amount of a gasoline purchase generally cannot be determined in
advance, a discount for a particular amount may not be appropriate.
For example, a $5.00 discount is not appropriate if the consumer
fills up an automobile with gasoline, and the total charge is only
$4.00. In addition, studies have shown that it is more attractive
to consumers of gasoline to receive a discount on the price per
gallon than it is to receive a fixed discount on the total
purchase. Current control systems and methods cannot handle a
discount on the price per gallon since the total discount is not
known before the purchase is completed.
[0007] An additional problem with existing systems and methods for
tracking and allocating discount coupons is that they do not allow
for cumulative savings based on the purchase of multiple
cross-marketed products. It would be desirable to gasoline vendors
to have a method which would allow the application of varying
discounts to the price per gallon based on the number of
cross-marketed products purchased. For is example, if the gasoline
vendor had a cross-marketing agreement with various vendors of
products sold by a HVR merchant, the purchase of Product A could
result in a discount in the price of the gasoline of $0.02 per
gallon. Likewise, the purchase of Product B could result in a
discount in the price of the gasoline of $0.02 per gallon. If the
consumer buys both products, it would be desirable to discount the
price of the gasoline by $0.04 per gallon. Existing systems and
methods do not perform this function.
[0008] Although there are no known prior art teachings of a
solution to the aforementioned deficiency and shortcoming such as
that disclosed herein, several references discuss subject matter
that bears some relation to matters discussed herein. U.S. Pat. No.
5,173,851 to Off et al. (Off) discloses a system for creating
discount coupons in response to the purchases of products. Off
includes a process in which a coupon is issued in response to the
purchase of multiple triggering items. However, the coupon is for a
predetermined amount, and is not variable. Multiple items must be
purchased in order to qualify for the fixed discount.
[0009] U.S. Pat. No. 4,949,256 to Humble (Humble) discloses a
coupon validation network for automatically processing product
coupons. Databases are maintained for coupons issued by
manufacturers and for coupons redeemed by retailers. The system
enables retailers to automatically process coupons presented for
redemption by consumers, and enables manufacturers to conveniently
reimburse retailers for the value of the redeemed coupons. However,
Humble does not teach or suggest a system or method of handling
multiple level discounts or discounts on the basis of a price per
gallon.
[0010] Review of each of the foregoing references reveals no
disclosure or suggestion of a method such as that described and
claimed herein. In order to overcome the disadvantage of existing
solutions, it would be advantageous to have a method which enables
vendors to associate issued coupons directly with specific
customers or transactions, and which allows the application of
multiple level discounts to the price per gallon of gasoline based
on the number of cross-marketed products purchased. The present
invention provides such a method.
SUMMARY OF THE INVENTION
[0011] In one aspect, the present invention is a method of
providing multiple level discounts on a first product to a customer
who purchases at least one cross-marketed product. The method
comprises the steps of awarding a first discount on the first
product to the customer based on a purchase by the customer of a
first cross-marketed product, awarding a second discount on the
first product to the customer based on a purchase by the customer
of a second cross-marketed product, adding the first discount to
the second discount to determine a total discount on the first
product, and awarding the total discount to the customer.
[0012] In another aspect, the present invention is a method of
providing a discount on a first product to a customer who purchases
at least one cross-marketed product. The method begins by awarding
a first discount on the first product to the customer based on a
purchase by the customer of a first cross-marketed product, and
then issuing a coupon to the customer which provides a customer
identification and a transaction identification. A discount amount
is stored in a discounts issued database which associates the
discount amount with the customer identification and the
transaction identification. This is followed by inputting, by the
customer in a subsequent transaction, the customer identification
and the transaction identification, retrieving the discount amount
from the discounts issued database, and reducing the price of the
first product by the discount amount.
[0013] In yet another aspect, the present invention is a method of
providing multiple level discounts on gasoline to a customer who
purchases at least one cross-marketed product. The method includes
the steps of awarding to the customer, a first discount on the
price-per-unit-volume of the gasoline based on a purchase by the
customer of a first cross-marketed product, and awarding a second
discount on the price-per-unit-volume of the gasoline based on the
purchase of a second cross-marketed product. The first discount is
then added to the second discount to determine a total discount on
the price-per-unit-volume of the gasoline. A paper receipt is
printed for the customer with a customer identification and a
transaction identification encoded in a bar code thereon. The total
discount, a maximum number of volume units allowed, and a minimum
purchase of gasoline required in order to qualify for the discount
are stored in a discounts issued database which associates these
data with the customer identification and the transaction
identification. The customer then scans the encoded bar code with a
bar code scanner at a gasoline dispenser. The total discount is
retrieved from the discounts issued database, and the gasoline
station then reduces the price-per-unit-volume of the gasoline by
an amount equal to the total discount. When the customer completes
the gasoline purchase, a value of the total discount redeemed is
determined. This is followed by verifying that the value of the
total discount redeemed is equal to or less than the maximum
discount allowed, and verifying that the amount of gasoline
purchased is equal to or greater than the minimum purchase required
to qualify for the discount. The value of the discount redeemed is
then stored in a discounts redeemed database, and portions of the
discount redeemed are allocated to vendors of the first and second
cross-marketed products according to predetermined criteria.
BRIEF DESCRIPTION OF THE DRAWINGS
[0014] The invention will be better understood and its numerous
objects and advantages will become more apparent to those skilled
in the art by reference to the following drawings, in conjunction
with the accompanying specification, in which:
[0015] FIG. 1 is a message flow diagram illustrating the messages
sent between the components of the system of the present invention
during a cross-merchandising transaction;
[0016] FIG. 2 is a table illustrating an exemplary record format
for a Discounts Issued message which informs a system controller of
the discounts issued by a grocery store POS terminal;
[0017] FIGS. 3A-3C are a flow chart illustrating the steps of the
method when a customer redeems an issued discount at a gasoline
station; and
[0018] FIG. 4 is a flow chart illustrating an overall method of
issuing, redeeming, and clearing discount coupons in which the
method of the present invention may be practiced.
DETAILED DESCRIPTION OF EMBODIMENTS
[0019] The present invention is a method of utilizing electronic
coupons for cross-marketing. By making a purchase of one or more
products, a customer earns discount credits toward the purchase of
another product such as gasoline. For example, if the customer buys
Product A from a HVR merchant such as a grocery store or
convenience store, she may earn a Price Per Unit (PPU) discount of
$0.02/gallon on her next purchase of gasoline at a participating
gas station. Her receipt from the grocery store may be imprinted
with an encoded bar code which is read by a bar-code reader at the
gasoline dispenser. The price of the gasoline is then adjusted to
provide her with her discount. The receipt is treated as a legal
tender coupon. Therefore, if the discount earned is greater than
the PPU price of the gasoline, the customer may get a credit back
at the end of the transaction for the unused portion of the
discount. Alternatively, the coupon can be printed to inform the
customer that it is good only up to the PPU price of the
gasoline.
[0020] The PPU price on the gasoline dispenser can be discounted to
multiple levels, depending on the discount which the customer has
earned. For example, if the customer also bought Product B which
provides a gasoline discount of $0.02/gallon, in addition to
Product A, then the system automatically adds the two discounts
together to calculate a total discount. Thus, when the customer
scans in her receipt and purchases gasoline, she receives a PPU
discount of $0.04/gallon.
[0021] The system also tracks discounts that are not
product-specific. For example, a HVR merchant such as a grocery
store may offer a gasoline discount if a customer purchases a
threshold amount of groceries over a designated period of time. For
example, a purchase of $100 in a single trip may earn a discount of
$0.10/gallon, while a purchase of $200 may earn a discount of
$0.20/gallon. Alternatively, cumulative purchases over the time
period may reach a threshold level and qualify for a discount. For
example, purchases totaling $300 in a week may qualify for a
$0.10/gallon discount. Additionally, since some products in the
store provide a higher margin to the retailer, the grocery store
may target the purchases to a specific department such as bakery
goods. For example, a $15 bakery purchase may entitle the customer
to a $0.04/gallon discount. Other products such as produce need to
be sold fairly rapidly to avoid spoilage. These products may also
be targeted to provide gasoline discounts.
[0022] The customer may also scan in several receipts at the
gasoline dispenser and be awarded a cumulative discount. The
receipts may be from several visits to a single HVR merchant, or
may be from multiple independent HVR merchants. As discussed below,
the receipt is encoded to provide the system with the proper
information regarding the identity of the customer, the receipt,
and the HVR merchant.
[0023] Some grocery stores offer frequent shopper cards to their
customers which provide discounts on selected products if the card
is scanned at the register at the time of purchase. The present
invention enables the customer to utilize credits earned on her
frequent shopper card to obtain PPU discounts on gasoline. The card
may be electronically updated with credits earned at the conclusion
of a shopping trip to the grocery store. The credits earned are
also printed on the customer's receipt so that she has a record of
the discount earned. The credits are then recognized when the
customer scans the card at the gasoline station. The credit is then
applied to the gasoline purchase. If the entire credit is not
utilized, the remaining credit is updated on the card.
[0024] The present invention is not limited to any one method of
providing the system with data regarding the identity of the
customer, the receipt, and the issuing HVR merchant. Thus, for
example, the discount may be encoded in a bar code on a printed
receipt, it may be transferred by a radio frequency identification
(RFID) device, or it may be magnetically encoded on a frequent
shopper card or other magnetic medium such as a prepaid card or
credit card. The customer may also be given a code number which may
be entered at the gasoline dispenser in order to trigger the
discount in the price per gallon. A personal identification number
(PIN) may be utilized to trigger the discount or to provide
security for any form of other electronic coupon.
[0025] The gasoline business is highly cost competitive, and
customers generally purchase their gasoline at the station where
they perceive they are getting the best price per gallon. It is
difficult, however, for a gasoline retailer to maintain a
competitive price advantage because as soon as he lowers his posted
street price, his competitors lower their prices to match. The
present invention offers a method by which a gasoline retailer can
maintain a posted street price (seen by his competitors) while
offering his customers the benefit of individualized prices which
are discounted from the posted street price. The method also
enables gasoline retailers who operate convenience stores in
conjunction with their gasoline sales to increase inside sales by
offering discounts on gasoline in response to the purchase of goods
inside the store.
[0026] FIG. 1 is a message flow diagram illustrating the messages
sent between the components of the system of the present invention
during a cross-merchandising transaction. The system includes a HVR
point of sale (POS) terminal 11, a gas station 12, and a controller
13 which is associated with a HVR discounts issued database 14, a
HVR discounts redeemed database 15, and a residual value database
16.
[0027] When a customer purchases items from the HVR merchant, the
HVR POS terminal 11 determines at 21 which purchases qualify for a
price-per-unit (CPU) discount on gasoline. A total PPU discount is
then calculated by adding each individual PPU discount for which
the customer has qualified. Transaction data including an
identification of the customer and the total discount issued is
sent to the HVR discounts issued database 14 in a Discounts Issued
message 22. The customer identification may be utilized to track
customer loyalty or, in the case of HVR merchants that require
memberships, the customer identification may be utilized to verify
membership. At 23, the HVR POS terminal prints a receipt for the
customer which includes an encoded customer identification and
transaction identification associated with the discount, and the
customer takes the receipt to the gas station 12.
[0028] Referring briefly to FIG. 2, an exemplary record format is
shown for the Discounts Issued message 22 which carries customer,
transaction, and store identifications to the HVR discounts issued
database 14. Field 1 serves as the key for matching the customer's
receipt with a particular discount record. This number may be
encoded, for example, in a bar code on the POS sale receipt. Field
1 may be divided into sub-fields 1a-1c. Sub-field 1a identifies the
chain to which the HVR store belongs. This number is unique across
the discount program, and enables a customer to redeem a discount
earned at a particular store in a chain at any other store in the
chain. Sub-field 1b identifies the particular store within the HVR
chain. This number must be unique within a chain or store ownership
group. Sub-field 1c is a site-unique discount identifier which may
be utilized in combination with sub-fields 1a and 1b to identify a
particular customer or transaction. Sub-field 1c must be unique
within a site (chain+store) discount expiration period. Fields 2
and 3 report the date and time of the sale.
[0029] Field 4 identifies a particular POS terminal within the
identified site for store auditing purposes. Field 5 shows the PPU
discount issued in cents per fuel-unit volume (for example,
0.15/gallon). Field 6 shows the maximum fuel units that are
authorized for sale at the discounted price, and Field 8 shows the
minimum fuel units that must be purchased in order to qualify for
the discount. The POS terminal may issue a total discount instead
of a PPU discount and, if so, this information is supplied in Field
7. When Field 7 (total discount) is supplied, Field 8 (minimum
units) may also be supplied, but Field 5 (unit discount) must not
be supplied. Conversely, when Field 5 (unit discount) is supplied,
Field 6 may be supplied, but Field 7 (total discount) and Field 8
(minimum units) are ignored.
[0030] Field 9 provides the local date of the last day that the
discount is valid. Field 10 provides a list of logical coupon
identifications which made up the discount, and Field 11 provides a
count of the number of logical coupons that made up the discount.
The coupon IDs may be passed to the HVR discounts redeemed database
15 and to a clearing house (not shown) in a Discounts Redeemed
record so that the discount can be allocated to the proper vendors
according to predetermined criteria. The discount may be allocated
according to negotiated agreements or on a pro rata basis. Field 12
provides a loyalty card identifier for individual customers of
stores that use loyalty cards such as frequent shopper cards.
[0031] Referring again to FIG. 1, when the customer desires to
redeem the discount, the receipt is scanned at 24 by a bar code
scanner at the pump dispenser at the gasoline station 12. This
causes the dispenser to send a start transaction message 25 to the
controller 13. The start transaction message includes the data
scanned from the customer's receipt. At 26, the controller
retrieves information regarding the issued discount from the HVR
discounts issued database 14. At 27, the controller also retrieves
information regarding any residual discount that may have been
stored in the residual value database 16 from a previous
transaction. At 28, the controller validates the scanned data by
comparing it with data retrieved from the HVR discounts issued
database 14 and the residual value database 16. If the scanned data
is valid, the controller adds any residual discount to the discount
issued to obtain a total PPU discount. The controller then
determines an adjusted PPU price by subtracting the total PPU
discount from the normal price. The controller also sets an upper
limit on the number of gallons subject to the discount. If the
customer scans more than one receipt, the process from steps 24 to
28 is repeated, and the discount associated with each receipt is
added to the total PPU discount, and is subtracted from the normal
price.
[0032] The controller then sends a set discount message 29 to the
dispenser and includes instructions to adjust the displayed price
per gallon by the amount of the total PPU discount, and to set the
maximum limit on the number of gallons that can be purchased at the
discounted price. Alternatively, a maximum discount value can be
set. If the calculated total PPU discount is greater than the PPU
displayed on the gasoline dispenser, the controller sets the
displayed PPU price to zero (0). On dispensers that will not
display a PPU price of zero, the lowest price which the dispenser
will display is shown to the customer. After the sale is complete,
and the sale amount is reported to the controller at step 32, the
controller sets the sale amount to zero.
[0033] At 31, the gasoline station dispenser adjusts the price per
gallon on the dispenser, and the dispenser is authorized. When the
sale is completed, the dispenser sends an end transaction message
32 to the controller and includes the actual sale amount. The
actual value of the discount-redeemed is then determined at 33. At
34, the discount-redeemed amount is then sent to the HVR discounts
redeemed database 15. The HVR merchant can compare data from the
HVR discounts issued database 14 and the HVR discounts redeemed
database 15 to determine the effectiveness of cross-marketing
agreements on various products. The controller determines if there
is any residual discount at 35, and if so, sends the residual
discount at 36 to the residual value database 16. At 37, the
controller sends the discount redeemed to a clearing house (not
shown) for allocation to the proper vendors.
[0034] FIGS. 3A-3C are a flow chart illustrating the steps of the
method when a customer redeems an issued discount at a gasoline
station. Referring concurrently to FIG. 1 and FIG. 3A, it can be
seen at step 41 that the process may be started by having the
customer press a "Rewards" button at the gasoline dispenser, and
then selecting a grade of gasoline to be purchased at step 42.
Alternatively, the process may be started automatically when the
customer selects a grade of gasoline and then at 43, scans the bar
code on the receipt that was printed at the HVR POS terminal. At
44, the gas station then sends the information scanned from the bar
code, which includes the discount reference number, a customer
identification, and a transaction identification to the controller
13 which retrieves information relating to the issued discount from
the discounts issued database 14. The controller also retrieves
information regarding any residual discount that may have been
stored from a previous transaction in the residual value database
16. The controller then calculates a total PPU discount at step 45
by adding the issued discount to the residual discount, if any. If
the customer scans additional receipts, the process repeats steps
42-45 and calculates a total PPU discount that combines the
discounts for all scanned receipts.
[0035] At 46, it is determined whether or not the calculated total
PPU discount is greater than the PPU displayed on the gasoline
dispenser. If not, the method moves to step 47 and subtracts the
total PPU discount from the displayed PPU and then displays a new
discounted PPU on the dispenser at 48. However, if the calculated
new discounted PPU is less than or equal to zero, the discounted
PPU is then set to zero (0) at 47 and is displayed on the
dispenser. If the PPU is not zero at 48, the method moves to step
49 where the display instructs the customer to enter payment, which
may be a credit card or dollar bills. If the PPU is zero, the
method moves directly to step 50 where the customer's record is
locked, and a timer is started at 51. The method then moves to FIG.
3B, step 55.
[0036] If the timer expires at step 55 before any further action is
taken, the method moves to step 56 where the timer automatically
ends the transaction. Thus, if the customer finds, for example,
that he has no money, or is unable to complete the transaction for
any other reason, the next person in line does not get the
customer's discount. The customer's record is unlocked at 57, and
the value of the customer's discount is retained.
[0037] If the customer presses a "Cancel Transaction" button at 58
before the timer expires at 55, the method also moves to step 56
where the transaction is canceled and the customer's record is
unlocked at 57, and the value of the customer's discount is
retained. If the Cancel Transaction button is not pressed, the
method moves to step 59 where the customer enters his payment. At
step 61, it is determined whether or not the customer's credit card
is accepted. If not, the method moves to step 56 where the
transaction is canceled and the customer's record is unlocked at
57, and the value of the customer's discount is retained. If the
credit card is accepted, the method moves to step 62 where the
dispenser is authorized to dispense up to the maximum number of
gallons authorized in Field 6 of the Discount Issued message 22
(FIG. 2). The dispenser is automatically shut off if the maximum
number of gallons is reached.
[0038] It is then determined at step 63 whether or not the customer
has dispensed fuel. If not, it is determined at 64 whether or not
the timer has expired. If the timer has not expired, the method
returns to step 63 and waits for the customer to begin dispensing
the fuel. If the customer does not begin dispensing fuel before the
timer expires, the method moves to step 65 where the transaction is
canceled and the customer's record is unlocked at 66, and the value
of the customer's discount is retained. If the customer dispenses
fuel at 63, the method moves to step 67 where the customer
completes fueling and turns off the dispenser. The method then
moves to FIG. 3C, step 70.
[0039] At step 70, the value of the discount redeemed is determined
by multiplying the PPU discount by the number of gallons purchased.
The process then moves to step 71 where it is determined whether
there is any residual value to the issued discount. If so, the
method moves to step 72 where the residual value is added to the
residual value database 16 in a new residual value record. For the
customer's convenience, the gasoline dispenser may then print a
residual value coupon for the customer at 73 which can be utilized
to redeem the residual value in a future transaction. Following
this, or if the issued discount did not have any residual value,
the method moves to step 74 where the old residual value record is
deleted from the residual value database. At step 75, the discount
is then deleted from the discounts issued database 14 for the
discount reference number utilized. The customer's record is then
unlocked at 76. At 77, the discount is then added to the discounts
redeemed database 15.
[0040] FIG. 4 is a flow chart illustrating an overall method of
issuing, redeeming, and clearing discount coupons in which the
method of the present invention may be practiced. A vendor 82, a
marketer 83, a HVR merchant 84, and a clearing house 85 are
involved in the method. Dotted lines in the flow chart represent
the passing of settlement information. The HVR merchant may be, for
example, a grocery store or convenience store which also sells
gasoline to its customers. The HVR merchant utilizes a POS terminal
86 through which sales transactions are processed. The transactions
may be categorized as department transactions 87, loyalty
transactions 88, or vendor transactions 89. A department
transaction 87 may be sales in a particular department such as the
bakery department in which the HVR merchant has decided to offer
awards for bakery purchases. By purchasing a minimum amount of
bakery goods, the customer is issued a discount coupon which is
good for a reduction in the PPU price of gasoline at the store.
Therefore, fulfillment at 91 and settlement are accomplished within
the HVR merchant's own accounting system.
[0041] A loyalty transaction 88 may be a transaction in which the
customer utilizes a store credit card or frequent shopper card.
Fulfillment at 91 and settlement of the gasoline discount for this
transaction are also accomplished within the HVR merchant's own
accounting system. However, transactions involving the purchase of
a participating vendor's products at 89 require fulfillment at 92
and settlement through the clearing house 85 and the marketer
83.
[0042] It is thus believed that the operation and construction of
the present invention will be apparent from the foregoing
description. While the method shown and described has been
characterized as being preferred, it will be readily apparent that
various changes and modifications could be made therein without
departing from the scope of the invention as defined in the
following claims.
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