U.S. patent application number 12/123674 was filed with the patent office on 2008-10-09 for method and system to incorporate game play into product transactions.
Invention is credited to Keith Bemer, Magdalena M. Fincham, Andrew P. Golden, Timothy A. Palmer, Nandu A. Talwalkar, Jay S. Walker.
Application Number | 20080249879 12/123674 |
Document ID | / |
Family ID | 46281122 |
Filed Date | 2008-10-09 |
United States Patent
Application |
20080249879 |
Kind Code |
A1 |
Walker; Jay S. ; et
al. |
October 9, 2008 |
METHOD AND SYSTEM TO INCORPORATE GAME PLAY INTO PRODUCT
TRANSACTIONS
Abstract
A method for providing a product is described in which a
selection of a product is received from a customer, a game is
selected by the customer, the customer provides his credit card
number, the customer plays the game and an outcome is determined.
If the customer wins, the credit card is charged a game fee, if the
customer loses, the credit card is charged the price of the
product. In either case, the product is then provided to the
customer.
Inventors: |
Walker; Jay S.; (Ridgefield,
CT) ; Golden; Andrew P.; (Yarmouthport, MA) ;
Fincham; Magdalena M.; (Norwalk, CT) ; Palmer;
Timothy A.; (New York, NY) ; Talwalkar; Nandu A.;
(Darien, CT) ; Bemer; Keith; (Brooklyn,
NY) |
Correspondence
Address: |
WALKER DIGITAL MANAGEMENT, LLC
2 HIGH RIDGE PARK
STAMFORD
CT
06905
US
|
Family ID: |
46281122 |
Appl. No.: |
12/123674 |
Filed: |
May 20, 2008 |
Related U.S. Patent Documents
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Application
Number |
Filing Date |
Patent Number |
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10234075 |
Aug 30, 2002 |
7390264 |
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12123674 |
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09606566 |
Jun 29, 2000 |
6443843 |
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10234075 |
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60204673 |
May 17, 2000 |
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Current U.S.
Class: |
705/14.14 ;
463/22; 705/14.21 |
Current CPC
Class: |
G06Q 30/0239 20130101;
G06Q 30/0277 20130101; G06Q 30/0212 20130101; G06Q 30/0211
20130101; G06Q 30/02 20130101; G06Q 30/0226 20130101; G06Q 30/0238
20130101; G06Q 30/0219 20130101 |
Class at
Publication: |
705/14 ;
463/22 |
International
Class: |
G06Q 30/00 20060101
G06Q030/00 |
Claims
1. A method comprising: adjusting prices of a plurality of
products; receiving a payment from a customer for at least one of
the products; generating at least one outcome of a game in response
to receiving the payment for the product; and awarding an amount to
the customer if the outcome of the game is a winning outcome,
wherein the amount is based on the adjusted price of the product,
and wherein the amount is funded from revenue resulting from the
adjusted prices.
2. The method of claim 1, in which adjusting prices of a plurality
of products comprises adjusting prices to a degree that a price
increase will result in sufficient revenue to fund a desired rate
of winning outcomes.
3. The method of claim 1, in which generating an outcome comprises
generating outcomes with a predetermined frequency of winning
outcomes.
4. The method of claim 3, wherein the desired frequency of winning
outcomes comprises a number of winning outcomes that permits
customers to witness at least one winning outcome during the
customers' own transaction.
5. A computer readable medium storing instructions configured to
direct a processor to: adjust prices of a plurality of products;
receive an indication of a payment from a customer for at least one
of the products; generate at least one outcome of a game in
response to receiving the payment for the product; and award an
amount to the customer if the outcome of the game is a winning
outcome, wherein the amount is based on the adjusted price of the
product, and wherein the amount is funded from revenue resulting
from the adjusted prices.
6. The computer readable medium of claim 5, in which the
instructions for adjusting prices of the plurality of products
comprise instructions configured to direct the processor to adjust
prices to a degree that a price increase will result in sufficient
revenue to fund a desired rate of winning outcomes.
7. The computer readable medium of claim 5, in which the
instructions for generating an outcome comprise instructions
configured to direct the processor to generate outcomes with a
predetermined frequency of winning outcomes.
8. The computer readable medium of claim 7, in which the
instructions for generating outcomes with a predetermined frequency
comprise instructions configured to direct the processor to
generate winning outcomes such that customers witness at least one
winning outcome during the customers' own transaction.
9. An apparatus, comprising: a processor; and a memory storing
instructions, wherein the instructions are configured to direct the
processor to: adjust prices of a plurality of products; receive an
indication of a payment from a customer for at least one of the
products; generate at least one outcome of a game in response to
receiving the payment for the product; and award an amount to the
customer if the outcome of the game is a winning outcome, wherein
the amount is based on the adjusted price of the product, and
wherein the amount is funded from revenue resulting from the
adjusted prices.
Description
CROSS-REFERENCE TO RELATED APPLICATION
[0001] The present application is a continuation of U.S. patent
application Ser. No. 10/234,075, filed Aug. 30, 2002, entitled
"METHOD AND SYSTEM TO INCORPORATE GAME PLAY INTO PRODUCT
TRANSACTIONS", which is a continuation-in-part application of U.S.
application Ser. No. 09/606,566, filed Jun. 29, 2000, and issued as
U.S. Pat. No. 6,443,843 on Sep. 3, 2002 entitled "SYSTEM TO PROVIDE
GAME PLAY FOR PRODUCTS", which claims the benefit of U.S.
Provisional Application No. 60/204,673, filed May 17, 2000,
entitled "SHOPPING AS GAMBLING". The contents of these applications
are incorporated herein by reference for all purposes.
BACKGROUND OF THE INVENTION
[0002] 1. Field of the Invention
[0003] The present invention relates to systems for providing
products to customers. More specifically, the present invention
concerns a system to provide a product to a customer based on a
game outcome.
[0004] 2. Description of the Related Art
[0005] Retailers experiment with many types of systems designed to
attract customers away from other retailers. Some of these systems
attempt to attract customers by injecting excitement into a retail
shopping experience.
[0006] Sweepstakes are one such system. A retailer conducts a
sweepstakes by receiving entries from customers at a retail store,
by selecting one or more entries from the received entries and by
awarding predetermined prizes to customers from whom the selected
entries were received. Accordingly, a sweepstakes is intended to
motivate a customer to visit the retail store by presenting a
possibility of winning a prize. However, the ability of a
sweepstakes to influence a customer's choice of retail stores is
limited because the predetermined prizes are often products in
which the customer has little particular interest and because a
probability of winning a desirable prize in a sweepstakes open to
the public is often perceived to be extremely low. As a result,
retailers often conclude that the limited ability of a sweepstakes
to attract customers is outweighed by a cost of the awarded
prizes.
[0007] Other systems which attempt to provide excitement, such as
that described in U.S. Pat. No. 5,269,521 to Rossides, allow
customers to gamble for products. According to U.S. Pat. No.
5,269,521, a customer desiring to obtain a commodity submits a
wager to participate in a game of chance in which a winning outcome
results in an award of the commodity to the customer and a losing
outcome results in a loss of the wager. However, customers in a
shopping environment are usually unwilling to risk losing the
payment without receiving any benefit in return. Accordingly,
gambling-based systems are limited in their attractiveness to
retail customers. Moreover, these systems invoke gambling laws and
regulations which present financial and administrative burdens that
complicate a retailer's business to an extent outweighing any
additional revenues resulting from the systems.
[0008] Therefore, what is needed is a system for injecting
excitement into a shopping experience which is more attractive to
customers than conventional systems, is not necessarily gambling,
and which is also more profitable and less cumbersome to
retailers.
BRIEF DESCRIPTION OF THE DRAWINGS
[0009] FIG. 1A is a block diagram of a system according to some
embodiments of the present invention;
[0010] FIG. 1B is a block diagram of a system according to other
embodiments of the present invention;
[0011] FIG. 2 is a block diagram of a retailer controller according
to some embodiments of the present invention;
[0012] FIG. 3 is a block diagram of a customer device according to
some embodiments of the present invention;
[0013] FIG. 4 is a block diagram of a point-of-sale (POS) terminal
according to some embodiments of the present invention;
[0014] FIG. 5 illustrates a tabular representation of a portion of
a customer database according to some embodiments of the present
invention;
[0015] FIG. 6 illustrates a tabular representation of a portion of
a product database according to some embodiments of the present
invention;
[0016] FIG. 7 illustrates a tabular representation of a portion of
an outcome database according to some embodiments of the present
invention;
[0017] FIG. 8 is a flow chart of process steps to provide a product
according to some embodiments of the present invention;
[0018] FIG. 9 is a flow chart of process steps to provide a product
according to some embodiments of the present invention;
[0019] FIG. 10 is a flow chart of process steps to provide a
product according to some embodiments of the present invention;
and
[0020] FIG. 11 is a flow chart of process steps to provide a
product according to some embodiments of the present invention.
[0021] FIG. 12 is a flow chart of process steps to provide a
product according to some embodiments of the present invention.
DETAILED DESCRIPTION
[0022] The present invention addresses the foregoing needs by
providing, in some embodiments, a system to provide a product which
includes reception of a selection of a product from a customer,
reception of a fee to play a game, determination of an outcome of
the game, provision of the product to the customer if the outcome
is a winning outcome, and credit of a portion of the fee to the
customer if the outcome is a losing outcome. Such a system is
believed to be attractive to a customer because the customer
chooses a product for which to play a game, and because a portion
of a received fee is credited to the customer if an outcome of the
game is a losing outcome. As a result, the customer is able to play
for products actually desired and a risk of loss is less than that
presented by gambling-based systems. Furthermore, a retailer may
control the fee amount and the game outcomes in order to offset any
losses resulting from winning outcomes with increased volume and
revenue.
[0023] In some embodiments of the foregoing aspect, the customer is
credited the entire received fee if the outcome is a losing
outcome. Such an embodiment increases the attractiveness of the
inventive system to customers because a participating customer will
either win the product or be no worse off than if the game was not
played. Accordingly, a retailer may be willing to practice this
embodiment in return for increased customer traffic and customer
loyalty.
[0024] In other embodiments, the fee is credited to a sale price of
the selected product if the outcome is a losing outcome. Again,
assuming that the customer intends to buy the product regardless of
the game outcome, the customer experiences no loss as a result of
playing the game, even if a resulting outcome is a losing outcome.
However, in a case that the customer does not purchase the product
after playing the game, the retailer earns the fee as an additional
revenue source.
[0025] In an additional aspect, the selection of the product
includes a commitment from the customer to purchase the product.
According to this aspect, a retailer will receive a retail profit
margin for the sale of the product if the outcome is a losing
outcome. As a result, a retailer may be more willing to provide a
greater probability of winning outcomes than in an embodiment where
the customer does not commit to purchase the product.
[0026] In yet another aspect, the game reflects a probability that
a winning outcome will result therefrom, which is a first
probability if a product selection was received from a first
customer and is a second probability if the product selection was
received from a second customer. By virtue of these features,
provision of products to customers may be tailored so that, for
example, loyal customers (e.g. customers registered with a
retailer's frequent shopper program) are more likely to receive
winning outcomes than new customers.
[0027] The invention also concerns a system in which a sale price
of a product is received from a customer, the product is provided
to the customer in exchange for the sale price, an outcome of a
game is determined, and a portion of the sale price is credited to
the customer if the outcome is a winning outcome. This aspect of
the invention encourages customers to purchase products in the hope
of receiving a credit for a portion of the purchase price.
Moreover, a retailer will likely be willing to allow occasional
winning outcomes in exchange for increased customer flow resulting
from the invention.
[0028] In another aspect, the invention includes means for
obtaining a selection of a product from a customer, means for
obtaining a fee to play a game, means for deciding an outcome of
the game, means for transmitting the product to the customer if the
outcome is a winning outcome, and means for providing the fee to
the customer if the outcome is a losing outcome.
[0029] With these and other advantages and features of the
invention that will become hereinafter apparent, the nature of the
invention may be more clearly understood by reference to the
following detailed description, the appended claims, and to the
several drawings attached hereto.
[0030] To aid in clarifying the following description, set forth
below are example meanings of several terms used herein. The scope
of the present invention is not to be deemed limited by these
example meanings.
[0031] The term "product" may refer to, for example, a good and/or
a service. The term product may also be used herein to refer to one
or more related or unrelated goods and/or services.
[0032] The term "retailer" may refer to, for example, an entity
which sells products to customers. Such entities include
proprietors of traditional retail stores, proprietors of online
retail stores, product manufacturers, product warehousers, and
online storefront providers.
[0033] The term "retail price" may refer to, for example, a price
for which a product is sold to customers absent a price
discount.
[0034] The term "retail store" may generally refer to, for example,
a location at which products are offered for sale by a retailer.
Traditionally, a retail store is a physical building in which a
retailer offers and sells products to customers. Retail stores also
include Websites in which descriptions and visual representations
of products for sale may be viewed by customers and through which
the customers may purchase one or more of the products for
sale.
[0035] The term "point of sale" and/or "POS" may generally refer
to, for example, a location within a retail store where
transactions typically occur. Traditionally, a point of sale
includes a cash register or check-out terminal in a retail store. A
point of sale may also include a Web page (or other Internet and/or
communication network protocol's interface) where a transaction may
occur. For example, a POS may comprise a check-out screen showing
the products a customer wants to purchase (i.e. the products the
customer has metaphorically "brought" to the POS), the products'
prices, the customer's method of payment and financial account
information, and an input button that allows the customer to
indicate his final authorization to proceed with the sale. Note
that a point of sale may also be a point of display of a product
and that "bringing" a product to a POS may include the act of
merely selecting the product for purchase, indicating that a
product should be "placed in" an online shopping cart metaphor,
designating a product as an item to be purchased, and/or physically
or virtually bringing a representation of the product to a POS.
[0036] The term "sale price" may refer to, for example, a price
which a customer pays in exchange for a product. Sale prices
include retail prices and prices reflecting a price discount.
[0037] The terms "award points" and "reward points" are synonymous
and may generally refer to, for example, any form of value provided
by retailers to customers, or potential customers, in exchange for
exhibiting desired behaviors. For example, a customer may earn "one
frequent shopper point" for each dollar spent at a particular
retail store. In another example, a potential new customer may be
offered "100 bonus points" for trying a particular retail store. In
another example, a loyal customer may be awarded "1000 member
points" for regularly purchasing all her groceries at a particular
chain of retail stores over a defined period of time. These various
types of award points may be redeemable for products or discounts.
In some embodiments of the present invention, reward points may be
used to pay a fee required to play a game.
[0038] As a brief introduction to the following detailed
description, two specific example embodiments of the present
invention is now described. According to the first embodiment, a
customer executes a Web browser on a personal computer and enters,
into the Web browser, a uniform resource locator (URL)
corresponding to a Website operated by a retailer. The URL is sent
via the World Wide Web to an appropriate Web server located in a
retailer controller and, in response, the Web server delivers a Web
page to the Web browser, which displays the Web page on the
personal computer. The customer then navigates through various Web
pages of the Website using the Web browser in order to shop for
products.
[0039] The customer selects a product by selecting a displayed
hyperlink corresponding to the product. In response, the Web server
transmits a Web page to the Web browser including a view, a
description and a price of the product. The Web page also includes
a hyperlink selectable to indicate that the customer desires to
play a game for the product. Once this hyperlink is selected, the
Web server determines a fee required to play the game based on a
retail price of the product and on a probability that the game will
result in a winning outcome. For example, if the product has a
retail price of $10 and the probability of a winning outcome is 0.1
(i.e. 1 in 10 plays results in a winning outcome), the fee is
determined to be $1. The fee is charged to the customer using a
payment identifier previously provided by the customer.
[0040] The game, such as a slot machine game, is then executed and
the outcome of the game is determined. If the outcome is a winning
outcome, the product is shipped to the customer without charging
the customer any additional fee for the product, except perhaps a
shipping and handling fee. If the outcome is a losing outcome, a
Web page is transmitted to the customer informing the customer that
she did not win the product but that she possesses a credit equal
to the $1 fee which is applicable towards the purchase of the
product. Accordingly, the customer may purchase the product for $1
less than the retail price of the product.
[0041] In a second illustrative embodiment, a customer at a grocery
store who purchases a gallon of milk (which normally retails for
$3.00) has the opportunity to play a single game that, if won,
allows the customer to receive the milk for free. If the game is
lost, the customer must purchase the milk for its retail price.
Now, although the milk typically retails for $3.00 in the local
area, the grocery store in question has made the price $3.05 in
order to counterbalance the cost of providing the gallon of milk
free to customers who win the game. The game is a game of chance in
which a customer has a 1/50 chance of winning. Therefore, on
average, the grocery store will receive $3.05 for a gallon of milk
on 49 out of 50 purchases, and will receive nothing on 1 out of 50
purchases. The grocery store therefore receives an average of about
$3.00 per purchase of the gallon of milk, which is the typical
retail price of a gallon of milk in the local area. However the
retailer has managed to create more excitement among its customers
for only a small increase in the displayed price of milk. Although
an individual customer is likely to win milk on only one in 50
purchases (winning perhaps once per year if milk is a weekly
purchase), the customer may be likely to see others win milk far
more frequently. For example, if a customer goes shopping on a busy
day where 5 people are in line at each of 10 check-out lines, then
50 people may check-out while the customer is waiting. If enough of
these people are buying milk, which is a fairly common grocery
item, then the customer is reasonably likely to see at least one
person win milk on any given trip to the grocery store. The
customer may vicariously experience the joy of other customers
winning, and may thereby more enjoy his own shopping
experience.
[0042] It should be noted that the foregoing merely describes
particular embodiments of the invention, and that the invention
should not be deemed limited to the particular aspects mentioned
above.
System
[0043] FIG. 1A shows a block diagram of a system 10 according to
some embodiments of the present invention. As shown, the system 10
includes a retailer controller 100 in communication with customer
devices 200, 201 and 202. The retailer controller 100 may comprise
one or more computer servers providing, for example, a database
server and a World Wide Web server. In some embodiments, the World
Wide Web server operates to receive requests for Web pages from the
customer devices 200, 201 and 202, to create Web pages, and to
transmit the Web pages to the customer devices 200, 201 and
202.
[0044] Each of the elements of the system 10 may be located in a
retail store. For example, the retailer controller 100 may be a
computer server located in a control center within the retail
store, and the customer devices 200, 201 and 202 may be customer
kiosks situated at various locations within the retail store.
However, the elements of the system 10 need not be located at a
retail store or in a same location. Rather, the system 10 may be
used in an online embodiment wherein at least one of the customer
devices 200, 201 and 202 is located remotely from the retailer
controller 100. It should be noted that the system 10 may
simultaneously provide remote and in-store functionality.
[0045] Multiple physical devices may be used to perform the
functions of the retailer controller 100 according to the present
invention, and some or all of these functions may also be performed
manually. The retailer controller 100 may be operated by a
retailer, by an entity providing customer acquisitions services to
retailer, by an entity providing shopping and retail services to
customers, by an entity providing online storefronts to retailers
or by any other entity to which the present invention may provide
benefits. In the following description, actions which may be
performed by an entity operating the retailer controller 100, such
as reception of a fee, provision of a product, and crediting a fee,
will be imputed to the retailer controller 100.
[0046] As described above, at least one of the customer devices
200, 201 and 202 may be a dedicated kiosk operated within a retail
store to communicate with the retailer controller 100, which may or
may not be located in the retail store. One or more of the customer
devices 200, 201 and 202 may also comprise a personal computer
operated by a customer to access and interact with a Website
provided by a Web server executing within the retailer controller
100. Other types of customer devices 200, 201 and 202 usable in
conjunction with the present invention may include a personal
digital assistant (PDA), an Internet and/or communication network
kiosk, a product code scanner, a pager, a cellular phone, a
shopping cart equipped with a communication terminal, a pay phone,
a fuel pump, a video game, an automated teller machine, a slot
machine, a watch, a vending machine, an in-car communications
system for providing World Wide Web data or the like, or any other
device adapted to communicate with the retailer controller 100 over
whatever communication media exist between the device and the
controller 100. For example, in a case that the customer device 200
is a PDA which communicates with the retailer controller 100 over
the World Wide Web locally or remotely, the customer device 200 may
execute a Web browser application for passing data to the retailer
controller 100 and/or requesting data from the retailer controller
100.
[0047] In another example, the customer device 200 comprises both a
retailer terminal (not shown) located at a retail store and a
device such as a PDA used to communicate with the retailer terminal
via an infrared or other connection. Such a retailer terminal may
be associated with a single product or a group of products. This
association allows the retailer controller 100 to identify a
product or group of products relating to a received communication
by reference to the retailer terminal from which the communication
was received.
[0048] FIG. 1B illustrates a block diagram of a system 20 according
to other embodiments of the present invention. The system 20
includes a retailer controller in communication with the customer
devices 200, 201 and 202 as described with respect to the system
10. However, the system 20 also includes POS terminals 300, 301 and
302 in communication with the retailer controller 100. The system
20 may be used to embody the invention within a retail store. For
example, the retailer controller 100 may be a computer server
located in a control center within the retail store, the customer
devices 200, 201 and 202 may be customer kiosks situated at various
locations within the retail store, and the POS terminals 300, 301
and 302 may be cash registers located at a "checkout" area in the
store. Of course, it is not required that any of the elements of
the system 20 actually be located in a retail store.
[0049] One or more of the POS terminals 300, 301 and 302 may
comprise an electronic cash register, computer terminal, or other
type of POS terminal. In some embodiments, each of the POS
terminals 300, 301 and 302 is located at a single retail store and
is used to provide products to a customer by determining prices for
products brought to the terminal and by charging the customer for
each of the products. The POS terminals 300, 301 and 302 may also
comprise dedicated terminals used solely in conjunction with the
retailer controller 100 to provide products according to the
present invention, or credit/debit card authorization terminals
provided with software enabling operation in accordance with the
present invention. In other embodiments, the retailer controller
100 controls the provision of products according to game outcomes
for several retailers, and each of the POS terminals 300, 301 and
302 is located at a different retail store along with one of the
customer devices 200, 201 and 202.
[0050] A customer device may communicate directly with a POS
terminal, as shown with respect to the customer device 202 and the
POS terminal 302. Such communication may occur using any
communication media or protocol, and facilitates embodiments in
which information required for customer checkout is stored in the
customer device 202.
[0051] Although three customer devices are shown in FIG. 1A and
FIG. 1B and three POS terminals are also shown in FIG. 1B, any
number of customer devices and POS terminals may be in
communication with the retailer controller 100 according to either
embodiment of the invention. Furthermore, although the
communication media between the customer devices 200, 201 and 202,
the POS terminals 300, 301 and 302 and the retailer controller 100
are represented by dedicated connections, it should be understood
that one or more of the customer devices 200, 201 and 202 and, in
the case of the system 20, of the POS terminals 300, 301 and 302,
may be connected to a network, such as a Local Area Network (LAN)
or a Wide Area Network (WAN), to which is also connected the
retailer controller 100. The network may be an Internet Protocol
(IP)-based network, such as the World Wide Web, and/or one or more
of a satellite-based network, a cellular network, a radio frequency
(RF) network, a telephone network, a cable television network, or
any other communication system for transferring data between
locations.
[0052] It should also be understood that the invention may be
embodied in hardware configurations other than those shown in FIG.
1A and FIG. 1B. For example, the invention may be embodied entirely
in a customer device provided to customers by a retailer upon entry
into a retail store. In other embodiments, product selections and
fees are received and game outcomes are determined by a customer
device or a POS terminal, and the POS terminal is used to provide a
product or credit a portion of a fee to a customer based on the
game outcomes.
[0053] Those skilled in the art will understand that devices in
communication with each other need not be continually transmitting
to each other. On the contrary, such devices need only to transmit
to each other as necessary, and may actually refrain from
exchanging data most of the time. For example, a device in
communication with another device over the World Wide Web may not
transmit data to the other for weeks at a time.
Devices
[0054] Retailer Controller
[0055] FIG. 2 illustrates an embodiment of the retailer controller
100. The retailer controller 100 may be implemented using a network
server, a dedicated hardware circuit, an appropriately-programmed
general purpose computer, or any other electronic, mechanical or
electromechanical device.
[0056] The retailer controller 100 of FIG. 2 comprises a processor
110, such as one or more RISC.RTM. processors. The processor 110 is
coupled to a communication port 120 through which the retailer
controller 100 communicates with other devices. For example, the
retailer controller 100 may receive a selection of a product from
the customer device 200 and transmit a game outcome to the customer
device 200 through the communication port 120. As mentioned above,
each of the customer devices 200, 201 and 202, as well as the POS
terminals 300, 301 and 302, may communicate with the retailer
controller 100 over different communication media. Accordingly, the
communication port 120 is configured, in some embodiments, to
communicate using hardware and software protocols of the different
media. In addition, the retailer controller 100 can communicate
with locally-attached devices through the communication port
120.
[0057] Also connected to the processor 110 are an input device 130,
a display 140 and a printer 150. The input device 130 may be any
device for inputting data, such as a keyboard, a touch screen, a
mouse, a voice input device, an infrared port, or the like. The
input device 130 can be used by personnel to enter data used by the
retailer controller 100 in accordance with the present invention,
and can be used by an employee or a customer to input a selection
of a product to the retailer controller 100.
[0058] The display 140 is used to output graphics and text and may
be a CRT computer monitor, a flat panel display or another type of
display device. Graphics, text or other data may also be output by
the printer 150 in hardcopy format.
[0059] The processor 110 is also in communication with a data
storage device 160. The data storage device 160 is generally a data
memory and may include any appropriate combination of magnetic,
optical and/or semiconductor memory. The data storage device 160
may also include, for example, Random Access Memory (RAM), Read
Only Memory (ROM), a compact disc and/or a hard disk. Furthermore,
the processor 110 and the storage device 160 may each be, for
example: (i) located entirely within a single computer or other
computing device; or (ii) connected to each other by remote
communication media such as a serial port cable, telephone line or
radio frequency transceiver. In some embodiments, the retailer
controller 100 comprises one or more computers that are connected
to a remote server computer for maintaining databases.
[0060] The data storage device 160 stores a program 400 of
processor-executable process steps. The processor 110 executes the
process steps of the program 400 and thereby operates in accordance
with the present invention, and particularly in accordance with the
steps described herein with respect to the retailer controller 100.
In one example, the process steps of the program 400 are executed
to receive a selection of a product from a customer, receive a fee
to play a game, determine an outcome of the game, provide the
product to the customer if the outcome is a winning outcome, and
credit a portion of the fee to the customer if the outcome is a
losing outcome.
[0061] According to some embodiments of the present invention, the
steps of the program 400 are transferred from the data storage
device 160 into a main memory, such as a RAM, and executed
therefrom by the processor 110. In alternate embodiments,
hard-wired circuitry may be used in place of, or in combination
with, processor-executable software process steps for
implementation of the processes of the present invention. Thus,
embodiments of the present invention are not limited to any
specific combination of hardware or software.
[0062] The program 400 may be stored in a compressed, uncompiled
and/or encrypted format. The program 400 can be stored in the
storage device 160 during manufacture of the storage device 160,
can be downloaded from a compact disc or other computer-readable
medium, or can be retrieved from a remote or local source through
the communication port 120 in the form of a signal having the
program 400 encoded thereon.
[0063] The data storage device 160 also stores processor-executable
process steps for basic operation of the retailer controller 100,
such as process steps of an operating system, a Web server, a
database management system and "device drivers" for allowing the
retailer controller 100 to interface with computer peripheral
devices. These latter process steps are known to those skilled in
the art, and are therefore not described in detail herein.
[0064] The storage device 160 also stores i) a customer database
500, ii) a product database 600, and iii) an outcome database 700.
The databases 500 to 700 are described in detail below and portions
thereof are depicted in tabular form with sample entries in the
accompanying figures. In this regard, and as will be understood by
those skilled in the art, the schematic illustrations and
accompanying descriptions of the databases presented herein are
merely intended to demonstrate operable systems for associating and
storing information which may be used in accordance with the
present invention. A number of other data structures may be
employed besides those suggested by the tables shown. Similarly,
the illustrated entries of the databases represent sample
information only; those skilled in the art will understand that the
number and content of the entries can be different from those
illustrated.
[0065] Customer Device
[0066] FIG. 3 illustrates several elements of an example of a
customer device 200. The customer device 200 may be used in some
embodiments to input data to and to receive data from the retailer
controller 100, and to present data to a customer. For example, a
customer may use the customer device 200 to select a product, pay a
fee to play a game, receive the product if an outcome of the game
is a winning outcome, and receive a portion of the fee as a credit
if the outcome is a losing outcome.
[0067] As shown, the customer device 200 includes a processor 210
connected to a communication port 220. The communication port 220
is configured to transmit data to the retailer controller 100 via a
network connection, such as the World Wide Web, via an intermediate
device, such as the above-described retailer terminal, via
dedicated connection, or via another connection, and to receive
data from the retailer controller 100. Also connected to the
processor 210 are an input device 230 for receiving data and
instructions from a customer, a display 240 for displaying data to
the customer, and a printer 250 for creating a hardcopy of data,
such as of a confirmation of a game outcome and associated terms
for receiving a product. The input device 230, the display 240 and
the printer 250 may comprise any of the input devices, displays, or
printers discussed above.
[0068] A storage device 260 is also connected to the processor 210,
and stores data and processor-executable process steps for the
operation of the customer device 200. Specifically, the storage
device 260 stores process steps of a program 261 which may be
executed to control the customer device 200 to operate as described
herein. The process steps of the program 261 may be stored in the
storage device 260 during its manufacture, may be downloaded from a
compact disc or other computer-readable medium, or may be retrieved
from a remote or local source through the communication port 220
embodied in a signal having the process steps encoded thereon.
[0069] Also stored in the storage device 260 are
processor-executable process steps of a Web browser 262 which can
be executed by the processor 210 to provide communication between
the customer device 200 and a Web server executing within the
retailer controller 100 via the World Wide Web. Of course,
depending on the communication media disposed between the customer
device 200 and the retailer controller 100, other known
applications or hardware may be needed for the customer device 200
to communicate with the retailer controller 100. Process steps of
an operating system (not shown), such as the Palm.RTM. operating
system, may also be stored in the storage device 260 and executed
by the processor 210 to control basic operation of the customer
device 200.
[0070] In some embodiments, the invention is embodied solely in the
customer device 200, which may be given to customers upon entering
a retail store. In these embodiments, the program 261 includes
process steps executed by the processor 210 to receive a selection
of a product from a customer, receive a fee to play a game,
determine an outcome of the game, provide the product to the
customer if the outcome is a winning outcome, and credit a portion
of the fee to the customer if the outcome is a losing outcome. The
program 261 also includes, according to these embodiments, process
steps executable to identify a desired product, determine whether a
game outcome and a fee are associated with the product, provide the
product to a customer if the game outcome is a winning outcome, and
determine a sale price based on the fee and charge the customer the
sale price for the product if the game outcome is a losing outcome.
The databases 500 to 700 are also stored in the storage device 260
according to some of these embodiments.
[0071] POS Terminal
[0072] FIG. 4 is a block diagram showing several components of an
example of a POS terminal 300 according to some embodiments of the
invention. According to some versions of this embodiment, the POS
terminal 300 may receive a customer identifier from a customer who
has brought products to the POS terminal 300 for the purpose of
purchasing the products. The POS terminal 300 may also identify a
product to be purchased by the customer, determine whether a game
outcome and a fee are associated with the product, provide the
product to a customer if the game outcome is a winning outcome, and
determine a sale price based on the fee and charges the customer
the sale price for the product if the game outcome is a losing
outcome. Details and variations of the foregoing process are set
forth below.
[0073] The POS terminal 300 of FIG. 4 includes a processor 310 for
executing processor-executable process steps and a communication
port 320 connected thereto for communicating with the retailer
controller 100 over a network or a dedicated connection. The
communication port 320 may be used to communicate directly with the
customer devices 200, 201 and 202 and may also be used to
communicate with other devices. Of course, in the latter
embodiment, the communication port 320 is configured to provide
communication interfaces compatible with the customer devices 200,
201 and 202 and the other devices.
[0074] Also connected to the processor 310 may be a bar code
scanner 330 for scanning a product bar code, usually located on
product packaging, and for extracting a product identifier
therefrom. Extracted product identifiers may include a Store
Keeping Unit (SKU), a Universal Product Code (UPC) or a product
identifier internal to the retailer. Many types of bar code
scanners are known in the art, including a hand-held scanner and a
fixed scanner across which a bar code is swiped.
[0075] An employee input device 340 may also be connected to the
processor 310. The employee input device 340 may allow an employee
to manually enter a product identifier into the POS terminal 300,
and also may provide cash register functionality. Accordingly, the
employee input device 340 may comprise a numeric keypad, function
keys for invoking convenient functions, and may be embodied in a
keyboard, a voice recognition unit, a touch screen, or other input
system.
[0076] A display 350 may be connected to the processor 310 and is
may be used to display prices to the employee and to the customer.
In some embodiments, a price to be charged to the customer may be
displayed on the display 350 each time a bar code is scanned by the
bar code scanner 330. After all desired products have been scanned,
the display 350 displays a total price due to the retailer. The
display 350 may comprise any of the above-mentioned displays. A
printer 360 may be used to print receipts, representations of game
outcomes, and/or coupons for presentation to a customer, and may
comprise a thermal printer, a laser printer, an inkjet printer, or
other type of printer.
[0077] Also connected to the processor 310 may be a customer
input/output device 370, which may be used by a customer to enter a
customer identifier and a payment identifier into the POS terminal
300. For example, the customer input/output device 370 may present
a request to the customer to swipe her frequent buyer card or other
retailer-affiliated card through a magnetic card reader of the
customer input/output device 370. After the customer swipes her
card and a customer identifier is read therefrom, the customer
input/output device 370 may request the customer to swipe a credit
or debit card through the card reader so as to provide a payment
identifier using which the total price may be charged or a fee may
be credited. Accordingly, the customer input/output device 370 may
comprise a credit or debit card authorization terminal.
[0078] In other embodiments, the customer input/output device 370
may be an interface port through which the customer device 202,
such as a PDA, may communicate with the POS terminal 302. As such,
the customer identifier and/or the account identifier may be
directly transmitted from the customer device 202 to the POS
terminal 302. The customer input/output device 370 according to
this embodiment may also be used to receive outcome information,
discussed in detail below, directly from the customer device
202.
[0079] A storage device 380 is connected to the processor 310, and
stores processor-executable process steps of a POS program 381
which are executed by the processor 310 so as to allow the POS
terminal 300 to operate in accordance with the present invention.
As described above with respect to the storage device 260 and the
storage device 160, the process steps of the POS program 381 may be
stored in the storage device 380 during manufacture of the storage
device 380, may be downloaded from a compact disc or other
computer-readable medium, or can be retrieved from a remote or
local source through the communication port 320 in the form of a
signal having the process steps encoded thereon.
Databases
[0080] Customer Database
[0081] FIG. 5 illustrates a tabular representation of a portion of
the customer database 500 according to some embodiments of the
present invention. The customer database 500 is used to store
general information about a customer which may be used by a system
according to the present invention. The information stored in the
customer database 500 may be obtained by requiring a customer to
submit a written registration form requesting certain customer
information or by requiring the customer to complete fields of a
registration Web page transmitted to a customer device via the
World Wide Web. In a case that the information is obtained through
a written registration form, the information may be entered into
the customer database 500 by an employee operating the input device
130 of the retailer controller 100. The information may also be
submitted to the retailer controller 100 via telephone or
electronic mail, or may be stored in the storage device 260 of the
customer device 200 and transmitted therefrom to the retailer
controller 100.
[0082] Each record shown in the illustrated portion of the customer
database 500 includes several fields, the fields specifying: i) a
customer identifier 510 preferably used throughout the databases of
the data storage device 160 to relate data to an associated
customer; ii) a name 520 of the associated customer; iii) contact
information 530 for use in contacting the associated customer; iv)
a payment identifier 540 associated with the customer; and v) a
customer rating 550.
[0083] The customer identifier 510 may be assigned to a customer by
the retailer controller 100 in response to the above-described
written or Web-based registration, or in response to an indication
by a customer of a desire to receive a product based on a game
outcome. The customer identifier 510 may also be established upon
receipt by the customer of a PDA, hand-held scanner, or other
customer device provided by a retailer upon entry into a retail
store.
[0084] The contact information 530, as shown, may include any type
of information by which a retailer may contact a customer, such as
a postal address, an electronic mail address, a telephone number, a
facsimile number or the like. The payment identifier 540 may
specify a credit card number, a checking account number, an online
bill payment service or other account information using which the
retailer may charge a fee, charge a sale price, and credit a
portion of the fee to a customer.
[0085] The customer rating 550, in some embodiments, is based on an
associated customer's purchasing history. For example, a customer
having purchased items resulting in over $500 profit for a retailer
in a past year is assigned a Gold customer rating 550, while a
customer having purchased items resulting in less than $50 in
profit is assigned a Bronze customer rating 550. A customer may
also pay a fee in order to be associated with a particular customer
rating. The customer rating 550 may be a numerical rating
determined according to a rating algorithm or formula.
[0086] In some embodiments, the customer rating 550 is used to
determine a probability that a game will result in a winning
outcome. In this embodiment, a probability determined if the
customer is associated with a Gold customer rating 550 may be
greater than a probability determined if the customer is associated
with a Bronze customer rating 550. In other embodiments, a
probability may be determined based on a customer history of
receiving winning outcomes stored in the customer database 500.
[0087] Product Database
[0088] FIG. 6 shows a tabular representation of a portion of the
product database 600. The product database 600 contains information
relating to products sold by a retailer operating the retailer
controller 100. The information may be used to determine a fee
required to play a game, a probability that the game will result in
a winning outcome, and/or a portion of the fee credited if the game
results in a losing outcome. Examples of the foregoing
determinations are set forth below.
[0089] The fields of the product database 600 specify: i) a product
identifier 610 uniquely identifying a product offered for sale by
the retailer; ii) a manufacturer 620 of the product; iii) a model
number 630 specified by the associated manufacturer 620 of the
product; iv) a description 640 of the product; and v) a retail
price 650 of the product.
[0090] In some embodiments, the product identifier 610 of a product
is a value which may be extracted from a product bar code located
on the product by a bar code scanner such as the bar code scanner
330 of the POS terminal 300. Of course, a product identifier 610
may reflect a value different from a value extracted from the
product bar code, in which case a corresponding product identifier
610 may be determined based on a data table relating the extracted
value with a product identifier 610.
[0091] The retail price 650 is, in some embodiments, a price for
which an associated product is offered for sale absent any credit
according to the present invention. It should be noted that the
product database 600 may include revenue management information
associated with each product therein. Revenue management
information may include a cost of the product, an amount of the
product in inventory, a number of days in inventory, an expiration
date, etc, as described in the book "Revenue Management-Hard-Core
Tactics for Market Domination" by Robert G. Cross, and incorporated
herein by reference. Such information may be used to determine a
probability that a game played for the product will result in a
winning outcome (poorer-selling products are associated with higher
probabilities), a fee required to play the game, and/or a portion
of the fee credited if the game results in a losing outcome.
[0092] Outcome Database
[0093] A tabular representation of a portion of the outcome
database 700 is shown in FIG. 7. The outcome database 700 is used
to determine whether to provide a product to a customer at no
charge, whether to credit a portion of a fee to the customer, and
an amount to be credited to the customer. The portion of the
outcome database 700 illustrated in FIG. 7 includes fields
specifying: i) a customer identifier 710 identifying a customer of
the customer database 500 to which the illustrated portion is
associated; ii) a product identifier 720 identifying a record in
the product database 600; iii) an outcome 730; and iv) a fee paid
740.
[0094] The outcome 730 associated with a product identifier 720
specifies whether a game played for the product identified by the
product identifier 720 resulted in a winning outcome or a losing
outcome. As shown, "win" denotes a winning outcome and "lose"
denotes a losing outcome. As described herein, the product may be
provided to the customer at no charge if a "win" outcome 730 is
associated with the product.
[0095] The fee paid 740 specifies a fee paid by a customer to
initiate a game resulting in the associated outcome 730. As will be
described in more detail below, the fee paid 740 may be determined
by a customer, in which case the retailer controller 100 determines
a probability that the game will result in a winning outcome. In
some embodiments, a portion of the fee paid 740 is credited to the
customer if a "lose" outcome is associated with the fee paid 740.
The credited portion of the fee may be equal to the entire fee paid
740, and may be applicable to a purchase of a product identified by
an associated product identifier 720, a purchase of any product
offered by the retailer, or may be simply credited to a financial
account of the customer. Moreover, the credited portion may differ
depending on a customer rating 550, a customer history of receiving
winning outcomes, on revenue management information, or on other
factors. In a case that a fee paid 740 is associated with a "win"
outcome 730, the fee paid 740 may or may not be credited, in any of
the above manners, to the customer. Use of the outcome database 700
as shown FIG. 7 will be described in detail below with respect to
FIG. 11.
Processes
[0096] FIG. 8 is a flow chart of process steps according to some
embodiments of the present invention. In a case that the retailer
controller 100 performs the process steps 800, the process steps
800 may be embodied in hardware within the retailer controller 100,
in processor-executable process steps stored on a computer-readable
medium such as the data storage device 160 and executed by the
processor 110, in processor-executable process steps encoded in an
electronic signal received by the retailer controller 100 and
executed by the processor 110, or in any combination thereof. It
should be noted that the process steps 800 may be performed wholly
or in part by the processor 210 of the customer device 200 or by
the processor 310 of the POS terminal 300 once a customer
approaches the POS terminal 300 to purchase desired products. In a
case that the customer device 200 performs the process steps 800,
the customer device 200 may be a PDA or a hand-held scanner
provided by a retailer and having the process steps stored therein,
or the customer device 200 may be owned by a customer and capable
of receiving the process steps 800 from an outside source, such as
the retailer controller 100.
[0097] Briefly, the process steps 800 include receipt of a
selection of a product from a customer, receipt of a fee to play a
game, determination of an outcome of the game, provision of the
product to the customer if the outcome is a winning outcome, and
credit of a portion of the fee to the customer if the outcome is a
losing outcome.
[0098] Initially, in step S810, a selection of a product is
received from a customer. For example, in an embodiment in which
the customer is physically present in a retail store, the selection
is received when a customer uses a customer device, such as an
in-store kiosk, a PDA or other hand-held device in communication
with the retailer controller 100 via the World Wide Web or another
type of network, to locate and request information regarding a
product. A selection may also be received once the customer uses a
customer device to indicate an intent to purchase a product by
adding the product to a virtual "shopping cart", or once a desired
product is identified by a POS terminal during customer checkout
procedures, which are described in detail with respect to FIG.
11.
[0099] An employee of a retailer may receive an instruction from a
customer to provide game play for a product in accordance with the
invention, in which case the employee may operate the input device
130 so that the retailer controller 100 receives a selection of the
product in step S810. The customer may use a hand-held device owned
by the customer or provided by a retailer to scan a product bar
code on a product, in which case a product identifier extracted
from the bar code and transmitted to the retailer controller 100 is
received in step S810 as a selection of the product. The retailer
controller 100 may also receive a selection of a product by
detecting placement of the product in a real shopping cart
associated with the customer. In addition, the retailer controller
100 may track a customer's location within a retail store and
receive a selection of a product if the customer approaches the
product or if it is determined that the customer is located near to
the product for a specified amount of time, thereby suggesting that
the customer is evaluating the product. Additionally, the selection
received in step S810 may include a commitment by a customer to
purchase a product.
[0100] In an online embodiment of step S810, a customer's initial
request to access a home page of a Website operated by a retailer
or an indication that a Web page describing the product has been
viewed for a particular period of time may each be considered a
selection of a product. Of course, selection of a picture or a
description of a product displayed on a Web page of the Website,
addition of a product into a virtual shopping cart, or an
indication of a desire to purchase a product may each be considered
a received selection of a product in step S810.
[0101] In a self-checkout embodiment, the customer's scanning of a
product may constitute a selection of the product. The customer may
also select a product by keying in a product identifier into a
kiosk, credit card reader, POS terminal, or other device associated
with self check-out. A customer may also be required to swipe a
credit card, debit card, or other stored-value card at
self-checkout prior to playing a game. With a financial account
identifier on file, the retail controller may ensure a customer
pays the fee for playing a game, even if the fee must only be paid
after the game is played. Otherwise, without the authority of a
store representative present, a customer might be inclined to play
a game but try to avoid paying a fee. To further encourage a
customer to act fairly during self-checkout (e.g. to pay the fee
for the game or to pay for the product if he loses), a camera may
monitor self-checkout lines. Camera footage may be stored until the
retail controller determines that the customer has fulfilled all
obligations associated with playing a game. Then, camera footage
may be overwritten.
[0102] The product selected in step S810 may be selected from among
all products offered by a retailer or from among a particular set
of products identified by the retailer. Determination of the
particular set of products may be based on a purchasing history of
the customer, on purchasing histories of all customers, on
inventory, or on other revenue management information.
[0103] A request to play a game for the selected product is
received in step S820. The request may be received from the
customer device 200, such as a PDA or a dedicated kiosk providing
game functionality according to the invention. A selection of a
product received in step S810 may be considered a request to play a
game in step S820. In some embodiments, only those customers
meeting an eligibility standard, such as a minimum customer rating
550, are eligible to play a game for products according to the
invention. Other eligibility criteria may include: the customer is
at least a certain minimum age; the customer has a demonstrated
ability to pay for one or more products; the customer is mentally
competent; and the customer has demonstrated an understanding of
the rules and terms of the game. Therefore, step S820 may also
include determination of whether the customer from whom the request
was received meets the eligibility standard.
[0104] Next, in step S830, a game which will be played for the
selected product is defined. In some embodiments, the type of game
is initially determined based on a selection by a customer of one
of several games, or determined from among the several games based
on other criteria. These criteria may include a number of winning
outcomes and a probability of each winning outcome reflected by
each of the several games. The type of game may also be
predetermined. In some embodiments, the type of game determined in
step S830 is a game for which a probability of a winning outcome is
controllable or known, such as a slot machine game or a
lottery-type game.
[0105] After determination of the game, several elements of the
game may be defined in step S830. These elements may include a fee
required from the customer to play the game, a maximum number of
times for which the customer will be allowed to play the game for
the selected product, game outcomes which will be considered
winning outcomes, and probabilities of receiving winning outcomes.
Each of these factors may be defined independently or based on one
another. For example, the required fee may determine the maximum
number of times for which the customer will be allowed to play the
game. More specifically, if a $1 fee is required to play a game for
a product having a retail price of $20.00, the maximum number of
times for which the customer will be allowed to play the game may
be determined to be $20.00/$1.00=20 times.
[0106] In another example, a probability of receiving a winning
outcome may be determined based on an effective discount which the
retailer is willing to provide on the selected product. An
effective discount is a difference between a retail price of a
product and a total amount of fees received from a customer prior
to winning the product. According to one example, if a customer
wins a $20.00 product and receives a refund for any spent fees, and
nine other customers each spend a total of $20.00 in fees and are
thereafter provided the product, the resulting effective discount
is $20.00-[(9.times.$20.00)/10]/$20.00=10%. An effective discount
may be determined using revenue management information.
[0107] In some embodiments of step S830, the determined game
results in a winning outcome if the retailer controller 100
randomly selects a single white ball from a bin of black balls. The
bin may be a real bin or an electronic representation of a bin. In
a specific example of this game, the customer has selected, in step
S810, a product having a $20 retail price and it has been already
determined in step S830 to require a $1 fee from the customer.
Moreover, it has been determined in step S830 that the entire fee
will be credited to the purchase of the product if the game results
in a losing outcome, and that the retailer will provide a 5%
discount on products for which a game is played according to the
invention. It should be noted that the discount may be provided to
customers in view of expected increases in sales due to the
invention. To determine a number of black balls to place in the
bin, the foregoing formula is used in this example:
E ( AmountWon ) = ( .05 ) ( $20 .00 ) = i - 1 19 1 b + 1 ( i )
##EQU00001##
where b represents the number of black balls added to bin with a
single white ball
E ( AmountWon ) = ( .05 ) ( $20 ) = i = 1 19 1 b + 1 ( i )
##EQU00002##
and E(AmountWon) is an expected amount to be won by the customer.
According to the foregoing values, 189 black balls must be placed
in the bin, resulting in a 1/190 probability of receiving a winning
outcome.
[0108] In other embodiments, the customer chooses to play 5-card
stud video poker for an automobile having a $40,500.00 retail
price. It is then determined in step S830 that a $2000.00 fee is
required for each play of the game, and that the entire fee will be
credited to the purchase of the product if the game results in a
losing outcome. In order to determine a minimum poker hand which
will be considered a winning outcome, taken into consideration are
odds of receiving various poker hands, a number of games the
customer may play before having credits equal to the retail price,
and a 2% effective discount which the retailer is willing to
provide. Specifically, these factors are used to determine a
desired probability of winning outcomes using, e.g., the
formula:
E ( AmountWon ) = ( 0.02 ) ( $40 , 500.00 ) = i = 2000 i n 2000
increments 40 , 500 ( Odds ) ( i ) ##EQU00003## E ( AmountWon ) = (
.02 ) ( $40 , 500 ) = i = 2000 i n 2000 increments 40 , 500 ( Odds
) ( i ) ##EQU00003.2##
[0109] According to the above formula, the desired probability is
0.193%. Therefore, and because a probability of receiving a full
house or better and a flush or better in 5-card stud poker are
0.169% and 0.366%, respectively, a winning outcome is determined in
step S830 to be a hand reflecting a full house or better.
[0110] In the above two examples, a retailer is willing to discount
products by a certain amount in return for increased revenue
resulting from a more entertaining shopping experience provided by
the invention. As such, a probability of a winning outcome is
determined so that, in view of a fee required to play a game, a
portion of the fee credited towards the retail price of a selected
product, and a number of times a customer may play the game before
the amount credited equals the retail price, an expected amount won
reflects the discount amount.
[0111] In other embodiments, a fee required to play a game is
determined in step S830 based on the determined type of game, on a
retail price of the product selected in step S810, and on a portion
of the fee to be credited to customers receiving a losing outcome.
For example, if the determined game reflects a known 0.1%
probability that a winning outcome will result, the selected
product has a retail price 650 of $450.00, and 90% of received fees
are credited to losing customers, the fee may be determined to be
(0.001.times.$450.00)/(1-0.9)=$4.50. By determining the fee in this
manner, a product won by a customer may be funded by retained
portions of fees received from losing customers.
[0112] Of course, the required fees may be determined using other
methods. As described above, a system according to the present
invention may credit an entire received fee to a losing customer.
Accordingly, fees may be determined in this embodiment such that
products won by customers are funded by an increase in profit
resulting from increased volume due to the invention. In other
embodiments, determination of the fee is also based on portions of
fees which are credited to losing customers but never redeemed,
and/or on fees received from winning customers, in a case that such
fees are retained.
[0113] The game played by a customer may involve at least some
skill. One game that may involve skill is 5-card draw poker. In
5-card draw poker, the outcome of the game is influenced by the
player's skill in selecting cards to throw away. In 5-card draw
poker, the player may win the game by achieving a poker hand of a
certain level or better. Another game involving skill is gomoku, a
game similar to tic-tac-toe, but where a player attempts to get
five game pieces in a row on a much larger board. In many skill
games, of which gomoku is an example, a customer must have an
opponent. Therefore, the retailer may field a computer program to
act as an opponent. According to the Master's thesis of Victor
Allis, gomoku has been solved. Therefore, it is feasible that a
computer program would be able to play at any skill level desired
by the retailer. In other words, the computer program could play at
anywhere from novice level up to a level of perfect play. The
retailer may tune the skill level of the computer program in such a
way as to allow a desired percentage of customers to win products.
For example, the retailer might desire 2% of customers to win
products. The retailer might then match a computer program with
particular parameters against a large number of people sampled
randomly from the general population, or from the customer base of
the retailer. If more than 2% of customers are able to beat the
computer, then the computer parameters may be adjusted to increase
its skill level. If fewer than 2% of customers are able to beat the
computer, then the computer parameters may be adjusted to decrease
its skill level. Parameters may include e.g., depth of search or
evaluation weights given to particular configurations of game
pieces. Testing and adjustment of parameters may continue until
about 2% of people are able to beat the computer program. The level
of the computer program may further be tuned after it has begun
playing actual customers, for example, so as to account for
improving customer skill levels. Other games involving skill that
may be played by a customer include for example, blackjack, Texas
Hold'em poker, tic-tac-toe, Connect-Four, Scrabble.RTM.,
Boggle.RTM., checkers, chess, Othello, go, etc.
[0114] Flow proceeds from step S830 to step S840, wherein the
determined fee is received. The fee may be received in step S840 by
using a payment identifier 540 corresponding to the customer or by
receiving other forms of payment from the customer.
[0115] In some embodiments, the fee is received prior to step S830.
For example, the customer may pay the fee, at the POS terminal 300
or by using the customer device 200 to debit an electronic account,
before receiving an indication of a required fee. Therefore,
according to these embodiments, the customer determines the
required fee. Accordingly, after the reception of a fee in this
manner, a probability that a game will result in a winning outcome
is determined based thereon in step S830. The probability may be
determined using factors such as those described above with respect
to determination of the fee. Assuming a retail price 650 of $450.00
and crediting of 90% of received fees, receipt of a $2.25 fee prior
to step S830 may result in a determined probability of
$2.25(1-0.9)/$450.00=0.05%.
[0116] In some embodiments, the retailer may pay the fee for the
customer. Therefore, once the game has been defined, the retailer
may pay the fee automatically for the customer, and the game may
then be executed. The payment of the fee may be completely
transparent to the customer, and the step of paying the fee may not
involve customer input and/or knowledge. In embodiments where the
system pays the fee automatically, the fee may not necessarily be
credited to the customer if the customer later loses the game.
[0117] In some embodiments, the customer may not pay an explicit
fee to play the game, but may instead perform some kind of work or
service. Work may include answering survey questions, viewing
advertisements, participating in focus groups, helping other
customers, or monitoring feeds from security cameras for the
presence of intruders or unsafe practices. Work performed by the
customer may benefit the retailer enough that it is worthwhile for
the retailer to give away a certain percentage of products. For
example, when a customer views advertisements, he may be more
likely to buy certain products. A third-party merchant hoping to
sell certain products may therefore pay the retailer if the
retailer has its customers view the advertisements for the products
the third-party merchant wishes to sell. In some embodiments,
third-party merchants may pay the retailer the cost of a product
the customer wins by playing a game, provided the customer views
the advertisements of the third-party merchant. If the customer
does not win the game, the third-party merchant need not
necessarily pay the retailer.
[0118] In embodiments where a customer views advertisements in
order to be able to play a game without paying a fee, the customer
may view advertisements in a number of ways. A display screen, such
as a cathode ray tube monitor, liquid crystal display, or organic
light emitting diode display, may be setup in the vicinity of a
checkout counter. As the customer waits in line, or waits for his
products to be scanned by a cashier, the customer may view the
advertisements on the display screen. The display screen may be, in
fact, the same screen on which the prices of the customer's
purchases are displayed as they are scanned. The display screen may
also be the screen of a card-reading terminal where a customer
scans a credit, debit, or other card.
[0119] In some embodiments, the customer may view advertisements on
a customer device, such as a personal digital assistant that is in
communication with the retail controller or the POS terminal. The
advertisements viewed by a customer may be related to the products
the customer is purchasing. For example, if the cashier scans brand
A detergent from the customer's shopping cart, then the display
screen may show an advertisement for a competing brand B
detergent.
[0120] A customer viewing advertisements to play a game may be
required to confirm that he is viewing the advertisements before
being allowed to play the game. For instance, after viewing one or
more advertisements, the customer may be required to answer a
question about the color of a product he had seen advertised. If
the customer cannot answer the question correctly, then that is an
indication the customer was not paying attention. The customer may
then be prevented from playing a game in order to win a
product.
[0121] An alternative to viewing advertisements may be for a
customer to view coupons. After viewing a set of coupons, the
customer may select one or more coupons to receive. A printer
associated with the POS terminal or the retail controller may print
out the coupons for the customer, and the customer may take
possession of them, or a cashier may take possession of them and
hand them to the customer. Once the customer has received his
selected coupons the customer may be allowed to play a game for one
of the products he had originally selected.
[0122] In some embodiments, rather than paying a fee to play a
game, a customer might use frequent shopper points, or other reward
points. One type of award points might be points that are earned
only through shopping at the retailer, and that may be used only
for participating in games in which a product can be won. In this
way, by shopping frequently, a customer may gain numerous free
games for winning products.
[0123] In some embodiments, no consideration may be required of the
customer to play the game. Instead, the customer may use an
alternate form of entry into the game. The customer may provide an
alternate form of entry by filling out an entry form and submitting
it to an employee of the retailer, such as a cashier. The customer
may also mail in an alternate form of entry by e.g., sending a
postcard to an address of the retailer indicating a desire to play
a game to win a product. An alternate form of entry may also
comprise signing one's name, providing a fingerprint, or simply
asking to play the game for free.
[0124] The defined game is executed in step S850 and it is
determined in step S860 whether the outcome of the game was a
winning outcome. If so, flow proceeds to step S870, wherein the
selected product is provided to the customer. The product may be
provided by handing or shipping the product to the customer or, as
described with respect to FIG. 11, by processing a sale of the
product without billing the customer for the product. As described
above, the received fee is credited to the customer according to
some embodiments of step S870. According to some embodiments,
particularly those involving on-line retailers, a customer who
obtains a winning outcome may receive free shipping and handling
when purchasing a product. The customer may receive either free
shipping and handling alone, or may receive both the product for
free and free shipping and handling.
[0125] In some embodiments, the outcome of the game is wholly or
partially determined by the product for which the game is played.
In some embodiments, on the inside of the wrapper or other
packaging of the product may be printed an outcome. To play the
game, the customer unwraps the product and views the outcome. If
the outcome is a winning outcome, then the customer need not pay
for the product. However, if the outcome is a losing outcome the
customer may be obligated to buy the product since he has unwrapped
it already. In other embodiments, the outcome is a random number or
a random sequence of characters or other symbols. The outcome is
then compared to a number that has relevance to the product. For
example, the outcome is compared to the Universal Product Code
(UPC) of the product, to the price of the product, or to the
expiration date of the product. A random sequence of characters may
be compared to the chemical symbol of the last ingredient in the
product. If there is a match between the outcome and the number or
sequence of relevance to the product, then the outcome may be
determined to be a winning outcome.
[0126] In some embodiments, step S870 includes populating a record
of the outcome database 700 in accordance with the winning outcome.
For example, a record of the outcome database 700 associated with
the customer (by virtue of the customer identifier 710) is created
including a product identifier 720 identifying the selected
product, a "win" outcome 730 and a fee paid 740 equal to the fee
received in step S840.
[0127] If the outcome is not determined to be a winning outcome in
step S860, flow continues from step S860 to step S880, wherein a
portion of the fee received in step S840 is credited to the
customer. The credited portion may consist of the entire fee
received. In addition, the credited portion may be applicable only
toward a purchase of the selected product, toward a purchase of
another product offered by the retailer, toward a purchase of any
product offered by the retailer or affiliated retailers, or may be
credited directly to a financial account identified by a payment
identifier 540 associated with the customer. The credited portion
of the fee may also be provided to, or used by, any number of
different entities and/or for any number of different purposes, for
example, the credited portion of the fee may be provided to a
charity of the customer or of the retailer's choice, to a friend of
the customer (thereby ingratiating the retailer with the customer's
friend), to a progressive prize account that may be won by any
customer playing a game to win a product, and/or to an account for
use by the customer in paying the fees for future games.
[0128] The credited fee may also take the form of a manufacturer's
coupon provided to the customer. For example, if the customer has
paid a $2.00 fee to play a game, and has lost, then the customer
may receive a $2.00 coupon from a manufacturer. In particular, the
manufacturer may be the manufacturer of the product for which the
customer has just played the game. Since providing the manufacturer
coupon to the customer may not cost the retailer a significant
amount of money, the retailer may be able to maintain a desirable
average profit margin while also making the chance of winning more
likely, or the price of the product lower than would otherwise be
possible. For example, suppose every customer pays a fee of $1.00
to play a game to win a $10.00 product. Losing customers are
obligated to purchase the product outright. The retailer wishes to
receive an average of $9.50 for every product provided (either sold
or given to a winning customer). If losing customers are given a
credit towards the $10.00 retail price for the fee paid, then the
probability of winning the game is 1/18. Then, the retailer will
receive, on average,
$9 .50 = ( 1 8 ) ( $1 .00 ) + ( 17 18 ) ( $10 .00 )
##EQU00004##
[0129] However, if losing customers are given a $1.00 manufacture's
coupon as a credit for the fee paid, then a retailer will collect
$11 from a losing customer: $1 for the fee and $10 when the
customer pays the full retail price of the product. Then, the
probability of winning the game is 3/20. The retailer will receive,
on average,
$9 .50 = ( 3 20 ) ( $1 .00 ) + ( 17 20 ) ( $11 .00 )
##EQU00005##
[0130] The use of a manufacture's coupon therefore allowed the
retailer to increase the probability of winning the game from 1/18
(about 5.6%) to 3/20 (15.0%), while still receiving an average of
$9.50 per product provided.
[0131] In some embodiments, a customer may receive an alternate
product rather than a credit for a fee upon receiving a losing
outcome in a game. For example, a customer may visit the Web site
of a retailer and pay $0.25 to play a game to win a personal
digital assistant. However, if the customer loses the game, the
customer may receive a cable connector kit worth $2.99. In this
example, the customer would not, however, receive an explicit
credit for the $0.25 fee he paid.
[0132] Step S880 may also include creating a record in the outcome
database 700 representing the losing outcome. Such a record
specifies the product identifier 720 of the selected product, a
"lose" outcome 730, and a fee paid 740 reflecting the fee received
in step S830. An example of embodiments for using the outcome
database 700 to credit the fee and to provide the product is
illustrated in FIG. 11.
[0133] After step S870 or step S880, an additional fee may be
received for re-execution of the game in step S850. After each
re-execution resulting in a losing outcome, an associated fee paid
740 of the outcome database 100 is incremented by the additional
fee paid. In such an embodiment, a game may be re-executed until a
total amount to be credited to a customer equals a retail price of
the selected product. Once this point is reached, the customer is
simply provided with the product. In other embodiments, the
customer may be allowed to re-execute a game only as many times as
would not exceed a predetermined time limit. For example, a
retailer may prefer that a customer not spend more than 1 minute at
a checkout counter playing a game. Therefore, if each game takes 20
seconds, and games can be executed consecutively, then a customer
may be allowed to play only three games for a product. In some
embodiments, the number of times a customer may re-execute a game
depends on the number of other people standing in line behind the
customer. For example, if there are 10 people waiting in line
behind the customer, then the customer may be allowed to play the
game only once, whereas if the customer is the only person in line,
he may be allowed to play the game up to five times. The maximum
number of times a customer may execute a game may be dynamically
determined by a cashier or a retail manager who keeps watch over
current numbers of people in line. Alternatively, the retail
controller may automatically determine the number of people in line
using, for example, pressure sensors installed in the floor, and
may accordingly adjust the maximum number of games allowed
according to predetermined rules. In some embodiments, a customer
may play games while waiting in line, but not while paying for his
purchase, since playing games might delay the process of
payment.
[0134] In other embodiments, a customer accumulates credit towards
a future purchase of a product by re-executing a game as described
above. For example, a first five $1 fees credited to the customer
are usable only towards a purchase during a future visit, but an
accumulation of more that five $1 fees are usable towards a current
purchase. This feature may motivate customers to re-execute the
game more than five times in an attempt to receive a winning
outcome.
[0135] FIG. 9 shows a flow chart of process steps 900 to provide
products in accordance with the present invention. The process
steps 900 may be embodied similarly to the process steps 800.
[0136] The process steps 900 begin at step S910, wherein a
selection of a plurality of products is received. The selection may
be received in step 910 in any of the manners described above with
respect to step S810. A request to play a game is received in step
S920, a game is defined in step S930, and a fee is received in step
S940 as described above with respect to step S820, step S830 and
step S840. However, the game defined in step S930 may have several
winning outcomes, with each winning outcome corresponding to one of
the selected products, with one winning outcome applicable to all
the products or any of the products, or with any combination
thereof. As described with respect to step S930 and step S940,
probabilities of respective winning outcomes resulting from the
game may be determined based on a fee received in step S940, or the
fee may be based on the probabilities. In some embodiments, the
determination of probabilities for each selected product may be
determined using known Monte Carlo simulation techniques.
Additionally, selected products may fall within certain tiers of a
price structure (e.g. product one is a $20.00 to $30.00 item,
products two, three and four are $200.00 to $250.00 items, and
product five is a $10,000.00 to $15,000.00 item) and probabilities
may be predetermined based on the tiers rather than on the
individual products.
[0137] Returning to the ball selection example of FIG. 8, a
customer may select in step S910 a $15,000.00 car, a $200.00 VCR
and a $100.00 MP3 player. Assuming that the retailer is willing to
discount each product by 10%, 5% and 5% respectively, balls
required to represent appropriate probabilities of winning outcomes
for each item are: one ball representing the car; 23,000 balls
representing the VCR; 280,000 balls representing the MP3 player;
and 110,000,000 black balls.
[0138] Like the single product ball selection game described above,
the respective numbers of balls were calculated so that a retailer
accepting a $1.00 fee and crediting the entire fee towards the
purchase of any selected product will not provide effective
discounts for the selected products which are greater than the
respective discount percentages. In some embodiments of the
foregoing example, the customer must accept a lowest-priced product
of the selected products at no additional charge once an amount of
fees received from the customer equals a retail price of the
lowest-priced product. The customer must then start a new game if
she wishes to continue to play a game for the remaining products.
The game is executed in step S950 and it is determined in step S960
whether a resulting outcome is a winning outcome. If the outcome is
a winning outcome, one of the selected products is provided to the
customer in step S970 as described above with respect to step S870.
It should be noted that a winning outcome may allow the customer to
receive one or more particular products of the products selected in
step S910. In one example, products associated with the product
identifiers 610 P0001, P0003 and P0004 are selected in step S910.
If a winning outcome corresponding to each product is determined in
step S960, records are created in the outcome database 700
specifying the product identifiers 720 P0001, P0003 and P0004 and
associating each product identifier with a "win" outcome 730. If,
however, the winning outcome corresponds only to the product
identifier 720 P0001, a "win" outcome 730 is associated with the
product identifier 720 P0001 and a "lose" outcome 730 is associated
with each of the product identifiers 720 P0003 and P0004. The
latter scenario may result from a game such as the ball selection
game described above, in which one ball corresponding to the
product identified by the product identifier 720 P0001 is selected
in step S950.
[0139] If it is determined in step S960 that the game did not
result in a winning outcome, the received fee is credited to the
customer in step S980. The fee may be credited in step S980 towards
a purchase of a particular one of the selected products, towards
the purchase of any of the selected products, towards purchases of
any products provided by the retailer, towards the purchase of any
product offered by the retailer and/or affiliated retailers, or to
a financial account corresponding to a payment identifier 540
associated with the customer.
[0140] In some embodiments, step S980 includes creation of records
in the outcome database 700 representing the losing outcome. The
records each specify a product identifier 720 of one of the
selected products, a "lose" outcome 730, and a fee paid 740
reflecting the fee received in step S830.
[0141] FIG. 10 illustrates process steps 1000 to provide a product
according to other embodiments of the present invention. The
process steps 1000 may be embodied in processor-executable process
steps stored in the storage device 160 of the retailer controller
100. As described with respect to the process steps 800 and the
process steps 900, the process steps 1000 may also be embodied in
the POS program 381 of the POS terminal 300 or the program 261 of
the customer device 200. It should be noted that the process steps
1000 may be executed by a combination of the processor 110, the
processor 210, the processor 310 or other processors.
[0142] The process steps 1000 include reception of a sale price of
a product from a customer, provision of the product to the customer
in exchange for the sale price, determination of an outcome of a
game, and credit of a portion of the sale price to the customer if
the outcome is a winning outcome. Advantageously, these features
provide incentives to customers to purchase products in view of the
possibility of receiving a credit for a portion of the sale
price.
[0143] The process steps begin at step S1010, wherein a selection
of a product is received. Although selection of the product may be
received in step S1010 as described with respect to step S810 and
step S910, the selection of the product S1010 is received in the
present example by the POS terminal 300 in response to the bar code
scanner 330 scanning a product bar code corresponding to the
product.
[0144] Once the selection is received in step S1010, a payment for
the product is received in step S1020. The payment may be received
using a payment identifier 540 associated with a customer
identifier 510 received by the customer input/output device 370
from a customer device 202 or through manual input by the customer
using the customer input/output device 370.
[0145] Flow proceeds through steps S1030 and S1040 as described
with respect to steps S830 and S840. Specifically, a request to
play a game for the selected product is received in step S1030 and
the game is defined in step S1040. It should be noted that,
according to some embodiments, definition of a game in step S1040
does not include determination of a required fee. If a required fee
is determined, the fee is received in step S1040.
[0146] The defined game is executed in step S1050. If it is then
determined in step S1060 that the game resulted in a winning
outcome, a credit is provided to the customer for the received
payment in step S1070. The credit may consist of the entire
received payment or a portion thereof, such as the entire payment
minus a transaction fee. The credit may also be a rebate for the
product provided by the product manufacturer. Flow then continues
to step S1080, wherein the selected product is provided to the
customer. If it is determined in step S1060 that the game did not
result in a winning outcome, flow proceeds directly to step
S1080.
[0147] In some embodiments, a portion of a fee received from the
customer in step S1040 is credited to the customer in step S1080 if
the game outcome is a losing outcome. The credited portion may
consist of the entire fee received, and may be applicable only
toward a purchase of another product offered by the retailer,
toward a purchase of any product offered by the retailer or
affiliated retailers, or may be credited directly to a financial
account identified by a payment identifier 540 associated with the
customer.
[0148] FIG. 11 illustrates process steps 1100 according to an
embodiment of the invention in which desired products are purchased
according to a "checkout" process. The checkout process may be
performed by the POS terminal 300 in a traditional retail store
embodiment, by the retailer controller 100 in an online embodiment,
and/or by the customer device 200 located either in a retail store
or remote from a retail store. More specifically, the process steps
100 may be executed by either of the processor 110, the processor
210 and the processor 310.
[0149] Generally, the process steps 1100 include identification of
a desired product, determination of whether a game outcome and a
fee are associated with the product, provision of the product to a
customer if the game outcome is a winning outcome, and
determination of a sale price based on the fee and charge to the
customer of the sale price for the product if the game outcome is a
losing outcome.
[0150] The process steps 1100 begin at step S1102, in which a
customer identifier is received. In some embodiments of step S1102
described briefly above, a customer arrives at the POS terminal 300
of a retail store with several desired products, intending to pay
for the products and thereafter to leave the retail store with the
products. At the POS terminal 300, the customer input/output device
370 displays a message to the customer instructing the customer to
swipe her preferred customer card through a magnetic card reader
provided with the device 370.
[0151] The card reader reads a magnetic strip located on the card
in order to receive the customer identifier in step S102.
Alternatively, the customer may swipe a credit or debit card
through the magnetic card reader, which retrieves a payment
identifier from the card and uses the payment identifier to locate
an associated customer identifier 510 in the customer database 500.
The latter arrangement allows the customer to complete a purchase
using only one card.
[0152] Next, in step S1104, it is determined whether outcome
information is associated with the received customer identifier. In
some embodiments, the outcome database 700 is examined to determine
whether it includes records associated with a customer identifier
710 identical to the received customer identifier. If not, flow
continues to step S1106, wherein a product identifier of each
desired product is determined using the bar code scanner 330, a
retail price for each product is determined by locating a retail
price 650 associated with the product identifier, the customer is
charged for the associated retail prices using the payment
identifier, a receipt is printed using the printer 360, and the
customer departs the retail store with the desired products.
[0153] It should be noted that, in an online embodiment, the
foregoing example may differ in that the customer identifier would
be retrieved based on input payment information, address
information, a logon identifier or the like, the desired products
would be represented by respective product identifiers in a data
structure representing a virtual shopping cart, and the products
would be shipped to the customer or made available to the customer
for pickup at a retail store.
[0154] If it is determined in step S1104 that outcome information
is associated with the received customer identifier, the outcome
information is retrieved in step S1108. Specifically, records
having an associated customer identifier 710 identical to the
customer identifier received in step S1102 are copied from the
outcome database 700 to the storage device 380 for fast access to
the data therein.
[0155] In other embodiments of steps S1102, S1104 and S1108, the
customer device 202 simply transmits outcome information such as
that shown in FIG. 7 to the POS terminal 302 through the customer
input/output device 370.
[0156] In step S1110, a product identifier of one of the desired
products is received. In some embodiments, the product identifier
is received by scanning a product bar code corresponding to a
desired product, which is located either on the product or on the
product's packaging. Once the product identifier is received, it is
determined in step S112 whether the product identifier is
represented in the retrieved outcome information. More
particularly, it is determined whether the product identifier is a
product identifier 720 listed in one of the records retrieved in
step S1108. If not, the retail price 650 associated with the
product identifier in the product database 600 is determined and
the retail price is added to the customer's bill in step S114. Flow
then continues to step S1120.
[0157] If it is determined that the received product identifier is
represented in the retrieved outcome information, it is determined
in step S1116 whether a "win" outcome 730 is associated with the
received product identifier. If a "win" outcome 730 is not
associated with the received product identifier, the customer's
bill is credited for a portion of the associated fee paid 740 in
step S1118. Flow then proceeds to step S1114 wherein an associated
retail price 650 is added to the customer's bill as described
above.
[0158] As an example of the foregoing, if the information reflected
in FIG. 7 is retrieved in step S1108 and the product identifier 720
P0003 is received in step S1110, it is determined in step S1116
that a "win" outcome 730 is not associated with the product
identifier. Accordingly, the customer's bill is credited for $400
(the fee paid), and the associated retail price 650 of $40,500 is
added to the customer's bill in step S1114.
[0159] On the other hand, if it is determined that a "win" outcome
730 is associated with the product identifier in step S1116, flow
proceeds to step S1120. It should be noted that flow proceeds from
step S1116 to step S1120 because the customer has won the product
associated with the received product identifier and therefore the
customer's bill is not affected by a retail price of the
product.
[0160] If it is determined in step S1120 that no more products
remain, flow continues to step S1122 wherein the customer is
charged the total billed amount. The amount may be charged to the
customer using the payment identifier 540 associated with the
customer identifier received in step S1122, or using other known
means. Flow returns to step S1110 for reception of a next product
identifier if it is determined in step S1120 that more products
remain.
[0161] Although the process steps 1100 are described above with
respect to a traditional checkout process within a retail store, it
should be understood that the process steps 1100 are also
applicable to the sale of products in an online environment, with
or without variation.
[0162] FIG. 12 illustrates process steps 1200 according to other
embodiments of the present invention. According to the embodiment
of FIG. 12, a customer pays all required fees with a single
transaction, rather than e.g. paying separately the fee for playing
a game and the fee for completing the purchase of a product
following a losing outcome.
[0163] The process steps 1200 begin at step S1210, wherein a
selection of a product is received. Note that step S1210 could just
as well involve the selection of a plurality of products, as was
illustrated in FIG. 9. The selection may be received in step S1210
in any of the manners described above with respect to step S810. A
request to play a game is received in step S1220, a game is defined
in step S1230, and a financial account identifier is received in
step S1240. The financial account identifier may be a credit card
account number, a debit card account number, a bank account number,
a checking account number, or any other account identifier. The
customer may provide the financial account identifier by swiping
his credit card in the customer input/output device 370, by
providing his credit card to a cashier of the retailer, by keying
in his account number into the Website of the retail controller, by
providing the cashier with a blank check, or in any other feasible
manner.
[0164] Once the retailer has possession of the financial account
identifier, the retailer may charge the financial account based
upon the subsequent outcome of the game. If the game results in a
winning outcome (step S1260), then the retailer may charge only the
fee for the game to the financial account (step S1270). However, if
the game results in a losing outcome, then the retailer may charge
the financial account for both the fee and for the remaining price
of the product (once a portion of the fee is credited back to the
customer), assuming the customer wishes to continue with his
purchase of the product (step S1290). It is presumed likely that
the customer would wish to continue with the purchase of the
product, since, in many embodiments, the price of the product will
have been reduced by the amount of the fee the customer has already
paid to play the game. Therefore, in embodiments where the customer
pays the fee, obtains a losing outcome, and continues with the
purchase of the product, the fee and the remaining price of the
product may be charged to the financial account in a single
transaction.
[0165] In some embodiments, the act of providing a financial
account identifier to the retailer as in step S1240 serves as a
commitment on the part of the customer to pay the fee for the game
after the game is played. This deters the customer from playing the
game, obtaining a losing outcome, and deciding he does not want to
pay the fee for the game after all. In some embodiments, providing
the financial account identifier may also commit the customer to
purchasing the product should the outcome of the game turn out to
be a losing outcome. If the customer attempts to back out of a
commitment, the retailer may simply charge the appropriate amount
to the financial account anyway.
[0166] The retailer may determine the probabilities of the
occurrence of winning outcomes in the game, as in other
embodiments, based on the fee for the game and the retail price or
the value of the product chosen by the customer. However, now the
probabilities may be based on the fee which a customer has
committed to pay for playing the game.
[0167] At step S1250, the game is executed. As in prior
embodiments, the game may include, for example, the random
selection of colored balls, the random selection of cards, or any
other game. At step S1260, it is determined whether the game
resulted in a winning outcome.
[0168] If it is determined in step S1260 that the game did not
result in a winning outcome, then flow proceeds to step S1290 where
the financial account is charged the price of the product. As
illustrated, step S1290 assumes the customer has committed to
purchase the product, or agrees to purchase the product after
achieving a non-winning outcome. However, in alternative
embodiments, the customer may decide not to purchase the product
after all, in which case the financial account may be charged only
the fee for playing the game. In still other embodiments, the
customer may have the opportunity to play the game repeatedly until
he has e.g., won the product, or played so many games such that the
fees for all the games played add up to the price of the product.
If the customer does play the game repeatedly, and all outcomes are
losing outcomes, the financial account may be charged the price of
the product. However, if the customer earns or gets a winning
outcome, then, as described in a special case below, the customer's
financial account may be charged only the fees for all the games
the customer played. For instance, if the customer achieved a
winning outcome on a fifth game, then the customer's financial
account may be charged only for the price of the five games he
played. Another possibility is that the customer plays multiple
games, loses on each, but decides not to buy the product after all.
In this case, the financial account may again be charged only the
fees for all the games the customer played.
[0169] If it is determined in step S1260 that the game did result
in a winning outcome, then the fee for the game may be charged to
the financial account, and the customer may be given the product
without further charge.
ADDITIONAL EMBODIMENTS
[0170] The following are several examples of additional embodiments
of the present invention. These examples do not constitute a
definition of all possible embodiments, and those skilled in the
art will understand that the present invention is amenable to many
other embodiments. Those skilled in the art will understand how to
make any changes, if necessary, to the above-described system to
accommodate these and other embodiments and applications.
[0171] In some embodiments, a credit of a portion of a fee or a
sale price may be restricted in ways additional to those specified
above. For example, a value of a credit may expire, or otherwise
change over time, or a credit may be applicable only toward those
products purchased over a particular time period, such as one day.
These restrictions likely provide a retailer with additional
revenue because they increase a likelihood that a credit will not
be redeemed.
[0172] In addition to receiving a credit in response to a losing
outcome, a customer may receive a consolation prize. The
consolation prize, such as a coupon, is intended to provide further
incentive for the customer to patronize the retailer.
[0173] In other embodiments, a product is selected and a game
executed while a customer is at one location, such as a casino, and
the product is provided at another location, such as a retail
store. Alternatively, the customer may select products at a retail
store using a PDA and take the PDA, now storing information
regarding to the selected products, to a payment or fulfillment
house for execution of a game and provision of credits and/or
prizes according to the invention.
[0174] All types of credit mentioned above may be provided to a
customer in coupon form, with the coupons specifying any
restrictions for redeeming associated credit.
[0175] Instead of selecting a product, a customer may select a
price for which to play a game. The game may be defined as
described above with respect to step S830 and, if a winning outcome
results, the customer may receive a credit for the selected price
(or for a portion thereof) applicable to any product in a retail
store. Of course, a probability of a winning outcome, a required
fee for the game, an amount of the selected price credited in
response to a winning outcome, and an amount of the fee credited in
response to a losing outcome may each be varied in accordance with
particular goals of a retailer.
[0176] In yet other embodiments, a customer may take a product from
a retail store and play a game for the product according to the
invention at a later date. If the customer does not win the product
by a certain time, the customer is charged a sale price which is
based on any fees paid by the customer in order to play the game
for the product.
[0177] In order to select a product, to commit to purchase a
product, to request a purchase of a product, or to purchase a
product, a customer may swipe an appropriate card bearing a
magnetic strip through a card reading device located near the point
of display of the product. A product identifier corresponding to
the product and a customer identifier read from the magnetic strip
are then associated in the storage device 160 of the retailer
controller 100. Accordingly, a product identifier corresponding to
each subsequently-selected product is also associated with the
customer identifier in the data storage device 160. In this regard,
each product may be assigned a separate card reading device
designed to transmit to the retailer controller 100 only a product
identifier corresponding to a single associated product, or the
card reading device may have an additional input device which the
customer uses to input a product identifier corresponding to a
selected product or to input other information using which the
product identifier may be determined.
[0178] In some embodiments, received fees are credited according to
a progressive pool of fees. Therefore, a portion of a fee credited
to a customer is dependent upon game outcomes received by other
customers.
[0179] In other embodiments, an encoded outcome is delivered to a
customer through a flyer, a newspaper insert, an online
advertisement, or the like. Then, in order to play a game for a
product, the customer visits a retail store with the encoded
outcome. After receiving a selection of a product and a required
fee, the retail store decodes the encoded outcome to identify
either a winning outcome or a losing outcome. Finally, the customer
receives the selected product or is credited a portion of the fee
as described above.
[0180] In embodiments where any of the process steps 800 are
executed at a POS terminal, an average transaction time per
checkout may increase. Accordingly, in order to decrease
transaction times, a feature may be provided for prohibiting play
of a game according to the invention. The feature may allow a
retailer to manually control prohibition of play and/or may be
employed automatically upon detection of undesirably long
transaction times or checkout lines. Advantageously, such a feature
encourages customers to visit the retailer during low traffic times
because the customers will be aware that game play for products may
be prohibited during high traffic times.
[0181] In some embodiments a customer may play a game to obtain a
product without having to pay the product's retail price. However,
the customer may still be responsible for any applicable sales tax.
For example, suppose a first-aid kit retails for $20 in a state
with a 6% sales tax. The customer might pay a $1.00 fee to play a
game for the first-aid kit, and subsequently win the first-aid kit.
The customer may then receive the first-aid kit for no additional
payment, provided he does pay the 6% sales tax equal to $1.20
(=0.06*$20.00). In some embodiments, any fees the customer has paid
for games may be applied towards the sales tax. Therefore, in the
above example, the customer has already paid $1 to play the game,
and so need pay only an additional $0.20 to cover the sales tax and
to then receive the first-aid kit.
[0182] In some embodiments, the sales tax for a product is
calculated based only upon the total amount of consideration the
customer has paid in order to obtain the product. For example,
suppose a customer attempts to win a product by repeatedly playing
a game, each game costing the customer $1.00. The customer wins the
product on the fifth game, having now paid a total of $5.00 in fees
for the games. The product retails for $20.00. However, since the
customer has paid only $5.00 to obtain the product, sales tax is
calculated based on the $5.00 figure, and not the $20.00 retail
price. The customer might therefore be required to pay
$0.30.(=0.06* $5.00) to obtain the product. Of course, in all
embodiments involving the payment of sales tax, the retailer could
just as well cover the cost of the sales tax. The customer could
then feel like he was truly winning the product with no strings
attached.
[0183] Although the present invention has been described with
respect to particular embodiments, those skilled in the art will
note that various substitutions and modifications may be made to
those embodiments without departing from the spirit and scope of
the present invention.
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