U.S. patent application number 14/065969 was filed with the patent office on 2014-02-27 for systems and/or methods for fraud detection in award point programs.
This patent application is currently assigned to Nintendo of America Inc.. The applicant listed for this patent is Nintendo of America Inc.. Invention is credited to Brian CHENEY, Peter J. JUNGER.
Application Number | 20140058817 14/065969 |
Document ID | / |
Family ID | 46048639 |
Filed Date | 2014-02-27 |
United States Patent
Application |
20140058817 |
Kind Code |
A1 |
JUNGER; Peter J. ; et
al. |
February 27, 2014 |
SYSTEMS AND/OR METHODS FOR FRAUD DETECTION IN AWARD POINT
PROGRAMS
Abstract
Certain exemplary embodiments described herein relate to the
field of electronic registration (ER) of purchased items and, more
particularly, to improved electronic registration techniques that
provide validation and/or verification services for an award points
program and/or products having associated award points. Certain
exemplary embodiments provide electronic award points management
techniques that authenticate item purchases, determine eligibility
for inclusion in a manufacturer's or a retailer's award program,
help identify and detect potential fraudulent transactions
involving award points and/or associated products, etc. Certain
exemplary embodiments may allow point information to be printed
directly on a case where it is continually visible, which may, in
turn, help increase enrollment by increasing visibility of the
program, reducing the likelihood of insert cards being lost, etc.,
while at the same time reducing costs for program implementation on
the part of manufacturers, retailers, etc.
Inventors: |
JUNGER; Peter J.; (Redmond,
WA) ; CHENEY; Brian; (Auburn, WA) |
|
Applicant: |
Name |
City |
State |
Country |
Type |
Nintendo of America Inc. |
Redmond |
WA |
US |
|
|
Assignee: |
Nintendo of America Inc.
Redmond
WA
|
Family ID: |
46048639 |
Appl. No.: |
14/065969 |
Filed: |
October 29, 2013 |
Related U.S. Patent Documents
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Application
Number |
Filing Date |
Patent Number |
|
|
12926382 |
Nov 15, 2010 |
8595062 |
|
|
14065969 |
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Current U.S.
Class: |
705/14.26 |
Current CPC
Class: |
G06Q 30/0233 20130101;
G06Q 30/0225 20130101; G06Q 30/0232 20130101 |
Class at
Publication: |
705/14.26 |
International
Class: |
G06Q 30/02 20060101
G06Q030/02 |
Claims
1. A method of processing transactions, in connection with an
electronic registration (ER) system having an ER database of
entries for sold items, each said entry including a unique
identifier of a corresponding sold item, at least some of said
items being sold with an associated promotion administered at least
in part by a promotional program system, the method comprising:
querying the ER database to locate a matching entry when an item is
presented for return or refund at a location, using a processor of
the ER system; determining whether a promotion associated with the
item presented for return or refund has been taken advantage of, in
response to the item being presented for return or refund at the
location, using the processor of the ER system; sending a first
message to the location authorizing the return or refund subject to
applicable return/refund policies determined in connection with the
ER database, when the promotion associated with the item presented
for return or refund is not yet eligible for redemption; sending a
second message to the location authorizing the return or refund
subject to applicable return/refund policies determined in
connection with the ER database, and preventing the promotion
associated with the item presented for return or refund from being
taken advantage of, provided that the promotion associated with the
item presented for return or refund is eligible for redemption; and
sending a third message to the location denying the return or
refund when the promotion associated with the item presented for
return or refund has already been taken advantage of.
2. The method of claim 1, wherein the third message is sent,
provided that the value of the promotion associated with the item
presented for return or refund that has already been taken
advantage of cannot be recovered from the party presenting the item
for return or refund.
3. The method of claim 2, further comprising debiting an account of
the party presenting the item for return or refund, and authorizing
the return or refund.
4. The method of claim 3, wherein the account is debited in an
amount equal to the value of the promotion associated with the item
presented for return or refund.
5. The method of claim 1, wherein the item is one of either a
rewards point card, or a physical product having an associated
number of rewards points.
6. The method of claim 5, wherein: each said entry in the ER
database includes a serial number of the sold item, along with a
date and time of the associated sale, and each said entry in the ER
database includes a return/refund policy associated with the
item.
7. The method of claim 1, further comprising sending a fourth
message to a manufacturer of the item to prompt the manufacturer to
issue a credit to the location upon successful return or
refund.
8. The method of claim 5, further comprising instructing personnel
at the location to dispose of or destroy the item upon successful
return or refund of a rewards point card.
9. The method of claim 5, further comprising instructing personnel
at the location to return the item to a manufacturer thereof upon
successful return or refund of a physical product having an
associated number of rewards points.
10. The method of claim 1, wherein the ER system is consulted prior
to any promotional value being conveyed to a party to determine
whether an item being registered with the ER system has been
properly sold.
11. The method of claim 10, wherein when the ER system determines
that an item being registered has already been previously
registered, additional information pertaining to the sale of the
item being registered is obtained to determine whether the current
registration is improper or whether the previous registration is
improper.
12. The method of claim 11, wherein the additional information
comprises information from a receipt of the sale of the item.
13. A method of processing transactions in connection with an
electronic registration (ER) system having an ER database of
entries for sold items, each said entry including item information
including at least a unique identifier of a corresponding sold
item, and at least some of said sold items being sold with an
associated promotion administered at least in part by a promotional
program system, the method comprising: receiving, from a party,
information for an item being registered with the promotional
program system, the item having a promotion associated therewith;
determining, in cooperation with a processor of the ER system,
whether an entry for the item being registered with the promotional
program system already exists in the ER database; in response to a
determination that the ER database does not already include
information for the item being registered, updating the ER database
in cooperation with the processor of the ER system so as to include
an entry for the item being registered and authorizing the
promotional program system to award value associated with the item
to the party registering the item; and in response to a
determination that the ER database already includes information for
the item being registered, examining previously entered item
information for the product and item information entered by the
party attempting to register the product, in order to identify a
suspected fraudster.
14. The method of claim 13, further comprising sending a member
identifier of the identified suspected fraudster to the promotional
program system in order to enable potential follow-up by
promotional program personnel, when the ER database already
includes information for the item being registered.
15. The method of claim 13, wherein the item is one of either a
rewards point card, or a physical product having an associated
number of rewards points.
16. The method of claim 13, wherein the ER database includes
entries for items from a plurality of manufacturers operating a
plurality of rewards programs.
17. An electronic registration (ER) system, comprising: an ER
database of entries for sold items, each said entry including a
unique identifier of a corresponding sold item, at least some of
said items being sold with an associated promotion administered at
least in part by a promotional program system; and a processor
configured to execute instructions to at least: query the ER
database to locate a matching entry when an item is presented for
return or refund at a location; determine whether a promotion
associated with the item presented for return or refund has been
taken advantage of, in response to the item being presented for
return or refund at the location; send a first message to the
location authorizing the return or refund subject to applicable
return/refund policies determined in connection with the ER
database, when the promotion associated with the item presented for
return or refund is not yet eligible for redemption; send a second
message to the location authorizing the return or refund subject to
applicable return/refund policies determined in connection with the
ER database, and prevent the promotion associated with the item
presented for return or refund from being taken advantage of,
provided that the promotion associated with the item presented for
return or refund is eligible for redemption; and send a third
message to the location denying the return or refund when the
promotion associated with the item presented for return or refund
has already been taken advantage of
18. The system of claim 17, wherein the third message is sent,
provided that the value of the promotion associated with the item
presented for return or refund that has already been taken
advantage of cannot be recovered from the party presenting the item
for return or refund.
19. The system of claim 17, wherein the item is one of either a
rewards point card, or a physical product having an associated
number of rewards points.
20. The system of claim 17, wherein the processor is further
configured to execute instructions to send a fourth message to a
manufacturer of the item to prompt the manufacturer to issue a
credit to the location upon successful return or refund.
21. The system of claim 17, wherein the ER system is consulted
prior to any promotional value being conveyed to a party to
determine whether an item being registered with the ER system has
been properly sold.
22. An electronic registration (ER) system, comprising: an ER
database of entries for sold items, each said entry including item
information including at least a unique identifier of a
corresponding sold item, and at least some of said sold items being
sold with an associated promotion administered at least in part by
a promotional program system; an interface configured to receive,
from a party, information for an item being registered with the
promotional program system, the item having a promotion associated
therewith; at least one processor configured to execute
instructions to at least: determine whether an entry for the item
being registered with the promotional program system already exists
in the ER database; in response to a determination that the ER
database does not already include information for the item being
registered, update the ER database to include an entry for the item
being registered and authorize the promotional program system to
award value associated with the item to the party registering the
item; and in response to a determination that the ER database
already includes information for the item being registered, examine
previously entered item information for the product and item
information entered by the party attempting to register the
product, in order to identify a suspected fraudster, wherein the ER
database includes entries for items from a plurality of
manufacturers operating a plurality of rewards programs.
23. The system of claim 22, wherein the item is one of either a
rewards point card, or a physical product having an associated
number of rewards points.
24. The system of claim 22, wherein the ER system is consulted via
the promotion program system prior to any redemption activities to
determine whether a predetermined amount of time has elapsed since
points have been credited to a member.
25. The system of claim 22, wherein the anonymous member
identifiers stored in the ER database are generated by applying a
hash algorithm to members' e-mail addresses such that the members'
e-mail addresses are needed to decode the anonymous member
identifiers.
Description
[0001] This application is a continuation of application Ser. No.
12/926,382 filed Nov. 15, 2010, the entire contents of each of
which are hereby incorporated by reference in this application.
TECHNICAL FIELD
[0002] The exemplary embodiments described herein relate to the
field of electronic registration (ER) of purchased items and, more
particularly, to improved electronic registration techniques that
provide validation and/or verification services for an award points
program and/or products having associated award points. Certain
exemplary embodiments provide electronic award points management
techniques that authenticate item purchases, determine eligibility
for inclusion in a manufacturer's or a retailer's award program,
help identify and detect potential fraudulent transactions
involving award points and/or associated products, etc.
BACKGROUND AND SUMMARY
[0003] Electronic registration (ER) of product transactions
recently has become available for the purpose of reducing
unauthorized returns of purchased products and/or unauthorized
warranty repair on purchased products. Electronic product
registrations systems provided for this purpose are disclosed in,
for example, U.S. Pat. Nos. 5,978,774; 6,018,719; and 6,085,172,
the disclosures of which are all incorporated by reference herein
in their entirety. The electronic registration system relies on the
use of a unique identifier, such as a serial number linked to a UPC
(and/or RFID) or its equivalent, for each product that is
purchased. The serial number is obtained at the point of sale for
inclusion in a registration database, together with other
information, such as a date of transaction. This database can then
be accessed in connection with an attempted product return/warranty
transaction for the purpose of determining if the product qualifies
for return/warranty under applicable return/warranty criteria under
which the product was originally sold. Such electronic systems may
also be used in connection with repair and/or exchange
transactions, in addition to returns, by enabling an accurate
determination as to whether the product qualifies for any of these
actions under the appropriate policies and criteria under which the
product was originally sold.
[0004] The ER system uses pre-established return/repair policies
and procedures that are programmed into the ER system so that the
system can perform a check when a product is presented for return
to determine if the product qualifies for return, replacement
and/or warranty repair based on sales transaction information
available in the ER system for the particular product at issue.
Thus, known ER systems include a database of return qualification
information (or warranty/replacement criteria) for various
manufacturers and/or retailers which enables the system to make an
accurate determination with respect to whether or not a product
actually qualifies for return (or warranty/replacement) based on
the appropriate criteria and at the time the product is actually
presented for return. Such ER systems have greatly reduced improper
and fraudulent returns and warranty claims.
[0005] While such ER systems have proven to be very useful in their
current forms, additional improvements in the system are still
desired to make such ER systems more flexible in operation in order
to benefit customers, retailers, and manufacturers. For example,
problems may arise in situations where frequent buyer award points
systems and/or gift cards are provided. There are different
variations of frequent buyer award points systems but, in general,
such systems enable a customer to redeem points for monetary value,
product offerings, or the like. In some respects, these frequent
buyer award points systems are "cash equivalents," in the sense
that they can be used to "purchase" other products. Points may be
purchased separately, "earned" by purchasing a product having a
certain number of points, etc. Frequent buyer award programs often
require participating customers to register (e.g., by providing
personal information like name, address, telephone number, etc.)
and to "activate" or "cash-in" their points by using an activation
code (e.g., using a telephone dial-in system, the Internet, or the
like).
[0006] Unfortunately, product insert cards (which may contain
activation codes for the purpose of redeeming award points) present
an added cost to the manufacturer, produce additional waste, are
often lost before they can be redeemed, can be removed before
purchase or obtained from products that are stolen or shoplifted,
etc. To help thwart these and/or other potentially fraudulent
activities, retailers secure products behind locked display cases,
attach source tags, design bomb-proof packaging at great dismay to
the consumer and the environment, and take other costly
measures.
[0007] Thus, it will be appreciated that there is a need in the art
for improved ER techniques that help facilitate frequent buyer
award point programs.
[0008] One aspect of certain exemplary embodiments relates to
electronic award points management techniques that authenticate
item purchases, determine eligibility for inclusion in a
manufacturer's or a retailer's award program, help identify and
detect potential fraudulent transactions involving award points
and/or associated products, etc.
[0009] Another aspect of certain exemplary embodiments relates to
reducing (and sometimes even completely eliminating) the need for a
wasteful insert card, e.g., containing reward points information.
Certain exemplary embodiments may accomplish this by relying on a
product's serial number, optionally together with instructions
(which may be printed on the product packaging, in the product
instruction manual, or elsewhere).
[0010] Another aspect of certain exemplary embodiments relates to
activating cards when sold through an authorized retailer's
point-of-sale (POS) system that is tied to a registration module of
the ER system. For instance, a rewards system may remotely activate
a card under the instruction of an ER system.
[0011] Still another aspect of certain exemplary embodiments
relates to providing anti-fraud security measures for unregistered
points cards.
[0012] According to certain exemplary embodiments, a method of
detecting potentially fraudulent transactions is provided. An
electronic registration (ER) system having an ER database of
entries for sold items is provided, with each said entry including
a unique identifier of a corresponding sold item, and with each
said item having reward points associated therewith. The reward
points are redeemable in connection with a rewards program
administered at least in part by a rewards program system. When an
item is presented for return or refund at a location, the ER system
is used to: query the ER database to locate a matching entry, and
determine whether the item presented for return or refund has been
registered with the rewards program system and whether reward
points associated with the item presented for return or refund have
been credited to a member and/or redeemed by the member. When the
item presented for return or refund has not been registered with
the rewards program system and the reward points associated with
the item presented for return or refund have not been credited to
the member, a signal is sent to the location authorizing the return
or refund subject to any return/refund policies of the location.
When the item presented for return or refund has been registered
with the rewards program system and the reward points associated
with the item presented for return or refund have been credited to
the member, a signal is sent to the location authorizing the return
or refund subject to any return/refund policies of the location,
and authorizing the debiting of a corresponding number of reward
points from the member. Alternatively or in addition, when the item
presented for return or refund has been registered with the rewards
program system, the reward points associated with the item
presented for return or refund have been credited to the member,
and the reward points have been redeemed, a signal is sent to the
location denying the return or refund.
[0013] According to certain exemplary embodiments, a method of
detecting potentially fraudulent transactions is provided. An
electronic registration (ER) system having an ER database of
entries for sold items is provided, with each said entry including
item information including at least a unique identifier of a
corresponding sold item, and with each said item having reward
points associated therewith. The reward points are redeemable in
connection with a rewards program administered at least in part by
a rewards program system. When an item is being registered with the
rewards program system by a member of the rewards program, it is
determined whether information for the item being registered exists
in the ER database. When the ER database does not include
information for the item being registered, the ER database is
updated so as to include an entry for the item being registered and
authorization is given to award reward points associated with the
item to the member registering the item. The entry includes an
anonymous member identifier. When the ER database includes
information for the item being registered: item information entered
by the member who previously registered the product and item
information entered by the member attempting to register the
product are examined to identify a suspected fraudster, and the
anonymous member identifier of the suspected fraudster is sent to
the rewards program system providing for potential follow-up by
rewards program personnel.
[0014] According to certain exemplary embodiments, an electronic
registration (ER) system is provided. An ER database includes a
plurality of entries for sold items, with each said entry including
a unique identifier of a corresponding sold item, and with each
said item having reward points associated therewith. The reward
points are redeemable in connection with a rewards program
administered at least in part by a rewards program system. A
processor is configured to execute instructions for querying the ER
database. The processor also is configured to search the ER
database when an item is presented for return or refund at a
location to (a) locate a matching entry, and (b) determine whether
the item presented for return or refund has been registered with
the rewards program system and whether reward points associated
with the item presented for return or refund have been credited to
a member and/or redeemed by the member. The processor is further
configured to generate and send a signal to the location
authorizing the return or refund subject to any return/refund
policies of the location when the item presented for return or
refund has not been registered with the rewards program system and
the reward points associated with the item presented for return or
refund have not been credited to the member. The processor is
further configured to generate and send a signal to the location
authorizing the return or refund subject to any return/refund
policies of the location when the item presented for return or
refund has been registered with the rewards program system and the
reward points associated with the item presented for return or
refund have been credited to the member, and further authorize the
debiting of a corresponding number of reward points from the member
(e.g., by the rewards program system). The processor is further
configured to generate and send a signal to the location denying
the return or refund when the item presented for return or refund
has been registered with the rewards program system, the reward
points associated with the item presented for return or refund have
been credited to the member, and the reward points have been
redeemed. The item is one of either a rewards point card, or a
physical product having an associated number of rewards points.
[0015] According to certain exemplary embodiments, an electronic
registration (ER) system is provided. An ER database includes
entries for sold items, with each said entry including item
information including at least a unique identifier of a
corresponding sold item, and with each said item having reward
points associated therewith. The reward points are redeemable in
connection with a rewards program administered at least in part by
a rewards program system. A processor is configured to determine
whether information for the item being registered exists in the ER
database when an item is being registered with the rewards program
system by a member of the rewards program. The ER database is
updatable when the processor indicates that the ER database does
not include information for the item being registered so as to
include an entry for the item being registered and wherein the
processor is configured to instruct the rewards program system to
award reward points associated with the item to the member
registering the item, with the entry including an anonymous member
identifier. The processor is further configured to examine item
information entered by the member who previously registered the
product and item information entered by a member attempting to
register the product to identify a suspected fraudster, and send
the anonymous member identifier of the suspected fraudster to the
rewards program system providing for potential follow-up by rewards
program personnel. The item is one of either a rewards point card,
or a physical product having an associated number of rewards
points.
[0016] Certain exemplary embodiments may be configured to generate
instructions or messages (e.g., via a processor) that are
executable by systems to cause particular actions (e.g., to perform
additional checks, flag items as suspect, flag members as
fraudsters, etc.). Such instructions or messages may be
communicated among and/or between systems using respective
processors and/or network connections.
[0017] It will be appreciated that these aspects and embodiments
may be combined in various combinations and sub-combinations to
achieve yet further exemplary embodiments. Also, it will be
appreciated that the exemplary embodiments herein may be
implemented as any suitable combination of programmed logic
circuitry including, for example, hardware, software, firmware,
etc.
BRIEF DESCRIPTION OF THE DRAWINGS
[0018] These and other features and advantages will be better and
more completely understood by referring to the following detailed
of exemplary illustrative non-limiting implementations in
conjunction with the drawings, of which:
[0019] FIG. 1 is a schematic block diagram illustrating an example
of an overall electronic product registration (ER) system that may
be used in accordance with an exemplary embodiment;
[0020] FIG. 2 is a high level flow chart of some of the main steps
performed in accordance with prior electronic product registration
(ER) systems;
[0021] FIG. 3 is an overview of an illustrative process for
purchasing and registering an item (product and/or points card)
when purchase information is known, in accordance with an exemplary
embodiment;
[0022] FIG. 4 is an illustrative flowchart showing a process for
handling returns under different scenarios in accordance with an
exemplary embodiment; and
[0023] FIG. 5 is an overview of an illustrative process for
purchasing and registering an item (product and/or points card)
when purchase information is not known, in accordance with an
exemplary embodiment.
DETAILED DESCRIPTION
[0024] An example of one type of electronic product registration
(ER) system that may be used in connection with certain exemplary
embodiments is illustrated in FIG. 1. Briefly, this example system
includes a point of sale register 2 and an associated bar code
scanner 4. The register 2 is connected with a local computer system
6 in any suitable manner. In certain situations (e.g., single store
retailers), it may be advantageous to have the local computer
system 6 located in proximity to the register 2. For large chain
stores, however, it may be advantageous to situate the local
retailer computer 6 at a central location with links to the
registers 2 at individual stores. The particular arrangement will
depend on the preferences and circumstances of the specific
retailer and may vary in accordance therewith.
[0025] The local retailer computer system includes an associated
local database 8 for storing registration information.
Additionally, a local printer 10 and an operator terminal 11 may be
provided. The operator terminal may be used, for example, by a
store clerk upon return of merchandise to locate pertinent sales
information in the local database 8. The printer 10 may be used to
produce hard copies of, for example, end-of-day sales reports
and/or the like.
[0026] In the exemplary embodiment, a communication channel 12 is
provided between the retailer computer system 6 and a central
computer system 14. The central registration computer system may,
for example, be an independent registration center computer system
which electronically registers product transactions for a number of
different retailers. In other words, the central computer system
may be operated by a third-party service provider.
[0027] A general registration database 16 is associated with the
central registration computer system 14 for storing transaction
information from a plurality of retailer computer systems 6.
Additionally, a printer 18 and an operator terminal 20 may be
included with the central registration computer system 14. As
discussed below in greater detail, the central registration
computer system may maintain a number of data files pertaining to
individual retailers, manufactures and the like. These data files
include information applicable to the particular individual
retailer, distributor, manufacturer or the like and are preferably
maintained by that particular individual or entity. For example, a
data file may contain specific return/warranty policy information
applicable to that particular individual or entity.
[0028] It should be appreciated that the central computer system 14
is preferably intended to handle product registrations for a number
of different manufacturers and/or other vendors. Accordingly, the
general registration database may employ a structure wherein the
product registrations for each participating vendor are maintained
in separate areas. Alternatively, separate databases may be
employed for each participating vendor. Of course, other data
structures may be employed so long as the registration center is
able to properly keep track of the product transaction information
and particular return and/or warranty policies associated with each
transaction.
[0029] As illustrated in FIG. 1, the central registration computer
system 14 may have a number of additional communications links 12',
12'', etc. for receiving information from other local computer
systems. Thus, for example, a registration center may receive
information from a number of different retailers. Additionally, the
local computer system 6 may include a number of additional
communication channels 13, 13', 13'', etc. for connecting with
other central computer systems. Accordingly, an individual retailer
can electronically register products with a number of different
registration databases, if desired. Furthermore, a number of
communication channels 15, 15', 15'', etc. can be provided for
communications between the central registration computer system 14
and individual manufacturer computer systems and computer systems
of third party service providers, law enforcement agencies and/or
the like. Of course, a general access channel such as an Internet
connection may also be made available for authorized access to the
central computer system 14.
[0030] The electronic registration process begins when a customer
brings merchandise to the register 2 for check-out. The sales clerk
enters the SKU number which identifies the type of product involved
in the transaction (e.g., Super Nintendo Entertainment System,
Nintendo Game Boy, Nintendo N64, etc.) by, for example, scanning a
UPC product code included on the product packaging. Of course, key
entry or another technique for entering the SKU number may be used.
Electronic registration might not be necessary for a substantial
number of small commodity products (e.g., batteries, candy,
diapers, etc.) that are commonly sold by retailers. Accordingly, a
check may be made, based on the type of product as identified by
the UPC code, to determine whether this is a product for which
electronic registration is desired. If so, the store associate is
prompted to enter the serial number of the individual item.
[0031] The serial number may be entered, for example, by scanning a
serial number printed on the packaging. Alternatively, the serial
number as it appears on the product may be scanned through a window
in the packaging. This alternative ensures that the individual
product is identified even if it is mispackaged. Also, repackaging
of returned merchandise would be simplified. Other techniques, such
as key entry, may also be used. Because the serial number is unique
to each individual product, it acts as individual production
identification information.
[0032] Once the serial number is entered, a check may be made to
ensure that the serial number is valid. If not, the store associate
is again prompted to enter the serial number. This is repeated
until a valid serial number is obtained. Once the serial number is
verified, a local database may be updated with the serial number
information and any other necessary or desired information. At
minimum, however, the local database should include an indication
of the date on which the transaction took place. Other information
might include the price paid, the store associate responsible for
the sale, and the like.
[0033] The serial number of the individual product is preferable
printed as part of a written customer transaction receipt. The
serial number may be printed adjacent the description and SKU
number of the registered product. Thus, it will be a simple matter
to correlate serial numbers with associated products, particularly
when several registered products appear on a single customer sales
receipt. Of course, additional information may be printed as
well.
[0034] The date of the transaction will typically be printed at
either the beginning or the end of the sales receipt, but may
appear anywhere on the receipt. After the serial number is printed,
a check is made to determine whether sales are complete.
Ordinarily, this will be based on the store associate hitting a
TOTAL button on the cash register. Thereafter, the central
registration computer system 14 is contacted and the general
registration database 16 is updated with the transaction
information.
[0035] Inasmuch as ER systems are known, further specific details
regarding ER systems themselves will not be provided herein except
as needed for a complete understanding of the invention. As seen
from the above description of an ER system, original policies are
defined for products when they are first sent to the retailer by
the vendor. The ER system preferably includes the policies of both
the vendor and the retailer and enables the policies of both
parties to be easily and conveniently enforced.
[0036] FIG. 2 shows the main steps performed in connection with
conventional ER systems. As shown in FIG. 2, the return/warranty
policy or policies are defined for serialized products and entered
into the ER system (step 200). The ER system uses the policies and
the sales transaction information, as well as the date on which a
return is requested, to determine if the product qualifies for
return when presented for return. Thus, when the products are sold,
the sales transaction is recorded in the ER database (step 202). If
the consumer is satisfied with the product, then the process ends
(step 206). On the other hand, if a return is requested (step 204),
the ER system is accessed to obtain the return qualification
information for the specific product being presented for return
(step 208). In accordance with conventional ER systems, the return
request is handled based on the return qualification information
provided by the ER system based on the original policies under
which the product was originally sold. Thus, based on the return
qualification information provided by the ER system, a
determination is made as to whether or not the product qualifies
for return/warranty repair or the like (step 210). If the product
does qualify for the action requested, the request can be honored
by the retailer and the transaction can be completed (step 214). On
the other hand, if the ER system indicates that the product does
not qualify for the requested action, the customer is typically
denied the return or warranty repair (step 212). Of course, the
store employee could decide, for some reason, to ignore the ER
information and accept the product anyway.
[0037] As indicated above, it would be desirable to provide
improved ER techniques that help facilitate frequent buyer award
point programs. In this regard, certain exemplary embodiments
relate to electronic award points management techniques that in
certain exemplary instances authenticate product purchases and
determine eligibility for inclusion in a manufacturer's or a
retailer's award program. Certain exemplary embodiments may
provides techniques that help identify and detect potential
fraudulent transactions, such as attempted registration of
non-purchased items (products and/or points cards), registration of
items where certain product identification information was obtained
by copying serial numbers from product that is in a manufacturer's
warehouse or in a retailer's store inventory, or by
creating/counterfeiting serial numbers. Such techniques may apply
to purchases of products that are uniquely identifiable through
such means as, for example, an item's (product's and/or point
cards') individual serial number, and/or the combination of a
product's UPC (or EAN, JAN, or the like) and serial number, and/or
EPC (Electronic Product Code/RFID), or any other method that
uniquely identifies a specific item. Certain exemplary embodiments
in addition or in the alternative may provide increased scrutiny
even to items (products and/or point cards) that are
unregistered.
[0038] In general, these exemplary techniques provide purchase
authentication/verification techniques. Exemplary backed systems
may have a modular structure, wherein one module contains sensitive
and highly confidential customer information (which may be managed
by the manufacturer and/or a retailer), whereas another module may
be managed independently by a third party that validates/verifies
product purchase information for one or many retailer(s) and/or
manufacturers. The latter module may not store information
pertaining to individuals.
Exemplary Validation/Verification Technique 1
[0039] In a first exemplary validation/verification technique,
purchase information may be known and accessible via an ER. The
improved ER system of certain exemplary embodiments may use
information (such as, for example, serial number, shipment data
from manufacturer to specific retailers, etc.) to realize the
benefits associated with ER systems and to authenticate and verify
an item's eligibility for award points. Illustrative electronic
registration systems are disclosed in, for example, U.S. Pat. Nos.
5,978,774; 6,018,719; and 6,085,172, the entire contents of which
are each incorporated herein by reference.
[0040] FIG. 3 is an overview of an illustrative process for
purchasing and registering an item (product and/or points card)
when purchase information is known, in accordance with an exemplary
embodiment. A customer buys an item or items 302 (e.g., products
and/or points cards) from a retail location or online location.
During the transaction, the retailer 304 obtains information
pertaining to the item, for example, by scanning a UPC (or EAN,
JAN, or the like) and the serial number and appends date, time,
store number, register number, and/or other data to the record.
This information is then transmitted (306) to the ER database 312.
The dashed line 308 shows the items being given to the customer
310. The ER database 312 receives, validates, and stores the data
from the retailer 304. If the item being sold is a points card
consigned free to a retailer 304 (until sale), the ER system may
act as in independent broker and/or notify the manufacturer 316 of
the sale such that the retailer 304 is billed, directly or
indirectly, by the manufacturer, e.g., at a predetermined price or
rate.
[0041] An individual may enroll in the rewards program either
before or after a sale so as to become a member of that program and
register the item (318). In certain exemplary instances, an
individual may become a member by opting into the program at the
time of the sale (e.g., by completing a short questionnaire, having
information such as name and address gleaned from the sale and then
submitting this information, by filling out an additional form,
etc.). Membership enrollment options may be provided by, for
example, an Internet website, and required membership information
may include, for example, personal information, including email
address, etc. One example awards points program is Club Nintendo,
which can be accessed by visiting a website provided by the
manufacturer.
[0042] After the sale or as a part of the transaction, product
purchase information (including, for example, brand, UPC, model,
serial numbers, date purchased, retailer's name where purchased,
etc.) may be received from the individual or POS location and
transmitted to the manufacturer. The manufacturer's system may
transmit to the ER database the product purchase information (with
or without personal information) for further processing (320). If a
similar matching purchase record on the very same serial number is
found in the ER database, the manufacturer is notified to allocate
the appropriate point value or credits to the member's account
(322).
[0043] When a sale is voided, the retailer may send a "void-sale"
code to the ER database to cancel the previous sale and permit the
card or product to be resold, if so desired.
[0044] FIG. 4 is an illustrative flowchart showing a process for
handling returns under different scenarios in accordance with an
exemplary embodiment. Item information (e.g., UPC and serial
number) is obtained, e.g., using a scanner, in step 402. In step
404, the ER database is queried to determine whether there is a
matching item stored therein and, if so, whether the product was
registered with the rewards system. This may involve interfacing
with the manufacturer's reward system if information is not stored
directly in the ER database itself. In any event, an assessment is
made in step 406 as to whether the item is unregistered and no
points have been posted to the member's account. If so, a return
credit or refund is provided in step 408, subject to the store's
policy. If not, an assessment is made in step 410 as to whether the
item was registered and points were posted to the members account.
If so, in step 412, the points are debited from the member's
account and a return is permitted (which, as above, may be subject
to the store's policy). However, an assessment is made in step 414
as to whether the item was registered, and whether the
corresponding points were posted to the member's account and then
redeemed. In such a case, the return is to be denied. In certain
exemplary embodiments, the return may not be denied even if the
points are redeemed, provided that the member's point balance is
high enough to otherwise deduct a sufficient number of points.
[0045] If the answer to the determination in step 406 or step 410
is "yes," as indicated above, store returns are permitted subject
to the store's policy in step 418. In certain example embodiments,
the location's return/refund policy may be stored in or retrievable
by the ER database. A return code may be generated and transmitted
to the ER database, and the manufacturer may issue an appropriate
credit to the retailer. In situations where a point card is being
returned, the retailer may dispose/destroy the card (and an
instruction to this effect may be delivered to the retailer),
whereas other hard-good items may be returned to the
manufacturer.
Exemplary Validation/Verification Technique 2
[0046] In a second exemplary validation/verification technique,
techniques may be provided for instances where an item (product or
points card) is purchased from a retailer and/or distributor that
does not participate in electronic product registration and
purchase information and/or shipment data therefore is not known.
In other words, certain exemplary embodiments may have
applicability to illustrative situations where products are
identifiable to the unique item level (with such products being,
for example, serialized game titles, serialized products, etc.)
that where purchased from retailers that do not participate in an
electronic product registration (and thus may be considered non-ER
retailers) program and/or where no prior purchase information is
available, and/or products that were purchased from ER retailers
where registration failed (as the assignee of the instant invention
has determined that a small percentage or about 0.43% of serial
numbers result in error or fail).
[0047] FIG. 5 is an overview of an illustrative process for
purchasing and registering an item (product and/or points card)
when purchase information is not known, in accordance with an
exemplary embodiment. It will be appreciated that the techniques
described in connection with FIG. 5 may, for example, involve a
third-party company that specializes in electronic registration. Of
course, it will be appreciated that certain exemplary embodiments
may accommodate one or more other manufacturers that may express
interest in such a service, whether the one or more manufacturers
are from a common industry (e.g., game developers) or multiple
industries. Providing flexibility in this way may help reduce
system management costs, while also improving efficiencies and
service levels. It also may increase the ability to identify
fraudsters that prey on multiple companies in one or more
industries, thereby helping to build a common case against a
fraudster. For instance, fraudsters targeting certain Nintendo
products also may be likely to target related products and/or
competitor products (e.g., Song, Microsoft, etc.).
[0048] In any event, similar to the illustrative process steps
described above, customers may establish online accounts to become
members of the awards program providing, for example, personal
information such as name, contact details, email address, etc., and
product purchase information (such as, for example, brand, UPC,
model, serial number, date purchased, retailer's name where
purchased from, etc.) may be provided (step 502). The
manufacturer's system 504 transmits (step 506) to the ER system 508
the product purchase information or at least a portion thereof
(with or without personal information) for further processing. The
ER system 508 then attempts to identify whether there are any
discrepancies (step 510). For example, if no other purchase record
is found in the ER database, the manufacturer 504 may be notified
accordingly and the appropriate point value credits may be
allocated (step 512) to the member's account. It will be
appreciated that if purchase information is present, then the first
exemplary validation/verification technique described above in
connection with FIG. 3 may be followed, for example.
[0049] If initially no product purchase information is found in the
ER database, but later product purchase information on the very
same serial number is obtained electronically by the ER system
(e.g., from a retailer or another member of the rewards program),
the ER system may compare the two product purchase information
records to determine if the initial product purchase information
logged by the member matches that transmitted by the retailer. If
certain information (e.g., retailer name, and/or purchase date,
etc.) does not match, the manufacturer may be notified and the
account may flagged for review (step 514). A waiting period may be
imposed before points may be redeemed, e.g., so as to allow for
possible fraud detection before any points can be redeemed
improperly. The waiting period may be any defined amount of time
such as, for example, a week, two weeks, 30 days, 90 days, etc.
[0050] It sometimes is desirable for an ER system to track product
information and not information about individual customers.
Accordingly, in certain exemplary embodiments, the ER system may
not store any personal customer information. Rather, in certain
exemplary embodiments, the manufacturer may forward anonymous
unique identifiers for new members. One example that may be used is
a "HASH ID Number," which may be generated by applying a hash
algorithm to a member's e-mail address (or other unique
information) so that only the original forwarding party (e.g., the
manufacturer) can decode this essentially encrypted data. The
Hash-ID number may be used by the third party ER system as an
account number or secondary account number to group all items
purchased by a particular member.
[0051] Indeed, in certain illustrative implementations, because the
ER system operated by the assignee of the instant invention
services many manufacturers, these manufacturers may provide to the
ER system the serial number (and/or other product information) once
the item is registered and the points posted, along with the
individual's HASH ID Number (derived from the member's email
address and/or other information). For privacy concerns, the
supplier need not necessarily share the actual email address with
the ER system. Instead, the Hash-ID Number may be shared and linked
with the individual if fraud is detected and an investigation
ensues. It will be appreciated that fraudulent acts may be
identified and traced across multiple suppliers and retailers in
exemplary embodiments where a Hash ID Number is provided to the ER
database. It will be appreciated that the hash algorithm may be
unknown to the ER system and known only to manufacturer or rewards
program system in different exemplary embodiments.
[0052] If a particular member "X" posts multiple product serial
numbers (with no prior POS registration record in the ER database)
and subsequently member "Y" posts some of the very same serial
numbers, and at a later date different members "Z" and "n" also
post some of the same serial numbers as member "X" but dissimilar
serial numbers from one another, the system may suspect member "X"
of having falsely obtained serial numbers without having made a
purchase. Certain exemplary embodiments may flag and/or freeze
member account "X" for further investigation (step 516). The
scanning and flagging may be performed automatically (e.g., without
direct operator instruction) periodically, upon each purchase or
registration, etc., or upon a specific request by a retailer,
manufacturer, law enforcement personnel, or other potentially
interested party (e.g., when products are lost, stolen, patterns of
suspected fraud appear to emerge, etc.). The ER system may alert
the retailer that sold the item and alert the supplier or
manufacturer of potential theft of information and/or fraud.
Because the supplier likely will have the personal information from
all registered customers or members, the retailer in cooperation
with the supplier may be able to determine if the suspected
fraudster is a store employee or some other individual. In
addition, or in the alternative, the ER system, in cooperation with
the manufacturer and/or retailer, may help identify at least the
fraudulent account, which may be frozen, deactivated, or flagged so
that an alarm may be raised when used (e.g., to redeem rewards) and
therefore ensnare a would-be fraudster.
[0053] It will be appreciated that certain exemplary embodiments
may accept a certain amount of fraud/losses (e.g., where duplicate
points were issued and redeemed) as a cost of doing business. A
maximum fraud level threshold, however, may be determined and set
by lengthening or shortening the suggested waiting-period before
points can be redeemed in certain exemplary embodiments.
[0054] Added security measures may be provided in connection with
certain exemplary embodiments. For instance, an added security
measures may be provided in the event a serial number is copied by
an individual (and even a store employee) who then waits until the
item with that serial number is sold and immediately goes online to
activate it before the individual who purchased it has a chance to
go online. To help protect against this situation, when an
individual goes online to register the serial number to log or
redeem points associated with the product and the serial number
proves to be a duplicate (e.g., it already was redeemed and/or
points previously were allocated), the ER system may prompt the
registration module to request additional information, e.g., from
the second customer attempting to redeem these credits. Such
additional information may include, for example, information from
the item receipt such as the exact purchase date, the register
transaction number, etc. If the secondary user information matches
the information obtained from the POS register (as checked, for
example, via the ER database), the system may allow for "duplicate"
points to posted to the second customer, whereas the original or
first-time registrant may be flagged by the system for further
investigation. Accounts may, of course, be deactivated and/or
revoked if an individual is found to be a fraudster and appropriate
further (e.g., criminal or civil) action may be taken.
[0055] The exemplary embodiments described herein may result in any
number of advantages over conventional techniques. For instance,
certain exemplary embodiments may allow point information to be
printed directly on a case where it is continually visible. This
may, in turn, help increase enrollment by increasing visibility of
the program, reducing the likelihood of insert cards being lost,
etc. As another example, certain exemplary embodiments may help
reduce the likelihood of fraudulent enrollment and/or registration,
improper redemption of points, theft of award point cards, etc.
Costs savings may be realized, for example, by enabling the
distribution or consignment of points cards to retailers at no
cost, reducing the amount of paper or other product inserts,
removing the need for special "tamper-proof" packaging or secured
areas, etc. As still another example, retailers may be able to
display cards in highly visible areas (e.g., at a POS register,
gaming area, children's clothing sections, etc.) in an unsecured
store setting. Furthermore, cards may be made of no value until
they are sold through an authorized retailer's POS register and
registered (e.g., using a suitably configured ER system), and even
program participation with unregistered points cards may be made to
come under additional scrutiny in certain example instances. The
ability to reduce loss and waste by reducing or eliminating the
need for inserts, packaging, and/or special storage, is
particularly advantageous, especially as point, registration,
and/or redemption information may be provided "in plain sight" in
certain exemplary implementations.
[0056] Although certain exemplary embodiments have been described
in relation to items having points associated therewith and/or
points cards themselves, it will be appreciated that the techniques
described herein may be applied to, for example, gift cards,
prepaid cards, and/or other items that have value stored
thereon.
[0057] The ER database of certain exemplary embodiments may store
only product-related information. That is, in certain exemplary
embodiments, the ER database may not store information related to
individuals purchasing, returning, exchanging, or otherwise dealing
with products. For example, individual names, addresses, credit
card information, etc., need not be maintained by the ER database
itself in certain exemplary embodiments. Rather, this information
may instead be maintained by the POS location's systems and/or
other third-party systems. Having the ER database track products
rather than people may be advantageous in certain instances, as
consumer anonymity may be maintained.
[0058] Additionally, although certain exemplary embodiments have
been described as relating to serial numbers and/or IMEI numbers,
it will be appreciated that the techniques described herein may be
applied to products identified in different ways, e.g., by EPC,
RFID, EAN, JAN, etc.
[0059] Furthermore, although certain exemplary embodiments have
been described in relation to products having serial numbers, the
present invention is not so limited. For example, unserialized
products may also take advantage of the techniques described herein
by virtue of other unique and/or identifiable characteristics
thereof. Furthermore, certain products are produced in such limited
quantities that their mere existence may be self-authenticating
and/or self-identifiable. Additionally, certain products are so
tightly controlled that their appearance via other channels may
indicate a potential problem worthy of notification to a trusted
authority (e.g. the auction house, a manufacturer, a trusted ER
intermediary, etc.).
[0060] While the systems and methods have been described in
connection with what is presently considered to practical and
preferred embodiments, it is to be understood that these systems
and methods are not limited to the disclosed embodiments, but on
the contrary, is intended to cover various modifications and
equivalent arrangements included within the scope of the appended
claims.
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