Abstract:
A method and system for aggregating marketplaces for the purpose of fulfilling a supply or service need is disclosed. The method and system optimizes the ordering of supplies or services through an analysis consistent with predetermined criteria. By exploring many possible marketplaces to fulfill a particular need, the present invention can determine which method of fulfillment most effectively fulfills the particular need.

Description:
[0001]    Similar scenarios exist with regard to other products and services as well. However, most consumers, and often sellers of products and services, are unaware of existing markets of similar and equivalent products and services. Because of this ignorance, some consumers often pay an unnecessarily higher price for products and services while some sellers often sell their available products and services for substantially less than they might be worth in a different market.  
           [0002]    Prior art methods and systems for fulfilling supply and service needs have been relatively simple. Bids are accepted from suppliers which are potentially capable of fulfilling a buyer&#39;s particular needs, or vice versa. The lowest, or highest bid is then accepted unless that bidder has been determined by past experience to be too unreliable. However, prior art methods and systems for fulfilling supply and service needs have not been concerned with similar or equivalent products and services. Therefore, though this method does fulfill the needs of a consumer, it is not always the most efficient and cost effective manner in which to achieve fulfillment. Therefore, there exists a need for an improved method for optimizing the efficiency and cost effectiveness of need fulfillment.  
         SUMMARY OF THE PRESENT INVENTION  
         [0003]    The present invention utilizes this disparity among markets, to optimize for a particular consumer or seller, the fulfillment of needs. By doing so, the present invention overcomes the shortcomings of the prior art mentioned above.  
           [0004]    By exploring many markets to fulfill a particular need, the present invention can determine which market most effectively fulfills the particular need. In determining the possible markets, the present invention also considers similar and equivalent products and services.  
           [0005]    Further, the present invention encourages markets throughout the world seeking to transact with consumers and sellers which utilize the present invention, to alter their own prices and business methods. These changes have the effect of increasing competition among the various markets, and thus benefiting consumers and sellers utilizing the system or method.  
       
    
    
     BRIEF DESCRIPTION OF THE DRAWINGS  
       [0006]    A better understanding of the present invention will be had upon reference to the following detailed description, when read in conjunction with the accompanying drawings, in which:  
         [0007]    [0007]FIG. 1 is a chart illustrating data stored for fulfilling supply and service needs in accordance with the present invention;  
         [0008]    [0008]FIG. 2 illustrates a preferred embodiment of a system for aggregating multiple marketplaces in accordance with the present invention;  
         [0009]    [0009]FIGS. 3 and 4 illustrate embodiments of systems for aggregating multiple marketplaces in accordance with the present invention; and  
         [0010]    [0010]FIG. 5 illustrates an embodiment of the process for fulfillment of service and supply needs through the aggregation of multiple markets in accordance with the present invention. 
     
    
     DETAILED DESCRIPTION  
       [0011]    With reference first to FIG. 1, a chart illustrating a typical list of bids or prices from suppliers is shown. It should be noted that the terms supplier and seller are used herein interchangeably and refers to the supplier, seller or offeror of goods and/or services associated with the system and processes described herein. When a supply or service need (hereinafter referred to as “need”) is communicated to suppliers, they customarily submit a bid, an offer for fulfilling such needs. Additionally, standard prices may be published or advertised by such suppliers. Buyers may bid in a similar manner for a limited commodity. The large disparity in price reflects the differences in price common among different markets.  
         [0012]    A particular need may be fulfilled by more than one product or service. The supply need illustrated by the chart of FIG. 1 may reflect a buyer&#39;s request for a quantity of widgets. Upon investigation by one embodiment of the present invention, it may be revealed that sprockets are equivalent to widgets but are sold in different markets. Further, it may become apparent that two cogs, gears, or pulleys may be substituted for a sprocket in certain applications, and these parts are each sold in a distinct market. The price  120 , represents the total price charged by a particular supplier for providing a particular part or product  110 .  
         [0013]    A typical company utilizing a prior art method of fulfilling its needs might purchase its needed supplies or services from a supplier such as Supplier A in the situation illustrated by FIG. 1 at a price of $3 each widget. If the company searched for a lower price within the market of widget manufacturers, the company might discover Supplier F and choose to employ Supplier F at a cost of $2.75 for each widget.  
         [0014]    However, the present invention searches for a more cost effective solution by analyzing the data of FIG. 1 as well as other pertinent information. For example, let us first suppose that neither gears nor pulleys are suitable for the buyer&#39;s intended application despite their similarity to widgets, possibly because of the quality requirements of the buyer. The method and system may then review offerings among other markets for a suitable part (or service) Such a search may reveal that Supplier H is offering cogs—a part which is a suitable replacement for buyer&#39;s widgets. The present invention may further determine that employing Supplier H is most cost effective at a savings of 40% over Supplier A. Further, the inclusion of multiple marketplaces may tend to improve the quality and reliability of the transacted for product or service.  
         [0015]    Referring now to FIG. 2, the system architecture of a central controller according to one embodiment of the system of the present invention is shown. In that embodiment, the system and method includes a central controller  10 . The central controller  10  is a conventional general purpose computer, including a central processing unit (“CPU”)  12 , read-only memory (“ROM”)  14 , and random access memory (“RAM”)  16 . The central controller also includes a storage device  18 , for example one disk or more disk drives.  
         [0016]    The CPU  12  executes program code stored in one or more of ROM  14 , RAM  16 , and storage device  18  according to conventional data processing techniques to carry out the functions and acts described in connection with the central controller  10 . CPU  12  preferably comprises at least one high-speed digital data processor adequate to execute program modules for selecting and executing purchases.  
         [0017]    The CPU  12  preferably comprises a conventional microprocessor such as an Intel® Pentium Processor. CPU  12  is electronically coupled with each of the central controller&#39;s  10  other elements.  
         [0018]    The storage device  18  may include a market database  20 . The CPU  12  maintains and accesses data stored in the market database  20  and analyzes the information stored in this database. The market database  20  may include information regarding terms of art, similar and equivalent products and services, individual suppliers and buyers, and distinct markets.  
         [0019]    The central controller  10  may also be connected to a network interface  22 , which allows the elements of the central controller  10  to communicate with entities outside of the utilizing company. The network interface  22  could be a phone, fax, wireless communication device, or the like. The network interface  22  is in communication with the markets  32 , whose information is stored in the supplier database  20  and a user  26 . It should be noted that the user  26  may be a buyer or seller (or supplier) of goods and/or services associated with the systems and methods described herein. Through its network interface  22 , the present embodiment can order particular supply and service needs to be fulfilled.  
         [0020]    Referring to FIGS. 3 and 4, the structure of functional units of a system embodying the present invention is shown. The aggregator  28 , embodied in the central controller  10 , is in communication with a number of marketplaces  32 . Each marketplace contains a number of buyers  30  or sellers  34 .  
         [0021]    An individual buyer  30  as illustrated in FIG. 3, or alternatively an individual seller  34  as illustrated in FIG. 4 communicates a request to the aggregator  28 . The aggregator  28  then retrieves information pertinent to that particular request from the market database  20 . The aggregator utilizes this information in order to send requests to sellers  34  or buyers  30 , whichever is appropriate, in suitable marketplaces  32  for bids.  
         [0022]    The aggregator  28  analyzes all of the data it has available to suggest a course of action for the individual buyer  30  as in FIG. 3 or seller  34  as in FIG. 4. The aggregator  28  then continues to facilitate the transaction between the individual buyer  30  (FIG. 3) or seller  34  (FIG. 4).  
         [0023]    Referring to FIG. 5, the process of fulfilling a need through the aggregation of multiple marketplaces according to one embodiment of the system and method of the present invention is illustrated. The aggregation process begins upon a request being provided by the user  26  (Step  40 ). This request may reflect the user&#39;s desire to acquire some product or service, or to sell a particular product or service. Upon the request being made, the processor  12  of the present embodiment continues to step  42 , where it receives a user&#39;s input to describe the particular request to be fulfilled.  
         [0024]    The search is then performed by aggregator  28 , at step  44 . The communication between the aggregator  28  and the user  26  is facilitated by the network interface  22 . The request made by the user  26  may be inputted to the aggregator  28  through various means well known to those skilled in the art. However, in one embodiment of the present invention, the request is made in a standardized, predetermined manner so as to facilitate the aggregation process of the present invention. The search performed by the aggregator  28  may entail searching for similar and equivalent products or services as those demanded by the request. The aggregator  28  relies on the market database  20  for this purpose, to determine which products and services are similar to one another. Further, the market database  20  may contain information regarding the particular user  26 , as well as various buyers  30  and sellers  34 . This information can thus be used by the aggregator  28  to narrow its search for suitable markets  32 , buyers  30 , and sellers  34 . In one embodiment, a database may be accessed which allows the aggregator  28  to search among different synonyms and other predetermined algorithms to identify similar products within or among different markets. One such algorithm may be searching among related standard industry codes (SIC) to identify other suitable products and/or services that may meet the buyer&#39;s  30  requirements.  
         [0025]    Next, at step  46 , the aggregator  28  presents the request made by the user  26  to the component buyers  30  or sellers  34  that form various markets  32 . This presentation too may be made in a predetermined, standardized form so as to facilitate the individual buyers&#39;  30  or sellers&#39;  34  analysis of the request.  
         [0026]    The aggregator  28  then waits at step  48  for bids or proposals from the buyers  30  or sellers  34  of the markets  32  selected at step  44 . The bidding may be conducted by a number of known processes such as an open auction, sealed auction, negotiation proposal, setting and posting a price, or offering an exchange. The aggregator  28  receives the bids or proposals, in a standardized form well known to those skilled in the art in a preferred embodiment of the present invention. Such a form may be required of the buyers  30  and sellers  34  who wish to participate in the system of the present invention.  
         [0027]    The aggregator  28  then processes these bids and proposals that it has received over a designated allotted time period, and presents them to the user  26  at step  50 . These presentations as well may be in a standardized form reflecting such quantifiable factors which may include price, perceived quality, type of product or service, perceived reliability, availability, and time required for fulfillment.  
         [0028]    At step  52 , after the user  26  is provided with all of the necessary and relevant information from the proposals, the user  26  may choose whether to accept one or more of the proposals. If the user  26  does not find any of the proposals to be satisfactory, the processor  12  branches to step  54 , where the aggregator  28  requests that the user  26  provide additional criteria for its request or rephrases its previous request. The processor  12  then begins the aggregation process again at step  40 .  
         [0029]    Conversely, if the user  26  chooses to accept one or more of the proposals provided, the processor  12  moves to step  56 . At step  56 , the aggregator facilitates any sales transactions to be conducted between the user  26  and buyers  30  or sellers  34 . The facilitation by the aggregator  28  may be beneficial to the user  26 , as the identity of the user  26  can thus be concealed until such time as the user  26  desires to be known.  
         [0030]    It will be apparent to those skilled in the art that various modifications and variations can be made in the system and processes of the present invention without departing from the spirit or scope of the invention. Thus, it is intended that the present invention cover the modifications and variations of this invention provided they come within the scope of the appended claims and their equivalents. In this context, equivalents means each and every implementation for carrying out the functions recited in the claims, even if not explicitly described herein.