Abstract:
A trading platform to allow holders of points or miles in loyalty programs to monetize their holdings, or to barter rewards, and connects parties interested in buying reward items or services with pointsholders capable of redeeming points to obtain the desired rewards. The trading platform creates matches between parties and can obtain a matchmaking or brokerage fee in the process without having to interact with the loyalty program itself.

Description:
CROSS REFERENCE TO RELATED APPLICATIONS 
       [0001]    This application is a national phase entry of WO/2008/CA00020245 entitled “Trading Platform for Rewards Earned from Multiple Loyalty Programs” filed Nov. 20, 2008 which itself claims the benefit of priority to U.S. Provisional Patent Application No. 60/996,508 filed Nov. 20, 2007 entitled “Trading Platform for the Redemption of Promotional Currency from Multiple Loyalty Programs”, the contents of each are expressly incorporated herein by reference in their entirety. 
     
    
     FIELD OF THE INVENTION 
       [0002]    This invention relates generally to a trading platform that allows holders of points in loyalty programs to either barter rewards with holders of points in the same or other programs or monetize the points through selling reward items to others. 
       BACKGROUND OF THE INVENTION 
       [0003]    Loyalty programs are offered by a number of different organizations to solidify customer loyalty through offering rewards based on the accumulation of points. 
         [0004]    By offering customers better rewards for higher point accumulation, point plans have encouraged consumers to hoard points. However, consumers have begun to realize that their rate of point accretion does not keep up with inflationary pressures in the point-based economy. This has resulted in an ever-increasing point backlog. As the points cannot typically be redeemed for cash, pointsholders often feel that their holding have little to no value. 
         [0005]    Consumers have a somewhat hidden asset in loyalty program points, but often lack the ability to unlock the value of the asset. It is often not in the best interests of the administration of these programs to allow pointsholders to transfer points to each other, as the points could be aggregated by an individual to maximize value. 
         [0006]    Often consumers have memberships in a number of different loyalty programs, but lack sufficient points in any of them to obtain the desired reward. Services, such as those offered by Points.com allow a user to move points from one loyalty program to another with a reduction in value along the way. Although this allows consumers to consolidate their points with a single program, the spread on program-to-program exchange rates is large due to the transaction charges applied by the programs and by the profit taken by the service. The ability of a consumer to exchange points between programs is also restricted to the programs that the service has partnered with. If the consumer belongs to programs that either have not or will not partner with a points exchange service, no exchange can be done. 
         [0007]    Some brokerage services offer to purchase points from consumers. These services then redeem the aggregated points to obtain tickets or reward items that are then resold. Loyalty programs that permit point transfers typically apply a penalty in the transfer, so that the number of points is substantially reduced. This transfer penalty, in conjunction with a small per-transferred-point-payout, provides most pointsholders with very little financial reward. 
         [0008]    Thus consumers seeking to realize a benefit from one or more programs are often limited to selecting rewards from the reward catalogue associated with the loyalty programs. In the alternate, the held points are monetized at a vastly undervalued level. 
         [0009]    Online marketplaces, such as E-Bay, Swapthing.com, Swaptree.com and peerflix.com, allow users to either sell or barter goods with one another. Numerous problems exist with these services, including the fact that they require vendors to list products without foreknowledge that the product has a market. Even if there is a market for the product, the vendor is not provided a mechanism to determine an appropriate price point in advance of an auction close. Furthermore, some items, such as airline tickets are not easily sellable because carriers do not typically permit re-sale of a ticket for a number of reasons. 
         [0010]    In view of the ever-increasing backlog of accumulated loyalty program points, there is a need for a system and method to allow points holders to monetize their holdings. 
       SUMMARY OF THE INVENTION 
       [0011]    It is an object of the present invention to obviate or mitigate at least one disadvantage of the prior art. 
         [0012]    In a first aspect of the present invention, there is provided a method of matching a buyer to one of a plurality of pointsholders, registered at a trading platform, associated with at least one loyalty program and having points with the at least one loyalty program and having an account with the trading platform stored in a database. The method comprises the steps of receiving, from the buyer through a network connection, an offer to purchase a selected reward associated with the at least one loyalty program; selecting, from the database, a pointsholder associated with the at least one loyalty program associated with the selected reward from the plurality of pointsholders; and connecting the selected pointsholder and buyer to permit the selected pointsholder to sell the reward to the buyer. 
         [0013]    In an embodiment of the first aspect of the present invention, the selected reward requires a predetermined number of points in the at least one loyalty management program and the step of selecting a pointsholder includes selecting a pointsholder from the plurality of pointsholders having sufficient points with the at least one loyalty program to acquire the reward. In another embodiment, the step of selecting a pointsholder is done in accordance with pointsholder profiles at the trading platform and a catalogue associated with the at least one loyalty program and the offer received from the buyer includes conditions including a price. In a further embodiment, the step of selecting a pointsholder includes selecting a pointsholder willing to execute a transaction at a price-per-point ratio determined in accordance with the offered price and the catalogue associated with the at least one loyalty program. In another embodiment of the present invention, the step of selecting a pointsholder includes selecting a set of pointsholders in accordance with the points each of the selected set have with the at least one program, and selecting a pointsholder from the selected set. Optionally, the step of selecting a pointsholder from the selected set includes selecting a subset of the selected pointsholders in accordance with predefined price-per-point ratios associated with each of the pointsholders, and then selecting a pointsholder from the selected subset and selecting a pointsholder from the selected subset includes issuing an offer to pointsholders in the selected subset, receiving a positive response from at least one pointsholder, and selecting one pointsholder associated with a positive response. In a further embodiment, the step of selecting a pointsholder from the selected set includes selecting a subset of the selected pointsholders in accordance with conditions set forth in the received offer and predetermined preferences associated with of the pointsholders and then selecting a pointsholder from the selected subset. Optionally, the step of selecting a pointsholder from the selected subset includes issuing an offer to pointsholders in the selected subset, receiving a positive response from at least one pointsholder, and selecting one pointsholder associated with a positive response. 
         [0014]    In a further embodiment of the first aspect of the present invention. the buyer is a pointsholder registered with the trading platform and the offer to purchase includes a barter value for the selected reward. In a further embodiment, the offer to purchase specifies a reward with a loyalty program different from the at least one loyalty program associated with the buyer, and includes a barter value associated with the at least one loyalty program associated with the buyer. In another embodiment, the step of selecting a pointsholder includes selecting a pointsholder associated with at least one loyalty program offering the selected reward. 
         [0015]    In another embodiment of the first aspect of the present invention, the step of connecting the selected pointsholder and buyer includes allowing the buyer and selected pointsholder to complete the transaction outside of the trading platform. In a further embodiment, the step of connecting the selected pointsholder and buyer includes assessing a levy on at least one of the buyer and pointsholder. In yet another embodiment of the present invention, the method further includes the step of generating a catalogue of available rewards from which the buyer can select a reward, the catalogue generated in accordance with the available rewards from the at least one loyalty program and the point totals of each of the plurality of pointsholders. Optionally, the generated catalogue is a union of a plurality of microcatalogues, each of the plurality of microcatalogues associated with one of the plurality of pointsholders and reflecting the rewards that the associated pointsholder can obtain from the at least one loyalty program associated with the pointsholder. 
         [0016]    In accordance with a second aspect of the present invention, there is provided a trading platform for matching buyers of loyalty program rewards to pointsholders associated with a loyalty program. The platform comprises a pointsholder interface, a catalogue engine, a bidder interface, and a matching engine. The pointsholder interface receives enrollment requests from pointsholders associated with at least one loyalty program. The catalogue engine generates a microcatalogue for each pointsholder from whom an enrollment request is received, the microcatalogue generated in accordance with the at least one loyalty program associated with the user, and a points level associated with the pointsholder at the at least one associated loyalty program, and generates a catalogue in accordance with any generated microcatalogues, and provides a list of rewards stored in the generated catalogue in response to a browse request. The bidder interface receives a request to browse the catalogue from a bidder, and transmits the list of rewards to the bidder in response to receipt of the list from the catalogue engine, and receives from the bidder an offer on a selected reward. The matching engine examines the offer received through the bidder interface, selects a pointsholder associated with a loyalty program determined in accordance with the selected reward, and connects the selected pointsholder and the bidder associated with the received offer to permit completion of the transaction outlined in the received offer. 
         [0017]    In an embodiment of the second aspect of the present invention, the catalogue engine includes a database for storing the catalogue and microcatalogues. In another embodiment of the present invention, the matching engine includes means to select a pointsholder in accordance with conditions associated with the bid and preferences associated with the pointsholder. Optionally, the matching engine includes means to select a pointsholder in accordance with the ability of the pointsholder to obtain the reward from the at least one associated loyalty program and means to levy a fee on at least one of the bidder and the selected pointsholder upon connecting the two. In another embodiment, the bidder interface includes means to differentiate between a received offer to purchase and a received offer to barter. Optionally, the matching engine includes means to select a pointsholder in accordance with a pointsholder preference for bartering when the received offer is an offer to barter. 
         [0018]    Other aspects and features of the present invention will become apparent to those ordinarily skilled in the art upon review of the following description of specific embodiments of the invention in conjunction with the accompanying figures. 
     
    
     
       BRIEF DESCRIPTION OF THE DRAWINGS 
         [0019]    Embodiments of the present invention will now be described, by way of example only, with reference to the attached Figures, wherein: 
           [0020]      FIG. 1  is a block diagram illustrating an exemplary data flow between nodes during a purchase transaction; 
           [0021]      FIG. 2  is a block diagram illustrating an exemplary data flow between nodes during a barter transaction; 
           [0022]      FIG. 3  is a flowchart illustrating a method of registering a pointsholder as a user at the trading platform; 
           [0023]      FIG. 4  is a flowchart illustrating a method of matching a buyer to a pointsholder; 
           [0024]      FIG. 5  is a flowchart illustrating a method of selecting a pointsholder to execute a transaction; 
           [0025]      FIG. 6  is a flowchart illustrating a method of selecting a pointsholder; 
           [0026]      FIG. 7  is a flowchart illustrating a method of matching pointsholders for a barter transaction; and 
           [0027]      FIG. 8  is a block diagram illustrating a logical implementation of a system of the present invention. 
       
    
    
     DETAILED DESCRIPTION 
       [0028]    The present invention is directed to a trading platform that allows holders of points in loyalty management programs to barter rewards with each other and to monetize the held points. 
         [0029]    The preset invention can provide pointsholders with a trading platform that allows for the monetization of promotional currencies, such as loyalty programs points, from multiple loyalty programs. One skilled in the art will appreciate that loyalty program points can be viewed as a virtual currency that can be exchanged for a number of products or services, but cannot easily be converted to a real currency. Through use of a marketplace enabled by the present invention, the virtual currency can be traded, resulting in the monetization of the points (also referred to in some specific loyalty programs as miles, e.g. Air Miles®). 
         [0030]    In an environment employing the present invention, a trading platform is provided to allow registered pointsholders to monetize their virtual currency. Pointsholders register with the trading platform and indicate the loyalty programs that they belong to. The pointsholder can either provide the trading platform with an indication of the current points level in each program, or an automated process can be used. Automated processes may require that the pointsholder provide the trading platform with login information to an electronic platform for each of the loyalty programs. The trading platform then builds a catalogue based on the rewards that each pointsholder can obtain through the redemption of points through each loyalty program. Logically, each pointsholder has a microcatalogue that is associated with his account containing the rewards that are available to the pointsholder in each of the at least one loyalty programs that the pointsholder is associated with. The overall catalogue of available rewards is created by aggregating the microcatalogues associated with each user of the system. When a buyer accesses the trading platform he can view the network wide catalogue of rewards to find an item of interest. 
         [0031]    A buyer can be registered with the system, and allowed to browse the catalogue of available items and services. One skilled in the art will appreciate that users need not necessarily be registered to browse the catalogue, but it is presently preferred that they be registered to bid on items. Because the network wide catalogue is the aggregation of the microcatalogues, when the buyer selects an item and places a bid, the trading platform can easily select a subset of registered pointsholders from whom the reward can be obtained. The buyer can be presented with historical pricing information for the selected reward, and in some embodiments, the buyer can be provided a minimum price point for the item based on preferences set by the pointsholders from whom they can obtain the item. The buyer can then place a bid on the reward; the bid preferably details the price willing to be paid, and conditions that must be met such as the ability to ship the reward to a particular geographic region. 
         [0032]    The trading platform can narrow the number of pointsholders eligible to participate in the transaction based on conditions included in the buyer&#39;s bid. Some conditions can be implicit, such as the ability to have a reward item shipped to the geographic location of a buyer, and explicit, such as the willingness of the pointsholder to pay for expedited shipping of the reward. Based on the subset of all pointsholders a decision is made to select one of the subset willing to complete the transaction. At this time, neither the pointsholder nor the buyer knows anything other than an item is available and a priced offer has been made. The trading platform can use any of a number of methods to select the pointsholder, including a random selection, a round robin weighting, and offering the transaction to a number of eligible pointsholders and selecting the first to accept the priced bid. 
         [0033]    Upon selecting the pointsholder to execute the transaction, the platform connects the buyer and pointsholder so that the transaction can be completed. In connecting the buyer and pointsholder, an acceptance of the offer can be obtained that indicates that both the buyer and pointsholder are committed to executing the transaction. At this time, one (or both) of the parties can be charged a transaction fee by the platform. The fee can be a flat fee, or a fee based on the price of the transaction. 
         [0034]    The buyer and pointsholder are then connected to each other. The buyer transfers the agreed upon settlement to the pointsholder, using any of a number of different payment systems, including such conventional methods as mailing a cheque or using an electronic transaction such as an email based banking transfer or a dedicated payment system such as PayPal™. The pointsholder then orders the reward from the loyalty program and either reships the reward to the buyer, or has the reward sent to the buyer directly. 
         [0035]    Because the only interaction that the trading platform has with the Loyalty program is done to build a catalogue, no formal relationship is required. As a result, the Loyalty Program typically cannot impose a transaction fee, maximizing the per-point value. The only interaction with the Loyalty Program is performed by the pointsholder, who already has a relationship. Furthermore, because the trading platform does not require a formal relationship with a particular program, adding a new reward program is simplified, as no complex legal agreements need to be prepared. 
         [0036]    Because the platform does not necessarily partake in the settlement process, two pointsholders can barter rewards with each other using the same platform. To the platform, the payment is considered to be another reward instead of a monetary value. This allows a pointsholder in one program to obtain rewards in another program without spending money. In one example of this being used, a pointsholder in a Canadian rewards program can barter with a pointsholder in a U.S. rewards program for entertainment tickets, such as tickets to plays, in cities that are not available in their respective programs (the Canadian pointsholder can barter tickets to a Canadian performance for tickets to a performance in the United States). 
         [0037]    The invention will now be described with relation to various figures. Reference may be made to specific elements, numbered in accordance with the attached figures. The discussion below should be taken to be exemplary in nature, and not as limiting of the scope of the present invention. The scope of the present invention is defined in the claims, and should not be considered as limited by the implementation details described below, which as one skilled in the art will appreciate, can be modified by replacing elements with equivalent functional elements. 
         [0038]      FIG. 1  illustrates a flow of information in a transaction where a buyer  110  purchases a reward. A pointsholder  100  connects to trading platform  102  through a data network such as the Internet  104 , and holds points in Loyalty Program  106 . A buyer  110  also connects to Trading Platform  104 . 
         [0039]    Pointsholder  100  connects to Trading Platform  102  through Internet  104  and enrolls over data connection  112 . The enrollment process provides information about the pointsholder&#39;s membership with Loyalty Program  106 , and preferably includes information regarding the number of points or miles held. This information can either be provided by the user in enrollment dataflow  112  or through a connection between Trading Platform  102  and Loyalty Program  106  (not illustrated). The pointsholder information used to create a profile allows the Trading Platform  102  to build a user specific microcatalogue  108   a  in conjunction with a program specific catalogue that is obtained from the loyalty program over catalogue data connection  114 . The microcatalogue  108   a  is associated with the user profile. If the user subscribes to more than one loyalty reward program, the microcatalogue  108   a  includes the rewards available to the pointsholder through all of the programs the pointsholder is associated with. In the illustrated embodiment, only one Loyalty Program  106  is shown for the sake of clarity. 
         [0040]    Buyer  110  conducts a shopping process over browsing dataflow  116 . This process allows the buyer  110  to browse catalogue  108 . The buyer  110  does not need to be aware of which rewards program offers which reward, or even aware of which pointsholder would be engaged to complete the transaction. During the shopping process, the buyer  110  can be provided information about any of the last selling price for a given item, a suggested selling price based on the average value associated with a point in a particular program, a suggested retail pricing, a comparison price obtained from online vendors and the number of points required to obtain the item. This information allows the buyer  110  to determine a bid price. The buyer  110  then issues a bid  118  for a selected item. Trading platform  102  receives the bid  118  and selects at least one pointsholder to execute the transaction. The mechanism for selecting a pointsholder to execute the transaction is described below. An offer  120  corresponding to bid  118  is generated by Trading Platform  102  and transmitted to Pointsholder  100 , this offer may contain the same comparison pricing information provided to the buyer  110  during the browsing stage. The selected item will correspond to an item in the microcatalogue  108   a  of the points holder  100  to whom the offer  120  was transmitted. When the pointsholder  100  accepts the offer  120 , an acceptance  122  is transmitted to the Trading Platform  102 . 
         [0041]    In a presently preferred embodiment, at least one of the buyer  110  and pointsholder  100  is obligated to pay a brokerage fee (sometimes referred to as a matchmaking fee) to the Trading Platform  102  upon the completion of the bid  118  and acceptance  122 . 
         [0042]    Upon receipt of acceptance  122 , the Trading Platform  102  issues confirmation  124   a  to Pointsholder  100  and confirmation  124   b  to Buyer  110 . These confirmation messages provide information to allow the Buyer  110  and the Pointsholder  100  to identify each other. This identification information is important for the next step in the process. The buyer  110  remits payment  126  to the pointsholder  100 . Preferably, this payment is made in a manner that bypasses trading platform  102 , and instead uses conventional transfer mechanisms such as a cheque, and electronic funds transfer, a wire transfer, use of PayPal™ or another payment system, or an email banking transfer. The pointsholder  100  then issues an order  128  for the purchased reward to Loyalty Program  106 . This reward is then delivered through delivery dataflow  130  to Buyer  110 . In the illustrated embodiment the reward is directly shipped to the Buyer  110 , but in other embodiments, the reward may be shipped to the Pointsholder  100  and then forwarded to the Buyer  110 . 
         [0043]    Because the order  128  is placed by Pointsholder  100 , no other node interacts directly with Loyalty Program  106 , and thus no formal relationship between Trading Platform  102  and Loyalty Program  106  is required. Though the illustrated embodiment illustrates only one pointsholder  100 , it is recognized that there will often be more than one pointsholder that can execute the transaction with Buyer  100 . The Trading Platform  102  preferably selects a pointsholder based on a number of conditions. In cases where certain loyalty programs will not ship to the location of the buyer, the Trading Platform  102  can use that information as a criterion in the selection of the pointsholder. Similarly, if a pointsholder has indicated that they will not accept an offer that values a point under a threshold, and the bid does not provide sufficient valuation, the pointsholder will be removed from the pool of eligible pointsholders. After a set of pointsholders that can execute the transaction are selected any of a number of different selection methods can be used as will be discussed below in more detail. 
         [0044]    In building the catalogue, Trading Platform  102  can build an overall catalogue  108  of rewards by obtaining the product specific catalogue of each supported Loyalty Program. This, in effect, is a listing of all the potential rewards that could be bid on. When a pointsholder registers, the Trading Platform  102  can build the user specific microcatalogue  108   a  on the basis of the already stored Loyalty Program catalogue, being overall catalogue  108 . When a buyer  110  browses the Trading Platform  102  it can show the number of pointsholders that are able to execute the transaction. Selecting the pointsholders able to execute the transaction is simplified by the availability of the microcatalogues  108   a . When a bid is submitted, there are a number of different mechanisms that can be used by Trading Platform  102  to select the pointsholder that will execute the transaction. One of the simplest mechanisms, as will be outlined below is that the Trading Platform  102  can issue the offer to all of the pointsholders that can execute the transaction, and then allow the first pointsholder to respond positively to complete the transaction. 
         [0045]      FIG. 2  illustrates another transaction scenario for an exemplary trading platform  102 . Pointsholder  1   132  is a member of Loyalty Program A  134 , and has an account with Trading Platform  102  which is accessed using a data network such as Internet  104 . Pointsholder  2   136  is a member of Loyalty Program B  138  and also has an account with Trading Platform  102 . 
         [0046]    Pointsholder  1   132  browses Catalog  108  through data flow  140 . Upon determining that there is a reward that he would like to barter for, a barter offer  142  is issued to Trading Platform  102 . Trading Platform  102  evaluates barter offer  142  and based on the criteria of the barter offer  142  selects Pointsholder  2   136 . Trading Platform  102  then transmits offer  144  to Pointsholder  2   136 . Offer  144  indicates that instead of a purchase, remuneration is provided by way of barter. The offer is accepted by transmission of an acceptance  146   a , which is then relayed to pointsholder  1   132  as acceptance  146   b.    
         [0047]    At this point, Pointsholder  1   132  and Pointsholder  2   136  have agreed to exchange rewards that are available from Loyalty Program A  134  and Loyalty Program B  138  respectively. Each party has also preferably agreed to remit a matchmaking fee to Trading Platform  102 . 
         [0048]    After the acceptances  146   a  and  146   b  have been relayed, both Pointsholder  1   132  and Pointsholder  2   136  are provided identifying information for the other party, not shown for clarity. Pointsholder  1   132  then issues order A  148   a  to Loyalty Program A  134 , while Pointsholder  2   136  issues order B  148 B to Loyalty Program B  138 . In the illustrated embodiment, both order A  148   a  and order B  148   b  include shipping instructions that have the reward sent to the other party through reward deliveries  150   a  and  150   b  respectively. 
         [0049]    In a barter transaction, a Pointsholder can indicate that there is a desire for barter on an item, allowing other pointsholders to see the barter offer when they browse catalogue  108 , or when a search for all barter offers has been conducted. The offer for barter can specify a class of items that would be accepted for the reward, or it can specify a specific award. 
         [0050]      FIG. 3  is a flowchart illustrating a method of pointsholder enrollment with the Trading Platform, and the building of a catalogue based on the enrolled pointsholder. In step  160  a pointsholder (also referred to as a user of the trading platform) issues an enrollment request. Preferably this request identifies the user and lists the loyalty programs to which the user belongs (along with the point levels in each program or along with access rights used to obtain the point level in each program). In step  162  the enrollment request is received by the trading platform. If more than one loyalty program is included in the enrollment, one of the specified programs is selected in step  164 , if only one program is specified the process it is selected in step  164 . A microcatalogue specific to the user is built in step  166  based on the selected program and the user&#39;s point level in the program. This microcatalogue is stored in step  168 , and in step  170  a determination is made about whether all loyalty programs in the enrollment request have been processed. If more programs exist, the process continues to step  172  where the next program in the enrollment request is selected, and then returns to step  166  where the user&#39;s microcatalogue is expanded. After, in step  170 , it has been determined that the list of loyalty programs has been exhausted, the user profile is stored with the microcatalogue in step  174  and the overall system catalogue database is updated in step  176 . One skilled in the art will appreciate that as more users join or loyalty programs added, the catalogue is either expanded or the number of users that can execute a transaction for a particular reward item is expanded. 
         [0051]    As an optional feature, the trading platform can receive a user profile update in step  178  that informs the trading platform of the user&#39;s status in a particular program, or adds or subtracts programs that the user is enrolled with. A trading platform with access to a user&#39;s point balance through a programmatic engine can initiate this update at it&#39;s own initiative at fixed intervals or after the user has executed a transaction so that a new points level can be determined. After receiving the update in step  178 , the process continues to step  166  and follows as described above. 
         [0052]    In  FIG. 4  a method for carrying out a transaction, such as that described with respect to  FIG. 1 , is described. In step  180  an offer to purchase a reward from the catalogue of rewards is received. This offer can optionally contain conditions such as a price, a geographic limitation, and other terms and conditions that will be apparent to those skilled in the art. In step  182 , a pointsholder willing and able to execute the transaction corresponding to the received offer is selected. One requirement of the pointsholder is that the pointsholder be able to obtain the reward specified by the offer. The manner in which this pointsholder is selected can vary between implementations, and an exemplary method for carrying out this step will be outlined below. In step  184  the pointsholder and buyer are connected to each other. This allows the two parties to execute the transaction. One skilled in the art will appreciate that an offline exchange of the selected reward for the indicated price avoids requirements on the trading platform for building a relationship with the loyalty programs. Furthermore, this step can also include assessing at least one of the buyer and pointsholder a brokerage fee for serving as a matchmaker. 
         [0053]    In  FIG. 5 , an exemplary method of carrying out step  182  is outlined. In step  186 , the offer to purchase the reward has been received, and a set of pointsholders is selected in accordance with the contents of their microcatalogues and the selected reward. This initial winnowing process selects only those pointsholders who can obtain the reward selected by the buyer, and allows further winnowing to be carried out using a smaller set of pointsholders. The selected set of pointsholders is further narrowed to a selected subset in step  188 . This subset is selected in accordance with a price per point ratio determined by a calculation of the price in the offer to purchase and preferences set in the profiles of the pointsholders in the set selected in step  186 . The subset can also be selected in response to geographic limitations on where the selected reward is to be shipped to. This filter requirement can be determined in accordance with the rules of each loyalty program and the location of the buyer. One skilled in the art will appreciate that further filtering can be performed at this point without departing from the scope of the present invention. In step  190 , a single pointsholder is selected from the subset selected in step  188 . One skilled in the art will appreciate that steps  186  and  188 , along with other filtering steps can be combined in a single logical operation, or can be broken into a series of other selection steps without departing from the scope of the present invention. Upon completion of step  190 , the process continues to step  184  of  FIG. 4 . 
         [0054]      FIG. 6  illustrates a method of carrying out step  190  of  FIG. 5 . After completing step  188 , an offer is issued (step  192 ) to pointsholders in the subset selected in step  188 . In step  194  responses from pointsholders are received. These responses are typically either positive or negative responses, though in some embodiments, the responses can be counter offers that are then relayed to the buyer to allow the buyer to select from the counter offers. If counter offers are received, the buyer is provided the ability to select the pointsholder to execute the transaction on the basis of the provided counter offers. In step  196  a pointsholder with a positive response is selected. As noted above, the selection can be done in accordance with the decision of the buyer in response to a counter offer, or in a system that does not permit (or does not have a counter offer) the decision can be made with any of a number of other factors including selecting the first pointsholder to provide a positive reply, selecting the pointsholder with the best reputation from the positive responses, randomly selecting from among the positive responses, providing a form of a weighted selection based on the number of transactions completed or based on the number of transactions missed, or any of a number of other factors that would be apparent to one skilled in the field. After selecting a pointsholder in step  196 , the method continues to step  184  in  FIG. 4 . 
         [0055]      FIG. 7  illustrates a method of matching barter requests such as the one illustrated in  FIG. 2 . In step  198  an offer to exchange rewards is received. This offer can contain different requirements similar to those described with respect to step  180  of  FIG. 4 . A pointsholder willing and able to execute the exchange of rewards specified by the offer is selected in step  200 . The pointsholding parties are connected in step  202  so that the exchange can occur. One skilled in the art will appreciate that many of the same optional methods for carrying out the step of selecting the pointsholder in step  182  can be applied to the selection of the pointsholder in step  200 . Similarly, in the connection of the parties in step  202 , one or both of the parties can be assessed a matchmaking fee. 
         [0056]    The invention, as disclosed and discussed above, provides a platform that permits pointsholders to either barter rewards with other pointsholders (for instance to allow access to a greater pool of potential rewards) or to monetize their points holdings. This can be obtained with a trading platform and method that does not necessarily require a connection of the trading platform to a loyalty program other than to obtain a catalogue of rewards. This allows for the support of a large number of loyalty programs without involving complex arrangements that slow the expansion of the program. 
         [0057]      FIG. 8  illustrates an embodiment of the invention as a block diagram. One skilled in the art will appreciate that this diagram seeks to explain the operation of the trading platform of the present invention as a series of logical elements. The functionality of two or more logical elements can be combined or redistributed without departing from the scope of the present invention. One skilled in the art will appreciate that the illustrated embodiment can be implemented on a computer system, or a network of computer systems employing data connections to various elements. 
         [0058]    Trading platform  102  includes a pointsholder interface  204  through which communications with the pointsholders can be performed. Pointsholder interface  204  receives enrollment requests  206  and forwards information in the requests to catalogue engine  208 . Catalogue engine  208  creates a microcatalogue  108   a  for each enrolled pointsholder. The microcatalogue  108   a  reflects the rewards that a pointsholder is able obtain across all the loyalty programs that he is associated with. To fully determine the contents of the microcatalogue  108   a , catalogue engine  208  uses the points level of the pointsholder at each of the loyalty programs that the users is associated with, and the reward catalogue for each program. The points levels can either be obtained from the pointsholder in the enrollment request  206  (or in an update message), or they can be obtained from the loyalty program using a back channel. The microcatalogues  108   a  of each pointsholder are combined to obtain an overall catalogue  108 . When a bidder (generically a buyer or a barterer seeking to initiate a transactions) interacts with the trading platform it is done through bidder interface  210 . A bidder can issue a browse request  212  which is forwarded by bidder interface  210  to catalogue engine  208 . This request typically provides the bidder with a listing of the contents of catalogue  108 . The listing can be filtered based on conditions in the browse request  212 , and is provided to the bidder as browse response  214  which contains a list of rewards in catalogue  108 . The bidder can submit an offer  216  on a selected item from catalogue  108 , which is forwarded by bidder interface to matching engine  218 . Matching engine  218  selects a pointsholder with whom the bidder can complete the transaction of offer  216 . The methods used to select a pointsholder include those described above. Upon selecting a pointsholder, matching engine  218  connects the bidder and the pointsholder by issuing bidder/pointsholder connect messages  220 . 
         [0059]    One skilled in the art will appreciate that the bidder can provide either an offer for purchase or an offer for barter, and matching engine  218  can select an appropriate pointsholder in accordance with both the ability of a pointsholder to obtain the selected reward (which can be determined by the contents of the microcatalogue  108   a  associated with each pointsholder) and the willingness of the pointsholder to barter (which can be determined by either confirming the willingness of the pointsholder or by checking a defined preference setting in a profile.) 
         [0060]    Those skilled in the art will appreciate that the term bidder and buyer can be used interchangeably when it comes to completing a transaction. Bidders seeking to obtain a reward can be referred to as buyers regardless of whether the offer specifies a purchase price, or a barter value, as payment for a reward can be in the form of either money, or another reward. 
         [0061]    Embodiments of the invention may be represented as a software product stored in a machine-readable medium (also referred to as a computer-readable medium, a processor-readable medium, or a computer usable medium having a computer readable program code embodied therein). The machine-readable medium may be any suitable tangible medium including a magnetic, optical, or electrical storage medium including a diskette, compact disk read only memory (CD-ROM), digital versatile disc read only memory (DVD-ROM) memory device (volatile or non-volatile), or similar storage mechanism. The machine-readable medium may contain various sets of instructions, code sequences, configuration information, or other data, which, when executed, cause a processor to perform steps in a method according to an embodiment of the invention. Those of ordinary skill in the art will appreciate that other instructions and operations necessary to implement the described invention may also be stored on the machine-readable medium. Software running from the machine-readable medium may interface with circuitry to perform the described tasks. 
         [0062]    The above-described embodiments of the present invention are intended to be examples only. Alterations, modifications and variations may be effected to the particular embodiments by those of skill in the art without departing from the scope of the invention, which is defined solely by the claims appended hereto.