Patent Publication Number: US-2009240572-A1

Title: Business transaction reporting system

Description:
CROSS-REFERENCE TO RELATED APPLICATIONS 
     This application is a divisional of U.S. patent application Ser. No. 10/641,792, filed Aug. 15, 2003, and entitled “BUSINESS TRANSACTION REPORTING SYSTEM”, the disclosure of which is incorporated herein by reference. 
    
    
     BACKGROUND 
     Motion picture studios who invest several millions of dollars in a feature film or other motion picture are eager to know the results as soon as the motion picture is released, i.e., when it begins playing in theaters. Many other parties who provide services to the studios, such as publicity planning and advertising or merchandising, also want to know the results, and all want to know as much about the results as possible, and as quickly as possible. The most important result is total ticket sales, but there would be value in knowing a breakdown of the ticket sales in as great a variety of manners as possible, such as the sales per hour, the sales in particular demographic marketing areas, and the sales at particular theaters or in particular chains. This information aids the studios, and others, including the motion pictures&#39; distributors, the independent theaters and theater chains, and companies who will handle the motion pictures as they goes through the customary lifecycle—video outlets and retail stores, cable multi-system operators, and video-on-demand providers. 
     SUMMARY 
     An embodiment of the present invention provides a business transaction reporting system for use in tracking revenue from entertainment commodities distributed by one or more distribution parties. The distribution of the entertainment commodities is conducted through a plurality of entities that are independent from the distribution parties. In the embodiment, at least two of the independent entities are also independent from one another. The system includes a plurality of point-of-sale (POS) computers operated at a plurality of locations. Each computer is operated by one of the independent entities and each POS computer hosts an application for recording entertainment unit transactions related to the entertainment commodities. The system further includes a central host computer system coupled to the POS computers to receive an accounting of the entertainment unit transactions, and a database configured to store, process, and report on the entertainment unit transactions. 
    
    
     
       BRIEF DESCRIPTION OF THE DRAWING 
         FIG. 1  is a block diagram of an embodiment of the invention, showing the interconnections between POS computers at independent theaters, video outlets, cable MSOs, retail outlets, VOD providers, and a central host computers system, and between central transaction-reporting computers at theaters chains and the central host computer system, and also between the POS computers of individual theaters in the chains and the central computers of the chains. 
     
    
    
     DETAILED DESCRIPTION  
     As shown in  FIG. 1 , an embodiment of the invention includes a business transaction reporting system, indicated generally at  10 . System  10  provides for tracking revenue from an entertainment commodity, such as a feature film, or other type of motion picture, or a videogame. Typically, a motion picture is produced by a motion picture studio, which then handles distribution of the motion picture into theaters. Alternatively, the studio may contract with a distribution company to handle getting the motion picture into theaters. In either case, the motion picture is distributed for a theatrical run to entities independent from the distributing parties, typically to theater chains  12  and to independent (i.e., non-chain) theaters  14 . Preferably the motion picture is distributed to several theater chains and to several independent theaters, each of which are independent from one another. Ordinarily, each theater chain  12  includes multiple individual theaters  16 . 
     Each theater  14 ,  16  typically operates one or more point-of-sale (POS) computers  18 , which record, for each motion picture playing in the theater, the date, time, and price of each ticket sale, and other sale parameters, such as method of payment. POS computers  18  typically are also programmed with a location for the theater, such as by zip code, which may be used to identify a demographic market area or “TV market” of the theater. POS computers  18  typically also include other information about the theater, such as name, address, chain (if applicable), etc. 
     Each POS computer  18  preferably is programmed with or hosts an application for recording entertainment unit transactions, such as the ticket sales, which is related to the entertainment commodities, such as the motion pictures. Each POS computer  18  typically is either a cash register or is coupled to a cash register to coordinate a clerk&#39;s selling tickets to customers while making a record of each sale. Generally, POS computers  18  collect aggregate sales, i.e., the total dollar amount of sales for each particular motion picture over a particular time period, for reporting that out in an accounting of the sales, which accounting typically includes other desired information about the theater and motion picture. Preferably, POS computers  18  are programmed to report flash grosses, preferably on an hourly basis, which are substantially immediate reports of aggregate sales, without accounting for certain adjustments common to theaters, such as returns, which are typically adjusted later. 
     A central host computer system  20  is coupled to the POS computers to receive the accounting of the entertainment unit transactions, such as ticket sales. Preferably, central host  20  is operated by an entity independent from the theaters, from the motion picture studios, and from the distributors (if separate from the studios). Central host  20  is programmed with, or has access to a database  22 , which is configured to store, process, and report on the entertainment unit transactions. Preferably database  20  is configured in an SQL format, but any suitable database format may be used. 
     Typically, business transaction reporting system  10  provides for central host  20  to receive the accounting of the entertainment unit transactions more than once per day, and preferably on an hourly basis. Other accounting periods may be used as desired. 
     The ordinary lifecycle of a motion picture begins with the theatrical run, the length of which generally varies, in part according to the success of the motion picture, but typically ranges from about six months to about a year. After the theatrical run, the motion picture is distributed, typically on DVDs and VHS tapes, to video outlets  24  and retail stores  26 . This period, a home video period, also varies but typically lasts about 90 days. Video outlets  24  primarily provide the motion pictures to customers for short term rental, but also sell some tapes and DVDs. Examples of video outlets include the Blockbuster chain, and also small independent video stores. Retail outlets, such as Target, typically provide the tapes and DVDs for sale, but some retail outlets also provide rentals. 
     After the home video period, the motion pictures typically are distributed to Video-on-Demand (VOD) providers  28 , for a variable period of about 60 days. Then the motion pictures typically are distributed to cable multi-system operators (MSOs)  30 , who provide the motion pictures to customers in a Pay-Per-View format for about a 30-day period, and on premium cable channels for about six months. After that the motion pictures are distributed to television stations and networks. 
     As shown in  FIG. 1 , each of the video outlets, retail stores, video-on-demand providers, and cable multi-system operators preferably operates a POS computer  18  that records entertainment unit transactions, such as rental fees or sales, in a manner corollary to that for the theaters. POS computers typically are PC&#39;s running a Windows or DOS operating system. These POS computers also report an accounting of the entertainment unit transactions to central host  20 , also in a manner corollary to that for the theaters. The application on the POS computers for recording and reporting the accounting is typically written in the C language. 
     Thus, system  10  provides for recording, tracking, and analyzing a lifecycle revenue for each motion picture. The lifecycle revenues for motion pictures may be recorded and analyzed with respect to intermediate revenues, such as in the first hour or the first three days of the theatrical run, to create a predictive model for lifecycle revenues for motion pictures. For example, based on the predictive model, database  22  may be configured to facilitate a prediction of a lifecycle revenue for a motion picture based on entertainment unit transactions in a first hour after the motion picture is released. 
     System  10 , particularly the video outlets and retail outlets, may be used to report on video game sales and video game rentals. Database  22  may be configured to store, process, and report on such sales and rentals similar to the reporting for the motion pictures. 
     Typically within each theater chain, POS computers  18  of individual theaters  16  are coupled to a central transaction-reporting (TR) computer  32 . Preferably, central TR computers  32  provide an accounting for ticket sales in a manner similar to POS computers  18 , and additionally including a break down of the entertainment unit transactions by individual theaters within each chain. 
     Preferably, POS computers  18  and central TR computers  32  transmit the accounting of the entertainment unit transactions in a common format. The typical format are ftp, uucp, dial-up modem, and automated fax, and other formats may be used as desired. 
     Central host  20  provides for an online reporting interface  34  to database  22 , and preferably database  22  provides for a drill down capability, whereby a user of interface  34  may select by clicking on an item displayed in interface  34 , and thereby obtain more specific information about the item. This drill-down capability preferably is provided in several layers so that the user may drill down through several screens of interface  34 , accessing different information at each layer. 
     Preferably database  20  also includes a calendar of various processes, such as school schedules and major event timing. Preferably database  20  also reports to online interface  34  with a total for flash grosses for each motion picture screening on a weekend. Typically this reporting of weekend flash grosses includes a report of the number of locations where the motion picture is screening and a report of the number of those locations where POS computers  18  are accounting for the entertainment unit transactions. 
     Online interface  34  typically is programmed to require user ids and passwords, or other security measures, whereby the reporting of weekend flash grosses may selectively be restricted to one or more users associated with a theater chain. Furthermore, online interface  34  may be programmed to selectively restrict weekend flash grosses to one or more users at an individual theater. Additionally, online interface  34  may be programmed to selectively restrict reporting of weekend flash grosses to a demographic marketing area. Alternatively, such restrictive programming may be incorporated into database  22 . 
     In operation, a method for implementing business transaction reporting system  10  in a distribution chain that includes plural distributed points of sale with each point of sale including one or more POS computers  18  storing information about the point of sale, typically will include programming each POS computer  18  with an application for recording entertainment unit transactions, coupling central host  20  to the POS computers, configuring the central host computer system to receive an accounting of the entertainment unit transactions from the POS computers, and providing database  20 , which is configured to store, process, and report on the entertainment unit transactions. 
     Database  20  and online interface  34  may be programmed to report a series of predictions for lifecycle revenue for each motion picture. Such predictions for lifecycle revenue may be based on theater ticket sales, motion picture VHS sales, motion picture DVD sales, motion picture VHS rentals, and/or motion picture DVD rentals. Such predictions may be provided in a business projection method wherein database  22  receives a gross transactions report, such as flash grosses, within an initial period, such as one hour, starting at an initial release of a new motion picture. The database  22  and online interface  34  may then provide a report of predicted transactions for the motion picture based on the transactions report from the initial period. Preferably the report of predicted transactions for the motion picture covers both the total lifecycle and intermediate periods, such as the first three days, which is typically the first weekend, of ticket sales for the motion picture. 
     Database  22  provides for recording lifecycle revenues, including tracking revenues at various points in the lifecycle, and thus database  22  may be used to provide the predictive model noted above. For example, the database may be set up to receive from the POS computers  18  a gross transactions report within an initial period of more than about four hours starting from an initial release of the motion picture, a transactions report for a first three days after release of the motion picture, a transactions report for a theatrical run of the motion picture, a transactions report for a home video phase of the motion picture, a transactions report for a VOD phase of the motion picture, and a transactions report for a PPV phase of the motion picture. 
     Thus, the predictive model may be used for a new motion picture, or other product, such as a videogame, to predict as each point in the lifecycle is reached, expected revenues for each of several future points in the lifecycle. In addition to the above noted one-hour and three-day periods, other points may include two hours, four hours or any other length. Similarly the predictions may be made for revenues through the theatrical run, the home video phase, the VOD phase, the PPV phase, and subsequent phases, such as premium cable and TV. Preferably the revenue prediction for each point is based on one or more of the earlier revenue results for the motion picture. Typically, user ids and passwords are used as noted above, so that, for each motion picture made by a particular motion picture studio, access to full information in the transactions reports is restricted to the motion picture studio and/or to a subset of users within the studio. Database  22  and online interface  34  may be further programmed to provide, for a second motion picture studio that did not make the motion picture, access only to limited information in the transactions reports on the motion picture. 
     Database  20  preferably is programmed with information for each independent theater and each individual theater in each chain. The information typically includes the demographics of the customers at the theater. Preferably, the demographic information includes categories including gender, age, ethnicity, income, and house value. Online interface  34  is preferably programmed to provide reports on any motion picture where the information is selected for particular demographics. 
     While the present disclosure has been made with reference to the foregoing preferred embodiments, those skilled in the art will understand that many variations may be made therein without departing from the spirit and scope defined in the following claims. The disclosure should be understood to include all novel and non-obvious combinations of elements described herein, and claims may be presented in this or a later application to any novel and non-obvious combination of these elements.