Patent Publication Number: US-2015066619-A1

Title: Systems and methods for providing potential discounts to customers

Description:
TECHNICAL FIELD 
     The present disclosure generally relates to devices, systems and methods for providing potential discounts to customers, and more particularly, to providing potential discounts to customers in an e-commerce environment. 
     BACKGROUND 
     The use of coupons in consumer transactions is well known. These coupons are often issued by a manufacturer to entice a consumer to purchase a product made by the manufacturer. The coupon may be for an offer of discount at a point of sale and/or may be a rebate for an after-sale reimbursement. 
     Prior art rebate systems require a customer to purchase a product, locate a rebate certificate, fill out the rebate certificate, and then mail in a copy of the purchase receipt along with the rebate certificate. This process is a time consuming and tedious process, and often takes several weeks or months for the customer to receive the rebate. In addition, the rebate certificates are often placed at inconvenient locations requiring customers to search for them in remote areas of stores or online. 
     This disclosure describes improvements over these prior art technologies. 
     SUMMARY 
     Accordingly, a system for providing potential discounts to customers is provided. The system includes a processor for receiving from a first terminal a request of a customer to purchase a product, providing through the first terminal the customer with an opportunity to receive a discount on the purchase of the product, receiving from the first terminal an input by the customer based on the opportunity provided, determining to provide either a discount or no discount based on the input and at least one discount criteria for the product, if a discount is provided, crediting the customer with the discount through an electronic payment system, and providing at the first terminal the results of the determination; and a memory for storing product information to enable the processor to process the purchases and provide the opportunity. 
     Accordingly, a method for providing discounts to customers is provided. The method includes receiving at a processor from a first terminal a request of a customer to purchase a product; providing by the processor through the first terminal the customer with an opportunity to receive a discount on the purchase of the product from among a plurality of discounts; receiving from the first terminal an input by the customer based on the opportunity provided; determining by the processor to provide either a discount or no discount based on the input and at least one discount criteria for the product; if a discount is provided, crediting the customer with the discount through an electronic payment system; and providing at the first terminal the results of the determination. 
     Accordingly, a system for providing discounts to customers is provided. The system includes a processor a processor for receiving from a first terminal an identity of a product for sale, a quantity of the product available for sale, a retail price for the product, and an average yield price for the quantity of the product, receiving from a merchant a selection of a particular opportunity for a discount from a plurality of opportunities for a discount, determining a plurality of discount prices and a number of product for discount at each of the plurality of discount prices based on the opportunity received from the merchant, the quantity of products and the average yield price, receiving from a second terminal a request from a customer to purchase a product, providing at the second terminal the opportunity for a discount to the customer, receiving through the second terminal an input from the customer based on the opportunity for a discount, crediting the customer with the discount through an electronic payment system, and providing at the second terminal the results of the determination of a discount; and a memory for storing product information to enable the processor to process the purchases and provide the opportunity. 
     Accordingly, a method for providing discounts to customers is provided. The method includes receiving at a processor from a first terminal an identity of a product for sale, a quantity of the product available for sale, a retail price for the product, and an average yield price for the quantity of the product; receiving at the processor a selection of a particular opportunity for a discount from a plurality of opportunities for a discount; determining by the processor a plurality of discount prices and a number of product for discount at each of the plurality of discount prices based on the opportunity received from the merchant, the quantity of products and the average yield price; receiving from a customer a request for a purchase of a product for processing through an electronic payment system; providing by the processor at the second terminal the opportunity for a discount to the customer; receiving by the processor through the second terminal an input from the customer based on the opportunity for a discount; crediting the customer with the discount through the electronic payment system; and providing at the second terminal the results of the determination of a discount. 
    
    
     
       BRIEF DESCRIPTION OF THE DRAWINGS 
       The present disclosure will become more readily apparent from the specific description accompanied by the following drawings, in which: 
         FIG. 1  is a diagram illustrating a system for providing a customer with an opportunity for a discount according to the present disclosure; 
         FIG. 2  is a flowchart illustrating a method for providing a customer with an opportunity for a discount according to the present disclosure for the merchant side processing; 
         FIG. 3  is a flowchart illustrating a method for providing a customer with an opportunity for a discount according to the present disclosure for the customer side processing; 
         FIGS. 4A and 4B  are flowcharts illustrating methods for providing a discount to a customer while maintaining an average yield price per product sold; and 
         FIG. 5  is a flowchart illustrating the process for determining the discounts to be made available to a customer. 
     
    
    
     Like reference numerals indicate similar parts throughout the figures. 
     DETAILED DESCRIPTION 
     The present disclosure may be understood more readily by reference to the following detailed description of the disclosure taken in connection with the accompanying drawing figures, which form a part of this disclosure. It is to be understood that this disclosure is not limited to the specific devices, methods, conditions or parameters described and/or shown herein, and that the terminology used herein is for the purpose of describing particular embodiments by way of example only and is not intended to be limiting of the claimed disclosure. 
     Also, as used in the specification and including the appended claims, the singular forms “a,” “an,” and “the” include the plural, and reference to a particular numerical value includes at least that particular value, unless the context clearly dictates otherwise. Ranges may be expressed herein as from “about” or “approximately” one particular value and/or to “about” or “approximately” another particular value. When such a range is expressed, another embodiment includes from the one particular value and/or to the other particular value. Similarly, when values are expressed as approximations, by use of the antecedent “about,” it will be understood that the particular value forms another embodiment. 
     A system and method for providing a potential discount to a customer according to the present disclosure can present a customer with an opportunity to be awarded a discount on a product. 
     Reference will now be made in detail to the exemplary embodiments of the present disclosure, which are illustrated in the accompanying figures. 
     As shown in  FIG. 1 , a system for providing an opportunity for a discount  100  includes users or customers  102   a - 102   c , computers or terminals  104   a - 104   c , network (e.g. Internet)  106 , merchant terminal or computer  107 , and system computer  108 . System computer  108  includes at least a processor (not shown) for providing overall control for system  108  and a memory (not shown) for storing data and programs. 
     System computer  108  provides an opportunity for a discount by receiving product information from a merchant, processing the product information to generate a plurality of discounts, receiving a purchase request from a customer, and providing an opportunity for one of the plurality of discounts. The opportunity for the discount is based, at least in part, on the purchase request, the generated discounts and a further input from the customer. In one embodiment the purchase is fully processed before the opportunity for a discount is provided; in another embodiment the opportunity for a discount is provided prior to a final purchase; further embodiments are contemplated. 
     In general operation, a merchant logs onto system computer  108  through merchant terminal  107 . Although merchant terminal  107  can be a dedicated terminal, it is not required to be so; that is, merchant terminal  107  can be a personal computer, mobile device, etc. Each merchant has a unique merchant account set up on system computer  108  that identifies the merchant and its products available for sale via system  100 . For example, the name, address, contact information, etc. of the merchant can be included in the merchant information and stored in the memory of system computer  108 ; other merchant information included in the merchant account is contemplated. A merchant interface or dashboard (not shown) can be provided by system computer  108  to a merchant at merchant terminal  107  for ease of entry, viewing and editing of the merchant information and product information. The merchant can also include pictures, descriptions, sizes, colors and/or quantities, etc., of the products for sale. Generally, the products entered by the merchant will be those products to which the opportunity for a discount will apply, but other products can be included in the system  100  for regular sale to customers. 
     Although described as a third party user, a merchant can in fact be the owner of the system itself. In such an embodiment the merchant might not have a user account as described above. In addition, an owner/merchant might be the only merchant using the system, for example, a large retailer might utilize the system and be the only merchant using the system to offer potential discounts to its customers. 
     In order to determine the discounts, system computer  108  requires at least the quantity of a product to be sold, the retail price for the product to be sold and an average yield price for each product to which an opportunity for a discount is to be provided. The merchant is instructed to provide this information for each product that is to be provided an opportunity for a discount. System  108 , i.e. the processor, then determines the discount(s) available for each product. The discounts that system computer  108  determines can be of any dollar amounts or percentages. 
     In addition to the discounts, a certain quantity of products can remain at full retail price, although in the preferred embodiment all of the products offered will be presented at an initial discounted price and opportunities for further discounts will be made available to the customer. The retail price may or may not be listed to indicate the initial savings to the customer. Once the quantity, retail price and average yield price is input by the merchant, system  108  determines prices for different numbers of the product such that the average yield price for the product is met on the sale of a quantity of product available for sale. 
       FIG. 5  illustrates the process for determining the discount prices. A merchant submits the retail price P r , the average yield price P a , and the number of products for sale n. The number of products available for each discount level is determined by Equation (1): 
         x   i   =c   i   n   (1)
 
     where 
     x i  is the quantity of products to be sold at price P i , the ith price, 
     n is the total number of products available for sale, and 
     c i  is the coefficient representing the percentage of products to be sold at price P. 
     One example of a distribution of products at different discount levels can be set as follows: 
         x   1 =0.3 n,x   2 =0.25 n,x   3 =0.2 n,x   4 =0.15 n,x   5 =0.1 n.    
     In order to control the number of products x i  at each discount level, coefficient c i  needs to be adjusted according to Equation (2): 
     
       
         
           
             
               
                 
                   
                     
                       ∑ 
                       
                         i 
                         = 
                         1 
                       
                       5 
                     
                      
                     
                       c 
                       i 
                     
                   
                   = 
                   1 
                 
               
               
                 
                   ( 
                   2 
                   ) 
                 
               
             
           
         
       
     
     For example, if x 5  is to be 2% of the products, c 5 =0.02, leaving a remaining 98% of the products available at other discount prices. 
     The average yield price P a  can now be determined as per Equation (3): 
     
       
         
           
             
               
                 
                   
                     P 
                     a 
                   
                   = 
                   
                     
                       
                         
                           ∑ 
                           
                             i 
                             = 
                             1 
                           
                           5 
                         
                          
                         
                           
                             P 
                             i 
                           
                            
                           
                             x 
                             i 
                           
                         
                       
                       n 
                     
                     = 
                     
                       
                         
                           ∑ 
                           
                             i 
                             = 
                             1 
                           
                           5 
                         
                          
                         
                           
                             P 
                             a 
                           
                            
                           
                             x 
                             i 
                           
                         
                       
                       n 
                     
                   
                 
               
               
                 
                   ( 
                   3 
                   ) 
                 
               
             
           
         
       
     
     Based on Equation (3), P a x i  can be computed directly for each of the above values of x. P a  is a constant. 
     The system generates a random number of amount and index i and j, where i≠j; and generate a relevant random number where 0&lt;Rand( )&lt;P a x i . 
                                     I   j   Amount                                            1   3   1238       2   3   19       4   5   1546                    
where i and j are both discount levels. The amount is the number of dollars to reshuffle a and convert P a  into P. For example, numbers 8 and 10 have and average of 9. If 8 and 10 are to be changed while maintaining the average, the same number can be subtracted from one and added to the other. In the example set forth above, random number to subtract =5. Thus 8−5=3 and 10+5=15. The average of 3 and 15 remains at 9. IN the table above, i=1 for 8 as the discount level and j=2 for 10 as the discount level. For example, P 1  and P 3  can be computed as follows:
 
     
       
         
           
             
               P 
               1 
             
             = 
             
               
                 
                   
                     P 
                     a 
                   
                    
                   
                     x 
                     1 
                   
                 
                 - 
                 1238 
               
               
                 x 
                 1 
               
             
           
         
       
       
         
           
             
               P 
               3 
             
             = 
             
               
                 
                   
                     P 
                     a 
                   
                    
                   
                     x 
                     3 
                   
                 
                 + 
                 1238 
               
               
                 x 
                 3 
               
             
           
         
       
     
     A new price distribution can be created by simple replacement, under the constraint: 
       0 ≦P   i   ≦P   r    
     In order for P i  to equal P r , the difference is computed by 
     
       
         
           
             diff 
             = 
             
               Pr 
               - 
               
                 
                   max 
                   
                     t 
                     = 
                     
                       1 
                        
                       
                           
                       
                        
                       to 
                        
                       
                           
                       
                        
                       5 
                     
                   
                 
                  
                 
                     
                 
                  
                 
                   
                     P 
                     i 
                   
                   . 
                 
               
             
           
         
       
     
     The process is repeated from Equation (3) when adding diff to the maximum P i  and subtracting it from another P i . 
     For example, if 500 units of product A are available, at a retail price of $100.00, and the merchant wants to average $30.00 per unit, system  108  determines, as one possible scenario, the number of units and prices as shown in Table 1. 
     
       
         
           
               
               
               
             
               
                   
                 TABLE 1 
               
               
                   
                   
               
               
                   
                 Number of units 
                 Price per unit 
               
               
                   
                   
               
             
            
               
                   
               
            
           
           
               
               
               
            
               
                   
                 150 
                 $50.00 
               
               
                   
                 90 
                 $40.00 
               
               
                   
                 80 
                 $30.00 
               
               
                   
                 70 
                 $20.00 
               
               
                   
                 60 
                 $10.00 
               
               
                   
                 50 
                 FREE 
               
               
                   
                   
               
            
           
         
       
     
     System  108  can include programming to calculate more than one or different scenarios based on the input information to arrive at the average yield price. For example, more products for FREE can be made available by modifying the price per unit or the number of products at discount. What is central to the discount determination is meeting the average yield price per product sold. 
     As another example, the system can divide the total quantity of items for sale into a preset number of groups, each group representing a different discount level. For each of the groups a different coefficient is selected to determine the total quantity of items for each group. For each of the groups the discounts are determined by randomly generating prices, which can vary from $0.00 (free) up to the sale price. Each group of prices contains free price. 
     In another embodiment, the system predetermines the discount to be provided to a customer based on the order in which a customer is provided the opportunity for the discount. The order can be determined according to an algorithm or based on an order manually entered into the system. 
     That is, the system can predetermine that the first customer who is provided an opportunity for a discount is to be provided a discount of 75%, the second customer who is provided an opportunity for a discount is to be provided a discount of 5%, and the nth customer who is provided an opportunity for a discount is to be provided a discount of 100%. 
     It is noted that as sales are being made, system  108  can update the determination of discounts if sales are slow in order to meet the merchant&#39;s average yield price for actual products sold. This update process can be undertaken at set intervals, for example, once a day for longer sales or once every 10 minutes for a short term sale (e.g. a one day sale), or set to occur after a set number of products is sold, for example, update after 25% of the items are sold. Other variations for the update process are contemplated. What is important is that system computer  108  tracks the sales, prices and discounts, and updates the discounts to meet the average yield price per product actually sold. 
     Typically, the opportunity for a discount is presented to the customer in the form of a game. These games can include games of chance (e.g. the roll of a dice, rock-paper-scissors, a spin of a wheel) or a game of skill (e.g. target practice or a dart game). Other opportunities are contemplated, for example, answering a trivia question, doing a math problem, etc. Whatever the opportunity, system computer  108  uses the opportunity provided to determine if a discount is to be provided and if so for how much. 
     The merchant can also be provided the control over which opportunity for discount is presented to customers for each product. 
     After system computer  108  has determined the discounts, system computer  108  makes the product(s) available to a customer via a customer interface (not shown) available on computers  104   a - 104   c . Computers  104   a - 104   c  can be personal computers, mobile devices, etc. This customer interface can be in the form of a typical e-commerce site, for example, can include a shopping cart, various departments and categories of products, listings of specific product manufacturers, etc.; other items available on the customer interface are contemplated. In addition to the typical elements of an e-commerce site, system  100  provides on the computers  104   a - 104   c  the customer with the opportunity for the discount. 
     For example, customer  102   a  selects a product and inputs through computer  104   a  a request to purchase the product. System computer  108  processes the purchase via an online electronic payment system (e.g. credit card, electronic clearing house, PayPal, etc.). In one embodiment and after the purchase is completed, system computer  108  then provides to the customer the opportunity for a discount. The information in Table 1 can be displayed to the customer. The customer enters an input based on the particular opportunity presented. For example, if the opportunity is a spin of the wheel game, the customer is provided a start button and a stop button. The start button will start the wheel spinning and the stop button will stop the wheel from spinning. The wheel can have the discounts listed thereon and based on where the wheel comes to rest will determine if the customer gets a discount and for how much. Based on the discounts available and the input from the customer, system computer  108  determines if a discount is available. System computer  108  then notifies the customer if a discount is available and if so for how much. If a discount is made available to the customer, system computer  108  automatically credits the customer&#39;s account with the discount amount via the electronic payment system used to purchase the product. 
     In the other embodiment set forth above, prior to final purchase, system computer  108  can present and process the opportunity for a discount and apply the discount to a purchase price before electronic payment processing. 
     In yet a further embodiment, the system predetermines the discount to be provided to a customer based on the order in which a customer is provided the opportunity for the discount. That is, the system can predetermine that the first customer who is provided an opportunity for a discount is to be provided a discount of 75%, the second customer who is provided an opportunity for a discount is to be provided a discount of 5%, and the nth customer who is provided an opportunity for a discount is to be provided a discount of 100%. 
     The method for providing an opportunity for a discount will now be described in more detail. System  100  operates to perform merchant processing functions and customer processing functions.  FIG. 2  illustrates the method for the merchant side of the processing and  FIG. 3  illustrates the customer side of the processing. 
     Initially, in step  201   a  merchant logs onto system computer  108  through merchant terminal  107 . A typical account can be set up containing detailed information about the merchant. For example, company name, contact information, address, market area in which merchant deals, etc. Once logged on, in step  202  the merchant indicates products that are available for sale on the e-commerce site. This process includes entering specific details about the products for sale, which can include, but are not limited to, picture(s), description(s), size(s), color(s), quantity(s), etc. In step  203  this information is stored in memory of system computer  108 . In step  204  the merchant enters a retail price for each product and an average sale price to be met for the quantity of each product. The opportunity for a discount for each product can also be selected at this step in the process. In step  205  this information is stored in memory of system computer  108 . 
     System computer  108 , i.e. the processor, in step  206  then determines the discount(s) available for each product based on the quantity, retail price and average yield price. As described above, the opportunity selected can also be used in the determination of the discounts available. In step  207  system computer  108  stores the determined discounts in the memory of system computer  108 . 
     At this point in the process, system computer  108  has performed the functions to process the merchant side information, determine the discounts and opportunities, and awaits a customer. It is noted that different games can have different discount structures or opportunities. For example, a first game may provide 5 discount levels with the minimum discount available being 50% for 7% of the number of products for sale, while another game will provide 3 discount levels with the minimum discount available being 20% for 35% of the number of products for sale; other schemes are contemplated. The merchant can review and select the discount scheme that best suits its needs. 
     After system computer  108  has determined the discounts, in step  301  system computer  108  makes the product(s) available to a customer via the customer interface. In step  302  the customer selects a product and inputs a request to purchase the product. In step  303 , system computer  108  processes the purchase via an online electronic payment system. In step  304 , system computer  108  provides to the customer the opportunity for a discount. As noted above, the processing of the payment can be suspended until after the opportunity depending on system set-up. 
     In step  305 , system computer  108  receives the input from the customer based on the particular opportunity presented. Based on the discounts available and the input from the customer, in step  306  system computer  108  determines if a discount is available. If no discount is available, in step  307  system computer  108  then notifies the customer that no discount is available. If a discount is available, in step  308  system computer  108  notifies the customer of the discount. If a discount is made available to the customer, in step  309  system computer  108  automatically credits the customer&#39;s account with the discount amount via the electronic payment system used to purchase the product. 
     In another embodiment, the system is designed to always provide at least a minimum discount to all customers that play the game. That is, the system calculates the discount levels with no products receiving a 0% discount. 
     In the other embodiment set forth above, prior to final purchase, system computer  108  can present and process the opportunity for a discount and apply the discount to a purchase price before electronic payment processing. 
     As stated above, one aspect of the present invention is to provide a system and method for providing a discount to a customer while maintaining an average yield price per product sold.  FIGS. 4A and 4B  are diagrams illustrating methods for providing a discount to a customer while maintaining an average yield price per product sold. 
     As sales are being made, system computer  108  can update the determination of discounts if sales are slow in order to meet the merchant&#39;s average yield price for actual products sold. In step  401 , system computer  108  determines if a preset number of products have been sold. If not, the process returns to step  401 . If so, in step  402  system computer again determines the discounts and number of products available at each discount price based on the opportunity for a discount, a remaining number of products, a number of products sold and the average yield price. In step  403  system computer  108  saves the updated information in the memory. In step  404  system computer  108  uses the updated discounts for the opportunity for a discount process. 
     This update process can be undertaken at set intervals of time. In step  411 , system computer  108  determines if a preset time has elapsed since the sale has started. If not, the process returns to step  411 . If so, in step  412  system computer again determines the discounts and number of products available at each discount price based on the opportunity for a discount, a remaining number of products, a number of products sold and the average yield price. In step  413  system computer  108  saves the updated information in the memory. In step  414  system computer  108  uses the updated discounts for the opportunity for a discount process. 
     It is noted that a combination of time and number of items sold can be used to trigger the re-evaluation process. Other methods of triggering the event are contemplated. 
     In addition, the system can predetermine the discount to be provided to a customer based on the order in which a customer is provided the opportunity for the discount. That is, the system can predetermine that the first customer who is provided an opportunity for a discount is to be provided a discount of 75%, the second customer who is provided an opportunity for a discount is to be provided a discount of 5%, and the nth customer who is provided an opportunity for a discount is to be provided a discount of 100%. 
     The system can also provide feedback to the customers viewing the customer page. For example, the system can alert customers to the discounts being awarded to further entice customers to use the system and play the games. 
     Where this application has listed the steps of a method or procedure in a specific order, it may be possible, or even expedient in certain circumstances, to change the order in which some steps are performed, and it is intended that the particular steps of the method or procedure claim set forth herebelow not be construed as being order-specific unless such order specificity is expressly stated in the claim. 
     While the preferred embodiments of the devices and methods have been described in reference to the environment in which they were developed, they are merely illustrative of the principles of the inventions. Modification or combinations of the above-described assemblies, other embodiments, configurations, and methods for carrying out the invention, and variations of aspects of the invention that are obvious to those of skill in the art are intended to be within the scope of the claims.