(12) United States Patent
`Barnett et al.
`
`(54) METHOD AND SYSTEM FOR ELECTRONIC
`DISTRIBUTION OF PRODUCT
`REDEMPTION COUPONS
`
`(75)
`
`Inventors: Craig W. Barnett; Karen R. Reisner,
`both of Princeton, NJ (US); Mark
`Braunstein, New York, NY (US)
`
`(73) Assignee: BrightStreet.com, Inc., Mountain View,
`CA (US)
`
`( * ) Notice:
`
`This patent issued on a continued pros(cid:173)
`ecution application filed under 37 CFR
`1.53(d), and is subject to the twenty year
`patent
`term provisions of 35 U.S.C.
`154(a)(2).
`
`Subject to any disclaimer, the term of this
`patent is extended or adjusted under 35
`U.S.C. 154(b) by 0 days.
`
`(21) Appl. No.: 08/425,185
`(22) Filed:
`Apr. 19, 1995
`
`(51)
`
`Int. CI.7
`
`(52) U.S. CI
`
`G06F 17/60
`
`705/14; 707/70
`
`(58) Field of Search
`364/401, 406,
`364/408; 395/214, 216, 220, 226; 340/825.34;
`235/381; 705/14, 16, 20, 26; 707/3, 10,
`4, 9, 100, 104, 515, 526
`
`(56)
`
`References Cited
`
`Re. 30,579
`Re. 30,580
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`
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`
`Ill III IIIIIIII IIIIII III 11IIIII
`
`US006321208B1
`(io) Patent No.:
`US 6,321,208 Bl
`(45) Date of Patent:
`*Nov. 20, 2001
`
`FOREIGN PATENT DOCUMENTS
`
`8/1984 (CA) .
`1172847
`8/1972 (GB) .
`1287304
`2120507 11/1983 (GB) .
`410312415A * 11/1998 (JP) .
`
`OTHER PUBLICATIONS
`
`"In Search of Mall Rats", Direct, v3, n i l, p.10, Dialog file
`570, Accession No. 01235027, Nov. 1991.*
`Levine et al, "The Internet For Dummies", IDG Books
`Worldwide, Inc. 1993, pp. 7-9.*
`"FBM's Second Annual In-Store Challenge . . . ", Food &
`Beverage Marketing, vl4, n5, p38(7). May 1995, Dialog
`File 148, Accession No. 07895476.*
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`ment v4n2 p. 8-23, Fall 1995, Dialog File 15, Accession No.
`01103439.*
`
`Primary Examiner—Frantzy Poinvil
`(74) Attorney, Agent, or Firm—Hunton & Williams
`
`(57)
`
`ABSTRACT
`
`Provided is a method and system for the electronic distri(cid:173)
`bution of product redemption coupons to remote personal
`computers located at users' homes. A centrally located
`repository, such as an online service provider or web site on
`the Internet, stores packages of coupon data for download(cid:173)
`ing on demand to the user's computer. The user may view,
`select, sort and print desired coupons from the downloaded
`package. The user's demographic as well as coupon selec(cid:173)
`tion data is provided back to the online service and coupon
`distributor and issuers for subsequent marketing analysis.
`The online service can perform subsequent coupon process(cid:173)
`ing on previously downloaded coupon packages such as
`variation of discount amounts. The online service provider
`can also determine how many times a particular coupon was
`viewed. When the printed coupons are presented at a retail
`store, the discount is provided to the user. Upon redemption
`by the store via a coupon redeeming center, transaction data
`is also supplied to the coupon issuers and distributor for
`integration into marketing analysis. The electronic coupon
`system is secure due to the inclusion of user-specific iden(cid:173)
`tification indicia printed thereon.
`
`8 Claims, 8 Drawing Sheets
`
`TO/FROM ONLINE SERVICE
`
`DATA
`COMMUNICATIONS
`INTERFACE
`
`~^C21
`
`USER
`
`DISPLAY
`
`^2
`
`-M
`
`'26
`
`PROCESSOR
`
`?fi
`
`OUTPUT
`BUFFER
`
`•
`
`COUPON DATABASE
`
`--'30
`
`DOWNLOAD COUPON DATA
`
`SELECTED COUPON DATA
`
`SORTED COUPON DATA
`
`AND
`USER-SPECIFIC DATA
`
`STORE-SPECIFIC DAT*
`
`REQUEST COUPON DOWNLOAD
`
`VIEW COUPONS
`
`COUPON SELECTION
`
`COUPON SORTATIOU
`
`COUPON UPLOAD
`
`PRINTABLE COUPON DATA GENERATION
`
`COUPON DELETION
`
`COUPON VARIATION
`
`SHOPPING LIST QENERATI0N
`
`•30*.
`-30b
`-IPs
`
`'30d
`
`-30e
`
`9
`
`-32a
`-3Zb
`
`-32bb
`'32c
`
`•3Zcc
`
`-32d
`-32s
`
`'3Z-P
`
`'32$
`
`SWY&KRG 1004 - Page 1
`
`

`

`US 6,321,208 Bl
`Page 2
`
`U.S. PATENT DOCUMENTS
`
`3,465,289
`3,546,791
`3,599,221
`3,606,688
`3,671,668
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`3,848,082
`3,889,062
`3,899,775
`3,910,322
`3,964,179
`3,993,861
`3,999,307
`4,012,132
`4,014,004
`4,044,380
`4,052,798
`4,071,697
`4,071,740
`4,124,109
`4,141,078
`4,141,548
`4,166,540
`4,208,652
`4,210,961
`4,247,759
`4,264,924
`4,268,744
`4,271,351
`4,286,323
`4,290,688
`4,329,684
`4,331,973
`4,339,798
`4,355,372
`4,359,631
`4,373,133
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`4,541,806
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`4,554,446
`4,573,072
`4,588,881
`4,592,546
`4,593,904
`4,597,046
`4,603,232
`4,608,601
`4,611,996
`4,614,342
`4,625,275
`4,630,040
`4,630,108
`4,636,950
`4,642,767
`4,646,145
`4,658,290
`4,670,853
`4,671,772
`4,674,041
`4,689,742
`
`9/1969
`12/1970
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`6/1972
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`10/1975
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`10/1977
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`6/1980
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`6/1981
`8/1981
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`7/1982
`10/1982
`11/1982
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`6/1983
`8/1983
`5/1984
`5/1984
`7/1984
`11/1984
`1/1985
`2/1985
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`10/1985
`11/1985
`2/1986
`5/1986
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`7/1986
`8/1986
`9/1986
`9/1986
`11/1986
`12/1986
`12/1986
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`2/1987
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`6/1987
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`6/1987
`8/1987
`
`Klein .
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`Baer .
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`
`340/825.55
`
`194/210
`
`235/381
`
`235/385
`
`395/214
`
`4,699,532
`4,703,423
`4,713,761
`4,723,212
`4,734,858
`4,745,468
`4,750,151
`4,752,877
`4,760,527
`4,774,663
`4,775,935
`4,791,281
`4,792,018
`4,794,530
`4,807,031
`4,812,986
`4,816,904
`4,821,101
`4,825,045
`4,833,710
`4,842,278
`4,847,690
`4,853,882
`4,856,787
`4,858,000
`4,870,596
`4,875,164
`4,876,592
`4,882,675
`4,882,724
`4,890,321
`4,894,784
`4,896,791
`4,907,079
`4,908,761
`4,910,672
`4,929 522
`4,926,255
`4,926,256
`4,929,819
`4,930,011
`4,937,742
`4,937,853
`4,949,256
`4,959,686
`4,959,783
`4,965,437
`4,972,504
`4,973,952
`4,974,170
`4,975,951
`4,982,337
`4,982,346
`4,984,156
`4,996,705
`5,003,384
`5,003,472
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`5,034,807
`5,039,848
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`5,048,833
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`5,063,610
`5,069,453
`5,077,607
`5,083,272
`5,111,196
`5,111,927
`5,117,355
`
`10/1987
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`12/1987
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`6/1988
`7/1988
`9/1988
`10/1988
`12/1988
`12/1988
`12/1988
`2/1989
`3/1989
`3/1989
`4/1989
`4/1989
`5/1989
`6/1989
`7/1989
`8/1989
`8/1989
`8/1989
`9/1989
`10/1989
`10/1989
`11/1989
`11/1989
`12/1989
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`1/1990
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`3/1990
`3/1990
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`5/1990
`5/1990
`5/1990
`5/1990
`6/1990
`6/1990
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`
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`McCarthy .
`
`,
`
`395/214
`
`235/381
`
`SWY&KRG 1004 - Page 2
`
`

`

`US 6,321,208 Bl
`Page 3
`
`5,119,295
`5,128,520
`5,128,752
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`5,173,851
`5,176,224
`5,185,695
`5,192,854
`5,193,056
`5,202,826
`5,214,792
`5,235,509
`5,237,157
`5,237,499
`5,243,174
`5,249,044
`5,250,789
`5,278,752
`5,283,734
`5,285,278
`5,287,181
`5,287,268
`5,295,064
`5,305,195
`5,305,197
`5,353,218
`5,368,129
`5,380,991
`5,382,970
`5,412,191
`
`6/1992
`7/1992
`7/1992
`10/1992
`10/1992
`10/1992
`12/1992
`12/1992
`1/1993
`2/1993
`3/1993
`3/1993
`4/1993
`5/1993
`8/1993
`8/1993
`8/1993
`9/1993
`9/1993
`'
`- 10/1993
`1/1994
`2/1994
`2/1994
`2/1994
`2/1994
`3/1994
`4/1994
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`11/1994
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`
`Kapur.
`Rando et al. .
`Von Kohorn
`Wachob .
`Tannehill et al. .
`Hallman, Jr. et al. .
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`Off et al. .
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`Pmchnicki .
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`Johnsen
`Narita et al. .
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`Holman
`McCarthy .
`Malec et al. .
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`Axler et al
`De Lapa et al
`Von Kohorn
`Valencia et al. .
`Krefl .
`Baitz et al. .
`
`395/210
`
`186/52
`
`348/12
`235/383
`
`348/10
`358/141
`
`395/214
`395/214
`186/52
`
`5,420,606
`5,430,644
`5,438,355
`5,448,471
`5,500,514
`5,502,636
`5,504,519
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`5,528,490 *
`5,557,518
`5,557,721 *
`5,592,379
`5,592,560
`5,612,868
`5,621,812
`5,634,101
`5,638,457
`5,644,723 *
`5,647,677
`5,649,114
`5,659,468
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`5,710,886
`5,759,101
`5,761,648
`5,761,662 *
`5,793,849
`5,832,457
`5,870,724
`
`5/1995
`7/1995
`8/1995
`9/1995
`3/1996
`3/1996
`4/1996
`4/1996
`5/1996
`6/1996
`9/1996
`9/1996
`1/1997
`1/1997
`3/1997
`4/1997
`5/1997
`6/1997
`7/1997
`7/1997
`7/1997
`8/1997
`11/1997
`12/1997
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`
`Begum et al. .
`Deaton et al. .
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`Von Kohorn .
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`Hill
`Rosen .
`File et al
`Finfrock et al. .
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`Off et al. .
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`Blau.
`Deaton et al. .
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`Smith .
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`Young et al. .
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`
`* cited by examiner
`
`705/36
`
`705/27
`
`705/14
`
`707/10
`
`SWY&KRG 1004 - Page 3
`
`

`

`U.S. Patent
`
`Nov. 20, 2001
`
`Sheet 1 of 8
`
`US 6,321,208 Bl
`
`OPTIONAL ACCESS
`
`£
`
`COUPON DOWNLOAD
`PACKAGES
`
`COUPON DISTRIBUTOR
`
`MARKETING
`AND
`TARGETING
`
`USER/FEEDBACK DATA
`
`ONLINE
`SERVICE
`PROVIDER
`
`DATA
`BASE
`t
`"7
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`
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`
`''COUPON
`DISTRIBUTION
`ORDERS
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`
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`
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`ACCESS
`
`COUPON
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`AND
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`
`COUPONS
`REQUESTED
`
`J
`I ELECTRONIC
`'REDEMPTION
`
`PERSONAL
`COMPUTER
`
`COUPON
`PRINT DATA
`
`USER
`REDEMPTION
`INFO
`
`DISCOUNT
`REDEMPTION
`INFO
`
`COUPON
`REDEMPTION
`
`tf
`
`DATABASE
`±
`7
`
`(2 COUPONS
`REDEMED
`
`RETAILER/
`PRODUCT
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`
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`
`|_REDEMPTION
`
`DISCOUNT
`REIMBURSEMENT
`
`FIG.1
`
`SWY&KRG 1004 - Page 4
`
`

`

`U.S. Patent
`
`Nov. 20, 2001
`
`Sheet 2 of 8
`
`US 6,321,208 Bl
`
`TO/FROM ONLINE SERVICE
`A
`
`DATA
`COMMUNICATIONS
`INTERFACE
`
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`USER
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`
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`
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`
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`
`COUPON UPLOAD
`
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`
`-
`
`COUPON DELETION
`
`COUPON VARIATION
`
`SHOPPING LIST GENERATION
`
`'32a.
`
`-32b
`
`-32bb
`
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`
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`
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`FIG.2
`
`SWY&KRG 1004 - Page 5
`
`

`

`U.S. Patent
`
`Nov. 20, 2001
`
`Sheet 3 of 8
`
`US 6,321,208 Bl
`
`EXPIRATION
`DATE
`
`REDEMPTION
`AMOUNT
`
`COMPANY AND
`PRODUCT
`DATA
`
`UPC
`CODE
`
`REDEMPTION
`ADDRESS
`
`OFFER
`DESCRIPTION
`
`VARIABLE COUPON DATA FIELDS
`
`BORDER
`GRAPHICS
`
`REDEMPTION
`INSTRUCTIONS
`
`USER ID
`BAR CODE
`
`FIXED COUPON DATA FIELDS
`
`FIG.3
`
`ONLINE
`
`OFFLINE
`
`JOIN
`
`DOWNLOAD
`COUPONS
`
`VIEW
`
`DOWNLOAD
`COUPONS
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`HELP
`
`TALK TO US
`
`COUPON
`FILE
`
`SHOPPING
`LIST
`
`FIG.4A
`
`FIG.4B
`
`SWY&KRG 1004 - Page 6
`
`

`

`U.S. Patent
`
`Nov. 20, 2001
`
`Sheet 4 of 8
`
`US 6,321,208 Bl
`
`-do
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`M M M UV
`
`irMJHIik
`
`Save 50tf
`Kariba Farms
`Sun Dried Mangoes
`( a. (r lirnr e<Uo b«t
`^—e MANUrACTUlLER'S COL'FOW I EXFIKES JOl^S J,
`"T
`7^
`FIG. 5
`
`90'
`
`^
`
`•^6
`
`SWY&KRG 1004 - Page 7
`
`

`

`U . S. P a t e nt
`
`Nov. 20,2001
`
`Sheet 5 of 8
`
`US 6,321,208 Bl
`
`COUPON PACKAGES
`AND ADVERTISING
`GRAPHICS MAP
`
`&
`
`ONLINE
`COMMUNICATION
`
`HELP FILE
`
`44
`
`1
`
`'!
`
`DATA
`COMMUNICATIONS
`INTERFACE
`
`TO/FROM
`DATA LINK
`
`FIG.6
`
`T '46
`
`2
`
`~48
`
`SWY&KRG 1004 - Page 8
`
`

`

`U.S. Patent
`
`Nov. 20,2001
`
`Sheet 6 of 8
`
`US 6,321,208 Bl
`
`MASS
`MARKET
`MEDIA
`
`VISUAL/AUDIO
`CUE
`
`USER
`
`REQUEST
`
`COUPON
`DATA
`
`ONLINE
`SERVICE
`PROVIDER
`
`FIG.7
`
`J
`
`TRANSCEIVER —
`
`-zo
`
`ONLINE
`SERVICE
`PROVIDER
`
`L-
`
`X
`
`COUPON
`
`DISTRIBUTOR r 16
`FIG.8
`
`20
`TRANSCEIVER
`
`t
`
`REMOTE
`
`COMPUTER
`
`SWY&KRG 1004 - Page 9
`
`

`

`U.S. Patent
`
`Nov. 20, 2001
`
`Sheet 7 of 8
`
`US 6,321,208 Bl
`
`DISTRIBUTOR
`PROVIDES
`COUPON DATA
`TO ONLINE
`SERVICE
`
`USER
`CONNECTS
`WITH
`ONLINE
`SERVICE
`
`PROVIDE
`DEMOGRAPHIC
`DATA
`
`RECEIVE COUPON
`MANAGEMENT
`DATA
`
`RECEIVE FIXED
`COUPON DATA
`
`STORE
`FIXED
`COUPON DATA
`
`FIXED
`DATA
`
`REQUEST
`VARIABLE
`COUPON
`DATA
`JL
`RECEIVE
`AND STORE
`VARIABLE
`COUPON DATA
`
`VARIABLE
`DATA
`
`GENERATE
`PRINTABLE
`COUPON DATA
`
`PRINT
`COUPONS
`
`SELECT, SORT,
`DELETE
`COUPON DATA
`
`DELETE
`PRINTED
`COUPONS FROM
`MEMORY
`
`ii
`
`i,
`
`i
`
`ELECTRONICALLY
`REDEEM
`COUPONS
`
`REDEEM
`COUPONS
`i.
`OBTAIN
`USER DATA
`AND
`PRODUCT DATA
`
`I
`
`ANALYZE
`DATA TO
`DETERMINE
`SUBSEQUENT
`COUPON SETS
`
`FIG. 9
`
`SWY&KRG 1004 - Page 10
`
`

`

`U.S. Patent
`
`Nov. 20, 2001
`
`Sheet 8 of 8
`
`US 6,321,208 Bl
`
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`SWY&KRG 1004 - Page 11
`
`

`

`US 6,321,208 Bl
`
`1
`METHOD AND SYSTEM FOR ELECTRONIC
`DISTRIBUTION OF PRODUCT
`REDEMPTION COUPONS
`
`2
`Consumers are most familiar with FSIs as a source for
`manufacturers' coupons. In 1993, the coupon redemption
`rate from FSIs was 2.3%, and gradually declining. The
`primary factors which keep the redemption rate low include
`5 consumers not needing or wanting the product advertised,
`BACKGROUND Of Iffb INVliNllON
`consumers not bothering to clip coupons, losing clipped
`The present invention relates to the electronic distribution
`coupons or leaving them behind on shopping trips, lack of
`of secure money saving or discount coupons and other
`100% distribution of newspapers, overcouponing within
`marketing incentives and in particular to use of a centrally
`specific areas, and unavailability of new products when the
`located online computer system for interactively distributing
`such coupons to remotely connected consumer computers 10 coupon is issued.
`and for collecting user-specific data regarding coupon usage
`Free standing inserts currently represents the largest share
`and user demographic information from the remote com-
`of the coupon distribution industry, roughly 80.2%. On
`puters.
`average, manufacturers who use FSIs for coupon
`Millions of consumers regularly use product redemption
`distribution, spend approximately $.92 per coupon
`coupons and realize substantial savings as a result. Signifi- 15 redeemed, which is the lowest redeemed cost per coupon
`cant time is spent clipping and sorting coupons, discarding
`redeemed when compared with other current coupon distri-
`expired coupons and organizing current coupons for use on
`bution methods. FSI coupon distribution results in high costs
`shopping trips. Conventional coupon distribution results in
`per coupon because of the shear complexity of and volume
`significant wasted time due to consumers' attempts to man-
`of materials involved in coupon distribution and redemption,
`age their coupon use.
`20 Charges to manufacturers by FSI producers cover set-up,
`PaPer> printing, freight, newspaper insertion costs, sales and
`Coupons are delivered to consumers through a variety of
`media. The primary coupon distribution is via pull-out
`marketing, overhead and profit.
`sections in newspapers, which are known as free standing
`Direct mail coupons accounted for approximately 4.4% of
`inserts (FSIs). This accounts for just over 80% of coupons
`coupon distribution in 1992. Direct mail coupons may be
`used. Other methods of distribution include in-store shelf 25 issued as part of a nationwide campaign or a regional
`coupon dispensers, check-out coupons (generally issued
`campaign, may be cooperative or solo, and may be mass,
`based on the customer's current purchase), register receipt
`zip-code/lifestyle/lifestage segmented or household tar-
`coupons, in-product coupons, instant peel-off on-product
`geted. Regional direct mail coupons are more common, and
`coupons and direct mail coupons. In addition to manufac-
`are usually limited to marketing the products and/or services
`turers' coupons, consumers use retail store coupons, such as 30 of local vendors. Companies who practice database market-
`those issued by large retail chains on a weekly basis.
`ing make use of direct mail campaigns for delivering tar-
`Some consumers use coupons on a fairly random basis.
`geted incentives.
`These consumers tend not to keep coupons for future use,
`Run-of-Press ("ROP") Coupons accounted for 4.1% of
`but will review coupons available just prior to shopping to 35 the coupons distributed in 1992. These coupons consist
`see if any of them cover products they plan to buy or if there
`primarily of stand alone newspaper advertisements with
`are any for new or improved products of interest.
`clip-out coupons. Often these advertisements are specifically
`Pl a c ed to coincide with a relevant feature article. This form
`More organized coupon users maintain some form of
`storage system to keep coupons for future use. These con-
`or coupon is marketed directly or through third party coupon
`is s u e rs w ho have the nationwide newspaper distribution
`sumers often clip coupons regularly from all available m
`sources, and often have coupon filing systems by product
`channels through which to place ROP coupons,
`category. They will also review their coupons regularly.
`In/on pack coupons accounted for 3.5% of the coupons
`discarding unused coupons which have expired.
`distributed in 1992. On pack coupons consist of an attached
`For most consumers, attempts to maintain an organized
`coupon which is removed and redeemed at the cash register
`coupon file often fails. The "bother" and time required to 45 at the time of purchase. In pack coupons are found within the
`maintain organized coupon files often results in neglect of
`product and act as an incentive to customers to repurchase
`those files, even though diligent shoppers know that a
`the same product. It is estimated that the actual cost per in/on
`consistent significant savings is easily achievable using
`Pack coupon redeemed is significantly less than that asso-
`coupons.
`ciated with other coupon distribution methods. Most
`The notion of issuing product redemption coupons to 50 on-pack coupons are redeemed as customers pay for their
`consumers was an innovative idea to entice consumers to try
`purchases. However, this also means that all items are sold
`new products in the hope that, after the first try of a new
`at t he c o uPon discount, lowering a manufacturer's overall
`product at a coupon discounted price, they would become
`revenues per product more so than other types of coupons,
`repeat customers at the regular price. Coupons are effective
`In 1992, various other coupon distribution methods rep-
`tools used in launching new products. Manufacturers also 55 resented 5% of coupons distributed. Two important coupon
`find coupons can shore up flagging sales, help reduce excess
`distribution methods in this category include shelf distribu-
`inventory or win back consumers' brand loyalty, and so
`tion and custom prepared coupon distribution. Thousands of
`coupons for existing products have become customary, so
`stores use coupon dispensers which are attached to a prod-
`much so that today's consumers have come to expect
`uct's shelf. Customers can pull out one coupon from the
`coupons. Often, coupon price incentives significantly reduce 60 dispenser for the product advertised. This method of coupon
`brand loyalty, and manufacturers must issue more coupons
`distribution is designed to reach the consumer at the point of
`than desired to maintain market share. Market share has also
`making a purchase decision, and has a redemption rate of
`been impacted by an increase in the number and variety of
`approximately 18%.
`competing "no-name" store brands. The competitive nature
`Check-out coupons are printed at the check-out by a
`of the retail industry does not allow manufacturers to reduce 65 printer installed at the cash register. A computer analyzes the
`coupon distribution, and in some market sectors, such as
`purchases made by each customer, and can print competi-
`cereals, the majority of purchases are made with coupons.
`tor's coupons or other coupons related to items in the current
`
`SWY&KRG 1004 - Page 12
`
`

`

`US 6,321,208 Bl
`
`ln
`
`4
`3
`accessed by masses of consumers by using a readily avail-
`purchase. This system has a coupon redemption rate of
`able personal computer rather than needing to purchase
`approximately 9%.
`specialpurpose equipment,
`The coupon industry expends a great deal of resources in
`It is a further object of the present invention to provide
`market research, printing, issuing, distributing and redeem-
`ing coupons, yet produces an extremely low redemption 5 SUch an electronic coupon distribution system which allows
`rate. This is attributed to the haphazard systems used by
`a u s er
`to r e q u e st
`t r a n s m i s s i on of c o u p o ll d a ta a nd
`s e l e c t;
`most consumers of manually clipping, filing, sorting
`store, manipulate and print coupons from such coupon data,
`through, and ultimately using the coupons, and to the high
`.
`,
`.
`.
`..
`T .
`, .
`rl
`^ ls a further object of the present invention to provide
`cost associated with targeting coupons to each consumer.
`...
`,
`,
`,
`,
`•
`,,
`•
`. .
`, ,,
`such an electronic coupon distribution system which allows
`..
`r.
`J
`Attempts have been made in the prior art to meet the
`.
`,
`, ,
`. r
`needs of the coupon industry and the consumer. U.S. Pat.
`t he C°UP0° ^ u i ng companies to access valuable informa-
`No. 5,249,044 to Von Kohorn describes a television-based
`t l on d l r e c t ly f r om
`t he consumer without requiring specific
`coupon reception system wherein coupon information is
`and additional action by the consumer but rather by using the
`transmitted along with program information to a broadcast
`information from the user's personal computer regarding the
`audience. A member of the audience can generate a coupon
`consumer's selection, printing and actual redemption of
`for subsequent redemption at a store.
`15 coupons, as well as responses to demographic queries posed
`U.S. Pat. Nos. 5,285,278 and 5,287,181 to Holman also
`to the users,
`teach a television-based coupon reception system. Coupon
`It is a further object of the present invention to provide
`information is encoded into a television broadcast signal and
`such an electronic coupon distribution system which allows
`decoded at the consumer's television by circuitry similar to
`a consumer to generate shopping lists associated with cou-
`that used for closed-caption broadcast decoding. The 20 pons selected and printed, in order to simplify the shopping
`extracted coupon information is then recorded on a medium
`process and promote the use of product coupons,
`such as a magnetic stripe card or a microprocessor-based
`it is a further object of the present invention to provide
`"smart card". The user can then present the medium at the
`s u ch an electronic coupon distribution system which allows
`supermarket in order to automatically receive the appropri- ^ for automatic deletion of expired coupons in the user's
`ate discount
`computer database and the modification of redemption
`U.S. Pat. No. 5,185,695 to Pruchniki discloses an elec-
`amounts of coupons in the user's database, both of which
`tronic paperless coupon system which obviates the need for
`can be transparent to the user.
`a paper coupon in order to save printing, processing and
`is a s t iu forther object of the present invention to
`It
`clearinghouse costs as well as eliminating counterfeiting. 3o pr0vide a secure coupon system which generates unique
`Coupon redemption information is transmitted from a cen-
`coupons with user-identifying data and allows the printing
`tral system to local retailers, where coupon signs are placed
`of a coupon only once, thus eliminating the possibility of
`near the related item. The discount is automatically applied
`fra ud by both the consumer and the retailer,
`at the point of sale without the need for the consumer to
`It ^ a ^
`f u r t h er o b j e ct of ^
`i n v e n t i on to p r o v i de an
`present a paper coupon.
`35 e f f icie nt; low cost, zip-code/lifestyle/lifestage or household
`U.S. Pat. No. 5,176,224 to Specter teaches a closed-loop
`targeted coupon distribution system to tailor the incentives
`coupon system which consists of a kiosk type printer station
`to e ach u s er
`located at a retail store. The kiosk is linked to the manufac(cid:173)
`SUMMARY OF THE INVENTION
`turers in order to obtain specific coupon information. The
`In accordance with these and other objects, provided is a
`consumer selects the desired coupon at the kiosk, and the 40
`f or distributing and generating at a remote site
`coupon is printed and dispensed. The consumer presents the
`s y s t em
`product redemption coupons comprising a centrally located
`coupon at the register, where the discount is applied and the
`repository of electronically stored product redemption cou-
`discount transaction data is transmitted back to the manu-
`p0n d ata) transmission means operatively associated with
`tacturer.
`s aid centrally located repository for providing data commu-
`U.S. Pat. No. 4,674,041 to Lemon et al. discloses a system 4S
`nication between said repository and a plurality of remote
`with remotely located coupon printing stations capable of
`u s er computers, and a remote user computer operatively
`limiting the number of coupons printed in a given time
`associated with said transmission means. The remote user
`period. Each coupon station has a display for indicating the
`computer in the present invention comprises interface means
`available coupons, selection means to allow the consumer to
`choose the desired coupon, and a coupon printer. The system 50 for providing user interaction with the centrally located
`disables display of a particular coupon when a preselected
`repository, a memory, and a coupon data management pro-
`coupon limit has been reached.
`gram. The coupon data management program is imple-
`While these aforementioned prior art attempts at provid-
`mented by the computer for requesting coupon data from the
`ing couponing systems are useful in their own right, they fail
`centrally located repository, for storing in the memory
`to provide for a secure and interactive coupon generation 55 coupon data transmitted from
`the centrally
`located
`system in which the user can request, select, store, manipu-
`repository, and for generating printable coupon data from the
`late and print coupons as desired, in which user-specific
`stored coupon data. The remote user computer also corn-
`information such as demographic data and data representa-
`prises a coupon output buffer operatively associated with the
`live of those coupons so requested, selected, printed and
`data management program for storing the printable coupon
`actually used may be provided back to the coupon issuer and 60 data generated by said coupon data management program,
`distributor for more efficient coupon targeting in subsequent
`The present invention additionally comprises a printer for
`coupon issuance and distribution.
`printing product redemption coupons from the printable
`It is therefore an object of the present invention to provide
`coupon data stored
`in
`the coupon output buffer,
`such a coupon distribution system which overcomes the
`Alternatively, the system may enable the user to transmit
`aforementioned problems and shortcomings of the prior art. 6s electronically the printable coupon data from the coupon
`It is an object of the present invention to provide an
`output buffer to the centrally located repository or directly to
`electronic coupon distribution system which can be easily
`the retailer for electronic coupon redemption.
`
`SWY&KRG 1004 - Page 13
`
`

`

`US 6,321,208 Bl
`
`25
`
`As a result of the present invention, a user of the remote
`computer is able to request coupon data to be transmitted
`from said centrally located repository, and the user is able to
`instruct his computer to print or electronically
`transfer
`product redemption coupons generated from the transmitted 5
`coupon data. In particular, the user's computer assembles
`product redemption coupons for printing by using two data
`components; (1) fixed coupon data which is transmitted to
`the user's computer during an initialization or "sign-up"
`process and which remains stored on the user's computer for 10
`subsequent coupon generation, and (2) variable coupon data
`which is transmitted to the user's computer whenever he
`requests coupon data from the central repository.
`Additionally, the coupon data management program of
`the present invention operates in conjunction with the 15
`remote computer to allow the user to select and store certain
`desired coupon data from the coupon data transmitted by the
`centrally located repository and print coupons as selected.
`The coupon data management program also allows the user
`to generate a shopping list which is correlated to the coupons 20
`printed for subsequent redemption.
`In the present invention, the data exchange capabilities
`provided by the transmission medium between the remote
`computer and the central repository allow the automatic
`transfer of valuable information from the remote computer
`to the central repository and, ultimately, to the coupon
`distributing and issuing centers. Information related to the
`coupons selected and printed can be supplied to the coupon
`distributors and issuers, which can also use information
`obtained from the various retail stores as to which coupons
`were actually redeemed in order to more intelligently market
`subsequent coupons and target coupon issuance in a more
`cost effective manner.
`The data exchange capabilities are further advantageously
`utilized in the present invention to allow, via the central
`repository, the updating of coupon data