Method and system for providing an incentive to customers

• US 20040249703A1
• Filed: 11/18/2002
• Published: 12/09/2004
• Est. Priority Date: 11/18/2002
• Status: Abandoned Application

• Current Assignee: Stefan Weiszfeiler
• Original Assignee: Stefan Weiszfeiler
• Inventors: Weiszfeiler, Stefan
• Application Number:
  US10/295,956
• Publication Number:
  US 20040249703A1
• Time in Patent Office: Days
• US Class Current: 705/14
• CPC Class Codes: G06Q 30/02 Marketing; Price estimation or determination; Fundraising
• CPC Class Codes: G06Q 30/0235 constrained by time limit or expiration date

Abstract

A method and system for calculating a discount to a customer at a business establishment. The method comprises determining the value of a parameter Mem PP, wherein Mem PP is a total purchase amount made by the customer at the establishment in a first time period. The value of a parameter Mem CP, wherein Mem CP is a total purchase amount made by a customer at the establishment in a second time period, is then determined, where the second time period is subsequent to the first period. The discount is then calculated using an algorithm involving Mem PP and Mem CP.

Claims

1. A method for calculating a discount to a customer at a business establishment comprising:

(a) determining the value of a parameter Mem PP, wherein Mem PP is a total purchase amount made by the customer at the establishment in a first time period

(b) determining the value of a parameter Mem CP, wherein Mem CP is a total purchase amount made by a customer at the establishment in a second time period, the second time period being subsequent to the first period; and

(c) calculating the discount using Mem PP and Mem CP.

2. The method according to claim 1 wherein the discount is calculated to be zero if Mem PP does not exceed a first predetermined amount Min PZ.

3. The method according to claim 1 wherein calculating the discount includes calculating Mem CP−

Min P when Mem PP exceeds a predetermined amount Min PZ, wherein Min P is a predetermined amount.

4. The method according to claim 3 wherein calculating the discount is obtained using an algorithm involving the algebraic expression:

(Mem CP−

Min P)*RATE1

wherein RATE1 is a predetermined discount rate.

5. The method according to claim 1 further comprising for each of one or more individuals associated with the customer:

(a) determining the value of a parameter Assoc PP, wherein Assoc PP is a total purchase amount of the individual at the establishment in the first time period;

(b) determining the value of a parameter Assoc CP, wherein is a total purchase amount of the individual at the establishment in the second time period;

and wherein calculating the discount further includes calculating an associates discount Assoc Disc, wherein Assoc Disc is obtained in a calculation involving the Assoc PP and Assoc CP of at least one of the individuals associated with the customer.

6. The method according to claim 5 wherein calculating the discount involves

(a) Calculating an upper limit, wherein the upper limit is a sum of the Assoc PP of all individuals associated with the customer divided by a number n, wherein n is the number of individuals associated with the customer for which Assoc PP exceeds a third predetermined threshold value;

(b) If Mem CP>

upper limit, calculating Assoc Disc using an algorithm involving the algebraic expression upper limit*RATE2*n, wherein RATE2 is a second discount rate;

(c) If Mem CP<

upper limit, calculating Assoc Disc using an algorithm involving the algebraic expression (Mem CP−

Min PP)*RATE2*n.

7. The method according to claim 6 wherein the discount is obtained using an algorithm involving the algebraic expression (Mem CP−

Min P)*RATE1+Assoc discount.

8. The method according to claim 1 further including recording in a customer database containing a file for the customer, any one or more of the following:

(a) a current total purchase value of the customer at the business establishment during the present time period; and

(b) a current total purchase value of one or more individuals associated with the customer at the business establishment during the present time period.

9. The method according to claim 8 further comprising updating the customer'"'"'s file in the database when the customer makes a purchase at the business establishment.

10. The method according to claim 8 further comprising updating the customer'"'"'s file in the database when an individual associated with the customer makes a purchase at the business establishment.

12. The system according to claim 8 wherein the processor is configured to calculate the discount to be zero if Mem PP does not exceed a first predetermined amount Min PZ.

13. The system according to claim 10 wherein the processor is configured to calculate the discount using an algorithm that includes calculating Mem CP−

Min P when Mem PP exceeds the first predetermined amount Min PZ.

14. The system according to claim 12 wherein calculating the processor is configured to calculate the discount using an algorithm involving the algebraic expression:

(Mem CP−

Min P)*RATE1

wherein RATE1 is a predetermined discount rate.

15. The system according to claim 10 wherein the processor is configured, for each of one or more individuals associated with the customer,

(a) to determine the value of a parameter Assoc PP, wherein Assoc PP is a total purchase amount of the individual at the establishment in the first time period;

(b) to determine the value of a parameter Assoc CP, wherein Assoc CP is a total purchase amount of the individual at the establishment in the second time period

and wherein the processor is configured to calculate the discount using an algorithm including calculating an associates discount Assoc Disc, wherein Assoc Disc is obtained in a calculation involving the Assoc PP and Assoc CP of at least one of the individuals associated with the customer.

16. The system according to claim 14 wherein the processor is configured to calculate the discount using an algorithm involving:

(a) Calculating an upper limit wherein the upper limit is a sum of the Assoc PP of all individuals associated with the customer divided by a number n, wherein n is the number of individuals associated with the customer for which Assoc PP exceeds a third predetermined threshold value;

(b) If Mem CP>

upper limit, calculating Assoc Disc using an algorithm involving the algebraic expression upper limit*RATE2*n, wherein RATE2 is a second discount rate;

(c) If Mem CP<

upper limit, calculating Assoc Disc using an algorithm involving the algebraic expression (Mem CP−

Min PP)*RATE2*n.

17. The system according to claim 15 wherein the discount is obtained using an algorithm involving the algebraic expression (Mem CP−

Min P)*RATE1+Assoc discount.

18. The system according to claim 15 further including a customer database, the customer database containing a file for each of a plurality of customers, a customer file including entries of any one or more of the following:

(c) a current total purchase value of the customer at the business establishment during the present time period; and

(d) a current total purchase value of one or more individuals associated with the customer at the business establishment during the present time period.

19. The system according to claim 17 wherein the processor is further configured to update a customer'"'"'s file in the database when the customer makes a purchase at the business establishment.

20. The system according to claim 17 wherein the processor is further configured to update a customer'"'"'s file in the database when an individual associated with the customer makes a purchase at the business establishment.

11. A system for calculating a discount to a customer at a business establishment comprising a processor configured to:

(a) determine the value of a parameter Mem PP, wherein Mem PP is a total purchase amount made by the customer at the establishment in a first time period;

(b) determine the value of a parameter Mem CP, wherein Mem CP is a purchase amount made by a customer at the establishment in a second time period, the second time period being subsequent to the first period; and

(c) calculate the discount using an algorithm involving Mem PP and Mem CP.