Transaction arbiter system and method

• US 20060259421A1
• Filed: 07/27/2005
• Published: 11/16/2006
• Est. Priority Date: 05/16/2005
• Status: Active Grant

• Current Assignee: Price Setter, L.L.C.
• Original Assignee: Jorge Maass
• Inventors: Maass, Jorge Arturo
• Granted Patent: US 8,533,097 B2
• Time in Patent Office: Days
• US Class Current: 705/39
• CPC Class Codes: G06Q 20/10 specially adapted for electronic funds transfer [EFT] systems; specially adapted for home banking systems
• CPC Class Codes: G06Q 30/0601 Electronic shopping [e-shopping]
• CPC Class Codes: G06Q 30/0611 Request for offers or quotes
• CPC Class Codes: G06Q 30/08 Auctions
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange

Abstract

A transaction arbiter system and method is disclosed which incorporates a merchant function database under control of a transaction arbiter that permits merchants to interact in an automated way with bids generated by other merchants. Rather than utilizing fixed price schedules as taught by the prior art, the present invention permits each merchant to define a set of functions which describe how the merchant will respond to a customer request-for-quote for a given product or service. These merchant functions interact with both the customer request-for-quote and the results of other merchant functions to generate a dynamic real-time bidding system which integrates competition among merchant bidders to achieve an optimal consumer price for a given product or service.

Claims

1. A transaction arbiter system comprising:

(a) a transaction arbiter; and

(b) merchant database;

wherein

said merchant database is maintained by said transaction arbiter;

said merchant database further comprises merchant functions;

said merchant functions describe products/services available from merchants;

said merchant functions describe how said merchants will generate bids in response to customer request-for-quotes for said products/services;

said merchant functions describe how a given merchant will respond to a given bid generated by another competing merchant(s);

said merchant functions are defined by said merchants;

said merchant functions are input to said transaction arbiter by said merchants;

said transaction arbiter takes a request-for-quote (RFQ) from a customer and inputs said RFQ to said merchant functions in sequence to produce an optimal bid price for said product/service; and

said optimal bid price is communicated to said customer via said transaction arbiter.

2. The transaction arbiter system of claim 1 wherein said customer request-for-quote is input to said transaction arbiter via the Internet.

3. The transaction arbiter system of claim 1 wherein said customer request-for-quote is input to said transaction arbiter via telephone.

4. The transaction arbiter system of claim 1 wherein said optimal bid price is calculated among two or more said merchant functions.

5. The transaction arbiter system of claim 1 wherein said optimal bid price is calculated in real-time.

6. The transaction arbiter system of claim 1 wherein said merchant function takes as a parameter the customer and merchant locations.

7. The transaction arbiter system of claim 1 wherein said merchant function takes as a parameter GPS coordinates.

8. The transaction arbiter system of claim 1 wherein said merchant function takes as a parameter date and time schedules.

9. The transaction arbiter system of claim 1 wherein said optimal bid price is calculated unattended by said transaction arbiter.

10. The transaction arbiter system of claim 1 wherein said transaction arbiter is integrated into a telephone.

11. A transaction arbiter method comprising:

(1) having the consumer generate a request-for-quote (RFQ) and communicate said RFQ to a transaction arbiter;

(2) having said transaction arbiter interrogate merchant functions that have been collected from in a merchant database and arbitrating the lowest current bid satisfying the RFQ from among said merchant functions;

(3) having said arbiter generate an optimal bid price from said merchant function interrogation and communicating said firm bid to said consumer;

(4) if consumer accepts said firm bid, having said arbiter notify said merchant of said optimal bid price acceptance; and

(5) otherwise, rejecting said optimal bid price and notifying said merchants of said optimal bid price rejection.

wherein

said merchant database is maintained by said transaction arbiter;

said merchant database further comprises merchant functions;

said merchant functions describe products/services available from merchants;

said merchant functions describe how said merchants will generate bids in response to customer request-for-quotes for said products/services;

said merchant functions describe how a given merchant will respond to a given bid generated by another competing merchant;

said merchant functions are defined by said merchants;

said merchant functions are input to said transaction arbiter by said merchants;

said transaction arbiter takes a request-for-quote (RFQ) from a customer and inputs said RFQ to said merchant functions in sequence to produce an optimal bid price for said product/service; and

said optimal bid price is communicated to said customer via said transaction arbiter.

12. The transaction arbiter method of claim 11 wherein said customer request-for-quote is input to said transaction arbiter via the Internet.

13. The transaction arbiter method of claim 11 wherein said customer request-for-quote is input to said transaction arbiter via telephone.

14. The transaction arbiter method of claim 11 wherein said optimal bid price is calculated among two or more said merchant functions.

15. The transaction arbiter method of claim 11 wherein said optimal bid price is calculated in real-time.

16. The transaction arbiter method of claim 11 wherein said merchant function takes as a parameter the customer and merchant locations.

17. The transaction arbiter method of claim 11 wherein said merchant function takes as a parameter GPS coordinates.

18. The transaction arbiter method of claim 11 wherein said merchant function takes as a parameter date and time schedules.

19. The transaction arbiter method of claim 11 wherein said optimal bid price is calculated unattended by said transaction arbiter.

20. The transaction arbiter method of claim 11 wherein said transaction arbiter is integrated into a telephone.