System for electronic barter, trading and redeeming points accumulated in frequent use reward programs

• US 7,624,041 B2
• Filed: 11/21/2006
• Issued: 11/24/2009
• Est. Priority Date: 06/23/1999
• Status: Expired due to Fees

• Current Assignee: Signature Systems LLC
• Original Assignee: Signature Systems LLC
• Inventors: Postrel, Richard
• Primary Examiner(s): MEINECKE DIAZ, SUSANNA M
• Application Number:
  US11/562,016
• Publication Number:
  US 20070130011A1
• Time in Patent Office: 1,099 Days
• Field of Search: 705/14
• US Class Current: 705/14.26
• CPC Class Codes: G06Q 20/06 Private payment circuits, e.g. involving electronic currency used among participants of a common payment scheme
• CPC Class Codes: G06Q 20/12 specially adapted for electronic shopping systems
• CPC Class Codes: G06Q 20/22 Payment schemes or models
• CPC Class Codes: G06Q 20/343 Cards including a counter
• CPC Class Codes: G06Q 30/02 Marketing; Price estimation or determination; Fundraising
• CPC Class Codes: G06Q 30/0207 Discounts or incentives, e.g. coupons or rebates
• CPC Class Codes: G06Q 30/0208 Trade or exchange of goods or services in exchange for incentives or rewards
• CPC Class Codes: G06Q 30/0209 Incentive being awarded or redeemed in connection with the playing of a video game
• CPC Class Codes: G06Q 30/0212 Chance discounts or incentives
• CPC Class Codes: G06Q 30/0215 Including financial accounts
• CPC Class Codes: G06Q 30/0222 During e-commerce, i.e. online transactions
• CPC Class Codes: G06Q 30/0223 based on inventory
• CPC Class Codes: G06Q 30/0225 Avoiding frauds
• CPC Class Codes: G06Q 30/0226 Incentive systems for frequent usage, e.g. frequent flyer miles programs or point systems
• CPC Class Codes: G06Q 30/0227 Frequent usage incentive value reconciliation between diverse systems
• CPC Class Codes: G06Q 30/0228 On-line clearing houses
• CPC Class Codes: G06Q 30/0229 Multi-merchant loyalty card systems
• CPC Class Codes: G06Q 30/0233 Method of redeeming a frequent usage reward
• CPC Class Codes: G06Q 30/0236 Incentive or reward received by requiring registration or ID from user
• CPC Class Codes: G06Q 30/0239 Online discounts or incentives
• CPC Class Codes: G06Q 30/06 : Buying, selling or leasing transactions
• CPC Class Codes: G06Q 40/04 : Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange
• CPC Class Codes: G07F 17/3255 : Incentive, loyalty and/or promotion schemes, e.g. comps, gaming associated with a purchase, gaming funded by advertisements

Abstract

A system and method for operating a reward points accumulation and redemption program wherein a user earns rewards from a plurality of independent reward issuing entities, with each tracking the user'"'"'s earned rewards. A trading server accumulates some or all of the user'"'"'s earned rewards from the reward servers and credits the accumulated rewards into a single reward exchange account associated with the user. The user may then select an item for purchase with the accumulated rewards. The item is provided to the user in exchange for a subset or all of the rewards. Reward points may also be redeemed in exchange for services, such as the playing of a video game or Internet access.

Claims

1. A method for exchanging reward points previously stored in at least one user reward account stored on an associated reward server computer into a user reward exchange account associated with a trading server computer, comprising:

a. a trading server computer (i) communicating via a computer network with a plurality of reward server computers, each of said plurality of reward server computers associated with a different one of a plurality of reward issuing entities, each of said plurality of reward server computers storing a user reward account associated with a user for storing reward points awarded to the user for transactions between the user and the associated reward issuing entity, and (ii) determining a quantity of reward points previously stored in each of the user reward accounts;

b. the trading server computer transmitting a web page comprising (i) a display of the reward points determined to be previously stored in each of the user reward accounts, and (ii) controls for designating reward points to be exchanged from a selected one or more of the user reward accounts into a user reward exchange account associated with the trading server computer;

c. the trading server computer receiving, via the computer network, instructions from the user operating a user computer that identify at least one user reward account and a selected quantity of reward points to be exchanged from the at least one selected user reward account into the user reward exchange account; and

d. the trading server computer exchanging, in real time response to receiving said instructions, the selected quantity of reward points from the at least one selected user reward account identified in the instructions received from the user computer into the user reward exchange account.

2. The method of claim 1 wherein the selected quantity of reward points are exchanged from the at least one selected user reward account into the user reward exchange account at a predetermined conversion rate.

3. The method of claim 2 wherein exchanging the selected quantity of reward points from the at least one selected user reward account into the user reward exchange account at a predetermined conversion rate comprises decreasing the at least one selected user reward account by the selected quantity of reward points and increasing the user reward exchange account by the selected quantity of reward points based on the predetermined conversion rate.

4. The method of claim 3 further comprising the reward server computer on which the at least one selected user reward account is stored conveying consideration to the trading server computer corresponding to the rewards decreased in the at least one selected user reward account.

5. The method of claim 4 wherein the consideration conveyed is in the form of a monetary credit to an account.

6. The method of claim 3 wherein the user reward exchange account stores a combined value of reward points exchanged into the user reward exchange account.

7. The method of claim 3 wherein the reward points represent an earned value with a cash equivalent or negotiable worth.

8. The method of claim 3 further comprising the trading sewer computer recording the exchange of the selected quantity of reward points from the at least one selected user reward account into the user reward exchange account in a transaction log for a subsequent reconciliation process.

9. A trading sewer computer for exchanging reward points previously stored in at least one user reward account stored on an associated reward server computer into a user reward exchange account associated with the trading server computer, comprising;

A) memory means for storing user account information and a user reward exchange account;

B) communications means for communicating over a computer network with a user computer and with a plurality of reward server computers, each of said plurality of reward server computers associated with a different one of a plurality of reward issuing entities, each of said plurality of reward server computers storing a user reward account associated with a user for storing reward points awarded to the user for transactions between the user and the associated reward issuing entity; and

C) processing means for;

a. determining a quantity of reward points previously stored in each of the user reward accounts;

b. transmitting via the communications means a web page comprising (i) a display of the reward points determined to be previously stored in each of the user reward accounts, and (ii) controls for designating reward points to be exchanged from a selected one or more of the user reward accounts into the user reward exchange account stored in the memory means;

c. receiving via the communications means instructions from the user operating a user computer that identify at least one user reward account and a selected quantity of reward points to be exchanged from the at least one selected user reward account into the user reward exchange account; and

d. exchanging, in real time response to receiving said instructions, the selected quantity of reward points from the at least one selected user reward account identified in the instructions received from the user computer into the user reward exchange account.

10. The trading server computer of claim 9 wherein the processing means for exchanging, in real time response to receiving said instructions, the selected quantity of reward points from the at least one selected user reward account identified in the instructions received from the user computer into the user reward exchange account exchanges the selected quantity of reward points from the at least one selected user reward account identified in the instructions received from the user computer into the user reward exchange account at a predetermined conversion rate.

11. The trading server computer of claim 10 wherein the processing means for exchanging, in real time response to receiving said instructions, the selected quantity of reward points from the at least one selected user reward account identified in the instructions received from the user computer into the user reward exchange account exchanges the selected quantity of reward points from the at least one selected user reward account identified in the instructions received from the user computer into the user reward exchange account at a predetermined conversion rate by decreasing the at least one selected user reward account by the selected quantity of reward points and increasing the user reward exchange account by the selected quantity of reward points based on the predetermined conversion rate.

12. The trading server computer of claim 9 further comprising processing means for recording the exchange of the selected quantity of reward points from the at least one selected user reward account into the user reward exchange account in a transaction log for a subsequent reconciliation process.