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Influence based rewards for word-of-mouth advertising ecosystems

  • US 7,664,726 B2
  • Filed: 06/25/2007
  • Issued: 02/16/2010
  • Est. Priority Date: 06/25/2007
  • Status: Expired due to Fees
First Claim
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1. A system that facilitates determination of an incentive, comprising:

  • a central service component that receives information associated with at least one referral related to at least one of a product or service, or combination thereof, and determines at last one of an amount of incentive or a type of incentive, or a combination thereof, to distribute to at least one user based in part on a ratio of a number of successful referrals as compared to a total number of referrals, related to the at least one product or service, or a combination thereof, and associated with the at least one user, wherein the central service component operates to effect steps comprising;

    storing, in a memory communicatively coupled to a microprocessor, computer-executable instructions for facilitating determination of the incentive;

    executing the instructions on the microprocessor;

    according to the instructions being executed;

    using the microprocessor to distinguish between successful referrals, unsuccessful referrals and referrals which have not achieved success but have not expired, wherein referrals that have not expired are not used in calculations of the amount of the incentive, and wherein referrals are considered to have expired if they are not successful within a predetermined period of time;

    calculating, using the microprocessor, the amount of the incentive based on a formula comprising I=(c'"'"'SR1)+(d×

    SR2)+(e×

    1/UR), wherein I is a total incentive paid, c is an incentive paid for a first type of successful referral, SR1 is a number of successful referrals of the first type, d is a payment made for a second type of successful referral, SR2 is a number of successful referrals of the second type;

    e is an incentive payment for referrals generally, and UR is a number of unsuccessful referrals happening in a period of time wherein successful referrals resulted;

    wherein the first type of successful referrals SR1 involve product purchases, the second type of successful referrals SR2 involve customer trials, and wherein the total incentive I is calculated based in part on unsuccessful referral data UR that is based on historical data including a same product as the total incentive payment I is paid and products different from the same product as that for which the total incentive I is calculated;

    wherein expiration of a referral is based on passage of the predetermined time, and wherein the predetermined time is measured from when an email message or SMS message is sent or when an advertisement on a website or blog is clicked; and

    wherein a different weight is applied to referrals made through a website or a blog than referrals made through emails or instant messages, and wherein the different weight results in different values of the values c and d.

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