Retail system for selling products based on a flexible product description

• US 7,711,604 B1
• Filed: 03/31/2000
• Issued: 05/04/2010
• Est. Priority Date: 07/08/1997
• Status: Expired due to Fees

• Current Assignee: Groupon Incorporated
• Original Assignee: Walker Digital LLC (Walker Innovation Inc. (f/k/a Patent Properties, Inc.))
• Inventors: Mueller, Raymod J., Jorasch, James A., Tedesco, Daniel E., Kim, Peter, Golden, Andrew P., Van Luchene, Kathleen, Bemer, Keith, Walker, Jay S., Mik, Magdalena, Sammon, Russell Pratt
• Primary Examiner(s): Poinvil; Frantzy
• Application Number:
  US09/540,035
• Time in Patent Office: 3,686 Days
• Field of Search: 705/1, 705 10- 52
• US Class Current: 705/26.5
• CPC Class Codes: G06Q 20/204 comprising interface for record bearing medium or carrier for electronic funds transfer or payment credit
• CPC Class Codes: G06Q 30/0208 Trade or exchange of goods or services in exchange for incentives or rewards
• CPC Class Codes: G06Q 30/0222 During e-commerce, i.e. online transactions
• CPC Class Codes: G06Q 30/0283 Price estimation or determination
• CPC Class Codes: G06Q 30/06 Buying, selling or leasing transactions
• CPC Class Codes: G06Q 30/0601 Electronic shopping [e-shopping]
• CPC Class Codes: G06Q 30/0613 Third-party assisted
• CPC Class Codes: G06Q 30/0621 Item configuration or customization
• CPC Class Codes: G06Q 40/12 Accounting

Abstract

A system is provided in which a sale price is determined based on a product description, and the sale price is transmitted to a customer. The customer is not guaranteed what specific product will be sold to the customer before an agreement to purchase a product for the sale price is received from the customer. After receiving the agreement, a retailer selects a product conforming to the product description, and identifies the product to the customer. The retailer is able to evaluate a customer'"'"'s individual demand based on the received description and to determine a sale price accordingly, thereby reducing losses associated with conventional single-price systems. Although this may result in different sale prices for an identical product, the system is perceived as fair because a higher-paying customer likely agreed to a different product description than a lower-paying customer, and neither would have agreed to the other'"'"'s product description and sale price. The system also allows a retailer to mask product discounts by selecting undesirable redemption conditions under which to sell the product, such as pickup at a faraway location, even if the product is available at a closer location. As a result, the customer believes that the discount is attributable to the undesirable redemption conditions, rather than to the product quality or to decreased demand. Accordingly, price and brand dilution are minimized.

Claims

1. A method for use in a sales transaction, comprising:

determining, via an electronic retail system controller, a measure of flexibility based on a product description;

determining a sale price based on the product description; and

selecting, by the electronic retail system controller, a product to be sold for the sale price,

wherein the sale price of the selected product is a first price if the product description is a first product description and a second price if the product description is a second product description;

wherein the sale price is based on the measure of flexibility; and

wherein the step of determining the measure of flexibility comprises;

determining a number of flexibility points for each condition value in the product description; and

summing the determined flexibility points.

2. A method according to claim 1, wherein the number of flexibility points determined for a condition value is determined based on retailer data.

3. Computer-executable process steps stored on a computer-readable medium, the process steps comprising:

a determining step to determine, by an electronic retail system controller, a sale price based on a product description; and

a selecting step to select, by the electronic retail system controller, a product to be sold for the sale price,

wherein the sale price of the selected product is a first price if the product description is a first product description and a second price if the product description is a second product description;

wherein the determining step comprises determining a measure of flexibility based on the product description and determining the sale price based on the measure of flexibility; and

wherein determining the measure of flexibility comprises determining a number of flexibility points for each condition value in the product description and summing the determined flexibility points.

4. Computer-executable process steps stored on a computer-readable medium, the process steps comprising:

a determining step to determine, by an electronic retail system controller, a sale price based on a product description;

a receiving step to receive from a customer an agreement to purchase a product for the sale price; and

after the receiving step, a selecting step to select, by the electronic retail system controller, a particular product to be sold to the customer from among a plurality of different products conforming to the product description,

wherein the determining step comprises generating a measure of flexibility based on the product description and determining the sale price based on the generated measure of flexibility.

5. Computer executable process steps stored on a computer-readable medium, the process steps comprising:

a receiving step to receive a product description from a customer, the product description including condition values describing a product desired by a customer;

a determining step to determine, by an electronic retail system controller, a sale price based on the received product description;

a transmitting step to transmit the sale price to the customer;

a receiving step to receive from the customer, prior to revealing the identity of a specific product to the customer, an agreement to purchase a product conforming to the product description for the sale price;

a selecting step to select, by the electronic retail system controller, a specific product conforming to the product description; and

a transmitting step to transmit redemption information to the customer and to reveal the identity of the specific product to the customer,

wherein the determining step comprises generating a measure of flexibility based on the received product description and determining the sale price based on the generated measure of flexibility.

6. Computer-executable process steps stored on a computer-readable medium, the process steps comprising:

a receiving step to receive a description of a desired air travel itinerary;

a determining step to determine, by an electronic retail system controller, a sale price based on the description,

wherein the determining step comprises generating a measure of flexibility based on the description and determining the sale price based on the generated measure of flexibility;

a receiving step to receive an agreement from a customer to purchase an airline ticket for the sale price; and

after receiving the agreement, a selecting step to select, by the electronic retail system controller, a flight on which the airline ticket will allow the customer to travel.

7. An apparatus comprising:

a processor; and

a memory in communication with the processor and storing processor-executable process steps;

wherein the processor is operative with the processor-executable process steps stored in the memory to;

i) receive a product description from a customer, the product description including condition values describing a product desired by a customer;

ii) determine a sale price based on the received product description, wherein determining comprises generating a measure of flexibility based on the received product description and determining the sale price based on the generated measure of flexibility;

iii) transmit the sale price to the customer;

iv) receive from the customer an agreement to purchase a product conforming to the product description for the sale price;

v) selecting a specific product conforming to the product description; and

vi) transmit redemption information to the customer, the redemption information identifying the specific product, wherein the customer is not guaranteed what specific product will be purchased before the agreement is received.

8. An apparatus comprising:

a processor; and

a memory in communication with the processor and storing processor-executable process steps;

wherein the processor is operative with the processor-executable process steps stored in the memory to;

i) receive a description of a desired air travel itinerary;

ii) determine a sale price based on the description, wherein determining comprises generating a measure of flexibility based on the description and determining the sale price based on the generated measure of flexibility;

iii) a receiving step to receive an agreement from a customer to purchase an airline ticket for the sale price; and

iv) after receiving the agreement, a selecting step to select a flight on which the airline ticket will allow the customer to travel.

9. An apparatus comprising:

means for establishing a sale price based on a product description; and

means for identifying a product to be sold for the sale price,

wherein the sale price of the selected product is a first price if the product description is a first product description and a second price if the product description is a second product description;

wherein the means for establishing the sale price includes means for determining a measure of flexibility based on the product description and determining the sale price based on the measure of flexibility; and

wherein the means for determining the measure of flexibility includes means for determining a number of flexibility points for each condition value in the product description and summing the determined flexibility points.

10. An apparatus comprising:

means for establishing a sale price based on a product description,

wherein establishing comprises generating a measure of flexibility based on the product description and establishing the sale price based on the generated measure of flexibility;

means for obtaining from a customer an agreement to purchase a product for the sale price; and

means for identifying a particular product to be sold to the customer from among a plurality of different products conforming to the product description after obtaining the agreement.

11. An apparatus comprising:

means for obtaining a product description from a customer, the product description including condition values describing a product desired by a customer;

means for establishing a sale price based on the received product description,

wherein establishing comprises generating a measure of flexibility based on the received product description and determining the sale price based on the generated measure of flexibility;

means for deliver the sale price to the customer;

means for obtaining from the customer, prior to revealing the identity of a specific product to the customer, an agreement to purchase a product conforming to the product description for the sale price;

means for identifying a specific product conforming to the product description; and

means for delivering redemption information to the customer and to reveal the identity of the specific product to the customer.

12. An apparatus comprising:

means for obtaining a description of a desired air travel itinerary;

means for establishing a sale price based on the description,

wherein establishing comprises generating a measure of flexibility based on the description and determining the sale price based on the generated measure of flexibility;

means for obtaining an agreement from a customer to purchase an airline ticket for the sale price; and

means for identifying a flight on which the airline ticket will allow the customer to travel after obtaining the agreement.

13. Computer-executable process steps stored on a computer-readable medium, the process steps comprising:

a receiving step to receive a product description from a customer, the product description being descriptive of two or more products from a plurality of available products;

a determining step to determine, by an electronic retail system controller, based on the product description, a single sales price applicable to each of the two or more products from the plurality of available products;

a transmitting step to transmit, to the customer, an offer to buy an undisclosed one of the two or more products for the single sale price; and

a selling step to sell the undisclosed one of the two or more products to the customer for the single sales price and to reveal the identity of the undisclosed one of the two or more products to the customer.

14. A method, comprising:

receiving a product description from a customer, the product description being descriptive of two or more products from a plurality of available products;

determining, by an electronic retail system controller, and based on the product description, a single sales price applicable to each of the two or more products from the plurality of available products;

transmitting, to the customer, an offer to buy an undisclosed one of the two or more products for the single sale price; and

selling the undisclosed one of the two or more products to the customer for the single sales price and to reveal the identity of the undisclosed one of the two or more products to the customer.

15. An apparatus comprising:

means for receiving a product description from a customer, the product description being descriptive of two or more products from a plurality of available products;

means for determining, based on the product description, a single sales price applicable to each of the two or more products from the plurality of available products;

means for transmitting, to the customer, an offer to buy an undisclosed one of the two or more products for the single sale price; and

means for selling the undisclosed one of the two or more products to the customer for the single sales price and to reveal the identity of the undisclosed one of the two or more products to the customer.

16. A method, comprising:

receiving a first product description from a first customer, the first product description being descriptive of a product from a plurality of available products;

receiving a second product description from a second customer, the second product description being descriptive of the product from the plurality of available products;

determining, by an electronic retail system controller, and based on the first product description, a first sales price for the product from the plurality of available products;

determining, by electronic retail system controller, and based on the second product description, a second sales price for the product from the plurality of available products;

providing the first sales price to the first customer;

providing the second sales price to the second customer; and

selling the product from the plurality of available products by at least one of;

(i) selling the product from the plurality of available products to the first customer for the first sales price; and

(ii) selling the product from the plurality of available products to the second customer for the second sales price,

wherein determining the first sales price comprises generating a measure of flexibility based on the first product description and determining the first sales price based on the generated measure of flexibility.

17. The method of claim 16, wherein the first and second sales prices are the same.