Conversion of loyalty program points to commerce partner points per terms of a mutual agreement

• US 9,704,174 B1
• Filed: 02/02/2016
• Issued: 07/11/2017
• Est. Priority Date: 05/25/2006
• Status: Expired due to Fees

• Current Assignee: JBSHBM, LLC
• Original Assignee: Brian K. Buchheit, Sean I. Mcghie
• Inventors: McGhie, Sean I., Buchheit, Brian K.
• Primary Examiner(s): Labaze, Edwyn
• Application Number:
  US15/013,129
• Time in Patent Office: 525 Days
• Field of Search: 235380, 235375, 235379, 235487, 235486, 235382, 705 14, 705 1432, 705 1433, 705 17, 705 39, 463 20, 463 25, 463 13
• CPC Class Codes: G06Q 20/02 involving a neutral party, e.g. certification authority, notary or trusted third party [TTP]
• 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 20/105 involving programming of a portable memory device, e.g. IC cards, "electronic purses"
• CPC Class Codes: G06Q 20/381 Currency conversion
• CPC Class Codes: G06Q 20/387 Payment using discounts or coupons relating to marketing G06Q30/02
• CPC Class Codes: G06Q 20/405 Establishing or using transaction specific rules
• 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 50/01 Social networking
• CPC Class Codes: G07F 17/3244 Payment aspects of a gaming system, e.g. payment schemes, setting payout ratio, bonus or consolation prizes

Abstract

A computer converts a first quantity of loyalty program points of a loyalty program possessed by a member held in a first account to a second quantity of different loyalty program points possessed by the member held in a second account in accordance with a fixed ratio. The loyalty program points and the different loyalty program points are non-fungible, non-negotiable units of exchange. A mutual agreement exists between program operators to permit the conversion. Responsive to the converting: the first quantity of loyalty program points is subtracted from the first account; the second quantity of different loyalty program points is added to the second account; and the entity compensates the commerce partner in accordance with mutual agreement. A transformation results in the different loyalty program points that are subject to terms, conditions, or restrictions of the different loyalty program and not of the loyalty program.

Claims

1. A method comprising:

a computer, comprising hardware and software, responsive to a conversion request from a member, converting a first quantity of loyalty program points of a loyalty program possessed by the member held in a first account to a second quantity of different loyalty program points possessed by the member held in a second account in accordance with a fixed ratio, wherein the loyalty program points and the different loyalty program points are non-fungible, non-negotiable units of exchange, wherein the loyalty program is a loyalty program of an entity, wherein the different loyalty program is a different loyalty program of a commerce partner, wherein the entity and the commerce partner are different legal entities and are not parent or subsidiary entities of each other, wherein the converting is explicitly permitted by terms of a mutual agreement established between the entity and the commerce partner, wherein the converting of the loyalty program points to the different loyalty program points both possessed by the member, who is necessarily a member of both the loyalty program and of the different loyalty program, occurs in accordance with terms defined within the mutual agreement, wherein terms of the mutual agreement define the fixed ratio, wherein applicability of the mutual agreement is confined to conversions between the loyalty program points and the different loyalty program points such that the mutual agreement does not cover conversions of the loyalty program points to cash valuations and does not cover conversions of the loyalty program points to any unit of value other than the different loyalty program points; and

responsive to the converting;

(i) subtracting the first quantity of loyalty program points from the first account;

(ii) adding the second quantity of different loyalty program points to the second account; and

(iii) the entity compensating the commerce partner in accordance with a compensation amount defined by the mutual agreement,

wherein the converting performs a transformation that changes the first quantity of loyalty program points in the first account into the second quantity of different loyalty program points in the second account, wherein the transformation changes a physical medium utilized to store respective value from that used for the first account to that used for the second account, wherein the transformation further changes a state of a thing being transformed as transformation necessarily triggers accounting and tax events for both the entity and the commerce partner as values in the first account and in the second account are altered, wherein before the transformation, an inherent property of the first quantity of the loyalty program points did not permit the member to purchase goods/services that the commerce partner provides due to redemption restrictions imposed by the terms of the first loyalty program, wherein after the transformation an inherent property of the second quantity of the different loyalty program points of the second account permits the member to purchase the goods/services that the commerce partner provides by expending the second quantity of the different loyalty program points of the second account, wherein after the transformation, the second quantity of different loyalty program points in the second account are not subject to terms, conditions, or restrictions of the loyalty program, but are instead subject to those of the different loyalty program controlled by the commerce partner.

2. The method of claim 1, wherein the computer is a special purpose computer comprising hardware and software for controlling and maintaining a plurality of accounts, including the first account, of the loyalty program, wherein the computer is controlled by the entity, wherein the computer performs at least the subtracting of the first quantity, wherein the computer initiates the adding of the second quantity and the compensating of the commerce partner.

3. The method of claim 1, wherein the computer is a special purpose computer comprising hardware and software for manipulating value of the first account and of the second account, wherein the computer is not controlled by the entity or by the commerce partner but is controlled by an independent party from either, wherein the computer initiates the adding, the subtracting, and the compensating.

4. The method of claim 1, wherein the computer is a special purpose computer comprising hardware and software for controlling and maintaining a plurality of accounts, including the second account, of the second loyalty program, wherein the computer is controlled by the commerce partner, wherein the computer performs at least the adding of the second quantity, wherein the computer initiates the subtracting of the second quantity and the compensating from the entity to the commerce partner.

5. The method of claim 1, wherein the converting, the subtracting, and the adding occur during a single human-to-machine interaction session.

6. The method of claim 1, wherein the commerce partner is differentiated from other open market entities based at least in part on the commerce-based relationship between the entity and the commerce partner such that entity is able to satisfy consumer behavior shaping goals of the loyalty program as applied to the member while permitting the converting per the mutual agreement, wherein said consumer behavior shaping goals are compromised if unrestricted conversions, baselined in accordance with the fixed ratio, of the loyalty program points were permitted with the other open market entities.

7. A method comprising:

a computer serving a set of one or more Web pages for a loyalty program of an entity to one or more remotely located client machines, wherein the Web pages are able to be rendered within a client-side browser as a graphical user interface on the one or more client machines, wherein upon being rendered within the client-side browser said graphical user interface shows a quantity of loyalty program points held in a first account for a member of the loyalty program, wherein upon being rendered within the client-side browser the graphical user interface comprises a conversion option to convert a first quantity of the shown loyalty program points into a second quantity of different loyalty program points of a different loyalty program of a commerce partner in accordance with a fixed ratio, wherein the loyalty program points and the different loyalty program points are non-fungible, non-negotiable units of exchange,

the computer responsive to receiving a message indicating a selection of the conversion option, processing the selection to effectuate changes in the served set of Web pages; and

responsive to the processing, the computer serving one or more Web pages or Web page updates that include the effectuated changes to the one or more remotely located client machines, wherein upon being rendered within the client-side browser the graphical user interface is updated with the effectuated changes, wherein the updated graphical user interface shows a reduced quantity of loyalty program points held in the first account, said reduced quantity resulting from the first quantity being subtracted from a total quantity of different loyalty program points of the first account in accordance with the fixed ratio, wherein the loyalty program points and the different loyalty program points are non-fungible, non-negotiable units of exchange, wherein the entity and the commerce partner are different legal entities and are not parent or subsidiary entities of each other, wherein the converting is explicitly permitted by terms of a mutual agreement established between the entity and the commerce partner, wherein converting of the loyalty program points to the different loyalty program points triggered by selection of the conversion option occurs in accordance with terms defined within the mutual agreement, wherein the member is necessarily a member of both the loyalty program and of the different loyalty program, wherein applicability of the mutual agreement is confined to conversions between the loyalty program points and the different loyalty program points such that the mutual agreement does not cover conversions of the loyalty program points to cash valuations and does not cover conversions of the loyalty program points to any unit of value other than the different loyalty program points, wherein the serving of the set, the receiving, and the serving of the Web pages or Web page updates that include the effectuated changes occurs during a single human-to-machine interaction session, wherein the processing performs a transformation that changes the first quantity of loyalty program points in the first account into the second quantity of different loyalty program points in the second account, wherein the transformation changes a physical medium utilized to store respective value from that used for the first account to that used for the second account, wherein the transformation further changes a state of a thing being transformed as transformation necessarily triggers accounting and tax events for both the entity and the commerce partner as values in the first account and in the second account are altered, wherein before the transformation, an inherent property of the first quantity of the loyalty program points did not permit the member to purchase goods/services that the commerce partner provides due to redemption restrictions imposed by the terms of the first loyalty program, wherein after the transformation an inherent property of the second quantity of the different loyalty program points of the second account permits the member to purchase the goods/services that the commerce partner provides by expending the second quantity of the different loyalty program points of the second account, wherein after the transformation, the second quantity of different loyalty program points in the second account are not subject to terms, conditions, or restrictions of the loyalty program, but are instead subject to those of the different loyalty program controlled by the commerce partner.

8. The method of claim 7, wherein the computer is a special purpose computer comprising hardware and software for serving Web pages of a Web site accessed via the client-side browser.

9. The method of claim 7, wherein the Web pages served by the computer are Web pages of a Web site controlled by the entity for the loyalty program.

10. The method of claim 7, wherein the Web pages served by the computer are Web pages of a Web site controlled by the commerce partner for the different loyalty program.

11. The method of claim 7, wherein the updated graphical user interface shows a quantity of different loyalty program points resulting from converting the first quantity of loyalty program points into the second quantity of different loyalty program points in accordance with the fixed ratio of the mutual agreement.

12. The method of claim 7, wherein the commerce partner is differentiated from other open market entities based at least in part on the commerce-based relationship between the entity and the commerce partner such that entity is able to satisfy consumer behavior shaping goals of the loyalty program as applied to the member while permitting the converting per the mutual agreement, wherein said consumer behavior shaping goals are compromised if unrestricted conversions, baselined in accordance with the fixed ratio, of the loyalty program points were permitted with the other open market entities.

13. A system comprising:

one or more processors;

one or more non-transitory storage mediums comprising program instructions able to execute on the one or more processors, wherein execution of the program instructions by the one or more processors;

converts a first quantity of loyalty program points of a loyalty program possessed by the member held in a first account to a second quantity of different loyalty program points possessed by the member held in a second account in accordance with a fixed ratio, wherein the loyalty program points and the different loyalty program points are non-fungible, non-negotiable units of exchange, wherein the loyalty program is a loyalty program of an entity, wherein the different loyalty program is a different loyalty program of a commerce partner, wherein the entity and the commerce partner are different legal entities and are not parent or subsidiary entities of each other, wherein converting by execution of the program instructions is explicitly permitted by terms of a mutual agreement established between the entity and the commerce partner, wherein the converting of the loyalty program points to the different loyalty program points both possessed by the member, who is necessarily a member of both the loyalty program and of the different loyalty program, occurs in accordance with terms defined within the mutual agreement, wherein terms of the mutual agreement define the fixed ratio, wherein applicability of the mutual agreement is confined to conversions between the loyalty program points and the different loyalty program points such that the mutual agreement does not cover conversions of the loyalty program points to cash valuations and does not cover conversions of the loyalty program points to any unit of value other than the different loyalty program points; and

responsive to the converting;

(i) subtracting the first quantity of loyalty program points from the first account;

(ii) adding the second quantity of different loyalty program points to the second account; and

(iii) the entity compensating the commerce partner in accordance with a compensation amount defined by the mutual agreement,

wherein execution of the program instructions that converts the first quantity into the second quantity performs a transformation that changes the first quantity of loyalty program points in the first account into the second quantity of different loyalty program points in the second account, wherein the transformation changes a physical medium utilized to store respective value from that used for the first account to that used for the second account, wherein the transformation further changes a state of a thing being transformed as transformation necessarily triggers accounting and tax events for both the entity and the commerce partner as values in the first account and in the second account are altered, wherein before the transformation, an inherent property of the first quantity of the loyalty program points did not permit the member to purchase goods/services that the commerce partner provides due to redemption restrictions imposed by the terms of the first loyalty program, wherein after the transformation an inherent property of the second quantity of the different loyalty program points of the second account permits the member to purchase the goods/services that the commerce partner provides by expending the second quantity of the different loyalty program points of the second account, wherein after the transformation, the second quantity of different loyalty program points in the second account are not subject to terms, conditions, or restrictions of the loyalty program, but are instead subject to those of the different loyalty program controlled by the commerce partner.

14. The system of claim 13, wherein the commerce partner is differentiated from other open market entities based at least in part on the commerce-based relationship between the entity and the commerce partner such that entity is able to satisfy consumer behavior shaping goals of the loyalty program as applied to the member while permitting the converting per the mutual agreement, wherein said consumer behavior shaping goals are compromised if unrestricted conversions, baselined in accordance with the fixed ratio, of the loyalty program points were permitted with the other open market entities.

15. The system of claim 13, wherein execution of the program instructions that converts, subtracts, and adds occur during a single human-to-machine interaction session.

16. The system of claim 13, wherein the program instructions comprise special purpose instructions and/or specialized hardware for serving Web pages of a loyalty program to client-side browsers of members.

17. The system of claim 13, wherein the program instructions comprise special purpose instructions and/or specialized hardware for managing and maintaining the loyalty program.