Digital media inventory control, distribution and destruction system

Abstract

The system (10) includes a digital media creator-destroyer apparatus (12) for receiving and storing digital media from a remote digital media source (20), for generating multiple transferable copies of the digital media, and for destroying unused copies of the digital media. The digital media creator-destroyer apparatus (12) is housed within a retail store (14) or similar outlet that displays transferable copies of digital media to end-user purchasers. The system (10) provides retailer control at a single store (14) level, regional or national (38) level of inventory, distribution and destruction of digital media, such as music, movies, video games, computer software, ring tones for cell phones, etc., stored on compact disks, digital video disks or other apparatus capable of storing and transferring digital media. Destroying unused copies eliminates cost inefficiencies of the retailer having to return unused copies.

Description

CROSS REFERENCE TO RELATED APPLICATION[0001]This application claims the benefit of U.S. Provisional Patent Application Ser. No. 60 / 523,239 that was filed on Nov. 19, 2003, entitled “Digital Media Inventory Control, Distribution and Destruction System”.TECHNICAL FIELD[0002]The present invention relates to a system for retail-based inventory control, distribution and destruction of digital media such as music, video games, movies, software, etc. that is capable of being stored in compact disks, digital video disks, memory components of computers, portable hand-held devices, etc.BACKGROUND ART[0003]It is well known that music, video games, movies, software, photographs, art work and any other information capable of being stored in a digital format (referred to herein as “digital media”) may be stored in the form of compact disks, digital video discs, computer and portable memory components, etc. for commercial distribution. The vast majority of commercial distribution of such digital m...

AI Technical Summary

Benefits of technology

This system reduces costs associated with returns and inventory management, enhances security against theft and unauthorized copying, and allows retailers to efficiently manage digital media inventory and distribution while maintaining consumer purchasing habits.

Problems solved by technology

Unfortunately, all of the known systems for commercial distribution of copies of digital media suffer from major cost and security inefficiencies.

Even the modern “kiosk”, computer menu-driven selection systems fail to provide for any retailer control of inventory.

The inevitable result of so many uncertainties is that the retail store invariably ends up with many SKUs that simply cannot be sold, along with, in some cases, returned SKUs from end-users, as is well known.

That involves regular re-packaging of the unsold and returned SKUs and transport of the many copies of the digital media back to the media source, with the attendant time consuming problems of physical and monetary accounting for the unsold SKUs between the media source and the retail store.

The accounting for and return of unsold SKUs presents significant security risks in potential theft of or accounting errors regarding the unsold and returned SKUs.

Additionally, while the unsold SKU's are resident at the retail store, the store loses valuable storage space that could otherwise be productively utilized.

The returned SKUs also pose significant cost challenges to the media source, that typically repackages the SKUs for distribution to higher sales retail outlets, or for discounted sales under different marketing efforts, etc.

Additionally, conventional systems for commercial distribution of digital media require frequent, time consuming, costly estimates of numbers of various SKUs of digital media to order and store in retail stores.

Moreover, none of the existing commercial distribution systems provide for meaningful security against unauthorized commercial copying of digital media.

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