Intelligent Coupon Network POS Validation
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Solution Overview
Problem
The manual processing of coupons is labor-intensive for consumers, retailers, and manufacturers, and does not provide timely market intelligence, with errors in printing and manual clearing processes affecting marketing insights and reimbursement timelines.
Innovation Solution
A network-based system and method for validating and redeeming coupons using non-optically readable coupon cards, where coupon information is read at a Point-of-Sale terminal, transmitted to a server, validated, and redeemed, providing real-time data and market intelligence to manufacturers.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Loss of time
If manual coupon clearing is used, then consumers can use traditional coupon distribution methods, but processing is labor-intensive and market intelligence is delayed for weeks or months
Solution Approach 1:
The patent replaces the manual mechanical process of clipping, organizing, and clearing paper coupons with an automated electronic system. Magnetic stripe cards are read by POS terminals, which automatically transmit data through the network to manufacturers, eliminating manual labor and reducing processing time from weeks/months to seconds.
Solution Approach 2:
The patent introduces magnetic stripe cards as an intermediary between consumers and the coupon processing system. These cards store coupon information magnetically and serve as the medium that enables automated data capture at POS terminals, replacing the need for manual handling of paper coupons.
2Loss of information
If extended barcodes are used to provide marketing intelligence, then manufacturers can receive coupon data, but retailers do not capture this information and it is only available after manual clearing completes
Solution Approach 1:
The patent establishes continuous real-time data flow from POS terminals directly to manufacturers through the network. As soon as a coupon is redeemed and the magnetic stripe card is read, the information is immediately transmitted and processed, eliminating interruptions and delays inherent in manual clearing processes.
Solution Approach 2:
The patent implements immediate feedback loops where POS terminals provide real-time coupon redemption data to manufacturers through automated network transmission. This allows manufacturers to receive and act on marketing intelligence instantly, rather than waiting for the completion of manual clearing processes.
3Reliability
If traditional paper coupons are used, then consumers can receive coupons through mail and newspapers, but errors in printing can last for the duration of a promotion
Solution Approach 1:
The patent transforms static printed coupon information into dynamic, updateable magnetic stripe data. Coupon information stored on magnetic stripe cards can be modified or corrected by updating the database, allowing immediate correction of errors without waiting for promotion end or reissuing physical materials.
Solution Approach 2:
The patent performs preliminary validation and verification of coupon data in the centralized database before it is transmitted to POS terminals. This preliminary check prevents erroneous information from being distributed, and any errors that do occur can be corrected in the database before affecting ongoing promotions.
Data Source
AI summary
A system for redeeming coupons comprises a network; a Point-of-Sale (POS) terminal communicatively coupled to the network; a server communicatively coupled to the POS terminal; wherein the POS terminal transmits first coupon information from a coupon card read at the POS terminal to the server via the network.