Loyalty Engine for Automated Cause Marketing
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Solution Overview
Problem
Existing cause marketing systems lack flexibility in processing charitable donations, fail to maximize in-kind donations, and lack transparency and tools for merchants to measure the commercial benefit of their charitable contributions, leading to limited participation from both merchants and charities due to concerns about alienating customer bases and competition.
Innovation Solution
A loyalty program system that links multiple merchants and charities, allowing dynamic customization of in-kind donation rules based on business objectives, enables tracking and verification of donations, and provides a platform for members to view their donation activities and impact, using a web application and server computer connected to the Internet to manage and administer customized loyalty programs.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Adaptability or versatility
If prior art cause marketing systems are used, then charitable donations can be processed, but the system lacks flexibility in processing donations and cannot adapt to changing business objectives
Solution Approach 1:
The system implements dynamic donation rules that allow merchants to adjust donation parameters in real-time based on business objectives. The loyalty program platform enables merchants to modify donation amounts, percentages, and conditions without system redesign, transforming a static cause marketing system into an adaptable one that responds to changing commercial needs
Solution Approach 2:
The invention allows merchants to change key parameters of donation processing including donation amounts, percentages, time periods, and conditions. The system stores and processes variable parameters that can be adjusted by merchants according to their evolving business objectives, enabling flexible control over charitable contribution strategies
2Quantity of substance
If merchants provide in-kind donations, then donation value increases, but merchants lack tools to measure commercial benefit and track donation activities
Solution Approach 1:
The system implements comprehensive tracking and reporting mechanisms that provide merchants with feedback on donation activities, commercial benefits, and program effectiveness. Merchants can view detailed reports showing donation values, member participation, and correlation with business objectives, enabling data-driven decisions about in-kind donation strategies
Solution Approach 2:
The loyalty program platform acts as an intermediary between merchants and charities, facilitating transparent tracking of in-kind donations. The system records, verifies, and reports donation activities, providing both merchants and charities with visibility into donation flows, values, and impacts without requiring direct complex arrangements between parties
3Quantity of substance
If merchants participate in cause marketing, then charitable donations are generated, but merchants may alienate their customer base due to lack of flexibility
Solution Approach 1:
The system enables merchants to dynamically adjust donation rules based on customer preferences and business context. Merchants can modify which causes receive donations, what percentages are donated, and under what conditions, allowing them to align charitable activities with their brand values and customer expectations, thereby avoiding customer alienation
Solution Approach 2:
The invention allows different merchants within the same loyalty program to have customized donation rules tailored to their specific business objectives and customer bases. Each merchant can define local parameters for their charitable contributions, enabling differentiated approaches that resonate with their particular customer segments rather than imposing uniform donation requirements
Data Source
AI summary
A method, system and computer program for providing a loyalty engine for automated cause marketing. The method includes a loyalty program system administrator linking merchants and charities to the loyalty system. Members register with the loyalty engine through loyalty system which is accessible via the Internet. Once the merchants and the charities are linked and the members are registered, by operation of the loyalty engine, the merchants can create a customized loyalty program defined by a plurality of merchant defined rules for administering their loyalty program. The merchant defined rules instruct the loyalty engine as to which charities should receive in-kind donations in connection with one or more transactions by a member that is associated to the loyalty program. Once a loyalty system defined time period or donation threshold has been achieved, the loyalty system releases the donation in-kind to the specific charity. A system is also provided that consists of a server computer including the loyalty engine and the charity utility. The charity utility provides the functions of the method and is linked to a server computer that is connected to the Internet. The computer program of the invention is a web application that enables the members, charities, and merchants to access the functions of the invention via a web browser.