Payment Authorization Promotional Program Integration

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Solution Overview

Problem

Conventional systems do not utilize merchant verification values to provide immediate feedback to consumers at the point of sale, nor do they integrate these values with specific merchants and consumers for promotional programs such as rewards or contests.

Innovation Solution

Incorporating merchant verification values into the authorization process of electronic payment transactions to determine and execute merchant-specific promotional programs, such as rewards or contests, by receiving an authorization request message and sending a response message with promotional information to consumers.

Engineering Contradictions & Design Principles

VSEngineering Contradiction Analysis

1Productivity

If merchant identification values are used to assign interchange fees, then transaction processing efficiency is improved, but consumer engagement and immediate feedback are not provided

Engineering Contradiction:

Improvetransaction processing efficiencyVSAvoidconsumer feedback information

Core Design Contradiction:

ProductivityVSLoss of information

Solution Approach 1:

The patent combines the authorization process with promotional program determination and consumer feedback delivery into a single integrated transaction flow. The system merges interchange fee assignment, promotional program execution, and consumer notification into one unified process that occurs during authorization, eliminating the need for separate processing steps and providing immediate consumer engagement.

Inventive Principle:

Principle #5Merging (Combining)

Solution Approach 2:

The system implements immediate feedback to consumers by providing promotional program results and contest outcomes at the point of sale during the authorization process. Consumers receive real-time notifications about rewards earned or contest winnings rather than delayed feedback, creating an engaging customer experience while maintaining processing efficiency.

Inventive Principle:

Principle #23Feedback

2Speed

If conventional authorization processes are used, then transaction speed is maintained, but promotional programs and consumer engagement opportunities are lost

Engineering Contradiction:

Improvetransaction speedVSAvoidpromotional program capability

Core Design Contradiction:

SpeedVSAdaptability or versatility

Solution Approach 1:

The authorization system is enhanced to perform multiple functions simultaneously: it processes the transaction authorization, determines applicable promotional programs, identifies contest winners, and provides consumer feedback all within the same authorization request-response cycle. This multi-functional approach maintains transaction speed while adding promotional capabilities without requiring separate processing systems.

Inventive Principle:

Principle #6Universality (Multi-functionality)

Solution Approach 2:

The system determines promotional program eligibility and contest outcomes during the authorization process itself, before the transaction is completed. By performing these promotional determinations preliminarily during authorization rather than as separate post-transaction steps, the system maintains fast transaction speeds while enabling versatile promotional program execution.

Inventive Principle:

Principle #10Preliminary action

3Adaptability or versatility

If merchant-specific promotional programs are implemented with immediate feedback, then consumer engagement is enhanced, but system complexity increases

Engineering Contradiction:

Improvepromotional program targetingVSAvoidsystem architecture complexity

Core Design Contradiction:

Adaptability or versatilityVSDevice complexity

Solution Approach 1:

The patent introduces a promotional program determination system that acts as an intermediary between the authorization system and consumers. This intermediary component receives authorization requests, determines promotional program eligibility based on merchant identification values, and provides feedback to consumers. By using this intermediary layer, the system achieves sophisticated promotional program targeting without requiring complex direct integration between all system components.

Inventive Principle:

Principle #24Intermediary (Mediator)

4Measurement precision

If merchant verification values are integrated into authorization messages, then promotional program accuracy is improved, but message processing complexity increases

Engineering Contradiction:

Improvemerchant identification accuracyVSAvoidmessage processing complexity

Core Design Contradiction:

Measurement precisionVSDevice complexity

Solution Approach 1:

The merchant verification value is integrated into the existing standardized authorization message format used in electronic payment transactions. By using a homogeneous data structure that conforms to existing message standards rather than creating a completely new message format, the system achieves precise merchant identification while minimizing increases in message processing complexity. The verification value is incorporated into the familiar authorization request-response protocol.

Inventive Principle:

Principle #33Homogeneity

Data Source

PatentUS7844490B2Method and system for conducting promotional programs

Publication Date: 2010.11.30 VISA USA INC

AI summary

A method for using promotional programs and merchant values is disclosed. In one example, the method includes receiving an authorization request message including a merchant verification value through a payment processing network, where the authorization request message is associated with a purchase by a consumer. A merchant-specific promotional program is then determined using the merchant verification value, and the merchant specific promotional program is performed. For example, the promotional program can be a sweepstakes and the task may be determining of the consumer is an instant winner.