Virtual Credit Card Application for Retail Payment Automation
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Solution Overview
Problem
Consumers often face difficulties when attempting to make purchases at point of sale due to misplaced payment mechanisms, and retailers struggle to provide immediate and personalized offers to customers effectively.
Innovation Solution
A downloadable retail card application that functions as a virtual credit card, allowing users to manage credit accounts and receive location-based promotions, enabling seamless transactions and personalized offers by integrating with microlocation devices for Bluetooth connectivity and analytics engines to track consumer behavior.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Loss of time
If a physical credit card is used for payment, then the transaction can be completed, but the consumer may not have the card ready or may misplace it causing delays
Solution Approach 1:
The patent creates a digital copy of the credit card functionality through a mobile application. The virtual card stored in the mobile device replicates all essential payment functions of a physical card, eliminating the need to carry or locate a physical card while maintaining full payment capability.
Solution Approach 2:
The patent replaces the mechanical/physical credit card system with an electronic/digital system. Instead of using a physical plastic card that requires manual handling and storage, the system uses electronic data storage and wireless communication protocols to enable contactless payment transactions.
2Loss of information
If traditional offer delivery methods are used, then offers can be communicated to consumers, but the offers cannot be delivered immediately or personally at the point of purchase
Solution Approach 1:
The system pre-loads promotional offers and rewards information into the mobile application before the consumer reaches the point of purchase. This preliminary preparation ensures that relevant offers are immediately available on the consumer's device when needed, eliminating delivery delays.
Solution Approach 2:
The mobile device acts as an intermediary between the retailer's offer system and the consumer. It receives, stores, and displays personalized offers directly to the consumer at the point of purchase, enabling immediate and personal delivery of promotional information without requiring traditional communication channels.
3Ease of operation
If a virtual card application is implemented, then payment convenience is improved and immediate offer delivery is enabled, but the system complexity increases with integration of microlocation devices and analytics engines
Solution Approach 1:
The mobile device serves multiple functions within the payment system: it stores the virtual card, provides location services through microlocation devices, delivers personalized offers, and enables communication with the analytics engine. By leveraging the existing multi-functional capabilities of smartphones, the system avoids adding separate dedicated devices for each function.
Solution Approach 2:
The system utilizes the mobile device's own built-in capabilities (GPS, accelerometer, communication protocols) to provide location-based services and offer delivery. Rather than requiring extensive external infrastructure, the mobile device serves itself by leveraging its inherent sensors and connectivity to enable the enhanced payment and marketing functions.
Applied Scientific Principles
This section explains which scientific principles are used to turn an abstract innovation direction into a practical engineering solution.
Function Achieved in This Case
Facilitates timely and user-friendly transactions by providing a customizable mobile payment system that offers personalized promotions and incentives, enhancing customer satisfaction and sales for retailers.
Implementation Method 1
integrating with microlocation devices for Bluetooth connectivity
Data Source
AI summary
An application platform configurable for collecting user data associated with a plurality of retail-branded credit cards is provided. The application platform includes a configurable front end comprising a graphical user Interface layer that is configurable to a specific one of the plurality of retail-branded credit cards, a backend layer comprising credit card functionality for directly performing credit card transactions associated with a specific one of the plurality of retail-branded credit cards, a data collection layer comprising a data collector for collecting user data associated with the plurality of retail-branded credit cards and an analytics engine coupled with the data collection layer for determining one or more attribute about a user from the user data associated with the plurality of retail-branded credit cards.