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Customer Loyalty Reward System for Retail Stores

IP.com Disclosure Number: IPCOM000004525D
Publication Date: 2001-Jan-12
Document File: 2 page(s) / 9K

Publishing Venue

The IP.com Prior Art Database

Abstract

The present invention is a customer loyalty reward system for retail stores. Customer purchases are automatically recorded from billing information and stored in a customer reward database that records the total purchasing activity of the customer at the retail chain.

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Customer Loyalty Reward System for Retail Stores

Retail stores have strong incentive to create a base of loyal return customers to support their establishment. One means of providing customers incentives to return is by creating direct incentives such a loyalty rewards, where the customer receives discounts or free items once they have purchased a pre-determined amount of merchandise. Conventional loyalty reward systems such as those providing consumer discounts for using a retailer's credit card can be inconvenient and time consuming to join resulting in relatively low rates of consumer participation.

The present invention is a customer loyalty reward system for retail stores. Customer purchases are automatically recorded from billing information and stored in a customer reward database that records the total purchasing activity of the customer at the retail chain.

Figure 1 customer loyalty reward system for retail stores

In Figure 1 customer loyalty reward system for retail stores 100 is shown. The customer purchases items using billing system 110. Billing system 110 allows identification of the customer when the purchase is made by electronic means, as well as for the manual entry of the customer's identity. If unique identification of the customer is achieved, billing system 110 transmits data on the purchased items, their cost and the identity of the purchaser to C.P.U. 120. C.P.U. 120 adds records of current purchase to customer purchase database 140 and to customer loyalty database 130. C.P.U. 120 then retrieves information on total previous purchases of customer from customer loyalty database 130 and determines if the customer is entitled to rewards under the rewards program. C.P.U. 120 transmits rewards status to billing system 110, which provides written of visual information on reward status for the customer. In addition purchase database 140, can be use to determine the customer's preferences and purchase pattern, so that customer's rewards can be tailored to the individual customer.