Controlling a Network Based System for Commercial Transactions
The present invention concerns a method for controlling a data network based system for offering and procuring articles or services between a user and a supplier in a sup- plier chain situated at a physical location.
On the international network for data transmission, Internet, especially via World Wide Web, a fast growing exchange of information occurs between users connected to the network. The information exchange also comprises trading between users as po- tential buyers and suppliers of different services and goods. Trade distances are reduced by the Internet in the sense that communication between users and suppliers is independent of the distance between them.
This has caused a considerable and fast growing trade over the net, where the con- sumer orders and pays for an article which is then delivered to the customer by mail, for software, however, often directly via Internet. The trade may also comprise a service, as for example delivery of information.
In many areas the Internet trade thus advantageously substitutes looking up the offers and prices by telephone where a potential customer is calling to different suppliers.
Furthermore, by Internet base trade it is often possible to see a picture of the article, which is an advantage.
The Internet trade, however, does not substitute the trading in a physical business where the goal-oriented guidance of a competent salesman may recognise the needs of a customer much faster and thereby prevent faulty purchases. For example, by Internet trade, where the article is forwarded to the consumer, the user cannot see and feel the articles before the purchase which may lead to unpleasant surprises for the user.
In spite of the advantages connected with Internet trade, it thus implies a considerable deficiency.
Systems for trading on data networks, for example Internet, exist and are described in patent publications EP 921 665 and US 5,664,115.
In European patent application EP 921 665 is described a network base circulation system for information for electronic trade. This system is a communication circulation system which receives a message from a user, where the message is addressed to a certain area of interest for the user. The communication system is circulating this message until it has been deleted or until a corresponding area of interest of another user has been found after which a communication between these two users is estab- lished.
In connection with trading this system has a number of drawbacks which are best illustrated by a very simplified example. Imagining a user being interested in buying a telephone, it will be obvious to let the previously mentioned circulation message be "telephone". In this case the user, however, is liable to be overwhelmed by information concerning anything in connection with a telephone, such as telephone directories and subterranean telephone cables.
This communication system thus requires of the user that he considers and plans his inquiry in a well-considered way and in limited form. The user may thus also send a message, such as "purchase of telephone". In this case the message will be clearly delimited but the customer will probably not come into contact with advantageous leasing or telephone rental firms, an information which the customer, in case he was aware of its existence, possibly could draw positive advantage from.
Another drawback of the system is that the customer has to contact a number of telephone suppliers and to discuss telephone models, properties and price with each of them in order to find the best offer, a long and tiresome process for the consumer, especially if he has not been able to delimit his request sufficiently.
A third disadvantage is that the customer cannot examine the article before purchase as the case would be if he saw it in a shop. The discussions with the salesman and ad-
vice together with direct comparison with different articles connected therewith are not possible. This example is far from exhaustive, though illustrating the drawbacks connected with it.
US 5,664,115 describes an interactive computer system for bringing together sellers and potential buyers of property. A user defines his wish to buy property on the network, after which this wish is forwarded as electronic data to the estate-agents connected to this system, where the estate-agents considers the wish and possibly make an offer for a property. Together with the wish of the potential buyer the estate-agent re- ceives information about the economic circumstances of the buyer so that the estate- agent can decide beforehand whether the buyer is sufficiently interesting to be given an offer.
This system has also a number of disadvantages. First, the potential buyer in this sys- tern is not anonymous which will discourage may potential buyers from utilising this network based system.
Second, it is questionable if this system really will gain wider acceptance since a customer, in order to get an offer, is to let others, in the first place anonymous firms and persons, get access to his private economy, which is a very sensible area. Therefore, this system is very problematic in marketing and a subsequent success is dubious.
It the object of the present invention to indicate a method for controlling a technical, network based system for offering and procuring articles or services relieving the previously mentioned disadvantages and which combine the advantages of looking up information on Internet with the advantages connected with the personal service given directly at a supplier, preferably a retail store. Furthermore, the system is simultaneously to be used as information service and as data register for marketing analysis.
According to the present invention, this object is achieved by a method as stated in claim 1.
In connection with the invention a user is understood as a user connected to the system in the form of a registration, a subscription or the like.
The technical system according to the invention will be described in the following as a system for trade between user and supplier in the form of a retail store, but the system is not limited to commercial use. For example, the system may also be applied to a user borrowing books from a library or for procuring services e.g. from hospitals where no kind of money transfer occurs and where the user visits the physical location of the service.
Furthermore, the transaction system is described as being based on the Internet. However, there will be a possibility of using the system on another network if this appears suitable.
It is not the immediate intention to use the system for buying on the Internet with mailing of the purchased article, but in principle it may also be used for that.
The invention is a technical, network based system for transactions between users having access to a data network, preferably Internet via an electronic apparatus, e.g. a computer system or cable-based television (Web-TV), and retail store chains connected to the network and having retail store at different geographical locations.
The transaction system functions in that the user via computer system, e.g. his home computer, or via a Web-TV apparatus, sends a inquiry to the control centre, after which the control centre forwards this inquiry to the retail store chains connected to the transaction system and which according to a database in the control centre may reply to the inquiry with great probability. The retail store chain then sends a reply back to the control centre which forwards this reply together with the address of the retail store in the retail store chain in question being closest to the user. Through the information sent to the user, e.g. an offer for a certain article, the user is invited to visit the retail store for additional information or for buying the article directly.
By certain inquiries about information, the reply information is sent directly from the control centre to the user. This is the case if the inquiry is about information, e.g. general offers, stored in the data store of the control centre.
The transaction system according to the invention makes possible for the user to look up information about certain goods and to compare the goods from different retail chains through his home computer. This replaces the often tiresome work with visiting different stores and obtaining information from many different places. At leisure and at a suitable time, e.g. after work and when the children have been put to bed, the user can make a preliminary study of the offers and the prices. In certain cases this will be sufficient for a user to find the desired article. In other cases it will provide the user with a first hand impression of the possibilities so that the user may consider his needs more purposefully after which he can visit the store and receive more goal-oriented advice finally leading to purchase of a certain article.
Alternatively, the advice in the store may also lead to the user's redefining his needs in connection with purchasing articles. In both cases there is achieved an optimum satisfaction of the needs of the user in connection with buying articles simultaneously with minimising the work in connection with finding and selecting and purchasing an arti- cle.
For the retail store chain the transaction system is a great competitive advantage as compared with purely Internet-based business as the transaction system according to the invention combines the article information search by Internet so expedient for the user with the personal contact to the user/customer in the retail store where the customer both may be given advice and thereby become more satisfied with the purchase and may be notified of other articles, resulting in greater turn-over in the retail store.
The user is anonymous for the retail store chain. This gives protection for the user against direct application to the user from the retail store chain ensuring that the user may collect offers from several retail store chains before the user decides to visit a retail store in one of these retail store chains. Furthermore, the users' avoiding using
the transaction system due to unwillingness to lay open their identity on the Internet is prevented.
The identities of the users are unknown to the transaction system except for an identi- fying designation, which user himself chooses and indicates when registering to the transaction system, and an internal number corresponding to this identifying designation for quick identification in the system. Furthermore, the electronic postal address (e-mail address) is known together with the postcode of his living place. The e-mail address is used for sending information material to the consumer. The postcode is used for referring the user to the geographically closest retail store in the retail store chain.
In this way the user is ensured a large degree of anonymity, thereby securing the user against abuse of his more personal data.
In order to ensure the user against abuse from third parties, the user is assigned a per- sonal subscription number (pin-code) to be presented on request when registering at the transaction system. Besides, a receipt for each inquiry is sent to the e-mail address of the user.
The information search of the user is stored in a register in the transaction system to- gether with the offers sent to him. These data may be extracted on request, e.g. in the form of a table, and used in connection with a marketing analysis for finding the needs of customers and for optimising the marketing initiatives of retail store chains. Optimising the marketing analysis comprises frequent questionnaires for the users.
Besides the described article inquiry function, the transaction system also has other interesting functions for the user. A user connected to the transaction system may thus subscribe to a service for offers. By this service the user is frequently provided a number of offers in different categories of articles selected by the user. This function is an alternative to paper based marketing where households are supplied with large amounts of advertising on printed paper several times a week. Thereby the user's irritation caused by flipping through large amounts of advertising for finding a relevant offer in a certain category of interest is reduced. Besides, the goal-oriented, digital
communication between user and the physical store is also environmentally desirable because the user may opt out of receiving the printed paper advertising and still receive information that is relevant for the user.
Another function provided in connection with the offers is a calendar function. Here the user may write special days into a calendar associated with the transaction system. At the same time, the user may choose to be notified of these special days by sending the user an e-mail some time, e.g. a few days, before the special day. The user may simultaneously request to receive special offers in connection with these special days. For example, a special day could be the wedding anniversary of the user. In that connection, the user chooses e.g. to be notified a couple of days before at the same time with some relevant proposals for products and offers in connection with gifts to the spouse.
These special days also form a part of the register containing the user's data. The data could serve as statistical feedback for the retail stores for designing marketing strategies depending on the type of consumer, the time, etc.
The invention will be described more closely in the following with reference to the drawing, where:
Fig. 1 is a block diagram of a transaction system according to the invention, Fig. 2 is a block diagram of the control centre,
Fig. 3 is a diagram of the data store of the control centre with description of exam- pie data registers and records belonging to them,
Fig. 4 is a diagram of a transaction between a user and a supplier with the control centre as intermediate link, Fig. 5 is a schematic flowchart for some of the actions carried through when a user sends an inquiry, Fig. 6 is a schematic flowchart for example actions in the control system when receiving a new inquiry, and
Fig. 7 is a schematic flowchart for example actions in computer systems of retail store chains when receiving an inquiry.
Fig. 1 is a block diagram of the technical means in a transaction system 1 according to the invention. The transaction system consists of a computer system in the form of a control centre 2 which via an electronic data network 3 is connected to a number of electronic apparatuses 4, preferably computer systems or Web-TV apparatuses operated by users that are connected to the transaction system via the network, and to other computer systems 5 connected to retail store chains which are connected to the trans- action system 1 via the network. There is no direct connection in the transaction system between the computer systems of the users and the retail store chains; all communication therebetween takes place through the control centre 2.
Fig. 2 is a block diagram of the control centre 2 which is a computer system connected to the network. The control centre 2 comprises a controller 7 (comprising e.g. CPU,
ROM), I/O interfaces and I/O devices 8 (comprising e.g. printer, display, keyboard), data store 9 (comprising e.g. RAM, harddisk, CD-ROM, tape), together with other units 10 (comprising e.g. modem), which are mutually connected. In the control centre, communication and data processing is controlled by an operating system (not shown).
Fig. 3 a shows a diagram of the data store 9 comprising a number of data registers. In the following an example of an embodiment comprising three data registers is shown, where the first data register 11 contains information about groups of goods divided into categories. With each category is associated one or more supplier chains.
Fig. 3b shows a diagram of the first data register 11 from the data store 9. This register is divided into categories 111 which may be supercategories 112 or subcategories 113 at several levels. A category may e.g. be "House & Garden". Under this category is found e.g. "Kitchen Equipment" as a category. This category may in turn be divided into several sublevels. An element 114 in this register is a number of data, a so-called record, which is divided according to levels of categories. Such a record is shown as
example in table form in Fig. 3c with the data "House & Garden" 115, "Kitchen Equipment" 116, "Refrigerators and Freezers" 117, "Jensen's White Goods" 118, "Address of Goods" 1 19, where "Refrigerators and Freezers" 117 is a subcategory of "Kitchen Equipment" 116, and the retail store chain "Jensen's White Goods" 118 is associated with the category "Refrigerators and Freezers" 117. Besides, in this record there is a further address of reference, "Address of Goods" 119, for information material about a certain kind of goods or a certain article. This information is typically stored in the second data register 12. "Jensen's White Goods" 118 may also be associated with the category "Kitchen Equipment" 116, and all subsequent lower levels under "Kitchen Equipment" 116.
The other data register 12 in Fig. 3 a contains other information related to different goods in different groups of goods. Examples of such information are informations related to single articles, or information about special offers for goods.
In the second data register 12 there are records or tables as shown in Fig. 3d. An example is Refrigerator 121, make 122, model 123, colour green 124, quotation 125, retail store chain 126, and further information 127 as for example an address that may be called from the other registers. If, for example, a user is searching in a subcategory there is a possibility of notifying this user of possible offers, whereupon he may look at these offers at request. These offers also form a part of a subscription which the user may order if the user is interested in seeing these special offers within a group of goods or a category.
The third register 13, see Fig. 3a, contains information about users connected to the transaction system, information about the retail store chains connected to the transaction system, information about physical location of each single supplier in the supplier chains, information about inquiries from the users for articles, information about reply information from the retail store chains, and further information related to the transac- tion system. These informations are stored as records in the same way as in the registers 11 and 12 and are mutually addressed so that, for example, the users' different
inquiries may be related to different groups of goods, supplier chains, time, and so on, which may form the basis of a consumer study and market analysis.
A record for a user is e.g. designed a shown in Fig. 3e. A user is thus identified via an internal number 131, a name 132 chosen and recognisable by the user himself, the e- mail address 133 of the user to which the information material is sent from the control centre, postcode 134 so it is possible to select the retail store in the retail store chain being closest to the user, together with other data 135 peculiar to the user, which are e.g. the period of time the user desires to be connected to the transaction system if he desires to receive offers and special information material in certain categories.
Corresponding records are found in this third data store 13 for the remaining information. The content and the size of the respective records may vary much.
Fig. 4a is a diagram of a transaction between a user 20 and a retail store chain 21 by means of computer systems 4 and 5 with the control centre 2 as intermediate link. Alternatively, the computer system 4 is substituted by so-called Web-TV which is a TV apparatus connected to the data network. By visiting a network address, preferably an Internet page, from the transaction system and by requesting connection by filling out an Internet form sent 28 via the network to the centre, the user 20 is logged onto the transaction system in period of time chosen by the user, e.g. one month. Together with the logon the user is assigned and provided 29 a security code to be used by the user each time he sends an inquiry. In this way the user is secured against abuse by third parties.
Then the user may request receiving information material about a certain article in a category. The user's inquiry is sent as a structured data file 21 via the network to the control centre 2. In the control centre this data file 21 containing data about the user, like e-mail address, is changed to a new data file 22 which is anonymous, i.e. it does not contain any data about the user except for an internal identification number known to the control centre. The new anonymous data file 22 is forwarded to computer systems 5 in the retail store chains 23 connected to the transaction system and which are
associated with the category of goods selected by the user. In the retail store chains 23 the inquiry is processed manually or in the computer system, and relevant information material, e.g. a quotation for an article, is returned to the control centre in the form of a data file 24. In the control centre 2 this data file 24 is converted to a new data file 25 according to a pre-scribed format which is then sent to the user's e-mail address together with the address of the retail store in the retail store chain 23 closest to the user. In case of several retail stores within the area defined by the postcode of the user, several addresses of retail stores are sent to the user 20. Other information about the retail store, like opening times, may be sent together with the address of the store. Informa- tion about the transaction is stored simultaneously with this transaction in respective registers 11, 12 and 13 in the data store 9.
It is also possible that the user looks for information, e.g. the latest offer, which is stored directly in register 12 in the memory 9 of the control centre. In this case an in- quiry in the shape of a data file 21 is sent to the control centre 2 which makes a direct reply to the inquiry in the form of a data file 25 being sent to the e-mail address of the user.
Fig. 4b is a diagram of a transaction between user and control centre shown in more detail. The user interface 30 displays documents by means of a HTML-translator and performs actions between the user and the transaction system. For example, documents with the different groups of goods are displayed to the user, and the user may choose between the different documents and make an inquiry.
Typical HTML-translators are supplied as so-called browsers from e.g. the firms
Netscape or Microsoft, but it may also be via TV-apparatuses connected to cable television which may provide internet services (Web-TV). The Internet server 31 provides and translates computer system language to HTML and HTML to computer system language by e.g. Active Server Pages (ASP). In the control centre 2 different program objects 32 process and manipulates the data flows between Internet server and the data registers 33. After processing an inquiry from a user, the reply information is sent to the user's e-mail address 34.
Fig. 4c is a diagram of the transaction between the control centre in the transaction system and the computer system of the retail store chain. Data files of inquiries 41 are received in the computer system after which the data files are processed automatically by the operating system with associated programs 42. The registers in the data store 43 are used in the processing in the computer system of the retail store chain. A data file containing the result 44 from the computer system of the user's inquiry with addition of automatically generated reply data is generated. In some cases there is possibility of manual processing 45 which may adjust the reply data according to need. Finally, the data file is returned to the control centre 2.
In Fig. 5a is shown an example of a schematic flowchart for some of the actions performed when a user is sending an inquiry. The numbers refers to the following terms:
201 : Information about the transaction system 202: Selection of category
203: Inquiry?
204: Previously registered user?
205: Login
206: Fill in form about new registered user 207: List of inquiries
208: Retain inquiries?
209: Delete selected inquiries
210: New inquiry?
211 : Logout 212: Make new inquiry
213: E-mail receipt
214: Send inquiry to supplier
215: Cancel inquiry at supplier
216: Storing of data
By visiting the network address, preferably an Internet page 201, the user may read about the functions of the transaction system. The user is simultaneously informed about the categories. The user may then call the different subcategories 202.
If the user desires to send an inquiry or to check or to change inquiries 203, this function is activated e.g. by the user activating a virtual button on the Internet page. Then 204 is asked if the user is registered as connected to the transaction system. If this is not the case, the user is first to fill out a form on the Internet page 206 before he can make an inquiry 210. If the user is registered at the transaction system, the user may be logged on the transaction system 205 whereupon the user is presented with a list
207 of his already existing inquiries, and the user has to decide whether they are to be retained 208 or they have to be deleted. In case of some selected inquiries being deleted 209, the user is presented with the new list of existing inquiries 207. Simultaneously with the deletion of inquiries, the control centre sends a notification 215 con- cerning cancellation of the inquiry to the respective suppliers and to the data store 216.
If the inquiries are retained, the user is asked if he will send a new inquiry 210. If not, the user is logged out of the page 211. If the answer is in the affirmative, the user is to make the inquiry 212, possibly comprising activation of some virtual buttons for facilitating the user's work with making the inquiry. The inquiry 212 also comprises possible choice of new category. Then the inquiry is sent to the retail store chains associated with the category 214 concerned, and a receipt for the inquiry is sent to the user's e-mail address 213. The data are read and stored in respective registers in the data store. Subsequently the user is presented with the new list 207 of inquiries after which the last actions are repeated.
Fig. 6 is a schematic flowchart for example actions in the control system when receiving a new inquiry. The numbers refer to the following terms:
220: Actual inquiry about goods ? 221 : Receive choice of category
222: Receive drawn-up inquiry 223: Storing of data
224: Inquiry is sent to category associated supplier
230: Offer?
231 : Receive choice of category 232: Storing of data
233: Information is sent to the e-mail address of the consumer
240: Calendar function ?
241: Receive changes in the calendar 242: Receive user's affirmation of changes
243: Selecting period of time for notification before the special day
244: Gift ?
245: Storing of data
246: Receive indication of special day 247 : Receive category of goods
250: Other types of inquiries ?
The inquiries 212 may be actual price or information inquiries in connection with the desire for purchase of an article. If the inquiry is an article 220, the control centre receives a choice of category 221 from the user. An example is an inquiry for a certain refrigerator in the subcategory "Refrigerators and Freezers". The inquiry itself is made by the user himself 222 by activating virtual buttons in a specially designed menu on the page and by formulating a text file in a virtual window designed for that on the page. Then information about user and the inquiry is stored in the data store 223 and the inquiry is sent 224 to the retail store chains connected thereto simultaneously with a receipt for the inquiry being sent 233 to the user's e-mail address.
If the inquiry 212 does not concern an article 220, it is examined 230 if the inquiry concerns special offers, e.g. a subscription to information material about offers for goods in a category of goods being sent continuously to the user within a certain period of time without further request. If this is the case, data are received in connection
with a choice of category 231, and the inquiry is stored 232 in the data store and possible current information material related to the inquiry is sent 233 to the user per e- mail.
If the inquiry does not concern special offers 230, it is considered 240 if the inquiry concerns sending reminders in connection with special days that are marked by the user in a calendar intended for the user in the transaction system. If this is the case, changes in the user's calendar are requested 241. After the user's changes, the user has to confirm 242 the changes after which the user chooses 243 the period, e.g. three days, before notification by e-mail about this special day. An example is reminder about the user's wedding anniversary where the user a couple of days before is sent an e-mail with the reminder from the transaction system.
Reminders of this kind may also be accompanied with offers for suitable gifts in con- nection with the special days. Therefore, the user is asked 244 if the special day is to be accompanied with a gift proposal. If no, the data 245 are stored and it is asked 210 (see Fig. 5) if the user wants to make new inquiries. In the case that the special day is to be accompanied with gift proposals, the user has to indicate 246 the type of special day, e.g. wedding anniversary, and one or more categories of goods 247 from which offers will be selected in connection with the notification. E.g. notification about the wedding anniversary will be sent to the user by e-mail with gifts to the wife, inter alia bouquets from a flower shop close the home of the user, the flower shop being associated with a flower shop chain connected to the transaction system. Finally the data 245 are stored in the data store of the control centre, and it is asked 210 (see Fig. 5) if the user wants to make new inquiries.
If the user's inquiry does not concern the calendar function either, the selection of the inquiry type is continued according to the same principle depending on the number of different types of inquiry.
Fig. 7 is a schematic flowchart for example actions in the computer system of the retail store chain when receiving an inquiry. The numbers refer to the following terms:
260: Received inquiry 261: Does cancellation of inquiry exist ? 262: I/O for manual processing 263: Is article or information found ? 264: Make offer/information
265: Send offer/information to the centre
266: Data are stored
267: Do alternatives exist ?
When the computer system of the retail store chain associated with a category in the control centre receives an inquiry 260, this is processed either automatically by using a particularly adapted computer program that is adapted to the product/information registers of the retail store chain according to the directions of the retail store chain, or manually by an employee at the retail store chain making the selection from the regis- ters of products/information of the retail store chain and adapting the offer to the inquiry. When receiving an inquiry 260 it is considered if a cancellation 261 of the inquiry exists. This could be the case if the user has sent an inquiry and immediately after has cancelled his inquiry (cf. 209 in Fig. 5). Is that the case, nothing is done, and the next inquiry 260 is processed.
If no cancellation exists, it is considered by means of the operating system if information fitting to the inquiry 263 is found, e.g. if there is an article in the assortment and the price of the article. If this is the case, the information or an offer 264 is made and then sent to the control centre 265 and stored 266 in own data store. Then the next inquiry 260 is processed.
If information for the inquiry is not found, e.g. the article is not found in the assortment, it is considered if alternative information in the computer system 267 exists, e.g. if alternative goods are found. If this is the case, the information or an offer 264 is made which is then sent to the control centre 265 and stored 266 in own data store. If no information is found for the inquiry, the inquiry is sent to manual processing in the retail store chain 262 by means of the I/O system (input/output).
The network base system according to the invention is primarily a technical system for procuring goods between users and the retail business. However, the system has a number of further options that makes it an all-round tool both for the user, who may also use the system as a general system of information, and for the retail business, which by means of the information stored in the control system may examine user behaviour on the market and design marketing strategies from this.