WO2001084280A2

WO2001084280A2 - Fully integrated, on-line interactive flexible rewards program

Info

Publication number: WO2001084280A2
Application number: PCT/US2001/040635
Authority: WO
Inventors: Mark W. Daly
Original assignee: Daly Mark W
Priority date: 2000-05-01
Filing date: 2001-05-01
Publication date: 2001-11-08
Also published as: AU2001259810A1; WO2001084280A3

Abstract

A system for implementing an online flexible rewards program. The system tracks promotion response and/or transaction activity initiated by program users in a user account. The system also allows users to transfer account data to a sub-account in order to receive an award associated with a sub-account.

Description

80 _j

FULLY INTEGRATED, ON-LINE INTERACTIVE FLEXIBLE REWARDS PROGRAM

Cross Reference to Related Application

This application claims priority from U.S. Patent Application Serial No. /562,101, filed May 1, 2000, and is incorporated herein in its entirety.

BACKGROUND OF THE INVENTION 1. Field of Invention

The present invention relates to a fully-integrated, on-line, interactive frequency and rewards redemption program utilizing transaction purchases and promotion responses via business to business and/or business to consumer internet commerce platforms, internet sites and traditional commerce platforms. The flexible rewards program is a fully-integrated, on-line, interactive frequency and rewards redemption program that provides businesses and consumers with a unique method for funding their education/training, medical care, dependent care, housing, legal and or retirement needs through the value generated from frequent transactions and promotion responses via internet commerce platforms, internet sites and traditional commerce platforms that integrate the flexible rewards program.

2. Description of Related Art

Internet based businesses have employed incentive and loyalty programs to generate traffic on participating internet and intranet sites, increase the volume of ads viewed by internet users, promote new product releases through give-always, earn reward mileage on airlines, earn rewards or points for acquiring future products, earn discounts on future purchases for increased use and purchases through the internet site, generate internet currency or printable coupons redeemable on participating internet sites or at physical retail outlets of participating businesses and several other types of incentives for businesses and consumers. Incentive and loyalty internet based businesses are known and developing into stand alone internet sites and co-branded and licensed applications and programs that encourage use of internet sites, purchase of goods and services, interactive use and other objectives through various loyalty and incentive programs. MyPoints.com, Netcentives, CyberGold, Beenz, Allpoints.com, Engage and FreeShop.com are examples of internet businesses seeking to integrate incentive and loyalty programs to promote consumer and business internet commerce.

The present interactive loyalty or incentive methods or systems combine frequency of use via purchases, product trials, review of advertisements or promotions, or receipt of coupons with an award. The accumulation of awards can be redeemed for future products or services subject to a minimum required award value necessary for redeeming the value of the rewards. The person redeeming the reward is limited in the selection of awards provided by third party businesses supplying the products and services eligible for redemption under the program. Thus, the redemption award value is determined by the minimum award values necessary to convert the award into a product or service provided under the program.

Business to business internet commerce platforms allow businesses to search, purchase, process, and pay for goods and services required for the operation of their entities. Suppliers can offer goods and services, bid on requests for goods and services, process purchase orders, and receive payment on sales execution and delivery of goods and services via the business to business internet commerce platform. Business to consumer internet commerce platforms allows consumers to search, purchase, process and pay for goods and services via the business to consumer internet commerce platform. Suppliers can offer goods and services, bid on requests for goods and services, process purchase orders, and receive payment on the execution of sales and delivery of goods and services via the business to consumer internet commerce platform.

Business to business internet commerce platforms that provide an exchange for businesses and suppliers to transact and execute purchases are known and developing. Commerce One, Ariba and Chemdex are examples of businesses that have created internet based commerce, trading and/or auction platforms seeking the participation of businesses and suppliers to perform transactions within their exchange. Business to consumer internet commerce platforms that provide an exchange for consumers and suppliers to transact and execute purchases are known and developing. Amazon.com, Value America, Buy.com, Priceline.com and Ebay are examples of businesses that have created internet based commerce, trading and/or auction platforms seeking the participation of consumers and suppliers of goods and services to perform transactions through their internet platform or exchange.

Internet commerce platforms that facilitate the purchasing and processing of transactions for businesses and consumers with suppliers are clearly workable in principle and practice, as experience has proven. Businesses and consumers may select an internet commerce platform based on any number of considerations, which may include ease of use, design, applications, pricing, performance and the variety of products and services offered. In addition, internet incentive and loyalty programs as well as traditional incentive and loyalty programs have been promoted through the internet and integrated into various internet commerce platforms and intranet sites to accomplish various marketing objectives. SUMMARY OF THE INVENTION

One aspect of the invention is to overcome the deficiencies of the prior art, for example, by expanding the utility of internet commerce platforms, internet sites and intranet sites for consumers, businesses and the providers of the internet commerce platforms. Another aspect of the invention is to provide an interactive, fully integrated flexible rewards program that provides businesses and consumers with a method for creating additional value that can be amassed and redeemed for future benefits such as education, medical care, retirement, dependent care, home purchases and legal services as provided through the flexible rewards program under specific eligible rewards programs.

Another aspect of the invention is to provide for the ability of enrolled businesses and consumers to designate and transfer the value of the flexible rewards to other businesses and consumers enrolled in the flexible rewards program. The providers of internet commerce platforms participating in the flexible rewards program will have motivated buyers of goods and services, which will increase the number of suppliers competing for the purchasers' services and generate more sales through the internet commerce platforms.

Another aspect of the invention relates to the creation and utilization of flexible rewards for consumers and/or businesses to earn through purchases via business to business and/or business to consumer internet commerce platforms, internet and intranet sites, and traditional commerce transactions, which participate in the flexible rewards program. Consumers and/or businesses can redeem and transfer the flexible rewards value to a sub-account under an eligible rewards program to process the value of the credit with third party service providers enrolled in the eligible rewards programs. Eligible rewards programs could include Education

Rewards, Medical Rewards, Retirement Rewards, Dependent Care Rewards, Home Purchase Rewards and Legal Rewards as well as other rewards programs. Another aspect of the invention is to provide a method and/or system for creating a flexible rewards program in which consumers and/or businesses can enroll in the program and earn and amass rewards through promotion responses and commerce transacted via participating business to business and/or business to consumer internet commerce platforms, internet sites and traditional commerce platforms. Consumer and/or businesses can direct or designate the amassed flexible rewards value for their own use for redemption of the credit in an eligible rewards program, such as for education and training at an enrolled education program. Alternatively, or in addition, the rewards can be redeemed for credit for retirement investment or to pay costs related to medical, dependent care, home purchases and legal services.

In preferred embodiments of the invention, a method and/or system is created to enroll consumer and/or business in the flexible rewards program and establish an individual account and/or an institutional account for each consumer and business, respectively, which will track the value of the flexible rewards earned for each transaction or response to a promotion via a participating internet or traditional commerce platform. Subsequent flexible rewards values earned from purchases or responses to promotions will be tracked and added to the previous values accumulated under the flexible rewards program in an individual or institutional account. The method and or system will also provide for consumers and/or businesses with the ability to designate some or all of the flexible rewards value accumulated in their individual or institutional account to the individual or institutional accounts of other consumers and/or businesses participating in the flexible rewards program.

Furthermore, the method and/or system can provide under the flexible rewards program, the establishment and administration of eligible rewards programs for redemption of the flexible rewards value accumulated in the individual and institutional accounts. A method and/or sub-system can be employed to create sub- accounts under each of the eligible rewards programs associated with the individual or institutional accounts of the consumer and/or business enrolled in the flexible rewards program. Consumers and/or businesses can direct the transfer of some or all of the rewards value amassed in the individual and/or institutional accounts under the flexible rewards program to the sub-account of an eligible rewards program to process the redemption of the transferred rewards value for credit as directed by the consumer or business.

In preferred embodiments of the invention, a method and/or system will be created to enroll third party service providers associated with each of the eligible rewards program to process the payment or investment of the rewards credit upon approval and verification of the eligible services. Consumers and/or businesses can direct the transfer of the flexible rewards value in their respective individual and institutional accounts to the sub-account(s) under the selected eligible rewards program. The designee will be able to direct redemption of the reward value in the sub-account of the selected eligible reward program for payment to or investment with an enrolled service provider under the selected eligible rewards program. Upon the direction of the designee, the flexible rewards value can be transferred to the associated sub-account under the eligible rewards program selected by the designee. The eligible rewards program can process the reward request, approve and verify the eligible services and transfer the value of the credit on behalf of the designee to the provider of the education and training, medical care, dependent care, retirement investments, home purchases and/or legal services. The selected eligible rewards program will process the credit on behalf of the designated reward recipient with the third party provider of the directed service. Consumers and businesses enrolled in the flexible rewards program can access their individual and/or institutional accounts on-line, verify reward values with the associated transactions and promotions conducted via the internet commerce platforms, internet sites or traditional commerce platforms, direct and/or designate some or all of the amassed flexible rewards value to other individual and/or institutional accounts, transfer the flexible rewards value to a sub-account(s) under an eligible reward program, and process the redemption of the credit with an enrolled third-party service provider associated with the selected eligible reward program .

Yet another aspect of the invention relates to the creation of a method and/or system associated with a fully integrated, on-line interactive rewards program with combined use of a business to business internet commerce platform, a business to consumer internet commerce platform, internet sites and traditional commerce platforms. In such a method or system, a general flexible rewards fund can include a portion of sales generated from both the business to business internet commerce platform and the business to consumer platform. The flexible rewards value accumulated in the General Flexible Rewards Fund can be made available to qualifying individuals and institutions to address the needs of, for example, at-risk and lower income groups with regard to education, medical care, dependent care, retirement, housing and legal services.

These and other aspects of the present invention will be described in or apparent from the following detailed description of preferred embodiments. BRIEF DESCRIPTION OF THE DRAWINGS Preferred embodiments of the invention will be described with reference to the following drawings in which:

FIG 1 is a schematic diagram showing a system and/or method for creating and administering an interactive frequency and Flexible Rewards program fully integrated into a business to business internet commerce platform. FIG 1 outlines how businesses can earn and amass Flexible Rewards in an institutional account through promotion responses and/or purchases of goods and services via a business to business internet commerce platform. The more frequent a business responds to promotions and/or transacts business via the business to business internet commerce platform, the greater the value amassed in its institutional account under the flexible rewards program. Businesses can designate some or all of the Flexible Rewards value for its use in a directed transfer to a sub-account in an Eligible Rewards program for redemption of the credit. Eligible Rewards programs associated with the Flexible Rewards program include, for example, Education Rewards, Medical Rewards, Retirement Rewards, Dependent Care Rewards, Home Purchase Rewards and Legal Rewards. Alternatively, the business can designate a portion or all of the Flexible Rewards value for transfer to other individual and institutional accounts enrolled in the Flexible Rewards program for their directed use.

FIG 2 is a schematic diagram showing a system and/or method for creating and administering an interactive frequency and Flexible Rewards program fully integrated into a business to consumer internet commerce platform. FIG 2 outlines how consumers can earn and amass Flexible Rewards in its individual account through promotion responses or purchases of goods and services via a business to consumer internet commerce platform. The more frequent a consumer responds to promotions and/or transacts business via a business to consumer internet commerce platform, the greater the value amassed in its individual account under the Flexible Rewards program. Consumers can designate some or all of the Flexible Rewards value for its use in a directed transfer to a sub-account in an Eligible Rewards program for redemption of the credit. Eligible Rewards programs associated with the Flexible Rewards program include Education Rewards, Medical Rewards, Retirement

Rewards, Dependent Care Rewards, Home Purchase Rewards and Legal Rewards. Alternatively, the consumer can designate a portion or all of the Flexible Rewards value for transfer to other individual and institutional accounts enrolled in the Flexible Rewards program for their directed use. FIG 3 is a flow chart representing the combined systems and/or methods for creating and administering an interactive frequency and Flexible Rewards program with flexible rewards earned by businesses in institutional accounts for promotion responses and purchases via a business to business and business internet commerce platform and flexible rewards earned by consumers in individual accounts for promotion responses and purchases via a business to consumer internet commerce platform. The Flexible Rewards program, as designed, can be fully integrated into, for example, business to business internet commerce platforms, business to consumer internet commerce platforms, internet sites and traditional commerce platforms. A portion of the Flexible Rewards generated by businesses and consumers flows to a General Flexible Rewards Fund to assist the education, medical, retirement, dependent care, housing and legal services needs of at-risk and lower income groups.

The more frequent a business or consumer responds to promotions and/or transacts business via a business to business or a business to consumer internet commerce platform, the greater the value amassed in its institutional or individual account under the Flexible Rewards program. Businesses and consumers can designate some or all of the Flexible Rewards value in its institutional or individual account for its use in a directed transfer to a sub-account in an Eligible Rewards program for redemption of the credit. Eligible Rewards programs associated with the Flexible Rewards program include Education Rewards, Medical Rewards, Retirement Rewards, Dependent Care Rewards, Home Purchase Rewards and Legal Rewards.

Alternatively, the business or consumer can designate a portion or all of the Flexible Rewards value in its institutional or individual account for transfer to other institutional and individual accounts enrolled in the Flexible Rewards program for their directed use.

FIG 4 represents a system and/or method for creating and administering Eligible Rewards programs associated with the directed transfer of Flexible Rewards in institutional and individual accounts in the Flexible Rewards program to related sub-accounts in the Eligible Rewards programs for redemption of the reward credit. FIG 4 details the process whereby businesses through their institutional accounts and consumers through their individual accounts can direct the transfer of the amassed Flexible Rewards to its sub-account(s) under the selected Eligible Rewards program for redemption of the credit for investment or payment for eligible services with an enrolled third party service provider. The Eligible Rewards programs may include Education Rewards, Medical Rewards, Retirement Rewards, Dependent Care Rewards, Home Purchase Rewards and Legal Rewards.

FIG 5 represents a system and/or method for creating and administrating Education Rewards, an Eligible Rewards program represented as a sub-account of institutional and individual accounts under the Flexible Rewards program, which provides for redemption of the flexible rewards credit as payment of eligible expenses related to education and training through education programs enrolled in the Education Rewards program. FIG 6 represents a system and/or method for creating and administrating

Medical Rewards, an Eligible Rewards program represented as a sub-account of institutional and individual accounts under the Flexible Rewards program, which provides for redemption of the flexible rewards credit as payment of eligible expenses related to medical care through medical service providers enrolled in the Medical Rewards program.

FIG 7 represents a system and/or method for creating and administrating Retirement Rewards, an Eligible Rewards program represented as a sub-account of institutional and individual accounts under the Flexible Rewards program, which provides for redemption of the flexible rewards credit as investment in a retirement plan, annuity or individual retirement account through eligible retirement plans, annuity providers and individual retirement account providers enrolled in the Retirement Rewards program. FIG 8 represents a system and or method for creating and administrating Dependent Care Rewards, an Eligible Rewards program represented as a sub-account of institutional and individual accounts under the Flexible Rewards program, which provides for redemption of the flexible rewards credit as payment of eligible expenses related to dependent care through dependent care service providers enrolled in the

Dependent Care Rewards program.

FIG 9 represents a system and/or method for creating and administrating Home Purchase Rewards, an Eligible Rewards program represented as a sub-account of institutional and individual accounts under the Flexible Rewards program, which provides for redemption of the flexible rewards credit as payment of eligible expenses or contribution of equity related to the purchase of a home through escrow account providers enrolled in the Home Purchase Rewards program.

FIG 10 represents a system and/or method for creating and administrating Legal Rewards, an Eligible Rewards program represented as a sub-account of institutional and individual accounts under the Flexible Rewards program, which provides for redemption of the flexible rewards credit as payment of eligible expenses related to legal services through legal service providers enrolled in the Legal Rewards program.

DETAILED DESCRIPTION OF PREFERRED EMBODIMENTS Preferred embodiments of the present invention will be described with reference to FIGS 1-10. The depicted internet commerce platforms in FIGS 1-3 and FIGS 5-10 are of the type that currently exist in several forms to facilitate business to business and business to consumer commerce through the internet. Businesses and consumers access the internet directly and/or through internet service providers and utilize a variety of internet and intranet applications, software, methods and tools to facilitate the use of the internet.

FIG 1 represents a system and/or method for creating and administering an interactive frequency and Flexible Rewards program fully integrated into a business to business internet commerce platform. Promotion responses and/or transactions between Businesses (101) and Suppliers (102) of products and services via a Business to Business Internet Commerce Platform (103) generate the Flexible Rewards (100) value. All references to an Internet Commerce Platforms (103) in FIG 1 will be in regard to commerce transacted between Businesses (101) and Suppliers (102) via an Internet Commerce Platform, exchange, an internet site, an intranet site or other internet platforms that promote or facilitate commerce between Businesses (101) and Suppliers (102).

Businesses (101) and Suppliers (102) access the Internet Commerce Platform (103) directly and/or through internet access providers as described above. The

Internet Commerce Platform (103) provides internet software applications, methods and tools which help Businesses (101) purchase or procure products and services from Suppliers (102). For Businesses (101), the Internet Commerce Platform (103) could provide internet software applications which search for products and services, request product or service offerings, compare product and service offerings, purchase products and services, and pay for products and services. The Internet Commerce Platform (103) could represent many forms of internet commerce exchanges, internet sites or intranet sites designed to facilitate the procurement process between one or many Businesses (101) and one or many existing or potential Suppliers (102). For Suppliers ( 02), the Internet Commerce Platform (103) could provide internet software applications which list products and services, promote product and service offerings, bid on requests for product or service offerings, facilitate delivery of products and services, and receive payment for products and services. Businesses (101) and/or Suppliers (102) agree to pay a transaction fee or premium (e.g. percentage of sales) to the Internet Commerce Platform (103) for providing various internet software services that facilitate transactions between the buyers and sellers. The Internet Commerce Platform (103) is responsible for marketing the Internet Commerce Platform (103) to Businesses (101) and Suppliers (102).

Flexible Rewards (100) can be integrated into the Internet Commerce Platform (103) via internet software tools, internet applications or direct internet link to the

Flexible Rewards (100) internet site. Businesses (101) must enroll in the Flexible Rewards (100) program through the Internet Commerce Platform (103) or directly through the Flexible Rewards (100) internet site to qualify for Flexible Rewards (100). The Internet Commerce Platform (103) would allocate a portion of the transaction and/or promotion fees it earns to the Flexible Rewards (100) program for the benefit of the Businesses (101) responding to promotions and/or initiating transactions. An Institutional Account within the Flexible Rewards (100) program would be established and administered for each Business (101) conducting commerce through the Internet Commerce Platform (103) or other internet commerce platforms affiliated with Flexible Rewards (100) program. When a Business (101) responds to promotions or transacts business via the internet commerce platform (103), it earns a Flexible Reward (100) value that is tracked and accumulated in its institutional account under the Flexible Rewards (100) program. The more frequent the Business

(101) responds to promotions or transacts business via the Internet Commerce Platform (103), the greater the amassed value of the institutional account under the Flexible Rewards (100) program.

The utility of the Internet Commerce Platform (103) is increased for the Businesses (101) participating in the Internet Commerce Platform (103). Flexible

Rewards (100) allow the Businesses (101) to earn and amass reward value in the institutional account under the Flexible Rewards (100) program. Businesses (101) can direct the transfer of all or a portion of the Flexible Rewards (100) value to a related sub-account in an Eligible Rewards (104) program for redemption of credit as investment or payment for eligible services to a third party service provider enrolled in the selected Eligible Rewards (104) program. Businesses (101) can designate all or a portion of the value in its institutional account under the Flexible Rewards (100) for its use or transfer the value to other institutional or individual accounts of enrolled members of the Flexible Rewards (100) program. The designee' s could include employees and their beneficiaries, third party service providers, or any institutions and/or individuals enrolled in the Flexible Rewards (100) program. The Internet Commerce Platform (103) can utilize Flexible Rewards (100) to attract more businesses (101) and suppliers (102) to the Platform and increase the transaction volume executed on the Internet Commerce Platform (103). Suppliers (102) would have access to motivated buyers of products and services participating in an Internet

Commerce Platform (103) that integrated Flexible Rewards (100).

As shown in FIG 1, the functions of the flexible Rewards program (100) can be implemented on a programmed general purpose computer, a special purpose computer, a programmed microprocessor or microcontroller and peripheral integrated circuit elements, an ASIC or other integrated circuit, a digital signal processor, a hardwired electronic or log circuit such as a discrete element circuit, a programmable logic device such as a PLD, PLA, FPGA or PAL, or the like. In general, any device capable of implementing a finite state machine that is in rum capable of implementing a flow diagram can be used to implement the Flexible Rewards program. For example, the functions listed in Flexible Rewards program (100), as well as the many lines connecting the various boxes or elements in FIG 1, can be considered a flow diagram for the purposes of this description. A first subsystem of the computer or system can be used to carry out, for example the first listed function listed under the

Flexible Rewards program (100), i.e., establish a Flexible Rewards account for an institution, and a second subsystem can be used to track promotional response and/or purchases (activity and/or value) for Flexible Rewards earned in the institutional account via the business to business internet commerce platform (103). The first and/or second subsystems or other subsystems can be used to carry out the remaining functions listed under the Flexible Rewards program (100). The program can be programmed into a recording media (e.g., a computer readable substrate, e.g., a compact disc), and/or the program functions can be carried by a signal sent over the internet. Moreover, the rewards accounts described in FIGS 2-10 also include various functions that can be carried out with a computer or programmed onto a computer readable substrate.

FIG 2 represents a system and/or method for creating and administering an interactive frequency and Flexible Rewards (200) program fully integrated into a business to consumer internet commerce platform (203). Promotion responses and/or transactions between Consumers (201) and Businesses (202), e.g., suppliers of products and services, via a Business to Consumer Internet Commerce Platform (203) generate the Flexible Rewards (200) value. All references to an Internet Commerce Platform in FIG 2 will be in regard to commerce transacted between businesses and consumers via, for example, an internet commerce platform, exchange, an internet site, an intranet site or other internet platforms that promote or facilitate commerce between Consumers (201) and Businesses (202).

Consumers (201) and Businesses (202) access the Internet Commerce Platform (203) directly and/or through internet access providers as described above. The Internet Commerce Platform (203) provides internet software applications, methods and tools which help Consumers (201) purchase or procure products and services from Businesses (202) over the internet. For Consumers (201), the Internet Commerce Platform (203) could provide internet software applications which search for products and services, request product or service offerings, compare product and service offerings, purchase products and services, and pay for products and services. For Businesses (202), the Internet Commerce Platform (203) could provide internet software applications which list products and services, promote product and service offerings, bid on requests for product or service offerings, facilitate delivery of products and services, and receive payment for products and services. Consumers

(201) and/or Businesses (202) agree to pay a transaction fee or premium (e.g. percentage of sales) to the Internet Commerce Platform (203) for providing various internet software services that facilitate transactions between the buyers and sellers. The Internet Commerce Platform (203) is responsible for marketing the exchange to Consumers (201 ) and Businesses (202).

Flexible Rewards (200) can be integrated into the Internet Commerce Platform (203) via internet software tools, internet applications or direct internet link to the Flexible Rewards (200) internet site. Consumers (201) can enroll in the Flexible Rewards (200) program through the Internet Commerce Platform (203) or directly through the Flexible Rewards (200) internet site to qualify for Flexible Rewards

(200). The Internet Commerce Platform (203) would allocate a portion of the transaction and/or promotion fees it earns to the Flexible Rewards (200) program for the benefit of the Consumers (201) initiating the transactions. An Individual Account within the Flexible Rewards (200) program would be established and administered for each Consumer (201 ) conducting commerce through the Internet Commerce Platform

(203) or other internet commerce platforms affiliated with Flexible Rewards (200) program. When a Consumer (201) responds to promotions or transacts business via the internet commerce platform (203), it earns a Flexible Reward (200) value that is tracked and accumulated in its individual account under the Flexible Rewards (200) program. The more frequent the Consumer (201) responds to promotions or transacts business via the Internet Commerce Platform (203), the greater the amassed value of the individual account under the Flexible Rewards (200) program.

The utility of the Internet Commerce Platform (203) is increased for the Consumers (201) participating in the Internet Commerce Platform (203). Flexible Rewards (200) allow the Consumers (201) to earn and amass reward value in the individual account under the Flexible Rewards (200) program. Consumers (201) can direct the transfer of all or a portion of the Flexible Rewards (200) value to a related sub-account in an Eligible Rewards (204) program for redemption of credit as investment or payment for eligible services to a third party service provider enrolled in the selected Eligible Rewards (204) program. Consumers (201) can designate all or a portion of the value in its individual account under the Flexible Rewards (200) for its use or transfer the value to other individual or institutional accounts of enrolled members of the Flexible Rewards (200) program. The designee's could include family members, friends, co-workers, third party service providers, or any institutions and/or individuals enrolled in the Flexible Rewards (200) program. The Internet Commerce Platform (203) can utilize Flexible Rewards (200) to attract more Consumers (201) and Businesses (202) to the Platform and increase the transaction volume executed on the Internet Commerce Platform (203). Businesses (202) would have access to motivated buyers of products and services participating in an Internet Commerce Platform (203) that integrated Flexible Rewards (200).

FIG 3 represents a flow chart representing the combined systems and or methods outlined in FIGS 1-2 for creating and administering an interactive frequency and Flexible Rewards (300) program with Flexible Rewards (300) earned by

Businesses (301) in Institutional Accounts (304) for promotion responses and purchases via a Business to Business Internet Commerce Platform (309) and Flexible Rewards (300) earned by Consumers (302) in individual accounts (306) for promotion responses and purchases via a Business to Consumer Internet Commerce Platform (308). A portion of the Flexible Rewards (300) generated by Businesses (301) and

Consumers (302) flow to a General Flexible Rewards Fund (305) to assist, for example, the education, medical, retirement, dependent care, housing and legal services needs of at-risk and lower income groups.

The fees that the Flexible Rewards (300) program receives from the internet commerce platforms (308 & 309) for responses to promotions or for transaction purchases are split into three parts: 1) to the Institutional Account (304) or Individual Account (306) of the Business (301) or Consumer (302) responding to promotions or performing transactions; 2) to the General Flexible Rewards Fund (305); and 3) to the Flexible Rewards (300) program for the marketing and administration services it provides. The more frequent a Business (301) or Consumer (302) responds to promotions and/or transacts business via a Business to Business Internet Commerce Platform (309) or a Business to Consumer Internet Commerce Platform (308), the greater the value amassed in its Institutional Account (304) or Individual Account (306) under the Flexible Rewards (300) program and the greater the Flexible Rewards (300) contributed to the General Flexible Rewards Fund (305).

Businesses (301) and Consumers (302) can designate some or all of the Flexible Rewards (300) value in its Institutional Account (304) or Individual Account (306) for its use in a directed transfer to a sub-account in an Eligible Rewards (303) program for redemption of the credit for investment or payment of eligible expenses through enrolled third party service providers under the Eligible Rewards (303) program. Eligible Rewards (303) programs associated with the Flexible Rewards (300) program include Education Rewards, Medical Rewards, Retirement Rewards, Dependent Care Rewards, Home Purchase Rewards and Legal Rewards.

Alternatively, the Business (301) or Consumer (302) can designate a portion or all of the Flexible Rewards (300) value in its Institutional Account (304) or Individual Account (306) for transfer to other Institutional Accounts (304) and Individual Accounts (306) enrolled in the Flexible Rewards program for their directed use or to the General Flexible Rewards Fund (305).

FIG 4 is a system and/or method for creating and administering Eligible Rewards (406) programs associated with the directed transfer of Flexible Rewards (400) in Institutional Accounts (403) and Individual Accounts (405) in the Flexible Rewards (400) program to related sub-accounts in the Eligible Rewards (406) programs for redemption of the reward credit. FIG 4 details the process whereby

Businesses (401) through their Institutional Accounts (403) and Consumers (402) through their Individual Accounts (405) can direct the transfer of the amassed Flexible Rewards (400) to its sub-account(s) under the selected Eligible Rewards (406) program for redemption of the credit for investment or payment for eligible services with an enrolled third party service provider (413). Alternatively, the Business (401) or Consumer (402) can designate a portion or all of the Flexible Rewards (400) value in its Institutional Account (403) or Individual Account (405) for transfer to other Institutional Accounts (403) and Individual Accounts (405) enrolled in the Flexible Rewards program for their directed use or to the General Flexible Rewards Fund (404).

The Eligible Rewards (406) programs consist of Education Rewards (407), Medical Rewards (408), Retirement Rewards (409), Dependent Care Rewards (410), Home Purchase Rewards (411) and Legal Rewards (412). Each Eligible Rewards (406) program will enroll eligible third party service providers (413), verify and approve the requested elig services and process and redeem the credit for investment or payment of eligible expenses to third party service providers (413).

Each Business (401) enrolled in the Flexible Rewards (400) program will have an Institutional Account (403) to track and accumulate the value of Flexible Rewards

(400) earned. Associated with every Institutional Account (403), the Business (401) will have related sub-accounts in each Eligible Rewards (406) program: Education Rewards (407) sub-account, Medical Rewards (408) sub-account, Retirement Rewards (409) sub-account, Dependent Care Rewards (410) sub-account, Home Purchase Rewards (411) sub-account and Legal Rewards (412) sub-account. The

Business (401) can direct the transfer of the Flexible Rewards (400) value in its Institutional Account (403) for redemption of the credit in the sub-account of an Eligible Rewards (406) program as an investment or payment of eligible expenses to third party service providers (413) of eligible services enrolled in the specific Eligible Rewards (406) program selected by the Business (401).

Each Consumer (402) enrolled in the Flexible Rewards (400) program will have an Individual Account (405) to track and accumulate the value of Flexible Rewards (400) earned. Associated with every Individual Account (405), the Consumer (402) will have related sub-accounts in each Eligible Rewards (406) program: Education Rewards (407) sub-account, Medical Rewards (408) sub-account,

Retirement Rewards (409) sub-account, Dependent Care Rewards (410) sub-account, Home Purchase Rewards (411) sub-account and Legal Rewards (412) sub-account. The Consumer (402) can direct the transfer of the Flexible Rewards (400) value in its Individual Account (405) for redemption of the credit in the sub-account of an Eligible Rewards (406) program as an investment or payment of eligible expenses to third party service providers (413) of eligible services enrolled in the specific Eligible Rewards (406) program selected by the Consumer (402).

FIG 5 represents a system and or method for creating and administrating Education Rewards (500), an Eligible Rewards program represented as a sub-account of institutional and individual accounts under the Flexible Rewards (504) program.

Businesses (501) earn Flexible Rewards (504) by responding to promotions or transacting commerce via participating Business to Business Internet Commerce Platforms (503) in institutional accounts. Businesses (501) can direct the transfer of all or a portion of the amassed Flexible Rewards (504) in its institutional account to its Education Rewards (500) sub-account for redemption of the credit value at an enrolled Education Program (508). Consumers (505) earn Flexible Rewards (504) by responding to promotions or transacting commerce via participating Business to Consumer Internet Commerce Platforms (507) in individual accounts. Consumers

(505) can direct the transfer of all or a portion of the amassed Flexible Rewards (504) in its individual account to its Education Rewards (500) sub-account for redemption of the credit value at an enrolled Education Program (508).

An Education Rewards (500) sub-account is established for each enrolled Business (501) under its institutional account and each enrolled Consumer (505) under its individual account under the Flexible Rewards (504) program. The Education Rewards (500) sub-account receives all directed Flexible Rewards (504) value from institutional and individual accounts for redemption of the credit as payment to the designee's account at the enrolled Education Program (508). The Education Rewards (500) program is responsible for establishing the program rules and guidelines, marketing the Education Rewards (500) program, enrolling Education and Training Programs (508), verifying the designee's enrollment in and attendance at the Education and/or Training Program (508), and processing the redemption of the Flexible Rewards (504) credit as payment to the designee's account at the Education and/or Training Program (508). Administration of the Education Rewards (500) program will be performed via the Flexible Rewards (504) internet site and/or related internet sites.

FIG 6 represents a system and/or method for creating and administrating Medical Rewards (600), an Eligible Rewards program represented as a sub-account of institutional and individual accounts under the Flexible Rewards (604) program.

Businesses (601) earn Flexible Rewards (604) by responding to promotions or transacting commerce via participating Business to Business Internet Commerce Platforms (603) in institutional accounts. Businesses (601) can direct the transfer of all or a portion of the amassed Flexible Rewards (604) in its institutional account to its Medical Rewards (600) sub-account for redemption of the credit value at an enrolled

Medical Service Provider (608). Consumers (605) earn Flexible Rewards (604) by responding to promotions or transacting commerce via participating Business to Consumer Internet Commerce Platforms (607) in individual accounts. Consumers (605) can direct the transfer of all or a portion of the amassed Flexible Rewards (604) in its individual account to its Medical Rewards (600) sub-account for redemption of the credit value at an enrolled Medical Service Provider (608).

A Medical Rewards (600) sub-account is established for each enrolled Business (601) under its institutional account and each enrolled Consumer (605) under its individual account under the Flexible Rewards (604) program. The Medical Rewards (600) sub-account receives all directed Flexible Rewards (604) value from institutional and individual accounts for redemption of the credit as payment to the designee's account at the enrolled Medical Service Provider (608). The Medical Rewards (600) program is responsible for establishing the program rules and guidelines, marketing the Medical Rewards (600) program, enrolling Medical Service Providers (608), verifying the designee's submitted medical expenses with the Medical Service Provider (608), and processing the redemption of the Flexible Rewards (604) credit as payment to the designee's account at the Medical Service Provider (608). Administration of the Medical Rewards (600) program will be performed via the Flexible Rewards (604) internet site and/or related internet sites.

FIG 7 represents a system and/or method for creating and administrating Retirement Rewards (700), an Eligible Rewards program represented as a sub-account of institutional and individual accounts under the Flexible Rewards (704) program. Businesses (701) earn Flexible Rewards (704) by responding to promotions or transacting commerce via participating Business to Business Internet Commerce Platforms (703) in institutional accounts. Businesses (701) can direct the transfer of all or a portion of the amassed Flexible Rewards (704) in its institutional account to its Retirement Rewards (700) sub-account for redemption of the credit value with an enrolled Retirement Plan, Annuity Provider and/or Individual Retirement Account

Provider (708). Consumers (705) earn Flexible Rewards (704) by responding to promotions or transacting commerce via participating Business to Consumer Internet Commerce Platforms (707) in individual accounts. Consumers (705) can direct the transfer of all or a portion of the amassed Flexible Rewards (704) in its individual account to its Retirement Rewards (700) sub-account for redemption of the credit value at an enrolled Retirement Plan, Annuity Provider and/or Individual Retirement Account Provider (708). A Retirement Rewards (700) sub-account is established for each enrolled Business (701) under its institutional account and each enrolled Consumer (705) under its individual account under the Flexible Rewards (704) program. The Retirement Rewards (700) sub-account receives all directed Flexible Rewards (704) value from institutional and individual accounts for redemption of the credit as an investment with the designee's account at the enrolled Retirement Plan, Annuity Provider and/or Individual Retirement Account Provider (708). The Retirement Rewards (700) program is responsible for establishing the program rules and guidelines, marketing the Retirement Rewards (700) program, enrolling Retirement Plans, Annuity Providers and Individual Retirement Account Providers (708), verifying the designee's retirement investment account with the Retirement Plan, Annuity Provider and/or Individual Retirement Account Provider (708), and processing the redemption of the Flexible Rewards (704) credit as an investment with the designee's account at the Retirement Plan, Annuity Provider and/or Individual Retirement Account Provider (708). Administration of the Retirement Rewards (700) program will be performed via the Flexible Rewards (704) internet site and/or related internet sites.

FIG 8 represents a system and/or method for creating and administrating Dependent Care Rewards (800), an Eligible Rewards program represented as a sub- account of institutional and individual accounts under the Flexible Rewards (804) program. Businesses (801) earn Flexible Rewards (804) by responding to promotions or transacting commerce via participating Business to Business Internet Commerce Platforms (803) in institutional accounts. Businesses (801) can direct the transfer of all or a portion of the amassed Flexible Rewards (804) in its institutional account to its Dependent Care Rewards (800) sub-account for redemption of the credit value at an enrolled Dependent Care Service Provider (808). Consumers (805) earn Flexible Rewards (804) by responding to promotions or transacting commerce via participating Business to Consumer Internet Commerce Platforms (807) in individual accounts. Consumers (805) can direct the transfer of all or a portion of the amassed Flexible Rewards (804) in its individual account to its Dependent Care Rewards (800) sub- account for redemption of the credit value at an enrolled Dependent Care Service Provider (808). A Dependent Care Rewards (800) sub-account is established for each enrolled Business (801) under its institutional account and each enrolled Consumer (805) in its individual account under the Flexible Rewards (804) program. The Dependent Care Rewards (800) sub-account receives all directed Flexible Rewards (804) value from institutional and individual accounts for redemption of the credit as payment to the designee's account at the enrolled Dependent Care Service Provider (808). The Dependent Care Rewards (800) program is responsible for establishing the program rules and guidelines, marketing the Dependent Care Rewards (800) program, enrolling Dependent Care Service Providers (808), verifying the designee's submitted dependent care expenses with the Dependent Care Service Provider (808), and processing the redemption of the Flexible Rewards (804) credit as payment to the designee's account at the Dependent Care Service Provider (808). Administration of the Dependent Care Rewards (800) program will be performed via the Flexible Rewards (804) internet site and/or related internet sites. FIG 9 represents a system and/or method for creating and administrating

Home Purchase Rewards (900), an Eligible Rewards program represented as a sub- account of institutional and individual accounts under the Flexible Rewards (904) program. Businesses (901) earn Flexible Rewards (904) by responding to promotions or transacting commerce via participating Business to Business Internet Commerce Platforms (903) in institutional accounts. Businesses (901) can direct the transfer of all or a portion of the amassed Flexible Rewards (904) in its institutional account to its Home Purchase Rewards (900) sub-account for redemption of the credit value with an enrolled Escrow Account Provider (908) as an equity contribution and/or payment of closing costs on the purchase of a home.. Consumers (905) earn Flexible Rewards (904) by responding to promotions or transacting commerce via participating

Business to Consumer Internet Commerce Platforms (907) in individual accounts. Consumers (905) can direct the transfer of all or a portion of the amassed Flexible Rewards (904) in its individual account to its Home Purchase Rewards (900) sub- account for redemption of the credit value at an enrolled Escrow Account Provider (908).

A Home Purchase Rewards (900) sub-account is established for each enrolled Business (901) under its institutional account and each enrolled Consumer (905) in its individual account under the Flexible Rewards (904) program. The Home Purchase Rewards (900) sub-account receives all directed Flexible Rewards (904) value from institutional and individual accounts for redemption of the credit as an equity contribution or payment of closing costs related to the purchase of a home to the designee's account at the enrolled Escrow Account Provider (908). The Home Purchase Rewards (900) program is responsible for establishing the program rules and guidelines, marketing the Home Purchase Rewards (900) program, enrolling Escrow Account Providers (908), verifying the designee's submitted home purchase contract and closing documents with the Escrow Account Provider (908), and processing the redemption of the Flexible Rewards (904) credit as a contribution of equity and/or payment of closing costs to the designee's account at the Escrow Account Provider

(908). Administration of the Home Purchase Rewards (900) program will be performed via the Flexible Rewards (904) internet site and or related internet sites. FIG 10 represents a system and/or method for creating and administrating Legal Rewards (1000), an Eligible Rewards program represented as a sub-account of institutional and individual accounts under the Flexible Rewards (1004) program.

Businesses (1001) earn Flexible Rewards (1004) by responding to promotions or transacting commerce via participating Business to Business Internet Commerce Platforms (1003) in institutional accounts. Businesses (1001) can direct the transfer of all or a portion of the amassed Flexible Rewards (1004) in its institutional account to its Legal Rewards (1000) sub-account for redemption of the credit value at an enrolled Legal Service Provider (1008). Consumers (1005) earn Flexible Rewards (1004) by responding to promotions or transacting commerce via participating Business to Consumer Internet Commerce Platforms (1007) in individual accounts. Consumers (1005) can direct the transfer of all or a portion of the amassed Flexible Rewards (1004) in its individual account to its Legal Rewards (1000) sub-account for redemption of the credit value at an enrolled Legal Service Provider (1008).

A Legal Rewards (1000) sub-account is established for each enrolled Business (1001) under its institutional account and each enrolled Consumer (1005) in its individual account under the Flexible Rewards (1004) program. The Legal Rewards (1000) sub-account receives all directed Flexible Rewards (1004) value from institutional and individual accounts for redemption of the credit as payment to the designee's account at the enrolled Legal Service Provider (1008). The Legal Rewards (1000) program is responsible for establishing the program rules and guidelines, marketing the Legal Rewards (1000) program, enrolling Legal Service Providers (1008), verifying the designee's submitted legal expenses with the Legal Service Provider (1008), and processing the redemption of the Flexible Rewards (1004) credit as payment to the designee's account at the Legal Service Provider (1008). Administration of the Legal Rewards (1000) program will be performed via the

Flexible Rewards (1004) internet site and/or related internet sites.

It is contemplated that Flexible Rewards program fully integrated with internet commerce platforms can be used in conjunction with traditional transaction exchanges executed between businesses, consumers and suppliers through utilization of a magnetic card, smart card or other devices or methods. Businesses, Consumers and

Suppliers of products and services would have to be participants in the Flexible Rewards program and/or members of a participating Internet Commerce Platform and be able to process the initial purchase outside the internet commerce platforms through its information system to the Flexible Rewards program. The invention has been described with reference to preferred embodiments thereof. Various modifications will be apparent to those of ordinary skill in the art without departing from the spirit and/or scope of the invention, which is not limited by the description of preferred embodiments herein.

Claims

WHAT IS CLAIMED IS:

1. A system for implementing a flexible rewards program for use with a computer system accessible for on-line interactive communication with users, the system comprising: a first subsystem that establishes at least one flexible rewards account for at least one of an individual and an institution; a second subsystem associated with the first subsystem that tracks value of the at least one flexible rewards account; and a third subsystem associated with the second subsystem that transfers at least a portion of the value of the at least one flexible rewards account to a sub-account in an eligible rewards program selected by at least one of the individual and the institution.

2. The system of claim 1, further comprising a fourth subsystem that establishes a general flexible rewards account, said general flexible rewards account comprising value drawn from transactions executed by both the institution and the individual.

3. The system of claim 1, wherein the value of the at least one flexible rewards account is generated from a transaction through at least one of a business to business internet platform, a business to consumer internet platform, an internet site, an intranet site and a traditional commerce platform.

4. The system of claim 1, wherein the sub-account of the eligible rewards program is at least one of an education rewards account, a medical rewards account, a retirement rewards account, a dependent care rewards account, a home purchase rewards account and a legal rewards account.

5. The system of claim 1, further comprising a fourth subsystem associated with the third subsystem that enrolls a third party service provider associated with the eligible rewards program, the third party service provider executing a service to at least one of the individual and the institution upon receiving a request for and approving and verifying the service.

6. A method for implementing a flexible rewards program, comprising: establishing at least one flexible rewards account for at least one of an individual and an institution; tracking value of the at least one flexible rewards account; and transferring at least a portion of the flexible rewards account to a sub-account in an eligible rewards program selected by at least one of the individual and the institution.

7. The method according to claim 6, further comprising establishing a general rewards account, said general rewards account comprising value drawn from transactions executed by both the institution and the individual.

8. A computer readable substrate having a computer program saved thereupon, said computer program comprising the steps of: establishing at least one flexible rewards account for at least one of an individual and an institution; tracking value of the at least one flexible rewards account; and transferring at least a portion of the flexible rewards account to a sub-account in an eligible rewards program selected by at least one of the individual and the institution.

9. The computer readable substrate according to claim 8, further comprising establishing a general flexible rewards account, said general flexible rewards account comprising value drawn from transactions executed by both the institution and the individual.

10. A method for generating a rewards program, comprising: establishing at least one institutional reward account having value determined by at least one of promotional response and sales transactions through a business to business platform; establishing at least one individual rewards account having value determined by at least one of promotional response and sales transactions through a business to consumer platform; and establishing a general rewards account having value generated from both the business to business platform and the business to consumer platform.

11. A rewards system, comprising: a business to business platform associated with at least one institutional rewards account; a business to consumer platform associated with at least one individual rewards account; and a general rewards account comprising value generated from both the business to business platform and the business to consumer platform.