TITLE: MERCHANDISING APPARATUS AND METHOD
This invention relates to apparatus and method for use in merchandising and for promoting the sale of goods and services.
Sales promotion schemes are well-known in which purchasers are awarded
points, coupons or the like with each purchase and become entitled to a prize after a
predetermined number of coupons have been accumulated. So called "Thrift"
coupons and "Frequent Flyer" schemes exemplify this kind of promotion. In general,
each coupon corresponds to a small discount on the purchase price of goods
purchased. Such systems are advantageous for the vendor, since customers are
thereby encouraged to return to the same store over a long period of time to gain
sufficient coupons for a prize and customer loyalty is encouraged. However,
customers readily assess the value of prizes and the amount of expenditure required to
attain a prize and so such schemes tend to be perceived as a reward for fidelity and do
not motivate purchasers either to advance a future purchase or to buy on impulse.
It is also well-known to promote the sale of individual goods by having the
purchaser return a label which acts as a lottery ticket giving the purchaser a very small
chance of winning a very valuable prize, for example the purchaser of a jar of coffee
might have a very small chance of winning an automobile. This form of promotion
has proven to be effective but suffers from the disadvantage that there is a long delay
between the date of purchase and the date upon which the outcome of the lottery is
known, which reduces its effectiveness as a motivating force in a consumer society
increasingly oriented towards instant gratification. Moreover, such promotions are
usually product specific, involve long lead times through the distribution chain and,
once in place, are inflexible.
It has also been practiced to give away a scratch lotto card to persons who
purchase goods above a predetermined value. By this method the purchaser gains a
predetermined probability of winning a prize which may correspond to a very large
discount or which may gently exceed the value of goods purchased. Although the
probability of winning a major prize may be low, the possibility of winning a very
valuable prize by making a small purchase has proven to be more successful than are
coupon schemes in motivating buyers to buy immediately. That is to say, some
people are more highly motivated by a small probability of winning a large prize than
by a high probability (or certainty) of winning a lesser prize.
A disadvantage of utilising scratch lotto systems for sales promotion is that it
involves risks for the promoter. For example all the major prizes may be won early in
the promotion in which case shoppers are not motivated and in an extreme case the
shopkeeper may not cover the cost of the promotion.
As disclosed in the corresponding and published International Application No.
WO/9618174 (PCT/AU95/00819) it has recently been known to utilise means for
providing a purchaser of goods and services with a finite chance of winning a prize
which is displayed to the purchaser, wherein the prize value is increased in response to
the number or value of selected sales that result in the finite chance being obtained.
According to a first aspect of the invention there is provided an apparatus
including:
register means for recording data indicative of purchases of goods and/or services by a buyer;
means for displaying a prize value indicative of a first prize available to be won by the buyer;
means for varying the prize value in response to a predetermined algorithm; and
means for providing the buyer with a first finite chance of winning the, or part of
the first prize.
Preferably, the algorithm is responsive to the data indicative of the sales of the
goods and/or services. However, in other embodiments the algorithm varies the prize
value independently of the sales of the goods and/or services that result in the finite
chance being obtained. Examples of the latter are where the algorithm is responsive
to time and/or an historical record of sales, as opposed to those sales which are
currently being generated.
Preferably also, once the buyer exercises a finite chance of winning he or she
obtains immediately feedback as to whether they have been successful in winning the,
or part of the prize.
In a preferred form, when the buyer purchases a selected good and/or service
they are provided with a second finite chance of winning a second prize. More
preferably, the second finite chance is greater than the first finite chance. Most
preferably, the second prize includes an encouragement for the buyer to purchase a
good and/or service which is respectively competing with the selected good and/or
service.
Preferably also, the second prize is a discount on the purchase of said competing
goods and/or services. More preferably, the second prize is a sample of said competing goods and/or services.
Preferably, the algorithm increases the prize value over time by varying
amounts, and decrements the prize value in response to a buyer winning the, or part of,
the first prize. In some embodiments the algorithm increments the prize value in
response to anticipated value of sales of said goods and services at said register. As a
further feature, the algorithm can also anticipate a buyer winning part of the first prize
whereby the prize value is only progressively incremented. In other embodiments the
prize value is incremented at spaced intervals in time up to a predetermined limit and
thereafter decremented and incremented to maintain the prize value at or about said
predetermined limit until a buyer wins the or part of the prize and reduces the prize
value to less than a second predetermined limit.
Preferably, a plurality of said apparatus are disposed in separate retail outlets
and are linked for displaying the same prize value.
In a preferred form, the buyer determines when to exercise their finite chances.
More preferably, the buyer must exercise their finite chances within a predetermined
time following the purchase of said goods and/or services.
Preferably, a buyer need not purchase goods and/or services to acquire one or
more of said first finite chance of winning the or part of the first prize. That is, the
buyer can simply purchase the one or more chances.
According to a second aspect the present invention there is provided an
apparatus for motivating a potential buyer to purchase goods and/or services, the
apparatus including:
a plurality of register means for issuing respective first signals indicative of
purchases of goods and/or services by the buyer;
means for displaying a prize value indicative of a first prize available to be won
by the buyer;
means responsive to a predetermined algorithm for selectively varying the prize
value; and
means for providing the buyer with at least a first finite chance of winning the
first prize.
According to a third aspect of the invention there is provided a method of sales
promotion including the steps of:
recording on a register means data indicative of purchases of goods and/or
services by a buyer;
displaying a prize value indicative of a first prize available to be won by the
buyer;
varying the prize value in response to a predetermined algorithm; and
providing the buyer with at least a first finite chance of winning the or part of
the prize.
According to a fourth aspect of the invention there is provided a method for
motivating a potential buyer to purchase goods and/or services, the method including
the steps of:
providing a plurality of registers for issuing respective first signals indicative of purchases of goods and/or services by the buyer;
displaying a prize value indicative of a first prize available to be won by the buyer;
selectively varying the prize value in response to a predetermined algorithm; and
providing the buyer with at least a first finite chance of winning the prize.
Preferably, the prize value is all available to be won by a single buyer.
However, in alternative embodiments a buyer is only entitled to win the lessor of a
predetermined prize or the first prize. If the buyer is successful the prize value is
decremented by the amount won by the buyer.
Preferably also, the first finite chance is exercised by the buyer actuating a
terminal remote from the register means, wherein the terminal is responsive to the first
signals for verifying the actuation. More preferably, the buyer is provided with one or
more tokens of encoded cards at said register which are used to actuate the terminal.
In preferred embodiments, the number of opportunities accorded to a buyer to
win the or part of the first prize increases with the value of goods and/or services
purchased.
In highly preferred embodiments of the invention the registers are cash registers
and may be located in one or more locations within a store and in one or more
participating stores. The prize value may be indicated in a display associated with
each cash register and/or may be displayed at one or more other locations in the store
or participating stores.
In a preferred embodiment of the invention, buyers are provided with a finite
chance for winning the first prize by being given one or more tokens or encoded cards
at the cash register where a sale to them is recorded, and which gives them one or
more opportunities to "play" an electronic gaming machine or other "game machine",
which provides a finite but random or pseudo random chance for becoming a "winner"
of, or part of the prize. However, other means for determining prize winners among
buyers may be employed.
The number of opportunities to "play" accorded to buyers is generally
determined by the amount spent and the opportunities may be required to be exercised
within a predetermined time.
Preferred embodiments of the invention differ from game machine systems in
which players at each of a number of game machines cause a prize to increment by a
predetermined constant amount each time one of the machines is played. In contrast,
in the present invention, the prize value increments by a variable amount which
depends upon one or more of: time; anticipated sales; total resources allocated to the
prizes; the size of the prize value; or the store in which the goods and/or services are
purchased. A second difference is that with linked gaming machines, the action of
actuating one machine simultaneously results in both a player having the opportunity
to win a prize and, if the player loses, the prize being incremented. In preferred
embodiments of the present invention, the prize can be incremented independently of
a buyer making a purchase. Moreover, the buyer's opportunity to win the prize may
occur separately and subsequently.
A further difference is that in preferred embodiments the present invention
provides for a prize to be decremented if a credit is issued at one of the participating
cash registers.
It will be appreciated that the term "prize" can be used to mean, without
limitation, a cash reward, discount or other inducement.
According to a fifth aspect of the invention there is provided an apparatus
including:
register means for providing data indicative of purchases of goods and/or
services by a buyer;
means for displaying a prize value indicative of a first prize available to be won
by the buyer;
means for varying the prize value in response to a predetermined algorithm;
means responsive to said data for providing the buyer with a first finite chance
of winning the, or part of the first prize.
According to another aspect of the invention there is provided a method of sales
promotion including the steps of:
recording data indicative of purchases of goods and/or services by a buyer;
displaying a prize value indicative of a first prize available to be won by the
buyer; varying the prize value in response to a predetermined algorithm; and
providing the buyer with at least a first finite chance of winning the, or part of
the prize in response to said data.
Preferably, the purchase goods and/or services includes the purchase of said first
finite chance. More preferably, one or more first finite chances can be purchased
without the purchase of any other goods and/or services. However, in this
circumstance, it is preferable that the data includes information that the purchase was
only of one or more of the first finite chance.
More preferably, the means for displaying includes a plurality of visual displays
located in respective retail outlets wherein each visual display provides potential
buyers in those outlets with the same prize value.
The invention will now be more particularly described, by way of example only,
with reference to the accompanying drawings, in which:
Figure 1 is a schematic representation of an apparatus according to the
invention; and
Figure 2 is a schematic representation of an alternative embodiment of the
apparatus of Figure 1.
In the embodiment of the invention shown in Figure 1 , a prize accumulator 1
stores a number indicative of a first prize. The prize accumulation register is
associated with one or more displays 2, which may for example be large alphanumeric
display inside and/or outside one or more stores which shows the current value of the
first prize or a close approximation to it, for example a number of dollars rounded off
to the nearest hundred or nearest thousand.
Within the store, or participating stores, are cash registers 3 which are adapted to
transmit to a central computer 4 data signals 5 indicative of the sales transacted at the
respective registers. This data can include not only the value of sales but the classes
of goods and/or services purchased by a buyer.
Potential buyers entering a participating store may be made aware of the current
value of the first prize by virtue of display 2 and are informed by appropriate means
that purchasing goods and/or services will give them an opportunity to win that, or
part of that prize. In a simple form of the invention, a buyer of goods in the store will
be given one or more tokens (depending upon the amount spent by that buyer), the
tokens being adapted for use in one or more machines 7 accessible either in the store
or at another address. The machines 7 may, on actuation, display a randomly or
pseudo randomly selected combination of symbols of which certain combinations are
"prize- winning". Alternatively machines 7 may be of the kind which selects a number
"n" at random within a predetermined numerical range (e.g. 6 digits) and stores it in a
memory but does not display the selected number, and then counts successive "plays"
declaring the nth player as the winner. Whatever means is used to provide a finite
chance of the first prize to be won by a buyer, a "prize-winner" is thereby identified
and becomes entitled to the prize displayed at the instant of winning. The prize
accumulator is then reset (and if required a new random number is selected) and a new
prize commences to accumulate.
Other means may be employed by which the first prize may be won. For
example a scratch-card may be issued which is required to be scratched at the sales
register at the time of purchase and which in a predetermined proportion of cases
declares a winner. Another method would involve players pressing a button at the
cash register, or even the registration of a sale itself at the register could be used to
count purchasers and to declare an "nth" purchaser as a winner. However, use of
suitably adapted electronic game machines such as those used in some fun parlours are
preferred means for selecting "winners".
A preferred method of determining whether a purchaser wins the prize is to
provide at or adjacent the register a touch-sensitive video screen which selectively
displays an image of a scratch-card or the like. That is, the purchaser can move their
finger across the screen surface to electronically scratch the image and reveal a symbol
combination which may allow them to win the prize. The image is then updated to
allow the next purchaser to perform a similar operation.
In a highly preferred embodiment of the invention each cash register is
electronically connected with a read/write device 8 by means of which data may be
read from or written to a magnetic stripe card 9. In one mode the device writes data to
a paper card bearing a magnetic stripe, the data being indicative of the number of
"plays" to which the buyer has become entitled by virtue of a purchase. Each "play"
provides an opportunity to win the prize. The card may also be encoded with the date
and/or time of the purchase and if desired with other data.
In a second mode the read/write device reads data from an account customer
card or the like (for example a magnetic stripe plastic card) which identifies the
customer and which writes to the card data representing an entitlement to a number of
"plays", depending upon the value of goods purchased. Either type of card may be
inserted in a suitably adapted game machine with provision to read the cards and to
allow the cardholder a number of "plays" in accordance with the data recorded on the
cards.
A further alternative involves issuing the purchaser with a coded card, whereby
that code is subsequently entered in one of machines 7 to allow actuation of that
machine. The code can be entered by swiping the card across an appropriate reading
device. Alternatively, the purchaser can enter the code via a keypad.
If a player using machine 7 "wins", the machine may be provided with means 10
for displaying information to that effect, and/or means 11 for printing out information
to that effect, and/or means 12 for crediting an account of a customer electronically
with the amount corresponding to a prize won or a combination of the foregoing. The
customer account data may be held in computer 4 or a different computer.
If desired, certain buyers may be required to use accumulated "play"
entitlements within a predetermined period. Thus, for example, buyers issued with a
first mode type card may be required to use their "play" entitlements on the same day
as they were accumulated, while account customers for example, may have pre-agreed
rights to accumulate points over a period of months or years.
If desired the opportunity to win the prize may be confined to pre-identified
account customers. In that case, cash registers need only have a reading device such
as an EFTPOS terminal. A central computer may then be used to store data indicative
of entitlement to plays acquired by each account holder, and to deduct "plays" utilised.
The machine 7 may also have a read only device which identifies the purchaser and
permits that account holder to play the game a number of times determined in
accordance with the entitlement balance held by the central computer. The machine 7
is adapted to send a signal to the central computer indicative of each play and reducing
the remaining entitlement of that account holder to further "plays" in accordance with
"plays" used.
In a preferred embodiment of the means for providing a finite chance for
winning there is provided apparatus which may be actuated for example by a lever or
button or by insertion of a taken or of a data card or by other means which has a
display screen. Upon actuation the apparatus' screen displays at random a
combination of symbols. These symbols may for example be symbols such as
"anchors", "cherries" or the like. However, in preferred embodiments the symbols
displayed may be changeable remotely under control of a computer program and may
represent trade marks or brand names or may illustrate goods available in the store, for
example white goods, soft drinks or the like. These symbols may represent goods
which are to be won or to be promoted. That is, the invention can be used to provide a
chance of winning both the accumulating prize and one or more fixed prizes.
Likewise, if desired, the nature of the game played on various game machines on
a network may be changed under remote control of a computer program.
Any suitable means may be used for networking the cash registers with the prize
accumulator. Any desired number of machines 7 may be connected to the network.
The machines 7 can be modified to include any one or more of the above discussed
features and are considered to be further aspects of the present invention.
If desired, encoded cards may contain additional information e.g. identifying a
store or cash register. Certain buyers about whom demographic information is known
may be provided with club membership cards which identify them as participants and
which may give them special privileges in a manner similar to account holders. For
example club members or account holders may be entitled to more "play"
opportunities than non-members to win the prize for each purchase that they make, or
their opportunity to win the prize may be not time restricted. This enables statistical
data to be obtained and recorded showing a demographic breakdown of sales, and the
purchasing preferences of identified customers may be studied.
The invention may also be utilised with purchases made remotely e.g. via home
computers, modems, Infonet or via cable TV systems and the like within the scope of
the invention herein described. In that case the purchasers' terminal may act as both
the register and the machine 7.
The number of opportunities to "play" (i.e. to win a prize) may vary from one
class of customer to another and from one class of goods to another or from one time
to another. The number of plays awarded may be calculated directly at the point of
sale by the cash register terminal or the value (or type) of sales may be recorded and
transmitted to a remote computer the number of "plays" to be awarded being
calculated at the machine 7 at time of "play". The machines 7 need not be located at
the same site as the cash registers. For example, the machines may be located in a
casino. Preferred embodiments of the system provide for the prize to decrease when
credits or returns are recorded at a participating cash register. If desired, the system
may provide for both major and minor prizes of different value.
If desired the system may provide for the prize to be paid to a "winner" in kind
rather than in cash.
The number of opportunities to "play" awarded to buyers at the point of sale
may be based on a formula taking account of various factors such as the mix of
purchases, the total sales accumulated at various cash registers and other factors.
Computer 4 includes software which selectively varies the prize value and, in
turn, prize accumulator 1 , in accordance with a predetermined algorithm. In some
embodiments this algorithm is dependent upon the time of day and an historical record
of purchases from the retail outlet or, if a number of outlets are linked, combined
historical purchases from all the outlets. Preferably, the variation of the prize value is
based on an anticipation of purchases.
In an alternative embodiment the prize value is incremented randomly at time
spaced intervals up to a predetermined limit. Thereafter, the prize value is randomly
decremented and incremented by varying amounts to maintain the prize value at or
about the predetermined limit. However, should a buyer win the, or part of, the prize,
and the prize value subsequently falls below a second predetermined limit, the prize is
again randomly incremented.
In some embodiments the predetermined algorithm includes incrementing the
first prize value at the start of each day the retail establishment is trading. Once the
first prize has been won, either by a single buyer or a combination of buyers each
winning part of the prize, the prize value is decreased accordingly. In the case where,
at the start of the trading day, there is a residual amount which had not been won from
the following day it is accumulated together with the incremented amount.
In an alternative embodiment the predetermined algorithm anticipates buyers
winning part of the prize such that the prize value is only perceived by potential
buyers as incrementing.
Some embodiments of the invention are configured to be particularly
advantageous for promoting certain goods and/or services provided by the retail outlet.
For example in one such embodiment a second prize is made available. However,
only buyers of a predetermined goods and/or services obtain one or more finite
chances of winning the second prize. Most preferably, the second prize is a sample or discount from the purchase of goods and/or services competing with the
predetermined goods and/or services. To further enhance this feature, the chances of
winning the second prize are high.
In another embodiment the value of the first prize varies up to a preset limit
which is the maximum prize value that the retail outlet is prepared to provide.
An additional feature of the invention is that a buyer need only buy the one or
more finite chance itself rather than any other goods and/or services provided by the
establishment. Moreover, a number of classes of finite chances of winning the or part
of the prize may be offered to the buyer for different respective monetary costs.
Another embodiment of the invention is illustrated in Figure 2 where a local
network 21 is used in a single location, at for example, a retail outlet. The network 21,
along with a plurality of like networks 22 and 23 located at other respective retail
outlets, communicates with a central computer 24 for allowing a single prize to be
effectively simultaneously used at all the outlets. Accordingly, the prize can be larger
and/or grow faster due to the larger number outlets over which the costs can be borne.
Central computer 24 includes software to vary the prize value in accordance with a predetermined algorithm, as discussed above.
Network 21 includes a site controller in the form of a personal computer 26.
Computer 26 communicates with the registers or other point of sales devices 27 to
extract data indicative of the number of opportunities to win the first and/or the second
prize that have been allocated to a buyer.
For example, the receipt given to the buyer may include a code such as a string
of characters or a bar code which can be subsequently used to generate credits on one
of the terminals 28 provided. For a large purchase the code may allow the generation
of a number of credits and, accordingly, increase the number of finite chances the
buyer obtains to win the prize.
Terminals 28 also communicate with computer 26 for validating the code
entered by the buyer and to provide computer 26 with data indicative of whether or
not the purchaser with that code, after using the terminals, is entitled to the prize
and/or any other fixed prize.
Network 21 also includes a redemption terminal 29 where a winning receipt can
be processed. Again, terminal 29 communicates with computer 26 to validate the
code on the receipt and to confirm whether the holder is entitled to a prize and if so, to
award the prize.
Computer 26 also communicates with a video controller 30 which in turn drives
both a display 31 and a plurality of video screens 32. Display 31 is prominently
mounted to allow both buyers and prospective buyers to view the size of the available
prize. If required more than one display is used.
Screens 32 are used to actively promote the prize as well as advertise other
goods and/or services provided at the outlet.
Although the use of only three interlinked networks 21, 22 and 23 has been
described, it is possible to link a greater number. For example, a retail chain can link
all its separate stores throughout a particular region, state or country.
Preferably, terminals 28 in addition to providing a site for the purchaser to
determine whether they have won the prize, provide advertisements about products
and/or services available from the outlet. Moreover, once the purchaser enters the
code they have been allocated the advertising can be chosen in response to the goods
that were purchased. For example, the advertising can reinforce the advantages of the
purchase or, alternatively, canvass the relative merits of competing products.
Such advertising can also be used to inform the purchaser of other outlets where
such products and/or services can be obtained within a greater chance of winning the
prize. This is used to promote sales from a particular outlet.
As will be apparent to those skilled in the art from the teaching hereto, the
invention may be embodied in other forms and features of one embodiment may be
combined with those of another within the scope of the concept disclosed.