Note: Descriptions are shown in the official language in which they were submitted.
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METHOD AND APPARATUS FOR ENABLING PURCHASERS OF
PRODUCTS TO OBTAIN RETURN INFORMATION AND TO INITIATE
PRODUCT RETURNS VIA AN ON-LINE NETWORK CONNECTION
CROSS-REFERENCE TO RELATED APPLICATIONS
This application claims the benefit of U.S. Provisional Patent Application
Serial No.
60/203,933, filed May 12, 2000, the entire content of which is herein
incorporated by reference.
This application is a continuation-in-part of each of the following co-pending
and
commonly owned patent applications:
- PCT/US99/26460 filed November 10, 1999 (claiming priority on U.S.
Provisional
Application Serial Nos. 60/108,170 filed November 13, 1998 and 60/119,631
filed February
11, 1999);
- U.S. Application Serial No. 09/065,552 filed April 24, 1998 (now U.S. Patent
No.
6,085,172) (which is a continuation-in-part of U.S. Application Serial No.
08/725,259 filed
October 2, 1996 (now U.S. Patent No. 6,018,719)); and
- U.S. Application Serial No. 09/362,187 filed July 28, 1999 (which is a
continuation
of U.S. Application Serial Nos. 08/725,259 filed October 2, 1996 and
09/314,023 filed May 19,
1999 (now U.S. Patent Nos. 6,018,719 and 5,978,774, respectively)).
Each of the above recited applications and patents are incorporated by
reference herein
in their entirety.
BACKGROUND OF THE INVENTION
1. Field of the Invention
The present invention relates to a computer based system that provides a
method for
real time data storage and retrieval for the purpose of verifying and
validating sales transactions
and product return/warranty repair eligibility. Additionally, the present
invention relates to an
electronic system for registering product transactions and to a method for
efficient handling of
product return transactions. More particularly, the present invention relates
to an electronic
registration system which facilitates compliance with return policies and is
useful in reducing
improper or fraudulent product returns under warranty. In addition, the
instant invention
provides a system which enables purchasers of products, from retailers, e-
tailers and the like, to
access product return information through a network, such as the Internet, for
the purpose of
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obtaining information on the return/repair of a purchased product and/or
initiating a product
return process via the network.
2. Related Art
Product returns are a market reality faced by virtually every manufacturer,
distributor,
supplier, retailer and e-tailer (on-line retailer or "cyberstore") of
commercial products.
Unfortunately, handling product returns often requires a significant
expenditure of resources.
For example, it may be necessary to employ one or more individuals to verify
that product
returns satisfy the requirements of a company's return policy. This process
can be complicated
due to the fact that a particular retailer often carries numerous different
type of products from
different manufacturers, each of which often has their own return and warranty
policies and
procedures. As a result, the personnel responsible for processing the product
return
transactions at, for example, a retail store, must know or manually look-up
the applicable return
policies and procedures for the particular product that a person is attempting
to return. This is
a difficult, time-consuming, and error-prone process that often results in
improper acceptance
or rejection of product returns and/or warranty claims at the retail level.
The problems
associated with product returns have been compounded in recent years due to
the large number
a products that are purchased from Web sites on the Internet, i.e. from
electronic retailers or e-
tailers. A significant portion of the products purchased from e-tailers are
returned by the
purchaser. It is noted that the term "retailer" as used herein is generally
meant to include e-
tailers, which have now become a major supplier of products to consumers.
Once a product is accepted for return by the retailer, the retailer then
typically returns
the product to the manufacturer for credit. However, when the retail store
accepts a product
return that does not comply with the manufacturer's return policy, problems
result between the
retailer and the manufacturer because the manufacturer will refuse or be
reluctant to accept the
returned product from the retailer. Moreover, significant time and expense is
wasted when a
retailer improperly accepts products for return that do not comply with the
manufacturer's
return policy. Often times the improperly returned products are shipped to the
manufacturer
and then are simply returned to the retailer after being rejected for return
by the manufacturer.
This results in significant wasted shipping charges and employee time in
attempting to resolve
such matters. This situation can also result in significant tension between
the retailer and the
manufacturer. In other words, when returns are not properly handled at the
retail level,
numerous problems result for the retailer and the manufacturer.
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Alternatively, a company might choose to avoid the increased overhead
associated with
additional employees and be somewhat less diligent about verifying compliance
with the return
policy prior to accepting a return. However, this alternative can increase
costs due to the
higher number of improper or fraudulent product returns. Either way,
additional costs must
either by borne by the company or passed along to the consumer.
In addition to the costs associated with verifying compliance with a return
policy, even
proper product returns incur additional administrative costs. Examples of such
costs include
shipping and handling of the returned product, repackaging and redistribution
of the returned
product (if appropriate), disposal of certain returned products, and the like.
These costs must
also be borne either by the company or by the consumer in the form of higher
prices.
It is, of course, desirable to minimize costs associated with product returns
to permit
reduced prices to the customer and/or provide improved operating margins for
the
manufacturer and/or the retailer. There are two major areas in which savings
may be realized:
(1) reducing the number of improper or fraudulent returns; and (2) improving
efficiency and
reducing overhead in handling proper returns.
Manufacturers, retailers, e-tailers and other vendors of consumer products
often have a
standard or default return policy. For example, a retailer return policy might
allow a consumer
to return a purchased product for any reason within.a certain number of days
(e.g., 10 days)
after purchase. Additionally, a manufacturer's warranty may permit return of
defective
products within a particular time period (e.g., 90 days) after purchase, and
provide for repairs
of defective products within a different time period (e.g., 180 days). Repairs
of products after
that date would be the responsibility of the consumer. Such return policies
are intended to
ensure consumer satisfaction while protecting the manufacturer and/or the
retailer from
improper returns. As a result, a delicate balance must be maintained between
protection of the
retailer or manufacturer and consumer satisfaction.
Unfortunately, it is often difficult to monitor product returns to ensure
proper
compliance with a return policy. For example, a consumer who received a
product as a gift
usually will not have a sales receipt. In such a situation, an uninformed
decision must often be
made to accept the return or not. If the return is not accepted, the consumer
might unfairly be
denied a proper return, and the retailer and the manufacturer risk suffering a
loss of goodwill.
On the other hand, if the return is accepted, the retailer andlor the
manufacturer will incur
expenses or losses which might be unwarranted. Some retailers seek to minimize
the effect of
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possible improper returns by limiting a consumer to store credit (rather than
a refund) or
exchanges on items returned without a receipt. This alternative, however, may
be unacceptable
to a consumer and does not completely eliminate the retailers' exposure to
improper returns.
Difficulties associated with returns made without a receipt stem primarily
from the
inability of the retailer to obtain purchase information (such as sales date,
place of purchase,
etc.) concerning the individual item for which a return is sought. Without
such information, it
is usually impossible for the retailer to determine whether the return is in
compliance with the
return policy.
In addition to the foregoing, fraudulent returns can cost product retailers
and
manufacturers significant sums of money. As an example, upon release of the
Super Nintendo
Entertainment System (Super NES), Nintendo experienced a high volume of
returns of basic
NES hardware. When the returned products were evaluated, it was discovered
that a high
percentage of the products were not defective and, in fact, were several years
old. Thus,
customers were abusing the retailer's return policy to exchange old products
and upgrade to the
new system. Such abuses increase costs to the retailers and manufacturers.
These costs are
often passed on to purchasers without any attendant benefit to legitimate
consumers.
While companies generally try to prevent fraudulent returns, the personnel
responsible
for processing such returns do not have the suitable resources and/or
information needed to
assure that only proper returns are accepted. This problem is compounded when
the consumer
does not have a receipt because it has been lost or because the product was
received as a gift
from another person. While many of these situations represent legitimate
return requests, a
significant percentage of such return requests are fraudulently made by
consumers.
Unscrupulous consumers have in recent years become increasingly creative in
their attempts to
return merchandise which does not in fact qualify for return under the
purchase agreement. For
example, a customer may purchase a product at a reduced price at one store and
then attempt to
return the product to another store for a profit. Customers have also been
known to purchase a
new product and then return an older or defective product (which no longer
qualifies for return
or warranty repair) in the new product packaging, thereby obtaining the new
product at no cost.
Under current practice, retailers are at a significant disadvantage in
connection with product
return requests, because they typically do not know whether a product has been
purchased from
their store or another store, or even how much was originally paid for the
product even if the
product was purchased at its store. Return audits have shown that a
significant number of
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consumers use this disadvantage to their personal benefit and at the cost of
the retailer and
manufacturer.
The problems associated with product returns are compounded when the product
has
been purchased on-line from an e-tailer. In this situation, the e-tailer must
make decisions
5 about the acceptance or rejection of a return and request little information
about the specific
product sought to be returned or the particular individual attempting to
return the product. The
handling of product returns for on-line purchasers can be quite time consuming
and costly.
Moreover, due to inadequate control mechanisms, many improper returns are
accepted by e-
tailers. In addition, there are high costs associated with handling proper and
improper product
returns originating from on-line purchasers.
In the past several years, retailers and the industry have shown renewed
interest in
curbing the volume of unwarranted and fraudulent product returns. This
interest is largely due
to diminishing profit margins and the competitive nature of the retailing
business. Because of
thin profit margins, retailers and manufacturers can no longer absorb the cost
of unjustified
product returns. Unless product returns are significantly reduced, retailers
and/or
manufacturers will have little choice but to pass these costs on to the
consumer in the form of
price increases.
Prompt and efficient handling of returns and proper enforcement of return
policies
helps to lceep down costs while maintaining consumer confidence and
satisfaction. However,
efforts to speed handling or improve enforcement lose their value if the
expense of those efforts
outweighs the accompanying benefit. Accordingly, such efforts must be
efficient to benefit the
manufacturers, retailer, e-tailer and the consumer.
Another problem confronted by retailers stems from the fact that different
manufacturers may have different return policies. For example, one
manufacturer may require
returns to talce place within 90 days of the original purchase, whereas others
may permit returns
up to 120 days or 180 days after the original purchase. Similarly, some
manufacturers may
have strict limitations on product returns without original packaging or
returns of products
wherein relatively minor parts (e.g., instruction manuals, connecting cables,
etc.) are missing.
Because of the variety of manufacturer return policies, it is often difficult
for a retailer to
ensure proper compliance. As a practical matter, it may be extremely difficult
or even
impossible to educate the retailer or e-tailer staff with regard to each
return policy. This
problem is compounded by the fact that manufacturers and/or retailers may have
returns
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policies that vary between products. Moreover, a retailer often carries
products for many
different manufacturers. Manufacturers or retailers may also have special
return or warranty
policies for products which are sold at reduced prices, for example. Some
manufacturers may
also only allow returns that are within a specified period of time starting
from the date of
shipment to the retailer, rather than from the date the product is purchased
by a consumer. In
fact, in today's market it is not uncommon for a single manufacturer or
retailer to have
numerous different return and/or warranty policies that apply depending on the
particular
product and the particular conditions under which the product was purchased.
Thus, retailers and e-tailers may be placed in a position where improper
returns are
inadvertently accepted or where proper returns are rejected. Accepting
improper returns
increases costs which must either be absorbed or passed on to customers in the
form of higher
prices or restocking fees, for example. Of course, rejecting proper returns
may damage
goodwill between the vendor and the customer.
There are also costs in terms of time, expense and inconvenience which are
incurred by
the purchaser or consumer in connection with product returns. For example,
consumers often
must take the product back to a retail location to return the product and
obtain credit therefore.
However, in many instances the consumer does not even know if the product will
be accepted
for return prior to taking the product back to the store. As a result,
consumers often waste
significant time and expense in returning a product to a store simply to find
out that the store
will not accept the product for return as a result of, for example, the
applicable warranty period
having expired. Such situations also cause significant inconvenience and
annoyance for the
consumer and the retailer which can harm the reputation of the retailer in the
eyes of its
potential customers.
Accordingly, there is a need for a system which facilitates authorized product
returns
for a number of different manufacturers andlor products while also reducing
the incidence of
unauthorized returns. Additionally, there is a need for a product purchase
registration system
which minimizes costs associated with returns, improves retailer and e-tailer
efficiency in
handling product returns, increases overall customer satisfaction, and
provides retailers and
consumers with immediate access to purchase data information for products of
various
manufacturers. Further, there is a need to simplify and streamline the return
process for
consumers, retailers, e-tailers and manufacturers, as well as any third party
service provider
associated therewith.
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It is a primary object of the present invention to satisfy these needs. A
further object of
the present invention is to enable retailers to more efficiently and
effectively enforce applicable
product return/warranty policies, even in situations in which the person
seeking the return no
longer has the sales receipt. Another object of the invention to reduce
fraudulent product
returns, and to protect the retailer and manufacturer from the cost and
inconvenience associated
therewith. A further object of the invention is to provide a method and system
available at the
return location, such as a retail store check-out counter or customer service
counter, which is
operable to quickly and accurately verify whether the particular product
sought to be returned
does or does not qualify for return under the applicable return criteria for
that particular
product, prior to accepting the product for return. Another object of the
invention is to provide
the customer with useful information regarding the product even if the product
does not qualify
for return, thereby improving customer satisfaction even when returns are not
accepted. Yet
another object of the invention is to reduce the need to return products by
providing technical
information regarding set-up or operation of the product to the consumer for
the purpose of
solving a problem the consumer is having with the product, thereby reducing
the need to return
products. Still another object of the invention is to provide the store
personnel with
information on the particular product being returned, which information
enables verification of
whether or not the product being returned includes all of the original parts
or components prior
to accepting the product for return. Yet another object of the invention is to
provide a system
which enables the consumer to directly access product purchase and return
information for
products they have purchased and to electronically initiate the return process
from a convenient
location, such as their home, via an on-line network connection.
SUMMARY OF THE INVENTION
The present invention achieves these and other objects by providing an
electronic
registration and verification system which uses individual product
identification information
for purchased products, gathered, for example, at the point of a sales
transaction or during the
fulfillment of an on-line purchase from an e-tailer, and storing the
information in one or more
transaction databases. In an example embodiment of the present invention,
individual product
identification information (such as a unique serial number) is stored in a
local transaction
database along with additional information including at least the date of the
transaction. A
transaction receipt such as a customer sales receipt may be created and
includes at least the
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unique product identification information and the date of the transaction.
Additionally, the
individual product identification information and the transaction date may be
communicated to
a separate location for inclusion in a general transaction database. The local
transaction
database may include, for example, sales made by a particular store or sales
made by several
affiliated stores and is not necessarily co-located with the point of sale or
the e-tailer. The local
transaction database may also organize the data by individual manufacturer for
ease of access.
The instant invention enables a store clerk or the like to obtain real-time
electronic
verification of a particular product sale transaction as well as the currently
available
return/warranty options for a particular product presented for return.
In accordance with an important aspect of the invention, the invention also
enables the
consumer or the purchaser of the product to access the stored information, via
a Web site or the
like, to obtain information about a return of the product and/or to initiate a
return procedure.
The initiation of the return procedure may include, for example, providing the
consumer with a
return authorization and return instructions upon request and upon verifying
that the return
meets the applicable return criteria. The consumer can then use the return
authorization (RA)
and the return instructions to send the product back to the appropriate
location (which may be,
for example, the retailer, e-tailer, manufacturer or third party service
provider). If the product
does not qualify for return, the invention enables the consumer to obtain
other useful
information regarding the product via the Web site, such as operating or hook-
up instructions
for the product, as well as information on locations for warranty or non-
warranty service for the
product. In other words, the invention enables the consumer to directly access
the transaction
information and determine if the product qualifies for return simply by
accessing a Web site or
other similar on-line service, or by using an automated 800 (toll-free)
telephone number or the
like. In addition, if the product qualifies for return, the consumer is
automatically provided
with a pre-return authorization and instructions for completing the return
process. This enables
the consumer to return the product with little or no front-end involvement by
the retailer, e-
tailer or manufacturer.
Prior to obtaining individual product identification information, the
electronic
registration system may identify the type of product by evaluating, for
example, the product
SKU number derived from a universal product code (UPC). In this example, the
individual
product identification information is obtained only if the product is of a
type for which
electronic registration is desired. If the product is not of a type where
electronic registration is
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desired, the product is not registered (i.e. a non-serialized purchase). In
this case, the instant
invention can still be used to help automate and streamline the return process
for such non-
serialized items. For example, the system may provide the consumer with
information on
return or repair of the non-serialized product via the same Web site used to
handle consumer
returns for serialized products (i.e. products that have been registered using
the serial number
or other unique identifier).
The transaction information including the individual product identification
information
and the transaction date may be communicated for use in a general database in
a number of
different ways. For instance, an electronic link to the location of the
general database may be
established or information may be recorded and physically transferred to that
location. The
communications may occur periodically, on an item-by-item basis, or otherwise.
In a physical retail store environment, when a customer returns a product with
a receipt
to the retail location, a retailer may look at the serial number on the
receipt and compare it to
the returned product. If the serial numbers match and if all other return
conditions for the
particular product are met, the return may be accepted. When a customer
returns a product
with no receipt, or a receipt that does not have a correct serial number, the
retailer may search
the local database for sale information concerning the specific item being
returned. If no sale
information is located (for instance if another retailer sold the product),
the general database
may be accessed and searched for sales information, and the return handled
accordingly.
Additionally, if the retail clerlc is unfamiliar with the applicable return
policy, the clerk may
submit the product for return approval to obtain the necessary information on
the product and
make an appropriate determination as to whether the return should be accepted.
If the product
does not qualify for return, the invention enables the sales clerk to provide
other useful
information or assistance to the person seeking the return, such as operating
or hook-up
instructions for the product, as well as information on locations for warranty
or non-warranty
service for the product.
In accordance with yet another aspect of the present invention, a computer
system at a
product return center location obtains identifying information for a product
which is to be
returned from a retailer to a manufacturer. In the disclosed example
implementation, this
identifying information is then submitted to a remote return approval computer
system through
the Internet or the like. The return approval computer system may then utilize
the identifying
information to determine whether the returned product satisfies applicable
return criteria. If so,
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the product is pre-approved for return. The product return location preferably
obtains
identifying information for a plurality of returned products at a time. In
response to the product
identifying information submitted by the product return location, the return
approval location
may provide a list of approved returns and unapproved returns, along with a
return
authorization number for a batch of approved returns. The product return
location may then
assemble the approved product returns and ship the batch to the return
approval location (such
as the manufacturer). Shipping costs can be saved by omitting rejected product
returns from
the shipment. The return approval location can handle the approved product
returns from the
regional return center as a batch, thereby reducing costs.
10 BRIEF DESCRIPTION OF THE DRAWINGS
Other objects, features, advantages and characteristics of the present
invention will
become apparent from the following detailed description of exemplary
embodiments, when
read in view of the accompanying drawings, in which:
FIGURE 1 is a schematic block diagram illustrating an example of an overall
electronic
registration system which may be used in connection with one aspect of the
present invention;
FIGURE 2 is an example flowchart illustrating a series of exemplary steps that
may be
performed at a point of sale for registering a product transaction;
FIGURE 3 illustrates an example transaction receipt which reflects a unique
product
serial number and a transaction date;
FIGURE 4 illustrates an example flow chart for an electronic data interface
between a
product retailer and a registration center during electronic product
registration;
FIGURES 5A and 5B illustrate an example flow chart generally illustrating
steps which
may be taken in connection with product registration and return;
FIGURE 6 illustrates an example of a procedure at a retailer for determining
whether a
product return is properly under warranty;
FIGURE 7 schematically illustrates a typical arrangement which may be utilized
in
handling product returns;
FIGURE 8 is a schematic diagram illustrating components which may be used in
connection with a preferred example implementation of one aspect of the
present invention;
FIGURE 9 is a data flow diagram illustrating operation of the system of FIGURE
8;
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FIGURES 10A through lOH illustrate various user interface screen displays
which may
be used in connection with an example implementation of one aspect of the
present invention;
FIGURE 11 is a plan view of a pallet on which a plurality of returned goods is
stacked
for return to a manufacturer, including a batch return authorization label
which may be placed
on the pallet;
FIGURE 11A further illustrates the batch return authorization label of FIGURE
11;
FIGURES 12, 12A and 12B are schematic diagrams illustrating the operation of a
general registration/return system in accordance with one aspect of the
present invention;
FIGURE 13 is a schematic diagram further illustrating the operation of the
system of
FIGURE 12;
FIGURE 14 is an application overview illustrating various components and
functions of
a preferred implementation of the central registration computer system;
FIGURE 15 is a flow chart illustrating steps that may be taken to ensure
customer
protection and verification during submission of additional product
registration information as
part of a consumer post-sale product registration;
FIGURES 16A through 16G are example user interface screen displays which may
be
used during a customer service request for return/warranty information;
FIGURES 17A through 17H are example user interface screen displays which may
be
used during a customer service request for operating instructions or hook-up
information for a
product;
FIGURES 18A through 18F are example user interface screen displays which may
be
used during a customer service request for vendor/product information;
FIGURE 19 is an overview of the main components of the Web site embodiment of
the
invention, wherein the customer accesses the transaction information and
obtains a return
authorization;
FIGURE 20 shows an exemplary initial screen on the Web site of Fig. 19,
wherein the
customer indicates whether the product sought to be returned is serialized or
non-serialized;
and
FIGURES 21-35 shows additional exemplary screens of the Web site of Fig. 19.
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DETAILED DESCRIPTION OF PREFERRED EMBODIMENTS
The present invention is described in the context of particular exemplary
embodiments.
However, it will be recognized by those of ordinary skill that modification,
extensions and
changes to the disclosed exemplary embodiments may be made without departing
from the true
scope and spirit of the instant invention. In short, the following
descriptions are provided by
way of example only, and the present invention is not limited to the
particular preferred
embodiments disclosed herein.
An example of one type of electronic product registration system that is
preferably used
in connection with the instant invention is illustrated in FIG. 1. This
exemplary electronic
registration system is the subject of the two commonly owned patents
identified above (U.S.
Patent Nos. 6,018,719 and 5,978,774). Briefly, this example system includes a
point of sale
register 2 and an associated bar code scanner 4. The register 2 is preferably
connected with a
local computer system 6 in any suitable manner. For example, the register 2
may be "hard-
wired" to the local computer system 6. Alternatively, the register 2 and the
local computer
system 6 may communicate, for example, through modems and telephone lines, or
over radio
communication channels. Any suitable communication channel may be used.
In certain situations (e.g., single store retailers), it may be advantageous
to have the
local computer system 6 located in proximity to the register 2. For large
chain stores, however,
it may be advantageous to situate the local retailer computer 6 at a central
location with linlcs to
the registers 2 at individual stores. The particular arrangement will depend
on the preferences
and circumstances of the specific retailer and may vary in accordance
therewith.
The local retailer computer system includes an associated local database 8 for
storing
registration information. Additionally, a local printer 10 and an operator
terminal 11 may be
provided. The operator terminal may be used, for example, by a store clerk
upon return of
merchandise to locate pertinent sales information in the local database 8. The
printer 10 may
be used to produce hard copies of, for example, end-of-day sales reports
and/or the like.
In the exemplary embodiment, a communication channel 12 is provided between
the
retailer computer system 6 and a central computer system 14. The central
registration
computer system may, for example, be an independent registration center
computer system
which electronically registers product transactions for a number of different
retailers. In other
words, the central computer system may be operated by a third-party service
provider.
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It is noted that the term "communication channel" or "channel" is used herein
in its
broadest sense, and includes any suitable technique for passing electronic
information between
systems. Such suitable techniques include, for example, electronic links via
modem, radio
links, or even communications established by physically transporting a
recording medium, such
as a magnetic disk, magnetic tape or optical disk, from one system to the
other. In the preferred
arrangement, an electronic link may be established by modem over available
commercial
telephone lines.
A general registration database 16 is associated with the central registration
computer
system 14 for storing transaction information from a plurality of retailer
computer systems 6.
Additionally, a printer 18 and an operator terminal 20 may be included with
the central
registration computer system 14. As discussed below in greater detail, the
central registration
computer system may maintain a number of data files pertaining to individual
retailers, e-
tailers, manufacturers and the like. These data files include information
applicable to the
particular individual retailer, e-tailer, distributor, manufacturer or the
like and are preferably
maintained by that particular individual or entity. For example, a data file
may contain specific
return/warranty policy information applicable to that particular individual or
entity.
It should be appreciated that the central computer system 14 is preferably
intended to
handle product registrations for a number of different manufacturers and/or
other vendors.
Accordingly, the general registration database may employ a structure wherein
the product
registrations for each participating vendor is maintained in separate areas.
Alternatively,
separate databases may be employed for each participating vendor. Of course,
other data
structures may be employed so long as the registration center is able to
properly keep track of
the product transaction information.
As illustrated in FIG. l, the central registration computer system 14 may have
a number
of additional communications links 12', 12", etc. for receiving information
from other local
computer systems. Thus, for example, a registration center may receive
information from a
number of different retailers. Additionally, the local computer system 6 may
include a number
of additional communication channels 13, 13', 13", etc. for connecting with
other central
computer systems. Accordingly, an individual retailer can electronically
register products with
a number of different registration databases, if desired. Furthermore, a
number of
communication channels 15, 15', 15", etc. can be provided for communications
between the
central registration computer system 14 and individual manufacturer computer
systems and
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computer systems of third party service providers, law enforcement agencies
andlor the like.
Of course, a general access channel such as an Internet connection may also be
made available
for authorized access to the central computer system 14.
For convenience, the multiple communication channels in FIG. 1 are illustrated
with
separate lines. It should be noted, however, that separate lines are not
necessary. For example,
the local computer system 6 more likely would have a single communications
line, and
connection with the particular central computer system 14 would be made
through a modem by
dialing the appropriate telephone number or through an Internet connection.
In the e-tailer environment, the information on the product and transaction
(e.g. serial
number) may be collected at any suitable point during fulfillment of the on-
line purchase, and
the transaction information may be communicated to a local andlor central
database by any
suitable method, such as by an Internet connection to the database.
An example of the operation of the system illustrated in FIG. 1 is now
described in
connection with FIGS. 2-6. Referring now to FIG. 2, the electronic
registration process
begins, in this exemplary physical retailer embodiment, when a customer brings
merchandise to
the register 2 for check-out. The sales cleric enters the SKU number which
identifies the type
of product involved in the transaction (e.g., Super Nintendo Entertainment
System, Nintendo
Game Boy, Nintendo N64, etc.) by, for example, scanning a UPC product code
included on the
product packaging (block 100). Of course, key entry or another technique for
entering the SKU
number, such as reading of an RF-ID tag on the product, may be used.
Electronic registration might not be necessary or desired for a substantial
number of
small commodity products (e.g., batteries, candy, diapers, etc.) that are
commonly sold by
retailers. Accordingly, a check may be made, based on the type of product as
identified by the
UPC code, to determine whether this is a product for which electronic
registration is desired
(block 102). If so, the store associate is prompted to enter the serial number
of the individual
item (block 104).
The serial number may be entered (block 106), for example, by scanning a
serial
number printed on the packaging. Alternatively, the serial number as it
appears on the product
may be scanned through a window in the packaging. This alternative ensures
that the
individual product is identified even if it is mispackaged. Also, repackaging
of returned
merchandise would be simplified. Other techniques, such as key entry or RF-ID
tag reading,
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may also be used. Because the serial number is unique to each individual
product, it acts as
individual production identification information.
Once the serial number is entered, a check may be made to ensure that the
serial
number is valid (block 10~). If not, control returns to block 104, and the
store associate is
5 again prompted to enter the serial number. This is repeated until a valid
serial number is
obtained. It may be desirable to provide store managers with the ability to
override the
requirement to enter a serial number in a limited number of situations. If
such an ability is
given, however, the overrides should be monitored to ensure the ability is not
abused. This
may be done, for example, by generating a periodic report listing all
overrides by individual
10 managers.
Several different techniques may be used to evaluate and verify the validity
of the serial
number. Of course, to safeguard against fraud, individual manufacturers will
likely each use its
own confidential technique for verifying the validity of the serial number.
Accordingly, the
retailer system preferably includes the ability to select and apply an
appropriate verification
15 technique in accordance with the particular manufacturer, product line, or
the like. In one
preferred technique, a check digit is added to the serial number. Such a check
digit technique
may utilize a predetermined mathematical operation which is performed on the
digits of the
serial number. If the result of the predetermined mathematical operation is
equal to the check
digit, the validity of the serial number is verified. An example of a
preferred check digit
technique that can be used in connection with the instant invention is
provided in the above-
referenced PCT application
This feature of the instant invention provides an advantageous method of
enabling
participating manufacturers to assign a serial number mask for each UPC, while
also enabling
the serial numbers used to be easily captured during a product transaction for
input to an
electronic registration system (ERS) or the like. The POS system would then
have access to
information which would enable it to know what mask to use for each UPC,
thereby enabling
the correct serial number to be obtained and verified during the product
purchase transaction,
whether originating from retailers or e-tailers.
In accordance with another aspect of the invention, the mask may be defined in
a
manner which enables the system (ERS system, POS system, or other related
system) to
determine if the maslc is a packaging mask or a product mask. A packaging mask
is defined as
a mask for serial numbers used only on paclcaging for products, while a
product mask is
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defined as a mask for serial numbers used only on actual products. One example
embodiment
of this feature of the invention is to define certain elements (such as
certain constants) in the
mask to be used only with serial numbers on product packaging, and to define
different
constants for use only with serial numbers on actual products. In this manner,
the POS or ERS
system could determine upon reading the serial number whether the actual
product or only the
product packaging has been scanned or otherwise obtained.
One benefit of this optional feature of the invention, is that fraudulent
returns can be
minimized or prevented. More particularly, by using this technique the
fraudulent return
situation can be avoided where a person purchases a new product with new
packaging and then
returns the new packaging with an old or different product therein for credit
or refund. The
invention reduces this type of fraud by requiring that an actual product be
scanned, rather than
only the packaging returned with the product. In other words the POS or ERS
system could be
programmed to recognize during a product return transaction whether only the
packaging serial
number has been scanned, and prevent acceptance of the return until the actual
product is
scanned, thereby assuring that the actual product, not just the packaging,
qualifies for return.
Once the serial number is verified (block 108), a local database may be
updated with
the serial number information and any other necessary or desired information
(block 110). At
minimum, however, the local database should include an indication of the date
on which the
transaction took place. Other information might include the price paid, the
store associate
responsible for the sale, and the like.
The serial number of the individual product is printed (block 112) as part of
a written
customer transaction receipt when in the retailer environment. As shown in the
sample sales
receipt 30 of FIG. 3, the serial number may be printed adjacent the
description and SKU
number of the registered product. Thus, it will be a simple matter to
correlate serial numbers
with associated products, particularly when several registered products appear
on a single
customer sales receipt. Of course, additional information may be printed as
well.
The date of the transaction will typically be printed at either the beginning
or the end of
the sales receipt, but may appear anywhere on the receipt. In the example
operation illustrated
in FIG. 2 and the sample sales receipt of FIG. 3, the date is printed at the
end of the sales
receipt 30 (block 116). For ease of viewing, the serial number and date on the
sample receipt
30 are indicated by boxes. If desired, an actual printed receipt rnay also
have such information
highlighted, for example, by a different color ink.
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Turning back to the example operation illustrated in FIG. 2, after the serial
number is
printed, a check is made to determine whether sales are complete (block 114).
Ordinarily, this
will be based on the store associate hitting a TOTAL button on the cash
register. If sales are
not complete, control returns to block 100 for entry of a SKU number for the
next product.
Otherwise, sales totals are calculated and printed on the receipt along with
the current date
(block 116). Thereafter, the central registration computer system 14 is
contacted and the
general registration database 16 is updated.
It should be emphasized that the operation illustrated in FIG. 2 is merely
exemplary,
and that the steps need not be performed in the particular order shown. For
example, all print
operations and database updates can talce place after sales are completed.
Additionally, it is not
necessary to update the databases on an item-by-item basis. Indeed, efficiency
and speed in
updating the general database may be increased by hatching transactions in
groups of, for
example, fifteen transactions.
An example technique for interfacing the local computer system 6 to the
central
registration computer system 14 is illustrated in FIG. 4. Product serial
numbers are scanned or
keyed in by a store associate (block 200) and stored with associated
information in the local
database (block 202) using an operation such as discussed in connection with
FIG. 2.
Thereafter, the local computer system 6 extracts the serial number information
from the
database (block 204) and batches the information in blocks of fifteen (block
206). The
information may also be hatched by manufacturer in the local computer system
6. The
operations represented by blocks 204 and 206 are preferably performed
periodically, for
example, daily.
Once the serial number information is properly hatched (block 206), the local
computer
system 6, in this case a retailer system, dials the general registration
computer system 14, to
make an electronic linlc to an electronic mailbox set up for that particular
retailer (block 208).
A separate electronic mailbox may be set up for each registration center
account. The
connection is tested (block 210) and, if the connection is not properly
established, the retailer
computer system 6 redials (block 212) until a proper connection is
established. At that point,
data is transmitted (block 214) to the electronic mailbox. Batching the
information increases
transmission speed and, therefore, reduces data transmission times.
Data communications between the retailer or e-tailer system and the
registration center
system may use a conventional communications format. For example, the computer
systems
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may be equipped with an EDI Translator capable of using the Standard 140 file
format
established by the EIA. The Standard 140 file format is specifically designed
to extract product
registration information. A typical transmission would begin with a
Transaction Set Header to
indicate the start of a transaction and to assign a control number. This would
be followed by a
Beginning Segment for Product Registration which indicates the beginning of a
product
registration transaction set and transmits identifying numbers, dates and
times. The identifying
numbers may include a Purpose Code to identify the type of registration (e.g.,
original sale or
return to stock) and a Reference Number assigned by the user for the
particular transaction.
Next, a Name segment is transmitted to identify the user by type of
organization, name and
identifier code. The identifier code may indicate an organizational entity, a
physical location,
or an individual.
If desired, additional identifying segments such as an Address Information
segment and
a Geographic Location segment may be transmitted. The address information
would include,
for example, a street number and name for the individual store. The geographic
location
information would include the city name, a state or province code as defined
by an appropriate
Government agency, a postal code (e.g., a zip code in the United States), and
a country code.
Following any desired additional identifying segments, specific item
identification
information (e.g., serial numbers) may be transmitted along with a textual
description of the
product if desired. Information identifying the individual store or e-tailer
that sold the
particular item may be associated with the information for that item.
Appropriate dividers
would be provided to separate the information for the respective individual
items. After the
individual item information has been transmitted completely, a Transaction Set
Trailer segment
may be transmitted to indicate the end of the transaction set and provide the
count of
transmitted segments.
Returning now to FIG. 4, the registration center computer system 14 decodes
the serial
number information received from the retailer or e-tailer (blocle 216). The
decoded serial
number information is preferably sorted by manufacturer (if not already
sorted) and initially
stored in a temporary database (block 218). Separate temporary databases may
be employed
for individual manufacturers. The serial number information is preferably
encoded along with
the retailer's name, the registration date, the sale date, the last date on
which returns will be
accepted, and the last date for warranty repairs (block 220).
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The applicable return and warranty dates may be stored in the registration
center
computer system or, alternatively, could be obtained from the particular
manufacturer by way
of communication channels 15, 15', 15", etc. Of course, other ways of
determining the
appropriate dates may also be utilized. In accordance with the preferred
embodiment, however,
the central computer system has access to information providing the
manufacturer's return and
warranty policy for each product registered, and the participating
manufacturer or other vender
provides and updates this information for each of its products.
The individual serial numbers may next be validated using the check digit
technique
discussed above, and the data is transferred to the registration center's
general database (bloclc
222). Following validation of the serial numbers, an on-line summary report
may be generated
which lists all accepted and rejected serial numbers (blocle 224). The valid
data is then stored
in the manufacturer's national serial number database for later access as
described in detail
below.
The summary report provided in block 224 provides a tool for the registration
center to
locate trouble spots caused, for instance, by malfunctioning retailer systems
or attempted fraud.
Additional monitoring reports may also be generated as desired. For example,
the serial
number pass/fail ratio for all returns by a particular retailer over a given
time period may be
reported, duplicate serial numbers may be located and listed, previously
registered serial
numbers may be flagged, and cross-references may be made between the
registration date and
the date the product was returned to the manufacturer. Such reports can be
used by the
registration center to monitor retailer returns for possible problems or
abuse. Reports may also
be generated for individual manufacturers for separate monitoring or other
uses.
FIGS. 5A and 5B illustrate in flow chart form an example purchase and return
process
made possible by the electronic registration system (ERS) described above in
accordance with
the present invention. A store customer first piclcs out a store product for
purchase (block 300)
and brings it to the check out station (block 302). The store associate then
scans the UPC code
to enter the product SKU number (block 304) and, if it is a product for which
electronic
registration is sought, the store clerk is prompted to enter the unique serial
number (block 306).
After the store clerk scans the serial number (block 308), the customer sales
receipt is
printed with the serial number (block 310) and the transaction databases are
updated (block
312). The process ends if the customer is satisfied with the product (block
314). If not,
however, the customer returns the product to the store (block 316).
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As noted previously, if the customer presents the sales receipt at the time of
a return,
the store associate may compare the serial number on the product with that on
the sales receipt.
The associate should compare the printed serial number with that on the
product itself, rather
than the serial number on the packaging, to guard against repackaging of an
old product in a
5 box for a recently purchased product. If the serial numbers match, the
return is within an
applicable allowable time period, and all other return qualifications are met
(e.g., no major
parts are missing, etc.) the return may be accepted, assuming that the store
clerk handling the
return is aware of the applicable return policy associated with that
particular product.
However, if the store clerk is uncertain of the applicable allowable return
period, the
10 clerk may submit the product for electronic return verification as
described below.
If there is no receipt, or if the product serial number does not match that
printed on the
receipt, the store associate examines the products to ensure all return
qualifications are met
(block 318). If so, the store associate scans the serial number on the product
(block 320) and
the retailer computer system 6 checks the retailer database for the serial
number (block 322). A
15 link to the registration center's serial number database may be made to
search for serial
numbers which do not appear in the retailer database (block 324).
Assuming the serial number information is found in either the retailer
database or the
registration center database, the date of purchase is checked to see if then
return has been
presented within the applicable return period (e.g., 90 days) (block 326).
Purchases within the
20 applicable return period which meet all other manufacturer return
qualifications (block 328)
may be refunded or exchanged (block 330). The retailer may then return the
product to the
manufacturer within an applicable time period (e.g., 150 days) from the date
of purchase to
receive credit for the return (block 332).
For products which do not meet all manufacturer return qualifications (block
328), but
were purchased within the applicable return period (block 326), the consumer
may be referred
to an authorized repair facility for a warranty repair (block 334). Similarly,
if the purchase was
made outside the applicable return period (block 326), but within the
applicable warranty repair
period (e.g., 180 days) (block 336), the customer will be referred to an
authorized repair facility
for a warranty repair (block 334). Consumers seeking to return products
purchased beyond the
applicable warranty repair period (block 336) will be directed to an
authorized repair facility
for a non-warranty repair (bloclc 338).
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The example return and warranty repair deadlines noted in the example of FIG.
5 are
fairly typical for actual return policies. However, these particular deadlines
are merely
examples, and other appropriate deadlines may be used without departing from
the invention.
Because different manufactures may utilize different return and warranty
deadlines, it is
preferred that the deadlines applicable to a particular manufacturer be stored
in the retailer
computer system. Of course, if the applicable deadlines are encoded along with
the serial
number information at the time of initial registration, that information
should be available from
the registration data without the need to again check the applicable return
criteria.
FIG. 6 provides a graphic illustration of a return process which utilizes the
features of
an electronic registration system in accordance with the instant invention. As
illustrated at the
left hand portion of FIG. 6, when a customer seeks to return a product, the
store associate
searches the retailer's store-wide database by entering the product serial
number. If the
transaction is located in the store-wide database, the operator terminal 11 of
the retailer
computer system 6 displays the product description, the purchase location, and
purchase date.
Additionally, the consumer's return options for the particular manufacturer
(e.g., warranty
repair, exchange, store credit, or cash refund) may be displayed. The display
of consumer
options is particularly advantageous where electronic registration is used for
multiple
manufacturers. By displaying the options, the need for the store clerk to
remember or look up
the options is avoided. Also, the likelihood of the store associate making a
mistake is reduced.
The right hand portion of FIG. 6 illustrates a situation where the product was
purchased
from a competitor retailer and, thus, does not appear in the store-wide
database. After
unsuccessfully searching the store-wide database, the retailer computer system
6 dials up to
search the registration center database. The registration center computer
system 14 returns the
date purchased, the name of the retailer that sold the product, the applicable
deadline for
consumer returns, the applicable deadline for the retailer to return the
product to the
manufacturer for credit, and the applicable deadline for warranty repairs.
Based on this
information from the registration center, the operator terminal 11 of the
retailer computer
system 6 displays the product description, the purchase location and date, and
available
consumer options.
Referring now to FIG. 7, an example of a typical arrangement which may be used
for
handling product returns is illustrated. The present invention, of course, is
applicable to other
arrangements as well. In the example arrangement of FIG. 7, a regional
warehouse 501
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operated by a large retail chain collects product returns from local retail
stores 503A and 503B.
In the illustrated example, retail store 503A is located in the Northeast
United States and retail
store 503B serves the Mid-Atlantic region; the retailer regional return center
warehouse 501 is
located in the South; and the manufacturer warehouse 505 is in the Pacific
Northwest. Of
course, this example is for illustrative purposes only, and it should be
appreciated that other
local retail stores, regional return centers, etc. would be present in an
actual return network.
Also, it should be understood that a product return network typically would be
operated in
conjunction with a product distribution network.
After the returned products arrive at the regional warehouse 501, they are
sorted by
manufacturer and/or product, and are shipped from the regional warehouse 501
to the
manufacturer warehouse 505 for credit or replacement. The manufacturer then
inspects the
returned products to ensure that they comply with necessary return conditions
and, if
appropriate, issues a credit or replacement product.
Each step of the foregoing example return process involves various processing
and
handling requirements. For example, personnel at the local retail store must
first review the
product for compliance with applicable return requirements (e.g., ensure that
the product is
returned within the specified return period and verify that all parts have
been returned), and
then arrange for shipment to the appropriate regional warehouse by way of a
truck 507 or other
suitable means of transportation.
Employees at the regional warehouse must unload the products received from the
local
retail stores, sort them by manufacturer and/or product, prepare them for
shipment (e.g., place
the returned products on shipping pallets), and arrange for the shipment to
the manufacturer.
Finally, the manufacturer must receive the returned product shipment, verify
that the returns are
proper, repackage the returned products if appropriate, and conduct necessary
bookkeeping to
ensure that the retailer receives proper credit for the return. It is noted
that the foregoing is not
an exhaustive list of the costs and efforts associated with processing product
returns by the
retail stores, the regional return center warehouses, and the manufacturers.
The electronic registration system (ERS) described above may be utilized, for
example,
in connection with operations at the retailer regional return center warehouse
501 to reduce
costs incurred by both the return center and the manufacturer. In accordance
with one aspect of
the present invention, significant cost savings can be realized by reducing or
eliminating
unnecessary shipping costs by making a relatively early determination whether
a product return
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will ultimately be accepted by the manufacturer or the like. If not, the
returned product need
not be handled further, thereby reducing costs.
Thus, ERS can be used to reduce costs and improve efficiency of returns
between the
retailer and manufacturer and also, as described in greater detail below,
between the consumer
and the retailer andlor the manufacturer. As explained herein, the user
interface as well as the
operation of the ERS system is significantly different in the
retail/manufacturer application as
compared to the consumer/retailer application, as a result of the particular
needs in each of
these return situations. It is noted that commonly owned and co-pending
application Serial No.
09/065,552 identified above, includes, as one example, a method and apparatus
for efficiently
handling product return transactions between a retailer and a manufacturer. In
order to provide
a complete understanding of the preferred ERS system used in the present
invention, a further
description of this retailer/manufacturer returns system is described below.
In accordance with this feature of the ERS system, advance return
authorization (RA)
for shipment of returned products between the retailer and the manufacturer
can be obtained for
a plurality of products at one time to establish an approved product return
batch. The approved
batch may be properly labeled prior to return to the manufacturer. In this
way, product returns
may be easily and efficiently handled in batches rather than as individual
units, thereby
improving efficiency and reducing costs.
Referring now to FIG. 8, an example implementation of this system includes a
return
side portion 521 and a manufacturer side portion 523 which are operable to
communicate over,
for example, an Internet connection 525. Briefly, the return side portion 521
may include a
personal computer 5210 that includes, for example, an Intel 486 processor or
higher with at
least 16 MB of RAM, a Microsoft Windows 95 or Windows NT operating system, and
browser
software such as Netscape Navigator 4.0 or higher. The personal computer 5210
may also
include a modem for direct connection to an Internet provider through a
dedicated telephone
connection 5212. Alternatively, an Internet connection may be made by the
personal computer
5210 over a corporate network. Also, it may be possible to utilize a direct
telephone link by
modem between the return side portion 521 and the manufacturer side portion
523 or even a
hardwired connection.
A bar code scanner 5214 is provided for scanning bar coded SKU and,
preferably, serial
numbers for returned products. Additionally, a printer 5216 is provided for
printing transaction
records and, if desired, printed versions of return authorizations from the
manufacturer. As
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will be discussed below in greater detail, manually prepared return
authorization forms may be
used as an alternative to printed return authorizations.
The manufacturer side portion 521 includes a computer system 5230 utilizing,
for
example, an IBM AS1400 computer and having an associated data storage unit
5234 for storing
an electronic product registration database. The manufacturer side computer
system 5230 is
capable of communicating with the return side portion 521 over an Internet
connection though
telephone connection 5232. As noted previously, other communication techniques
between the
manufacturer side portion 523 and the return side portion 521 may also be
utilized.
After the regional retailer return facility receives products for return to
the
manufacturer, the return side portion 521 may access the manufacturer side
portion 523 to
screen the products for compliance with return requirements and to obtain pre-
authorization of
the returns. In particular, the return side computer 5210 connects to the
manufacturer side
computer 5230 by way of the Internet or through other appropriate
communication techniques.
In the present example embodiment, the manufacturer side computer maintains a
world wide
web page for access by the regional return center. Password protection may be
provided to
ensure only authorized retailers are able to access return pre-authorization
features in
accordance with the present invention. For example, each return center
location that is
permitted access to the pre-authorization features may be assigned a location
identification
code and a password. In such a case, both the location identification code and
the password
would be required before access is granted to the product return screening
program.
FIG. 9 is a logic flow chart for the manufacturer side computer 5230 in
screening
returned products and processing pre-authorization requests from the regional
return center. As
indicated in the top portion of FIG. 9, the user first enters the appropriate
location identification
code and password. FIG. 10A illustrates a screen which may be displayed at the
return side
computer to prompt the user to enter the location identification and password.
Once this
information is received by the manufacturer side computer, the password is
validated at
function block 5302. If desired, appropriate application maintenance
procedures may be
implemented upon validation of the password.
Upon verification of the location identification code and the password, the
manufacturer side computer 5230 may cause a screen such as is illustrated in
FIG. lOB to be
displayed at the return side computer 5210. As shown in FIG. 10B, existing
batches saved in
memory at the manufacturer side computer 5230 are listed. Existing batches are
those for
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which return products have been scanned, but which have not yet been submitted
for return
authorization. Preferably, items can only be added or deleted from a batch up
to the time that
the batch is submitted for return authorization. In the present example
implementation of the
invention, once the batch is submitted for return authorization, it will no
longer be displayed on
5 the batch status screen, but can be viewed from the RA Status screen
described below in
connection with FIG. 10H.
It is possible to display a number of information items on the batch status
screen in
addition to the batch number. For example, the batch status screen shown in
FIG. lOB displays
the date and time the batch was opened, the total number of products that have
been screened
10 for return validation, the number of accepted items, and the number of
rejected items. Of
course, additional information could be displayed if desired.
A number of options are offered to the return center operator on the batch
status screen
illustrated in FIG. 10B. In particular, the return center operator may open an
existing batch,
create a new batch, or submit a batch to the manufacturer for return
authorization. To open an
15 existing batch, the desired batch may be selected in a conventional fashion
by using a mouse to
highlight the batch number and then clicking on the "Open Batch" button.
Similarly, a
highlighted batch may be submitted for return authorization by clicking the
"Submit RA"
button. A new batch can be created by clicking the "New Batch" button.
Preferably, a batch must be set up prior to screening returned products for
return
20 authorization. Depending on user preference, the return center operator may
establish a new
batch for each pallet of returned products that is screened for return
authorization, each bill of
lading, or based on the date that the products are scanned. It is not
necessary to limit the
number of products that can be scanned for each batch.
Referring again to FIG. 9, when the return center operator either opens an
existing batch
25 or creates a new batch, control passes to function block 5304. For a new
batch, the
manufacturer side computer 5230 creates a batch header which includes
information
identifying the assigned batch number, any customer reference numbers, the
return center
address, the name and telephone number of a customer contact person, and the
status of the
batch (e.g., product entry stage, pending approval, approved, declined, RA
assigned, etc.). A
new batch number will be assigned each time "New Batch" is selected. If an
existing batch is
opened, the header information is retrieved from memory associated with the
manufacturer side
computer 5230.
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Once a batch is opened, the system is now ready to screen returned products.
Depending on the type of product for which return authorization is sought, the
return center
operator selects either "Scan Hardware" or "Scan Accessories" by clicking the
appropriate
button (FIG. 10B).
Referring now to FIG. 10C, to screen hardware product returns for compliance
with
return criteria, the return center operator is prompted to enter the UPC
number for the product,
the product serial number, and a store reference code (if desired). This
information may be
entered by scanning bar codes on the product with wedge scanner 5214 (FIG. 8),
or
alternatively by typing the information on the keyboard associated with return
side computer
5210. Other appropriate techniques may be employed as well. The user may then
click the
"Validate" button to instruct the manufacturer side computer 5230 to screen
the product for
return approval.
As shown in FIG. 10C, the Scan Hardware screen then displays the submitted
information including the UPC code, the serial number, a description of the
product, the date
and time it was entered, and the store reference if any. Again, other items
could be displayed if
desired.
Although various techniques may be used for validating the screened products
for
compliance with return criteria, the system preferably uses data collected by
an ERS as
described above. In other words, while the above description of this
retailer/manufacturer
return system indicates that the manufacturer has a product registration
database, this database
may be based on information collected by the central database of mufti-vendor
ERS system as
described above. Briefly, such an electronic registration system establishes a
database which
then may be accessed at the time of product return to determine the date of
original sale and
other information pertinent to determining whether return requirements are
met. It is noted
that, for a return to be properly accepted by a manufacturer, the product must
not only be
returned by the customer to the retailer within the specified return period,
but it also must be
returned by the retailer to the manufacturer within this specified period.
Thus, this
retailer/manufacturer feature of the ERS system is used to verify the latter.
When the manufacturer side computer 5230 receives UPC and serial number
information for return validation, control passes to function block 5306 of
FIG. 9. The
manufacturer side computer 5230 then checks the electronic registration
database to ensure that
the identified product meets product return criteria, and posts the scanned
information to a
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batch detail file. The batch detail file preferably includes the UPC number,
the serial number,
an indication of product quantity, and status (e.g., pending approval,
approval good, error, or
approval declined). The electronic registration database may then be edited to
indicate that the
product identified by the UPC code (function block 5308) and serial number
(function block
5310) has been screened for return. Accordingly, the manufacturer side
computer 5230 can
keep track of products that have already been screened to avoid multiple
submissions of a
single product for return.
There may be a number of reasons a product will not qualify for return credit
or
replacement. For example, the warranty period may have expired, the serial
number might not
have been registered, an invalid serial number may have been received, the
packaging may be
missing, a major component of the product may be missing, or the item might be
non-
returnable as part of the conditions of sale. If the product does not qualify
for return, the return
center, such as the retailer regional warehouse, can retain the rejected
product rather than ship
it to the manufacturer, thereby saving the cost of freight for shipping a
product that does not
qualify for credit.
A note is displayed across the bottom of the screen of the Scan Hardware
screen when a
hardware unit does not qualify for return. The displayed message is preferably
for the last item
scanned. If the return center operator would lilce to review the reason a
previously scanned
item did not qualify for return credit, the operator may select "Actions" from
the screen menu
to see a list of available options. The operator may then select "Reasons" to
see a description
of the reason the unit was rejected. An example of a displayed reject reason
is shown in FIG.
10D. Scanning may be resumed by pressing the <Esc> key on the return side
computer
keyboard to close the menu screen. The scanning process is repeated for each
hardware item
for which screening is sought.
Ideally, the return center operator staclcs returnable items 1103 qualifying
for return on
a shipping pallet 1101 or the like (see FIG. 11). Non-qualifying items should
be stacked on a
separate pallet. It will then be unnecessary for return center personnel to
later sort through the
products a second time to separate qualifying products from non-qualifying
products.
The Scan Accessories display screen is illustrated in FIG. 10E. The return
center
operator is prompted to enter the quantity of the accessory that is to be
scanned. For example,
if return authorization is to be requested for three VHS cables, the operator
will input "3" and
then use the <TAB> button on the return side computer keyboard to advance the
cursor to the
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UPC Number field. The UPC number may then be scanned or entered manually on
the
lceyboard. If a Store Reference code is used it may be entered prior to
clicking the "Validate"
button.
Once pre-screening is completed for the hardware and accessories, the return
center
operator may move back to the "Batch Status" screen. The batch may then be
submitted for
return authorization by clicking the "Submit RA" button. Referring now to FIG.
10F, the
return center operator is preferably prompted to enter the name and phone
number of the
person who should be contacted with information or questions concerning the
return
authorization request. If desired, a customer reference number (e.g., a bill
of lading number,
file number, invoice number, etc.) may be entered for an internal reference to
identify the return
authorization. If the information on the screen is not filled in or "Cancel"
is selected, the batch
will not be submitted for return authorization. However, the batch will
continue to be visible
from the "Batch Status" screen.
Referring again to FIG. 9, control goes to function block 5312 upon submission
of a
return authorization request. First, the return center operator is asked to
verify the contact
information. An example of an appropriate contact verification screen for
display on the return
side computer 5210 is shown in FIG. 10G. If the contact information is
verified, the
manufacturer side computer 5230 re-validates the good scans included in the
submitted batch.
Control then proceeds to function block 5314. If the good scans fail re-
validation, control
proceeds to function block 5316, which flags the batch header with an error
indication, and
notifies the return center operator of the failure. Otherwise, control
proceeds to function block
5318 for automated approval.
Function block 5320 checks to determine whether the automated approval process
was
successful. If not, an e-mail message may be sent to a manufacturer's
representative for the
particular return center (function block 5322). The return authorization
request may then be
reviewed manually to determine whether the request should be approved
(function block 5324).
If the manual review shows that the request was properly rejected, the batch
is flagged with an
indication that the request was rejected, and the return center is notified of
the rejection
(function block 5326). However, if the request is approved, control passes to
function block
5328 to create a return authorization number and update the batch header to
indicate the
approved status. As indicated in FIG. 9, control may also pass to function
block 5328 by way
of function block 5320 if the automated approval process is successful.
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FIG. lOH illustrates an example of an RA Status display screen which may be
used to
inform the return center operator of the status of an RA request. As shown,
the RA Status
screen lists the authorization status (e.g., pending, approved, rejected), the
batch number, the
customer reference number if any, the number of scans in the batch, the
submission date, the
approval date if applicable, the RA number if applicable, and the expiration
date by which the
return must be completed.
Once the RA has been submitted and approved, the system may also provide the
dollar
value of the product that is authorized for return. This dollar value may be
based on the lower
of (1) the gross invoice price paid by the Dealer for the product, less the
value of all allowances
and incentives given to the Dealer, or (2) the vendor's net product pricing at
the time of the
return. In most cases, the dealer may deduct the monetary value of authorized
returns from any
existing or future vendor invoices. Additionally, the system can be configured
to comply with
a vendor's specific returns policy and guidelines.
The RA number should be placed on the products prior to shipping to the
manufacturer
for credit. Referring now to FIGS. 11 and 11A, the RA number listed on the RA
Status display
screen may be written on an adhesive label 1105 supplied by the manufacturer
along with the
customer reference number (if applicable). Alternatively, the printer 5216
(FIG. 8) may be
used to print labels upon receipt of a return authorization number. Such
labels are preferably
placed on all four sides of the shipping pallet, the pallet is shrink wrapped
and shipped to the
manufacturer. The pallet should be shipped immediately to guard against
expiration of product
return dates. Of course, other shipping containers may be used as well.
The return authorization labels 1105 provide an easy reference to personnel at
the
manufacturer warehouse and permit simple and efficient processing of the
returned products.
Because the returned products are received in a batch and have been pre-
approved for return
credit, less work is required in reviewing the returned products to verify
compliance with return
criteria. As a result, the resources required to process the shipment are
reduced, and the
manufacturer is able to more quickly credit the return center for the returned
products.
As explained above, this exemplary retailer/manufacturer returns feature of
the ERS
system simplifies and improves the returns process between a retailer and a
manufacturer. The
instant invention, however, is particularly advantageous when used at the
consumer/retail level
to prevent acceptance of unauthorized returns to retailers by consumers. This
retailer/consumer
feature of the instant invention will now be described in greater detail
below.
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Referring now to FIGS. 12, 12A, 12B and 13, in accordance with one aspect of
the
present invention, a computer based system provides a method for real-time
data storage and
retrieval for the purpose of verifying and validating specific sales
transaction data and product
returnslwaiTanty repair eligibility at the point of sale (POS) or retail
location at which the
5 consumer brings the product for return. Sales transaction information
provided by this system
may include SKU or UPC number, product serial number, date of purchase, place
of purchase,
register transaction number, payment information, return-to-vendor status,
repair warranty
status, authorized repair center location and phone number, estimated distance
from consumer
to repair location, repair prices, and any other suitable information as
desired by the retailer
10 and/or vendor.
The sales and returns verification system illustrated in FIGS. 12, 12A, 12B
and 13,
preferably makes use of and incorporates POS electronic registration
technology at the point of
sale register, where the product's SKU or UPC is linked to the product's
serial number, forming
a unique identifier. Additional point of sale data (as determined by the
retailer and/or vendor)
15 can now be attached to this unique identifier and stored and/or transmitted
and stored in a
central database for future reference. Once the connection is made between the
retailer and the
vendor or third party service provider, additional services, such as credit
card authorization or
check verification, can be provided to the retailer.
In operation, the POS register may capture the UPC or SKU and the product's
serial
20 number to establish a unique identifier. Depending on the requirements of
the particular
retailer and/or vendor, additional data may be linked to the unique identifier
and then
transmitted. As explained above, the unique identifier may be determined in
accordance with a
mask and associated decoding information defined, for example, by the third
party service
provider and manufacturer.
25 If a transaction is paid by check or credit card, the check or credit card
identification
number may trigger the system to establish a connection with the third party
service provider
for credit card authorization or check verification. Once the POS register
transaction is closed,
the system stores and/or transmits and stores the unique identifier (UPC or
SKU and Serial
Number) along with the point of sale data as determined by the retailer and/or
vendor.
30 The third party service provider acts as a central registration computer
system (see, e.g.,
FIG. 1) and facilitates the link with the retailer. Credit card authorization
or check verification
data may be processed directly or through an approved financial institution.
The financial
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institution/third party service provider returns a credit card authorization
or check approval
number.
The unique identifier (e.g., SKU or UPC and/or the product's serial number)
along with
the date of purchase and any additional data linked to it is stored in a
central database for future
access. The central database preferably physically resides with the third
party service provider.
Alternatively, applicable portions of the central database can reside with the
respective vendors
as explained above.
When a consumer returns a product to the retailer, the store associate scans
or otherwise
enters the product's UPC or SKU, the product's serial number and, preferably,
the customer's
zip code. The system transmits this information to the third party service
provider (or
manufacturer) where certain data resides in a central database from the
initial POS transaction
and electronic registration as explained above.
The information is processed in accordance with the retailer and
manufacturer's returns
policy terms and conditions (each retailer and manufacturer is preferably
responsible for
updating its own returns policy and product warranties via a remote log in
password). The
manufacturer's warranty repair policy is also taken into account, as well as
repair localities,
including the repair center's address, phone number, approximate repair
charges, etc. The
system can also accommodate multiple (different) returns policies and repair
warranties for the
same manufacturer. This feature will help to satisfy contractual agreements
for specific retailer
customers.
Additional POS information (form of payment, price, etc.) as determined by the
retailer
and manufacturer may also be stored and linked to this product and/or sales
transaction. In
some instances, where the manufacturer has more stringent returns policies,
the manufacturer
may populate and store the product serial numbers at the time when products
are shipped (sell-
in) to the retailer. When the product is sold by the retailer (sell-through)
the serial number is
retransmitted and the records updated at the third party's database. This
feature allows the
manufacturer to track specific products with unique warranties and/or returns
privileges.
Once the information is processed, it is transmitted back to the retailer
(along with a
transaction record number RA) and presented in the form of an on-screen menu
options) with
predetermined (canned) text message(s). The retailer associate andlor the
customer select the
most appropriate option (repair, return/refund or return/exchange, etc.). If
the customer selects
the return/exchange option, the system prompts the store associate to scan the
replacement
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product's serial number. A hard copy, in the form of a receipt or an expanded
version, detailing
the transaction (repair information, etc.) may be printed for the customer as
well as for the
retailer's material move records.
The transaction may then be closed and the final information (customer
selection) is
retransmitted, linked to the product record and stored for future use by the
manufacturer,
retailer, and or third party service provider. The system updates the original
records according
to which option the consumer exercised. If the repair option was selected the
system voids the
RA transaction number. In case of a return/exchange transaction, the system
updates the record
with the replacement product serial number. It is noted that with most
manufacturers, the
replacement product's warranty expiration date coincides with the original
warranty expiration
date.
Referring to FIG. 12, a third party service provider 1001 operates a central
registration
computer system for the benefit of a number of retailers 1003 and vendors
1005. The use of an
independent service provider 1001 may be beneficial in encouraging retailers
and vendors to
utilize the transaction registration services. In addition to the retailers
1003 and vendors 1005,
a number of other users 1007 may access the third party service provider
system through, for
example, a modem or Internet connection, by way of a toll free X00 telephone
number, or other
appropriate means. These other users 1007 may include, for example, law
enforcement
agencies, loss prevention and insurance groups, third party reverse logistics
providers, third
party warranty providers, third party groups that provide sell through
reporting, authorized
service centers and others. In other words, the information stored by third
party service
providers can be used for other applications in addition to the validation of
returns.
Law enforcement agencies may, for example, access the central database to
locate
information regarding recovered stolen property. Thus, the rightful owner of a
recovered
property may be readily located. Additionally, locating the rightful owner may
provide law
enforcement agencies with leads to assist criminal investigations by, for
example, helping
determine the location from which stolen goods originated. Similarly,
insurance carriers and
loss prevention groups may be given access to the database to verify sales
information and help
guard against fraudulent claims.
Customer information such as name, area code and the like is typically not
gathered at
point of sale. Accordingly, a vendor may include a registration card with the
product which
may be filled in by the customer and forwarded to the vendor or the third
party service
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provider. The information from the product registration card may then be
appended to the
transaction record to provide corresponding customer information. Of course,
in lieu of a mail-
in product registration card, it is also possible to permit on-line
registration, telephone
registration, or other available forms of registration. Of course, any such
form of registration
should require a sufficient indication of information that can be used to
verify that the
transaction is being registered to a rightful purchaser.
FIG. 15 schematically illustrates a process that may be used for on-line
consumer post-
sale registration. To ensure that the post-sale registration is being made by
a proper customer,
the process goes through an initial validation stage to verify information
that would be known
to a proper customer and which is already available to the central
registration system by virtue
of the previous POS or e-tailer transaction registration. For example, the
consumer may be
prompted to enter the brand name of the product (step 1501), the store at
which the product
was purchased (step 1502), the purchase date (step 1503), the product serial
number (step
1504), and the product description (step 1505). Correct responses (or at least
nearly correct
responses) to these inquiries permit the user to proceed to the second stage
of the post-sale
registration wherein the consumers name, address, phone number and other
suitable
information is obtained and stored with a link to the product information. Of
course, adequate
steps should be taken to ensure consumer privacy.
As shown in FIG. 12, at the point of sale (POS), the retailer may transmit
applicable
information to the third party service provider 1001 to be included in a mufti-
vendor database
1009. If desired, the central registration computer system may include a
database 1011 for use
in verifying credit card or check transactions. If this capability is used,
the third party service
provider may return a credit card or check approval number at the time of the
sale.
Additionally, a database 1013 may be provided for information pertaining to
the return policies
of particular retailers and vendors.
The system permits customer service requests (CSR) upon receipt of applicable
information such as a UPC number, serial number, or customer zip Bode. In
response to a
CSR, the third party service provider will return pertinent information such
as the purchase
date, return status in view of the applicable return policies, a return
authorization number if
appropriate, warranty/repair information such as a list of authorized repair
centers, or other
information. For example, user tips may be downloaded to assist a customer in
diagnosing a
problem, properly connecting electronic equipment, etc. Such information may
be included in
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a local retailer database, a third party service provider database, or a
manufacturer database.
The third party service provider and manufacturer databases are preferably
available seven days
a week, and 24 hours a day.
FIG. 12A further illustrates a preferred operation of the system illustrated
in FIG. 12
during electronic product registration. FIG. 12B further illustrates a
preferred operation of the
system illustrated in FIG. 12 during a product return transaction.
Turning now to FIG. 13, the third party service provider system may include
retailer
and manufacturer validation tables containing specific return policy
information. Maintenance
of these validation tables is preferably the responsibility of the individual
retailer, manufacturer
or other party. In other words, the retailers and manufacturers are provided
with access to these
validation tables so that they may provide and update the applicable return
criterias for their
products.
In addition, a retailer may access records in separate manufacturer databases
at the third
party service provider to obtain selected predefined or ad hoc management
reporting. For
example, a retailer may monitor returns accepted by an individual clerk to
determine whether
the clerk has an unusually high (and possibly fraudulent) return rate. Of
course, the third party
service provider should maintain security measures to ensure that the retailer
can access only
records to which it is entitled access. For example, a retailer would be
prevented from running
reports on sales by a competitor.
Similarly, the manufacturer may run predefined or ad hoc reports to monitor
sales
activities. Such reports may be useful, for example, in determining which
products are selling
well and, therefore, whether production or shipping of these products should
be increased.
Again, a manufacturer would not be given access to competitors' sales
information.
FIG. 14 is an application overview of the components and functions of the
central
registration computer system. As shown, the central registration computer
system may perform
a number of system functions. These system functions include application
services, database
services, electronic data interchange (EDI), batch services, VRU services,
collaboration
services, RMI/BOP services, e-mail services, directory services, encryption
services, VPN
service, load balancing services, systems management services, reporting
tools, site analysis
services, and HTTP services.
Application services allow the handling of server-side processing on a world
wide web
server. This is important to meter traffic to the databases. It also allows
for fail over if
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applications are not available. It also allows for session tracking and extra
security. Database
services handle the storage and retrieval of the central registration computer
system data. This
can be important for the speed and integrity of data storage and access. It
also can allow the
synchronization of data across multiple databases and data-centers. EDI is an
application that
5 allows the mapping and conversion of data from the central registration
computer system
database and converts it to the industry standard Electronic Data Interchange
(EDI) documents.
It also processes EDI documents and will place the results in the database.
EDI handles the
communications of data to and from value-added-network electronic mail boxes.
Batch
services support the set of processes that allow the scheduling and logging of
jobs that may be
10 run as part of the system. This includes scheduling transfers of data,
cleanup processes,
database conversions, content updates, alert triggers, audit processes, etc.
VRU services is the set of telephony services that allow the system to
implement
applications on the database. This can support applications that allow
retailers at the point of
return to check returns verification status and warranty information.
Collaboration services
15 allow accounts and central system personnel to communicate real-time and
provides for on-line
customer service to help decrease costs, decrease time to handle service
requirements, and
increase the level of customer satisfaction. RMI service allows for remote
execution of
transactions between central system applications and its accounts, and can be
one of the ways
to process data exchange, and execute electronic registration or returns
verification
20 transactions. E-mail services can facilitate the processing of e-mail
between the central system
and the accounts (vendors, retailers, service centers). It can include hosting
of e-mail services
for those accounts who do not have their own Internet Service Provider (ISP)
and can also
handle consumer accounts (if needed).
Directory services are the systems services that allow a standard technique
for storing,
25 using, and accessing user-centric information. This database can drive the
user data for the
central system web, e-mail, and collaboration services, and can also serve as
the basis of central
system security. Encryption services allow the central system to encrypt
(secure) data that is
transferred over the Internet. This could be important for securing non-
private network
datafiles. This service also includes management/publishing/serving of the
public key
30 associated with the central system. VPN services allow the central system
and its retailer
accounts to establish a private communications channel on the Internet, and
may be
implemented at the hardware or software level. It can be very important to
maintain security
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on the Internet, yet allow transactions to perform up to requirements. Load
balancing services
route transaction traffic to appropriate services, systems, and sites (data
center) depending on
system availability, performance, and location of the request. This can be
important because it
allows a transaction to continue if a site or host is down, and ensures that
the system is always
available.
Systems management services monitor the availability, security, and
performance of the
central system applications. It also can allow the central system to escalate
problems if they are
not resolved in a timely manner, and can allow the central system to manage
the network and
host functions in addition to the data center. Reporting tools allow
authorized central system
accounts and central system personnel to easily access the database. This will
allow ad laoc
analysis of data for an account and will allow straightforward deployment of
new reports. Site
analysis tools allow the central system to analyze its world wide web traffic.
This includes the
overall amount of traffic to the site or to specific sections of site. It can
allow the central
system to see where the traffic is coming from and what type of browser is
being used. It can
also allow the consolidation of log reporting across several hosts. HTTP
services is what is
typically referred to as a web server. These are the services that allow the
central system to
handle Internet browser access. It can serve and secure static content and
hand off dynamic
content requests. It also can allow for intuitive links to FTP services.
The central registration computer system also includes a number of semi-
private
support components such as data exchange, a communications menu system,
alerts, reporting
services, and project tracking and user help. Additionally, a number of semi-
private core
components are provided, including account maintenance, product maintenance,
warranty
maintenance, electronic registration, serial number maintenance, returns
verification, returns
prescreening, warranty inquiry and consumer registration. Although these items
require
authorized access, they may be shared by a number of individual users and are
therefore semi-
private.
The Account Maintenance core component allows the central system to setup an
account for either a retailer or vendor. Account setup covers such areas as
contact, relationship
and equity, account type, user information and authorities. This preferably
includes account
profile maintenance to maintain account information for each customer;
contact/user
maintenance to setup and maintain contacts/users for each account (user
default and specific
authorities may be assigned here); authority group maintenance to maintain
various authority
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lists which are assigned to various groups or account types; account
contract/relationship
maintenance to track contracts, equity, correspondence for each account; and
retailer location
maintenance which allows for the maintenance of each retail store location.
The product
maintenance component allows the retailer, vendor, and the central system to
maintain and
distribute product information. Retailer/Vendor UPC maintenance allows
maintenance of
product information at the UPC level. Kit maintenance cross references to
store pre-loaded
serial numbers that go together in each "kit" shipped. Product type
maintenance allows a
vendor to define groupings of their products (e.g., TV, VCR).
The warranty maintenance component allows the vendor to set up return and
repair
warranty information for each of its products. Policies can be set up at the
product or product
type levels. Warranty maintenance sets up and maintains return and repair
warranties. Reason
code maintenance maintains codes by product type to indicate the reason a
product is returned.
The electronic registration component allows the central system to collect
product registration
data from the retailer. This may include several interfaces to collect this
data- EDI to support
legacy implementation, and a real-time interface to support ongoing
implementations.
Registration transmission is a request from a retailer to the central system
to register a product
as sold. A registration transmission processor is a processing program at the
central system
that contains all the edits necessary to process the incoming registration
transmission and send
back the confirmation transmission when appropriate. An internal registration
audit may
provide an on-line interface which will display transmission errors that need
to be reviewed
and fixed before registration is accepted. A registration confirmation may be
transmitted from
the central system back to retailer to confirm that the registration was
received. A pre-sell
product registration may be used to register a product that is sold through
catalog sales, or to
indicate product as sold to a particular retailer for establishing special
return policies.
The serial number maintenance component can be used to maintain and view
serial
number registration information (returns and warranty expiration dates). It
can also be used to
maintain exceptional situations such as an indication that the serial number
was stolen. On-line
serial number maintenance may be used to allow an account to view and/or
update (depending
on authorization) specific information about a registered serial number.
Stolen serial number
maintenance allows an account to update a specific serial number as stolen.
Serial number
manual registration allows for registration (pre-sell and POS) of a range of
serial numbers
without scanning or other electronic interface. Serial number history allows
for the inquiry of
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all activity against a specific serial number. The returns verification
component provides the
retailer or return center with the ability to verify that a product is
eligible for return. A
confirmation will be transmitted back which contains a return authorization
code or message,
return-by date, and repair warranty information if requested. A return
verification request may
go from a retailer or return center to the central system. A return
verification processor may be
used to edit and process the data sent in and to send confirmation data back.
A return
eligibility confirmation can be transmitted from the central system back to
the retailer to verify
the product is eligible for return.
The returns prescreen component permits verification of whether or not a
product is
returnable to the vendor just prior to shipping. This system may be required
to ensure that the
product being sent back to the vendor will qualify for credit when it reaches
the vendor. This is
particularly important for those retailers who use returns centers to
consolidate returns. The
warranty inquiry component allows an authorized service center to access
information
regarding a product's repair warranty. Access to this information is
preferably through a web
interface or through the VRU. A product warranty inquiry allows access to a
product's repair
warranty information. The consumer post-sale registration component gives
consumers the
ability to register a product against the central system account. This will
allow consumers to
have a record at the central system of the serialized products they have
purchased. Also it will
allow law enforcement agents a means to contact the purchasing consumer for
stolen products.
This component includes consumer account setup, consumer serial number
registration, law
agent access, and provision of a consumer web site.
With regard to the semi-private support components, the data exchange
component
allows for the exchange of data between the central system and the accounts
(vendors or
retailers). Data exchange key maintenance maintains multiple user id/password
combinations
to support different ways of communicating with the account. For each account,
data exchange
subscription maintenance maintains which types of data will be sent to their
systems using the
data exchange mechanism. Startup services are the processes used to support
the initial
loading of the account's data into the central system database.
Vendor/Retailer data exchange
are the processes that set up and control the exchange of data with accounts.
Product
maintenance push will allow the movement of the product file information to
the retailer with
little development on the retailer's part. This will include only information
needed to drive
POS terminals for each retailer. The data exchange file generator are the
programs that
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39
generate the different types of files that contain the different types of
data. The Internet menu
system component is what an individual user (central system employees,
accounts, and
consumers) will see when they log onto the system. It will be used by the
central system
personnel (intranet) and the vendors, retailers, and service centers
(extranet) that have access to
the central system. Account application maintenance defines which applications
will appear on
each account's "menu" based on user access rights. Application billing
structure maintenance
defines the pricing structure associated with a particular application/account
combination.
The alerts messaging component provides a facility to send alert messages
generated
from various processes throughout the system. Alert maintenance is a process
to set up the
type of alerts an account would like to receive. An alert processor may be
provided to process
and send the alerts. The reporting component provides the account with various
standard
reports for tracking electronic registrations and return verification data.
For example, an
electronic registration summary report can be provided to summarize all
registration
information. An abuse audit report can be used to identify patterns of abuse
based on warranty
setup. A returns reconciliation report can show the history of registrations
including any return
request activity. A returns to registration audit report can show percentage
of returns compared
with registrations. A returns verification request summary report can show
total return
verification requests by return code. The project tracking/help desk component
provides
information exchange between the account and the central system regarding new
account setup,
bug fixes, and other pertinent information. Information exchange/project
tracking can provide
an ability to track projects and problems, and to exchange other information
with the account.
Time tracking can provide the ability to track time against projects such as
custom reports and
other enhancements specific to an account. A help desk facility could
incorporate the problem
tracl~ing portion of the information exchange.
2~ Private support components include audit maintenance, billing system
interface, and
purge setup/processing. The audit maintenance component can provide various
audits on
activity against the central system database. These audits can be used
internally by the central
system for tracking an account's usage of the system. An audit activity log
can track specific
types of activity against the serial number database. The billing system
interface component
provides processes for approving the billing of accounts for the central
system services. The
actual invoicing and fund collection may be provided by a standard accounts
receivable
software package. Billing structure maintenance may provide information on how
each
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account will be billed. Billing approval can provide an interface for approval
of the billing
before actual invoicing. Finally, the purge setup/processing component
includes the processes
and supporting information that will allow the central system to purge
appropriate data from
the system. Purge processing may summarize transactional data, save to other
media (tape,
5 CD, optical), and purge data based on time defaults set at the account
level.
Turning now to FIGS. 16A through 16G, a user at a retail store may access the
central
registration computer system to make a customer service request. Upon access,
a main menu is
displayed which provides the user with options to request return/warranty
information,
operating/hook-up instructions, vendor/product information, or other
information. FIGS. 16A
10 through 16B illustrate a series of interactive customer interface screens
that may be displayed
upon selection of return/warranty information.
As illustrated in FIG. 16B, the user may, for example, be prompted to input
the product
UPC number, the product serial number and the customer's zip code. This
information is then
transmitted to the third party host system of the centralized database to be
used in accessing the
15 pertinent database record. The user may also be requested to input a reason
for the
return/warranty inquiry.
FIG. 16C shows information that may be returned to the retailer by the third
party host
system. In particular, the host system may return additional details
concerning the original
transaction as well as a list of customer options. The list of customer
options may be
20 determined by the host system in light of the applicable retailer and/or
manufacturer warranty
information included within the validation tables 1013 (see FIG. 13).
Turning now to FIGS. 16D through 16G, the retailer selects the option chosen
by the
customer by cliclung on the appropriate choice. The host system then returns
pertinent
information relevant to the selected option. For example, if free warranty
repair is selected, a
25 list of local authorized repair shops may be listed. This list may be
printed and provided to the
customer by the retailer store. If the customer selects a product exchange,
the retailer may be
prompted to enter the serial number of the replacement product so that the
central registration
database may be updated accordingly. Similarly, the host system will update
the registration
database to reflect a return for in-store credit or refund.
30 Customer problems with products often are not the result of defects in the
product, but
rather may simply be the result of a lack of knowledge by the customer on the
proper operation
or hook-up of the product. Accordingly, the retailer may request information
from the host
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system to assist the customer in the proper operation or hookup of the
product. Such
information is preferably stored in an appropriate host system database. For
example, a
manufacturer may download instructions into the database for this purpose. The
manufacturer
ideally bears the responsibility of ensuring the information is kept current.
As an alternative,
the host system may access a manufacturer database to obtain this information
when requested.
FIGS. 17A through 17H illustrate interactive user interface display screens
that may be
utilized when a customer chooses to obtain operating/hookup instructions. As
shown in FIG.
17B, the user is prompted to enter the UPC number or the vendor name and model
number. If
the vendor name/model number option is used, the host system may be programmed
to
recognize the vendor name based upon the first few characters. For example,
once a user
enters "NINT", the system may recognize the vendor as NINTENDO, as illustrated
in FIG.
17C. Once the vendor name is recognized or completely input, a pull down menu
of possible
model numbers may be provided for user selection, as shown in FIG. 17D.
Referring to FIG. 17E, the user is then prompted to select information on
either the
operation or proper hook-up of the product. In this example, the user selects
hook-up
information. The host system then displays appropriate hook-up information
(FIG. 17F),
which may be printed for the customer. Similarly, FIGS. 17G and 17H illustrate
the interactive
screen displays if operation instructions are requested. As shown in FIG. 17G,
the user may be
prompted to enter additional information concerning the particular operation
of interest, for
example, how to set the clock, how to record, how to edit, etc. Again, the
appropriate
information concerning the customer inquiry then may be displayed and printed.
FIGS. 18A through 18F show interactive screens that may be displayed when the
user
selects vendor/product information. The user would again be prompted to enter
sufficient
information for the host system to determine which records to access, as
described above in
connection with FIGS. 17B through 17D. Pertinent information concerning the
vendor (FIG.
18B) or the product (FIG. 18C) may then be displayed. This vendor information
may be useful
to the retailer, for example, to contact the manufacturer with questions or to
provide the
customer with a manufacturer customer service phone number. The product
information may
be used, for example, to verify what components were sold with the products so
that the retailer
can verify the return of all major components. If desired, the retailer may
also return to the
main menu to obtain further information concerning proper hook-up or operation
of the
product, as illustrated in FIGS. 18D through 18F.
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Referring now to FIG. 19, in accordance with an important aspect of the
present
invention, a return authorization engine is provided for use directly by
customers or purchasers
of products. While this feature of the invention is particularly advantageous
when used in
connection with the return of products purchased on-line from e-tailers, it
may also be used to
enable consumers to initiate their own returns from products purchased from
conventional
retail locations as well.
In a preferred embodiment, a Web site is provided which can be accessed by the
customer via an Internet connection or the like. FIG. 19 shows an overview of
the main
components and flow of this aspect of the invention. The customer accesses the
web site 1902
and enters information related to the return, such as a serial number of the
product to be
returned. The Web site can request any suitable information to be entered by
the customer,
such as name, address, place of purchase, date of purchase etc. However, if
the product is a
serialized product (i.e. a product that has been previously registered in the
transaction database
(electronic registration (ER)) in the manner described above, then all that is
needed is the serial
number in order to provide the customer with information on return
qualification and return
procedures. The serial number is then used to access the ER database to
determine if the
product qualifies for return based on the applicable return criteria. If the
product does qualify
for return, the customer is given a return authorization (RA) number and
return instructions.
The RA and return instructions can be printed at the customer's computer used
to access the
Web site. The return instructions preferably include shipping instructions
indicating where and
how the product should be shipped for the return. The system may also tell the
customer who
to expect a refund or exchange from and how long it will take.
Once the vendor or other designated party receives the product at the return
center
1906, the vendor would then provide a confirmation to the ER database system
1904 that the
product has been returned. The database system 1904 would then notify the e-
tailer or any other
appropriate party involved in the transaction to issue a refund to the
customer or provide an
exchange depending on the particular circumstances of the particular
transaction involved.
The above described embodiment provides numerous benefits. First, the customer
is
able to generate his/her own return authorization (RA), which saves the e-
tailer, retailer or
manufacturer from having to be involved in this process. In other words, the
invention
automates the return process thereby eliminating the need to provide, for
example, call centers
for returns. In addition, the product can be shipped directly to the
manufacturer, thereby
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43
avoiding shipping and handling expenses for the retailer and delays by a third
party service
provider. The customer may also continuously track the return process on the
Web site 1902
(e.g. RA received, product received by the manufacturer, check in process;
check sent, etc.).
In accordance with a preferred embodiment of the invention, the Web site 1902
is
linked directly to a shipper, such as UPS, FedEx or U.S. mail, to request a
pickup for return or
service of the product from the customer, thereby further automating the
return process and
further simplifying the return procedure for the consumer. The system also
includes flexible
default return policies (as described above) that can be defined and updated
by retailers, e-
tailers and/or manufacturers.
If the ER database determines that the product is not eligible for return the
customer
will be advised of this fact and preferably be given information about repair
facilities that may
be able to repair the product if desired and/or operating or hook-up
instructions. The
information that may be provided to the user is similar that that described
above with respect to
FIGS. 16A-1~F. In other words, this embodiment is similar to the in-store
embodiment
described above, except that the customer does not go to a store for the
return. Thus, the
description and exemplary screens discussed above regarding the physical
retail embodiment
are equally applicable to the direct consumer access embodiment now being
described.
The instant invention provides a front-end clearing house (a centralized
buffer between
the customer and the various retailer/e-tailers) for the purpose of validating
legitimate returns
that comply with the retailer/e-tailer and/or manufacturer's returns policy
and guidelines. Once
the product is determined to be eligible for return (using the product's
unique identifier, such as
serial number and the applicable return criteria) additional menus (similar to
those described
above with respect to the store embodiment) will appear to prompt the user for
any additional
desired information. This information may be, for example, personal
information used to
determine if the person attempting to return the product is, in fact, the
rightful or original
owner of the particular product and is eligible for a return credit. The
system may consider the
person attempting to return the product as the rightful purchaser by, for
example, requesting the
customer to enter information that the person who purchased the product should
know, such as
approximately when and where the product was purchased. The entered
information can then
be compared with the information in the ER database 1904 to make a
determination if the
return should be accepted by the particular person seeking to make the return.
This screen may
be similar to that shown in FIG. 15 as described above. If the ER system
determines that the
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44
product is eligible for return, the customer is provided with a pre-return
return authorization
(RA), as well as detailed instructions on where to ship the product, who to
expect a refund
from and the approximate processing time.
It is noted that when products are purchased on-line through an e-tailer, the
transaction
information for the ER database can be obtained any time during the
fulfillment process. For
example, the warehouse that ships the product could scan or otherwise obtain
the unique
identifier (e.g. serial number). This information can then be sent to the ER
database together
with information on the purchase date, so that the information can be matched
with applicable
return criteria and stored for later use with a possible return request for
the product. When
products are purchased on-line, the e-tailer typically would have the credit
card or check
information on the purchaser. This information can be used later by the e-
tailer to issue a
refund or credit after the system notifies the e-tailer that the product has
been properly returned.
However, if sufficient information is not available on the purchaser to
provide a refund, the
Web site may request all necessary information during the initial return
authorization
requesting procedure.
FIG. 20 shows a sample screen that could be initially shown on the Web site
1902 for
the purpose of asking if the product is a serialized or non-serialized product
(i.e. was it
previously registered with the ER system). If so, another screen, such as
shown in FIG. 21, is
then displayed to obtain the serial number and the place of purchase. If not
serialized, the
system would then provide information to the customer regarding returns of non-
serialized
products. For example, the system could automate whatever existing procedures
the e-tailer or
retailer has for accepting returns of such products.
In a preferred embodiment, the e-tailer would provide on its web site 1908 a
link to the
returns Web site 1902, so that a customer who desires to return a product can
access the
original site where the product was purchased and then click on a banner, icon
or the like to be
redirected to the returns Web site 1902.
Additional exemplary screens are shown in FIGS. 22-35. FIG. 22 shows an
example
where the product is good for return; FIGS. 23 and 24 show examples where the
product is not
good for return with manager override; FIGS. 25 and 26 show examples where the
product is
not good for return (less than extended period), good for warranty repair;
FIGS. 27 and 28
show examples where the product is not good for return (greater than extended
period), good
for warranty repair; FIGS 29 and 30 show examples where the product is not
good for return
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(no override), not good for warranty repair with manager override; FIGS. 31-33
show examples
where all product return periods have expired (no override), providing repair
center lookup;
FIG. 34 shows an example where the product was manufactured by a non-
participating
manufacturer; and FIG. 35 shows an example where there is a UPCISerial Number
mismatch
5 between the product packaging and the product.
The implementations described above illustrate the characteristics, features
and
advantages of the present invention. These implementations, of course, are not
exhaustive, and
other implementations within the scope and spirit of the present invention
will be apparent to
those skilled in the art. Although the invention is described primarily in the
context of a three-
10 level customer/retailer/manufacturer arrangement, other arrangements are
available. For
example, a four-level consumer/individual chain store/store
headquarters/manufacturer
aiTangement may be implemented. Yet further levels may be added.
While the invention has been described in connection with what is presently
considered
to be the most practical and preferred embodiments, it is to be understood
that the invention is
15 not to be limited to the disclosed embodiments, but on the contrary, is
intended to cover
various modifications and equivalent arrangements included within the spirit
and scope of the
appended claims.
