Computer system and method for electronic commerce

We claim:

1. A system for facilitating commercial transactions, between a plurality of customers and at least one supplier of items, over a computer driven network capable of providing communications between the supplier and at least one customer site associated with each customer and including an input means and a display, the system comprising:

a. means for causing at least one supplier to be represented on the display for selection by the customer using the input means;

b. means for effecting presentation of items on the display for customer observation;

c. an item database associated with a supplier and including information on presented items;

d. pricing means for receiving information from the item database to determine the cost associated with a presented item;

e. a customer information database for storing information relating to a customer; and

f. means for creating a customer monitoring object for each customer by referencing information, relating to that customer, which had been stored in the customer information database and upon the customer selecting at least one supplier such that the customer monitoring object is configured to operate by

i. responding to customer enquiries, communicated through the input means, regarding a presented item by accessing the item database to retrieve information relating to said item and to present said information to the customer by means of the display,

ii. receiving a customer's selection of a presented item through the input means,

iii. communicating with the pricing means to have the cost of the item determined,

iv. presenting the cost to the customer by means of the display,

v. receiving customer communications, through the input means, indicating a desire to receive the item, and

vi. passing a delivery initiation communication to initiate the delivery of the item to the customer.

2. The system of claim 1, further comprising a customer monitoring object configured to operate by:

a. responding to customer enquiries, communicated through the input means, regarding a presented item by accessing the item database to retrieve information relating to said item and to present said information to the customer by means of the display,

b. receiving a customer's selection of a presented item through the input means,

c. communicating with the pricing means to have the cost of the item determined,

d. presenting the cost to the customer by means of the display,

e. receiving customer communications, through the input means, indicating a desire to receive the item,

f. passing a delivery initiation communication to initiate the delivery of the item to the customer, and

g. maintaining a list of selected items and present the customer with a cost of the selected items for approval by the customer before the customer monitoring object passes the delivery initiation communication.

3. The system of claim 2, wherein the customer monitoring object is configured to present the customer with an opportunity to deselect an item whereupon the customer monitoring object communicates with the pricing means to have the costs of the remaining selected items redetermined and presented anew to the customer.

4. The system of claim 2, further comprising order fulfillment initiation means, responsive to the delivery initiation communication from the customer monitoring object, for initiating proceedings to cause the item desired by the customer delivered to the customer.

5. The system of claim 4, wherein the order fulfillment means includes an interface with a shipping facility for facilitating the shipping of the desired item to the customer.

6. The system of claim 2, further comprising a payment handler means for initiating customer payment for the desired item.

7. The system of claim 6, wherein the payment handler means is responsive to communications from the customer monitoring object and receives information from the customer identification database in order to initiate customer payment.

8. The system of claim 7, wherein the customer monitoring object is configured to confirm to the customer that the order for the item has been successfully processed.

9. The system of claim 2, further comprising a payment validation system including

means for causing the customer monitoring object to receive the information related to the forms of payment available to the customer and to present the customer with a selection of the forms of payment;

means for receiving a first security code, related to a selected form of payment, from the customer; and

means for validating the first security code by comparison to a second security code available to the customer monitoring object;

whereby payment for the item is initiated if the first security code is validated.

10. The system of claim 2, further comprising a cost discount storage for maintaining cost reduction information associated with a supplier's items,

wherein the pricing means receives relevant parts of the cost reduction information to calculate the cost of the associated item.

11. The system of claim 10, wherein the customer monitoring object is configured to receive cost reduction information communicate the reduction information to the pricing means.

12. The system of claim 11, wherein the customer monitoring object is configured to confirm to the customer that the order for the item has been successfully processed.

13. The system of claim 12, wherein the supplier control means is configured to receive input, from a supplier at a first time, to define changes to the cost reduction information for a second time later than the first time.

14. The system of claim 11, further comprising supplier control means for receiving input, from a supplier, for changing the cost reduction information.

15. The system of claim 2, further comprising means, responsive to an input from the customer, to terminate the customer's interaction with the supplier whereupon which termination the customer monitoring object ceases to operate.

16. The system of claim 2, further comprising means, responsive to an input from the customer, to terminate the customer's interaction with the supplier whereupon the customer monitoring object ceases to operate and information regarding at least the interaction is stored for retrieval at a subsequent time at which the customer interacts with the supplier whereby the customer monitoring object recommences operation utilizing the stored information.

17. The system of claim 16, wherein the participant program object includes information related to forms of payment available to the customer.

18. The system of claim 2, further comprising means for accessing the customer information database and for creating a participant program object including information specific to the customer retrieved from the information database and in communication with and for passing customer specific information the customer monitoring object.

19. The system of claim 18, wherein the participant program object is created at the time an interaction between the customer and the system commences.

20. The system of claim 2, further comprising an observation subsystem for receiving and maintaining customer interaction information relating to at least one customer's communications over the computer driven network.

21. The system of claim 20, further comprising supplier control means for receiving input, from a supplier, for changing the cost reduction information.

22. The system of claim 21, wherein the supplier control means is configured to receive input, from a supplier at a first time, to define changes to the cost reduction information for a second time later than the first time.

23. The system of claim 22 wherein the supplier control means is in communication with the observation subsystem to receive customer interaction information for display to the supplier.

24. The system of claim 23, wherein the supplier control includes:

a. an information processor for processing received customer interaction information; and

b. means for selectively displaying at least a part of the processed customer interaction information to the supplier.

25. The system of claim 2 wherein the means for causing at least one supplier to be represented can cause a plurality of suppliers to be represented, the system further comprising means to enable a customer to select at least one of the represented suppliers.

26. A system for facilitating commercial transactions, between a plurality of customers and at least one supplier of items, over a computer driven network capable of providing communications between the supplier and at least one customer site associated with each customer and including an input means and a display, the system comprising:

a. means for causing at least one supplier to be represented on the display for selection by the customer using the input means;

b. means for effecting presentation of items on the display for customer observation;

c. an item database associated with a supplier and including information on presented items;

d. pricing means for receiving information from the item database to determine the cost associated with a presented item;

e. a customer information database for storing information relating to a customer; and

f. means for creating a customer monitoring object for each customer by referencing information, relating to that customer, which had been stored in the customer information database and upon the customer selecting at least one supplier such that the customer monitoring object is configured to operate by

i. responding to customer enquiries, communicated through the input means, regarding a presented item by accessing the item database to retrieve information relating to said item and to present said information to the customer by means of the display,

ii. receiving a customer's selection of a presented item through the input means,

iii. communicating with the pricing means to have the cost of the item determined,

iv. presenting the cost to the customer by means of the display,

v. receiving customer communications, through the input means, indicating a desire to receive the item,

vi. passing a delivery initiation communication to initiate the delivery of the item to the customer; and

g. a means for accessing the customer information database and for creating a participant program object including information specific to the customer retrieved from the information database and in communication with and for passing customer specific information to the customer monitoring object.

27. The system of claim 26, further comprising a customer monitoring object configured to operate by:

a. responding to customer enquiries, communicated through the input means, regarding a presented item by accessing the item database to retrieve information relating to said item and to present said information to the customer by means of the display,

b. receiving a customer's selection of a presented item through the input means,

c. communicating with the pricing means to have the cost of the item determined,

d. presenting the cost to the customer by means of the display,

e. receiving customer communications, through the input means, indicating a desire to receive the item,

f. passing a delivery initiation communication to initiate the delivery of the item to the customer, and

g. maintaining a list of selected items and present the customer with a cost of the selected items for approval by the customer before the customer monitoring object passes the delivery initiation communication.

28. The system of claim 27, wherein the customer monitoring object is configured to present the customer with an opportunity to deselect an item whereupon the customer monitoring object communicates with the pricing means to have the costs of the renaming selected items redetermined and presented anew to the customer.

29. The system of claim 27, further comprising order fulfillment initiation means, responsive to the delivery initiation communication from the customer monitoring object, for initiating proceedings to cause the item desired by the customer delivered to the customer.

30. The system of claim 27, wherein the order fulfillment means includes an interface with a shipping facility for facilitating the shipping of the desired item to the customer.

31. The system of claim 27, further comprising a payment handler means for initiating customer payment for the desired item.

32. The system of claim 31, wherein the payment handler means is responsive to communications from the customer monitoring object and receives information from the customer identification database in order to initiate customer payment.

33. The system of claim 27, further comprising a payment validation system including

means for causing the customer monitoring object to receive the information related to the forms of payment available to the customer and to present the customer with a selection of the forms of payment;

means for receiving a first security code, related to a selected form of payment, from the customer; and

means for validating the first security code by comparison to a second security code available to the customer monitoring object;

whereby payment for the item is initiated if the first security code is validated.

34. The system of claim 27, further comprising a cost discount storage for maintaining cost reduction information associated with a supplier's items,

wherein the pricing means receives relevant parts of the cost reduction information to calculate the cost of the associated item.

35. The system of claim 34, wherein the customer monitoring object is configured to receive cost reduction information communicate the reduction information to the pricing means.

36. The system of claim 35, further comprising means for receiving input, from a supplier, for changing the cost reduction information.

37. The system of claim 36, wherein the supplier control means is configured to receive input, from a supplier at a first time, to define changes to the cost reduction information for a second time later than the first time.

38. The system of claim 27, further comprising means, responsive to an input from the customer, to terminate the customer's interaction with the supplier upon which termination the customer monitoring object ceases to operate.

39. The system of claim 27, further comprising means, responsive to an input from the customer, to terminate the customer's interaction with the supplier whereupon the customer monitoring object ceases to operate and information regarding at least the interaction is stored for retrieval at a subsequent time at which the customer interacts with the supplier whereby the customer monitoring object recommences operation utilizing the stored information.

40. The system of claim 27, wherein the participant program object is created at the time an interaction between the customer and the system commences.

41. The system of claim 40, wherein the participant program object includes information related to forms of payment available to the customer.

42. The system of claim 27, further comprising means for causing at least one supplier to be represented on the display and means for receiving an input from the customer indicating a selection of a represented supplier.

43. The system of claim 42, whereby said means for creating a customer monitoring object creates the customer monitoring object for the customer when the customer selects the supplier.

44. The system of claim 27, further comprising an observation subsystem for receiving and maintaining customer interaction information relating to at least one customer's communications over the computer driven network.

45. The system of claim 44, further comprising supplier control means for receiving input, from a supplier, for changing the cost reduction information.

46. The system of claim 45, wherein the supplier control means is configured to receive input, from a supplier at a first time, to define changes to the cost reduction information for a second time later than the first time.

47. The system of claim 46, wherein the supplier control means is in communication with the observation subsystem to receive customer interaction information for display to the supplier.

48. The system of claim 47, wherein the supplier control means includes:

a. an information processor for processing received customer interaction information; and

b. means for selectively displaying at least a part of the processed customer interaction information to the supplier.

49. The system of claim 26 wherein the means for causing at least one supplier to be represented can cause a plurality of suppliers to be represented, the system further comprising means to enable a customer to select at least one of the represented suppliers.

Description Submit all comments and votes

BACKGROUND

1. Technical Field

This invention relates to a system for conducting interactive electronic commerce among a plurality of participants, and more particularly to a computer architecture comprising a family of distributed, interface-compatible commerce subsystems, where each electronic store operator selects a particular combination of subsystem implementations to meet store specific operating needs.

2. Background

It is desirable to provide a system and method for conducting commerce via an electronic means, such as a computer network, cable television network, or direct dial modem. Previous attempts to provide electronic commerce subsystems have been custom tailored to an individual commerce offering, and have not been adaptable to be able to provide a versatile system capable of supporting a wide range of providers of goods and services.

To meet this need, several companies have developed computer architectures for online electronic catalog sales using, for example, the Internet as a transport mechanism to transmit data representing purchase requests between a proprietary browser and server product pair.

For example, Netscape Communications uses its Navigator/Netsite World Wide Web (WWW) browser/server pair. A buyer uses a Navigator to select a seller's Netsite server (sort of an electronic storefront), which is in turn coupled to standard application servers (back-end subsystems), e.g., a credit server or a member server for collecting demographic information on customers. These servers contain the business rules defined by the seller, e.g., what credit cards are accepted and what customer information is tracked during each sale. Some of these servers are connected to external, third-party services, e.g., the credit server to an external credit card processing network or the member server to an external demographics processing module. The actual applications e.g., on-line publishing or catalog sales, are represented as extensions of the application servers. Equivalently, the application servers are said to be instantiated in the applications. The net result of this approach is that the business rules (from the application servers) are embedded into the applications along with the application logic or presentation.

This model has a number of disadvantages. First, the system is limited to a single communications platform, the Internet. This is because the Navigator/Netsite software used to implement the model is dependent on the Transmission Control Protocol/Internet Protocol (TCP/IP) used in the Internet. The model has no provisions to allow communications to platforms not using TCP/IP, for example, interactive TV. Second, in the Netscape model, business flexibility is low because of the intermingling of business rules and application logic. It is more difficult to modify a portion of the resulting monolithic application than it would be to modify a portion of a smaller module of a modular application. This may have negative impacts on reliability and availability, because in certain cases it may be necessary to shut down the system to make changes that must be synchronized between two or more components. Third, such electronic catalogs support product display and secure payment processing, but not the marketing activities needed to induce customers into reading the electronic catalogs. Thus, there are no counterparts for physical commerce activities such as simultaneously offering a multitude of price discounts, performing targeted advertising, or collecting sales feedback.

Another company, Open Market, is developing a similar electronic catalog system consisting of a HyperText Markup Language (HTML) authoring tool (called Storebuilder), and a server (called WebServer) connected to an integrated back-end commerce system (called TransactionLink). This system appears to share similar characteristics and disadvantages as the Netscape system.

Thus, existing computer architectures for on-line electronic commerce are service provider-specific architectures that are platform-limited (the Internet) and require conformity to a fixed operating pattern using specified subsystem implementations. Such closed architectures may greatly limit their expandability or widespread acceptance. Even if widespread acceptance occurs, this is likely to be distributed over a number of competing systems, whose lack of interoperability may force customers to log on to different architectures for different transactions or force vendors to maintain equivalent operations on different architectures. Such architectures are aimed at a customer-retailer level of commerce, and even at that level, they do not support the intra-level competition (e.g., Compuserve's electronic storefront versus America Online's customer electronic storefront) that characterizes real-world commerce. The architectures are also too flat to support the complex inter-level hierarchies (e.g., manufacturer-distributor-retailer relationships) that characterize real-world commerce. Finally, the architectures do not accommodate the marketing activities necessary for customer generation. Overall, the existing architectures may be thought of as electronic catalog architectures rather than general electronic commerce architectures.

OBJECTS OF THE INVENTION

It is, therefore, an object of the invention to provide a system for facilitating commercial transactions over a computer driven network capable of providing communications between a supplier and at least one customer site associated with each customer and including an input means and a display.

It is a further object of the invention to provide an electronic commerce computer architecture which can accommodate a wide variety of implementations. For example, the architecture should accommodate the use of commerce implementations currently being used for physical commerce with little modification.

It is another object of the invention to provide actual implementations of some commerce subsystems where existing commerce subsystems used for physical commerce (e.g., marketing subsystems) are not readily extendible to electronic commerce or where those subsystems do not currently exist.

It is still another object of the invention to provide an electronic commerce computer architecture, comprising a family of interconnected commerce subsystems, where changes can be made to one subsystem without affecting the other subsystems.

It is yet another object of the invention to provide an electronic commerce system, comprising a family of interconnected commerce subsystems, where the subsystems can be distributed across many different platforms and networks.

Yet a further object of the invention is to provide an electronic commerce system which closely replicates commercial transactions in everyday life. As such it is another object of the invention to provide for an electronic assistant to assist a customer during interactions with the system to facilitate electronic commercial transactions.

SUMMARY OF THE INVENTION

Briefly, therefore, this invention provides for a system for facilitating commercial transactions, between a plurality of customers and at least one supplier of items. The commercial transactions occur over a computer driven network capable of providing communications between the supplier and at least one customer site associated with each customer. Each site includes an associated display such as a personal computer, set-top box, a touch sensitive screen, a touch tone telephone or any other device capable of reproducing to audio or video information to a human being. Each site typically also includes an input means such as a keyboard or computer "mouse" through which the customer can input information into the system.

The system of the invention facilitates the presentation of at least one supplier on the display for selection by the customer using the input means. Similarly items from a supplier can be displayed for the customer to observe. Associated with a supplier of such items is an item database including information on presented items. Pricing means receives information from the item database to determine the cost associated with a presented item. In addition a customer information database stores information relating to the customer. The system also comprises means for creating a customer monitoring object for each customer.

The customer monitoring object is created by referencing information, relating to that customer, which had been stored in the customer information database and when the customer selects a supplier. The customer monitoring object is configured to operate by responding to customer enquiries, communicated through the input means, regarding a presented item by accessing the item database to retrieve information relating to said item and to present said information to the customer by means of the display; receiving a customer's selection of a presented item through the input means; communicating with the pricing means to cause the cost of the item to be determined; presenting the cost to the customer by means of the display; receiving customer communications, through the input means, indicating a desire to receive the item; and passing a delivery initiation communication to initiate the delivery of the item to the customer.

The customer monitoring object can also be configured to maintain a list of selected items and to present the customer with a total cost of all selected items for approval before the customer monitoring object passes the delivery initiation communication. As part of this function, the customer monitoring object could be configured to present the customer with an opportunity to deselect an item whereupon the customer monitoring object causes the total cost of the remaining selected items to be redetermined and presented anew to the customer.

The system further comprises an order fulfillment initiation system, responsive to the delivery initiation communication from the customer monitoring object, for initiating proceedings to cause the item desired by the customer delivered to the customer. To enable this, it is preferable that the order fulfillment system include an interface with a shipping facility for facilitating the shipping of the desired item to the customer. Typically the shipping facility will be an existing facility known in the art.

To arrange payment for any transactions, the system of the invention further comprises a payment handler for initiating customer payment for the desired item. The payment handler is responsive to communications from the customer monitoring object. Also, the customer monitoring object is configured to confirm to the customer that the order for the item has been successfully processed.

Furthermore, the system includes a payment validation system by means of which the customer monitoring object receives the information related to the forms of payment available to the customer and presents the customer with a selection of the forms of payment. The customer also enters a first security code, related to a selected form of payment. Thereupon, the first security code is validated by comparison to a second security code available to the customer monitoring object. Payment for the item is initiated if the first security code is validated.

The system of the invention also allows for incentives to encourage the customer to complete a transactions. Such incentives could include cost reductions such as price discounts. Information regarding these cost reductions is stored within the system, often in association with specific information relating to the customer and also associated with a supplier's items. The pricing means receives relevant parts of the cost reduction information to calculate the cost of the associated item. Typically, the customer monitoring object is configured to receive cost reduction information communicate the reduction information to the pricing means.

The customer monitoring object is also configured to confirm to the customer that the order for the item has been successfully processed.

The system of the invention further comprises supplier control means for receiving input, from a supplier, for changing the cost reduction information. One way of doing this is by having the supplier control means receive an input, from a supplier, at a first time defining changes to the cost reduction information for a second time later than the first time. This enables a supplier to define in advance both the timing and the magnitude of the discount that is applied.

The customer monitoring means can be "short lived" and cease to operate on the termination of a transaction. Transaction termination is generally effected by a command from the customer. Alteratively, when the customer terminates interaction with the supplier, the customer monitoring object could temporarily cease to operate. In this case, information regarding at least the interaction is stored for retrieval at a subsequent time at which the customer interacts with the supplier. At that time the customer monitoring object recommences operation without being recreated.

The system further comprising a means for accessing the customer information database and for creating a participant program object. The participant program object includes customer specific information retrieved from the information database. The participant program object is in communication with and electronically represents the customer to the customer monitoring object. The participant program object is created at the time an interaction between the customer and the system commences. It preferably includes information related to forms of payment available to the customer.

The system may also comprise an observation system for receiving and maintaining customer interaction information relating to at least one customer's communications over the computer driven network. Preferably, the supplier control means is in communication with the observation subsystem and receives customer interaction information for display to the supplier. The supplier control can include an information processor for processing received customer interaction information; and means for selectively displaying at least a part of the processed customer interaction information to the supplier.

Additional features of the invention will become apparent upon examination of the description which follows particularly with reference to the accompanying drawings.

DESCRIPTION OF THE DRAWINGS

In the accompanying drawings:

FIG. 1 is a schematic representation of an electronic mall exemplifying the electronic commerce architecture of this invention.

FIG. 2 schematically depicts an embodiment of the invention configured to support transaction processing.

FIG. 3 depicts a compartment level view of the system of FIG. 2.

FIG. 4 depicts a compartment level view of the system, similar to that in FIG. 3 but with a plurality of Storefront Systems.

FIG. 5 schematically represents an outline transaction using the system of the invention.

FIG. 6 depicts the completion of the online transaction of FIG. 5.

FIG. 7 depicts the process by which a customer selects items for purchase in an online transaction of FIG. 5.

FIG. 8 depicts the completion of the online transaction in the commerce system illustrated in FIGS. 5 to 7.

FIG. 8A depicts the steps of FIG. 8 performed by the Sales Representative Program Object.

FIG. 8B depicts the steps of FIG. 8 performed by the Payment Handler Interface and Participant Program Object.

FIG. 9 depicts one example of the use of a User Interface to select the preferred payment method.

FIG. 10 schematically illustrates the creation of incentives in the system of the invention.

FIG. 11 depicts a Pricing Rule Structure.

FIG. 12 depicts the operation of a Dashboard Client to maintain the data needed to operate a storefront.

FIG. 12A depicts one view of the Dashboard Client as it appears to a storefront operator.

FIG. 12B depicts a second view of the Dashboard Client as it appears to a storefront operator.

FIG. 13 is a flowchart that depicts the operation of the Pricing Engine applying Coupons according to the invention.

FIG. 14 schematically illustrates the registration process of the Observations Subsystem.

FIG. 15 schematically illustrates the event notification process of the Observations Subsystem.

DESCRIPTION OF EMBODIMENTS

I. Overview

This invention relates to a computer architecture for on-line commerce which defines an electronic infrastructure to enable a full range of commercial transactions analogous to those occurring in physical commerce.

It is evident that a participant in electronic commerce might include a manufacturer of goods selling to a distributor, a distributor buying from a manufacturer and selling to a retailer, or a retailer buying from a distributor and selling to a consumer. The items sold need not be limited to goods, but could also include services such as videos downloaded to a viewer's multimedia display, as well as deliveryless transactions such as selling stock shares held in a central repository.

The Electronic Mall

It is useful conceptually to think of electronic commerce as exemplified by an electronic mall comprising a collection of suppliers of items such as goods or services, such as electronic stores, analogous to a physical mall comprising a collection of physical stores. In this example, each commercial transaction constitutes a sale from an electronic store to a customer of the electronic store, where a customer can be any participant in the electronic commerce architecture.

It should be noted, however, that electronic malls and stores are of vastly broader scope than their physical counterparts because the electronic mall can contain electronic stores composed of independent functional subsystems located at various platforms and networks in an electronic hyperspace encompassing the Internet, interactive TV, existing legacy systems, and many other electronic venues. Moreover, the electronic store is not limited in geographical reach (e.g., a national store is possible), in goods sold (e.g., physical products, digital information, and deliveryless transactional services are all possible), or to customer-merchant relationships (e.g., an entire distribution chain from manufacturer to consumer can be accommodated).

FIG. 1 shows an electronic mall, generally indicated as 10, that exemplifies the electronic commerce architecture provided by this invention. A Customer 12 enters the electronic mall via a user interface 13, where the customer is presented with a choice of displayed Electronic Storefronts 14. The user interface 13 may be a personal computer, set-top box, a touch sensitive screen, a touch tone telephone or any other device capable of reproducing to audio or video information to a human being. It typically includes an input means such as a keyboard or computer "mouse" through which the computer can input information into the system.

The customer enters a particular electronic store by selecting its Electronic Storefront 14, e.g., by clicking on an icon with a conventional selection or input device such as a mouse/curser device touchpad. As the customer enters the store, Internal Commerce Subsystems 16 are invoked by Electronic Storefront 14 to represent the store's interactions with the customer.

As the customer decides what items to purchase, External Commerce Subsystems 18 may be invoked to complete the transaction. For example, VISA's credit card network may be used for payment followed by FedEx's Powership shipping management software for shipping.

In the meantime, the store's management can use a Store Management Dashboard 20 to interface and control the Commerce Subsystems 16 and 18; for example, to establish in-store sales as incentives to the customer.

The Internal Commerce Subsystems 16, External Commerce Subsystems 18, Electronic Storefront 14, and Store Management Dashboards 20 interact with each other through Internal Commerce Subsystems Interfaces 24 and External Commerce Subsystems Interfaces 22.

II. Subsystem Overview

Following from the above it may be apparent that each electronic store in an electronic mall must be able to manage customer information, support targeted advertising, perform market research, execute on-line marketing programs like discount pricing, and ensure secure and reliable order and financial transaction processes, all within the context of its own operating style.

This invention provides such flexibility at the individual store level while supporting simultaneous transactions among a plurality of electronic stores, by defining a family of elementary Commerce Subsystems 16 and 18 necessary to support the various elements of electronic commerce, and allowing each store to select a particular combination of subsystems interconnected in a particular pattern to suit its particular operating style.

It may be useful to think of these Commerce Subsystems as "distributed objects" accessible to various of the stores and indeed to multiple stores, at the same time. Although not illustrated in FIG. 1, these Commerce Subsystems include: an Incentives Subsystem; an Observations Subsystem; an Order Fulfillment Subsystem; a Participant Subsystem; a Payment Handler; a Pricing Subsystem; a Product Database; a Promotions Subsystem; a Sales Representative Subsystem; a Redemption Registry; a Security Subsystem; a Shipping Subsystem; and a Tax Subsystem.

The Customer Accounts Subsystem is a store-specific repository which holds information on that store's customers' demographics and payment habits. Likewise, the Incentives Subsystem is a marketing module which allows stores to establish discount programs such as in-store sales, coupon-based discounts, frequent buyer programs, and quantity discount cards.

Similarly, the Participant Subsystem is a shared repository within the system architecture which stores general information on participants conducting electronic commerce with each other. The participants might include manufacturers, distributors, retailers, and customers; and information might include names and mailing addresses, preferred payment methods, etc.

For example, in the case of a household comprising multiple customers, some customer data will be household-specific (e.g., a single shipping address) while other customer data may be customer or store-specific (e.g., Mo