GB2368927A

GB2368927A - Stock Management System and Method

Info

Publication number: GB2368927A
Application number: GB0017190A
Authority: GB
Inventors: Carl Uttley
Original assignee: CALDENE CLOTHING Co Ltd
Current assignee: CALDENE CLOTHING Co Ltd
Priority date: 2000-07-13
Filing date: 2000-07-13
Publication date: 2002-05-15
Also published as: GB0017190D0

Abstract

A computer implemented stock management system and method, for co-ordinating the purchase of goods from a supplier over a computer network from a virtual shop and from a plurality of retail outlets. Order data, including a geographic identifier, relating to goods being purchased by a customer over a computer network is received. A one of the plurality of retail outlets closest to the customer is determined from the geographic identifier. The goods being purchased is determined from the order data and an invoice to the retail outlet closest to the customer is generated for the purchased goods. The supplies then sends the goods to the customer. In this way, the benefit of a purchase carried out by a customer from the virtual shop is ascribed to the closest retail outlet to the customer, and so effectively the customer makes the purchase from the local retail outlet while still having access to the full range of stock available from the supplies. The customer may be private or one of the retail outlets.

Description

Stock Management System and Method

The present invention relates to a system and a method for the management of stock by a supplier, and in particular to an electronic system and method for co-ordinating the purchasing of the full range of stock from a supplier from retail outlets and over a computer network.

A conventional ("non-virtual") shop usually has a stock of goods from different suppliers. The stock of goods from an individual supplier is normally a limited range of the full range of goods available from that supplier. Maintaining a stock of the full range of goods from a supplier requires significant storage facilities and incurs capital expenditure, which may be wasted in the event that the goods are never sold. Further, goods at the extreme of the range of available stock, e. g. extra large or extra small clothing, tends not to be required as frequently as goods from the middle of the range and so may seldom, if ever be required by a customer.

A"virtual"shop in the form of a retail facility implemented as a website on the Internet is not constrained to have physical stock items available for customer.

Rather, a full range of stock can be provided for the customer as'virtual'stock from which a customer can select prior to making a purchase. The supplier of the goods providing the website therefore has an outlet for their full range of stock.

However, a customer requiring an item not carried by a conventional retailer would therefore need to use the virtual shopping facility. Some customers are adverse to purchasing over the Internet, owing to security concerns, or prefer to use or patronize their local retail outlet.

Hence, there is a need for a system which provides the full range of a supplier's stock to be available via a conventional retail outlet which a customer prefers to patronise.

According to a first aspect of the present invention, there is provided a computer implemented stock management method, for co-ordinating the purchase of goods from a supplier over a computer network and from a plurality of retail outlets, the methoc including the steps of receiving order data, including a geographic identifier, relating to goods being purchased by a customer over a computer network, determining a one of the plurality of retail outlets closest to the customer from the geographic identifier, determining the goods being purchased from the order data and generating an invoice for the purchased goods to the retail outlet closest to the customer.

A customer, either as a private individual or as a one of the plurality of retail outlets, can select goods from the full range of stock of a supplier and order those goods from the supplier over a computer network. Order data, which includes data indicating the geographic location of the customer, is used to determining which of the plurality of retail outlets is closest to the customer. In the case where the customer is one of the plurality of retail outlets, they will be identical. The goods being purchased are determined from the order data and an invoice is generated for the purchased goods in respect of the closest retail outlet previously determined.

In this way, the benefit of a purchase carried out by a private customer from the virtual shop is ascribed to the closest retail outlet to the customer, and so effectively the customer makes the purchase from the local retail outlet

while still having access to the full range of stock available from the supplier.

In the case of the customer being a one of the plurality of retail outlets, the method allows a retail outlet to have a virtual stock of the full range of goods provided by the supplier and available for order from the retail outlet, without forfeiting sales to the supplier.

The method obviates the need for a full range of physical stock to be maintained by a retail outlet and allows an efficient management of stock held by a supplier for distribution to retail outlets.

The step of determining the closest retail outlet can include the step of searching a database of all retailers to which the stock ils supplied. The database can include retailer details, including retailer name data and retailer address data and retailer identifier codes.

The geographic data used to determine the closest of the plurality of retail outlets can be address data. Preferably the geographic data includes a postcode, zipcode or equivalent. The geographic data can be a complete postcode, zipcode or equivalent or a part of a postcode, zipcode or equivalent.

Preferably each 3f the plurality of retail outlets has a unique retailer identifier (RID). The retailer identifier (RID) can be in a coded form.

The order data supplied by the customer can include payment data. The payment data is preferably credit card data. The method can when include the steps of transmitting the credit card data to a credit administration facility. Preferably, a credit clearance signal is provided to indicate whether the payment has been accepted. An order confirmation signal can then be transmitted to the customer to indicate that their order has been accepted for processing.

Preferably, the supplier has a unique merchant identifier (MID) and a retail outlet is validated by comparing the closest retail outlet's retailer identifier (RID) with retailer identifiers associated with the merchant identifier (MID'. In this way, the method ensures that only orders from authorised retailers are processed as being orders placed with the supplier. Also, liability for the credit transaction is transferred from the retail outlet to the supplier.

The method can include the step of paying the retailer identified as the closest retailer an amount corresponding to the retail value of the goods purchased. In this way, the retailer receives monies as payment of the retail price of the goods effectively supplied to the customer from the closest retail outlet and thereby sustains their profit margin.

According to a second aspect of the invention, there is provided a computer implemented stock management system for co-ordinating the purchase of goods from a supplier over a computer network and from a plurality of retail outlets, the system being in communication with the computer network and including, storage means for storing order data transmitted to the system over the computer network, the order data relating to goods being purchased by a customer over the computer network and including a geographic identifier, processing means operating on the geographic identifier to determine a one of the plurality of retail outlets closest to t ;-e customer, processing means operating on the stored

order data to determine the goods being purchased and to generate an invoice for the purchased goods to the retail outlet closest to the customer.

The computer system processes order data received over a computer network to determine the closest retail outlet from a plurality of retail outlets supplied by the supplier from geographic data transmitted by the customer. The processing means also operates on order data stored in the system to determine the goods being purchased and to generate an invoice for the purchased goods to the retail outlet identified as being closest to the customer. In this way, the system facilitates an effective purchasing of the goods by the customer via the closest retail outlet while still providing a full range of stock from the closest retail outlet.

The storage means can include a database including retailer location data and the processing means can operate to determine the closest retail outlet with reference to the geographic identifier and the retailer location data.

The geographic identifier can be a town, city, county, state, country identifier, or a postcode, zipcode or equivalent. The geographic identifier can be the whole or a part of a postcode, zlpcode or equivalent. The retailer location data can include retailer address data, including town, city, region, state, county, country, postcode, zipcode, or equivalent data.

The system can include an electronic credit administration facility in communication with the system. The facility can be in direct communication or via the computer network.

Payment data submitted by the customer over the computer network can be transmitted to the credit administration

facility for clearance and the credit administration facility can transmit data indicating whether the credit data has been cleared.

Preferably the processing means causes the system to transmit an order confirmation signal to the customer over the computer network once a credit data clearance signal has been received.

Preferably, the processing means causes a retailer identifier (RID) corresponding to the closest retailer to be transmitted to the credit administration facility. The credit administration facility can include a storage means storing retail identifiers for each of the plurality of retailers supplied by the supplier, and which have been associated with a merchant identifier (MID) corresponding to the supplier. Processing means can be provided to search the stored retailer identifiers for the transmitted retailer identifier in order to validate the transmitted retailer identifier.

An embodiment of the invention will now be described, by way of example only, and with reference to the accompanying drawings, in which: Figure 1 shows a schematic block diagram of the stock management system and method of the present Invention ; Figure 2 shows a schematic flow diagram of the system and method of Figure 1 in greater detail; and Figure 3 shows a schematic block diagram of the functional parts of the system.

Similar parts in different Figures share common reference numerals, unless indicated otherwise.

In the Figures, functions and operations have been grouped together merely to clarify the working of the invention.

The Figures are not intended to limit the physical or functional architecture of the system when implemented by a computer system. The details of a computer system and software code required to reproduce the system and method of the invention are considered to be within the ability of a man of ordinary skill in the art, unless indicated otherwise.

Figures 1 and 2 show a schematic diagram illustrating a computer implemented stock management system and method, generally designated by reference numeral 100, according to the present invention. They system is implemented by a computer system 110 hosting a website 112 and in communication with the Internet 120. A credit administration facility 130 is in communication with the stock management system via the Internet, or alternatively directly. A stock supply facility 140 is also in communication with the stock : management system via the Internet, or alternatively directly.

A number of real, i. e. non virtual, retail outlets 150 are located at different geographic locations, throughout a region, country or the world. The retail outlets are stockists of goods provided by a supplier who maintains the virtual shop on their website 112. A customer 160 wishing to purchase goods from the supplier uses an Internet enabled communications device, such as a personal computer 165, to access the suppliers website 112.

The customer 160 selects goods they wish to purchase and submits an order to the supplier over the Internet. The order includes various data items including details of the goods being purchased, delivery details, invoicing details

and payment details. The delivery details include address information, including the customer's postcode. The payment details include the purchasers credit card details. This information is transmitted over a secure link to the server computer 110 hosting the website.

The computer implemented stock management system determines the closest retailer to the customer from the customers address information. The system also determines a retailer identifier (RID) corresponding to the closest retailer. The system then transmits the customer credit card data, retailer identifier and amount of the transaction to the credit administration facility 130. An on-line credit card clearance facility 135 processes the credit card data and transaction data and sends a credit card clearance signal to the server if the transaction is cleared. The server then transmits data to the customers computer 165 confirming the order.

A merchanting services facility 137 provides a credit clearance facility to the credit card administration facility 135. The supplier providing the website 112 has a merchant identifier (MID) which is associated with all the retailer identifiers for each respective retail outlet 150.

The merchanting service checks that the retailer identifier for the transaction corresponds to one of the retailer identifiers of the retail outlets supplied by the supplier and if so assigns the merchant identifier of the supplier to the transaction.

The stock facility 140, which may be a warehousing facility, a manufacturing facility or both, receives details of the goods purchased from the website server 110. Delivery details are also taken from the website server and the purchase goods 170 delivered directly to the customer. Once

the goods have been despatched, an invoice for the goods at wholesale rates is generated and sent 180 to the retailer closest to the customer. The merchanting service facility 137 arranges for payment 190 at retail rates directly to the same closest retailer.

With reference to Figure 3, there is shown a schematic diagram illustrating the functionality of the computer implemented stock management system. The system hosts a retail website 112 which is accessed via browser software running on a customer's computer 165.

The websire includes-. virrual shopping basket facility in which details of goods to be purchased 218 are stored. When the customer 160 wishes to purchase the goods in the shopping basket, an order form template 210 is generated and the customer enters delivery details 212, including their postcode, invoicing details 214 and credit card details 216, with which to effect payment for the goods. Details of the goods purchased 218 are incorporated and the order details encrypted and transmitted over a secure link to the server hosting the website.

The server processes the order data and stores delivery data 212, invoice data 214 and credit card data 216 in a storage device 230. The delivery data 212 is processed and the postcode of the customer extracted. The system includes a

database storing aatc relating to all the retail outlets. The retail outlet date. includes address data and a retailer identifier (RID) uniquely associated with each retailer.

The system searches the address data of the retailers with reference to the customers postocode to identify the retailer closest T : c the customer. The retailer identifier 245 corresponding to tne : losest retailer is extracted from the database and stored n. memory.

The order data 218 is processed and the retail amount of the transaction and the customer's credit card data 216 are transmitted by a secure link to the credit administration facility 130. The retailer identifier 245 is also transmitted to the credit administration facility. The online credit card processing facility 135 processes the credit card data and transaction amount data and once the transaction has been processed, transmits a credit card clearance signal 250 to the server 110.

An electronic merchanting facility provides a credit clearance facility to the credit card processing facility 135. Details of the value of the transaction and the retailer identifier 245 are transmitted to the merchanting service facility 13. The merchanting service facility has access to a database 260. Database 260 stores retailer identifiers each corresponding to a respective retailer 150.

All of the retail identifiers are associated with a single merchant identifier (MID) which corresponds to the supplier running the website 112 from which the purchases are made.

The database is interrogated to validate the retail identifier 245 as corresponding to a genuine retail identifier. The retail identifier 245 for the transaction is then associated with the merchant identifier. The retailer identifier acts in a similar way to a terminal ID as used in electronic credit clearing facilities.

By associating the retailer identifier with the merchant identifier, the purchase agreement is made between the customer and the supplier, rather than between the customer and the closest retailer. This transfers any liability to the supplier rather than being with the closest retailer, but using a retailer identifier allows the appropriate closest retailer to be attributed with the transaction.

The customer's order is confirmed once clearance for the credit card processing has been received by the system.

Data relating to the goods order, the closest retailer and the delivery data are accessed by the stock facility 140.

The goods data 218 is processed and details of the goods purchased and invoicing data is generated therefrom, with reference to a database of goods and wholesale costs 280.

The delivery data 212 is used to despatch goods 170 directly to the customer 160. An invoice at trade prices is generated from the goods data which, with reference to the retailer data or the closest retailer identified 245 allows an invoice to be issued 130 directly to the closest retailer. The merchanting facility 137 then credits 190 the same closest retailers bank account with the retail value of the transaction. The retainer is notified of sales attributed to them by their usual bank statement.

A password protected facility is also provided on the website to enable a retailer to act as the customer.

Previously, the system has been described with reference to a private customer. The use of a password protected page allows a retailer to force a sale to be credited to themselves and allows an in-store customer to purchase a product from the supplier which the retailer has not got in stock. The retailer orders the goods over the Internet and the sale is automatically credited to themselves.

The system allows any retailer to effectively stock the full range of goods in all sizes and colours that their supplier has available. A private customer purchasing goods via the stock management system has that purchase credited to their nearest retail outlet. The details of the goods purchased are transmitted d-r-tly tc the supplier bye-mail and the goods forwarded d tectly tt the customer. The supplier

invoices the closest retailer at trade price for the goods, and the retailer is credited with the retail price. In this way, retailers of the supplier can trade at all times in all goods provided by a supplier without having to handle the goods. The stock management system automatically coordinates the handling of the ordered goods. This provides the facility of the retailer effectively providing the whole of the range of goods of the supplier without having to stock the whole range of goods and pay for them in advance of consumer requirements.

Claims

CLAIMS :

1. A computer implemented stock management method, for co-ordinating the purchase of goods from a supplier over a computer network and from a plurality of retail outlets, the method including the steps of: receiving order data, including a geographic identifier, relating to goods being purchased by a customer over a computer network ; determining a @ne of the plurality of retail outlets closest to the customer from the geographic identifier; determining the goods being purchased from the order data and generating an invoice for the purchased goods to the retail outlet closest to the customer.

2. A method a ? claimed in claim 1, in which the step of determining the closest retail outlet includes the step of searching a database of retailer details.

3. A method as claimed in claim 1, in which the geographic data includes a post code or zip code.

4. A method as claimed in claim 1, in which each of the plurality of retail outlets has a unique retailer identifier.

5. A method as claimed in claim 1, in which the order data includes credit card data, and the method includes the steps of transmitting the credit card data to a credit

clearing J'aciiitv, r-, :'El clearing facility, receiving a credit clearance signal, and transmitting an oder confirmation signal to the customer.

6. A method as claimed in claim 4, in which the supplier

has a unique merchant identifier and the method includes the steps of validating a retail outlet by comparing the retail

outlet's retailer identifier with retailer identifiers associated with the merchant identifier.

7. A method as claimed in claim 1, and including the step of paying the closest retailer.

8. A computer implemented stock management system for coordinating the purchase of goods from a supplier over a computer network and from a plurality of retail outlets, the system being in communication with the computer network and including : storage means for storing order data transmitted to the system over the computer network, the order data relating to goods seing purchased by a customer over the computer network and including a geographic identifier; processing means operating on the geographic identifier to determine a one of the plurality of retail outlets closest to the customer; processing means operating on the stored order data to determine the goods being purchased and to generate an invoice for the purchased goods to the retail outlet closest to the customer.

9. A system as claimed in claim 8, in which the storage means includes a database including retailer location data, in which the processing means determines the closest retail outlet with reference to the geographic identifier and the retailer location data.

10. A system as claimed in claim 9, in which the geographic identifier is a post code or zip code.

11. A system as claimed in claim 8, and including an

elecrronic credit adm.'. nistrion facility in communication with Lhe system, =nd in which payment data submitted by the

customer over the computer network is transmitted to the credit administration facility for clearance, and the credit administration facility transmits credit clearance data to the system.

12. A system as claimed in claim 11, in which the processing means operates to transmit an order confirmation signal over the computer network to the customer, in response to the credit clearance data received.

13. A system as claimed in claim 11, in which the processing means operates tc transmit a retailer identifier corresponding to he closest retai'ler to the credit administration facil@zy, and the credit administration facility including storage means storing the retailer identifiers for each of the plurality of retailers, which are associated with a merchant identifier corresponding to the supplier, and including processing means which search the stored retailer identifiers to validate the transmitted retailer identifier.