Ex Parte SULLIVAN et al - Page 2




                    Appeal No. 2004-0199                                                                                                                                  
                    Application No. 09/385,489                                                                                                                            


                    page 2 of Appellants' specification.  One of the more prevalent                                                                                       
                    type of trade promotions is known in the industry as or referred                                                                                      
                    to as "scan-based trade promotions" or "scan-pay trade                                                                                                
                    promotions."  They are referred to as "scan-based" or "scan-pay"                                                                                      
                    because the performance of the promotion can be tracked by                                                                                            
                    reviewing the participating stores' conventional point-of-sale                                                                                        
                    system data or information.  See page 3 of Appellants'                                                                                                
                    specification.  Either manually, or sometimes with systems                                                                                            
                    support, the retailer uses the data collected by the point-of-                                                                                        
                    sale system to determine the amount of money the manufacturer                                                                                         
                    owes the retailer under the terms of the scan-based promotion.                                                                                        
                    See page 8 of Appellants' specification.  There are several                                                                                           
                    problems with this system of administering scan-based trade                                                                                           
                    promotions.  The main problem for the retailer is that the                                                                                            
                    retailer may wait a significant period of time for reimbursement.                                                                                     
                    The retailer must also spend a significant number of man-hours                                                                                        
                    processing the paperwork for the manufacturer.  The main problem                                                                                      
                    for the manufacturer is that the manufacturer has no effective                                                                                        
                    way of verifying the retailer's paperwork.  See pages 9 and 10 of                                                                                     
                    Appellants' specification.                                                                                                                            
                              Referring to Figure 1, the system of the present invention                                                                                  
                    includes a retailer system 20, a manufacturer system 22 and an                                                                                        

                                                                                    22                                                                                    





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