A method and apparatus for distributing, generating, and redeeming discount Virtual Coupons TM , rebate or gift certificates or the like which may be used on conjunction with a frequency card program or the like. Virtual Coupons TM may be distributed electronically, for example, in the form of a diskette or CD-ROM
software.
Software on the diskette or CD-ROM may prompt a
consumer to call a 1-800 number for a validation number or code. During the phone call, telemarketing personnel may request
consumer demographic and or identification information which may be entered into a
centralized database. Once the
software is validated, a
consumer may print out a
list selected Virtual Coupons TM displayed on a
Graphical User Interface (GUI). When a product is purchased, the UPC code of the product may be compared electronically with a
list of Virtual Coupons TM authorized for a particular consumer. An appropriate coupon discount may then be applied and the Virtual Coupon TM may be considered "redeemed". Once redeemed, consumer ID information and Virtual Coupon TM information may be retrieved electronically and used to update a
central database. Accurate data may then be produced illustrating which consumers or groups of consumers are redeeming which Virtual Coupons TM . Such data may be used for marketing purposes or to generated further diskettes for distribution targeting specific consumers or groups of consumers with specific classes of Virtual Coupon TM offerings. The use of Virtual Coupons TM eliminates or reduces fraud, and allows a frequency card discount to be applied only a limited number of times.