Transaction Wireless Awarded Third Patent For Latest Digital Gift Card Innovation
New patented gift card activation technology from Transaction Wireless to reduce risk of fraud for retailers and consumers
Transaction Wireless, the leading provider of digital gift card solutions, today announces it has been awarded its third patent, United States Patent No. 8200544, for innovation in closed loop digital gift cards. The new patented technology enables digital gift cards to be activated only when the intended recipient clicks on a pre-specified link or button, otherwise the gift card holds no monetary value. In doing so, liability, risk and fraud is dramatically reduced for both retailers as well as consumers. This is extremely useful for large B2B distributions where promotional cards are distributed in bulk to a large number of recipients who may not be expecting the cards.
Similar to calling a toll free number to activate a traditional plastic credit card, Transaction Wireless’ latest patented technology involves a closed-loop system where a digital gift card requires the recipient to physically click a specified button or link to initiate the feedback loop and activate. This is done digitally in order to streamline the process and ensure for an easy and secure activation.
Other benefits of the Transaction Wireless patented technology include:
- Greater consumer engagement - retailers can implement more targeted marketing and promotions at activation
- Less financial risk and liability for retailers sending gift cards in bulk – retailers are only liable for the monetary value activated due to there being no existing stored amount
- More efficient - retailers and merchants only manage active gift cards. For example, if a retailer or partner sends out 10,000 digital gift cards and only 2,000 are activated, they are only responsible for managing the 2,000 activated
Transaction Wireless has a strong track record in innovation. In addition to securing its latest patent for innovation in closed loop digital gift technology, Transaction Wireless also holds two other patents. The first patent pertains to Transaction Wireless’s innovations in gift card programs and services for retailers and merchants including purchasing, delivery, ongoing management and redemption, as well as the personalization and digital marketing capabilities in the delivery of gift cards. The second patent involves Transaction Wireless’ innovative social gifting technology which is optimized for digital gifting via Facebook. These patents not only expand Transaction Wireless’ intellectual property portfolio but continue to reinforce its technology leadership in the gift card market.
“We are pleased to receive approval on our latest patent application as we see this technology greatly benefitting the digital gift card market and keeping risk and liability in gift card activation to a minimum,” said Basil Abifaker, CTO of Transaction Wireless. “Previously, retailers needed to manage and account for ‘dead inventory’ that was never viewed or received by the recipient. Now only inventory which is tied to an active recipient is managed and the financial burden of ‘dead inventory’ is no longer an issue. Transaction Wireless is proud to expand its patent portfolio and continue to innovate in the gifting industry.”
SOURCE: Transaction Wireless