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Community & Business Groups

Discussion Topics for Discussion at March 2017 IG Face-to-Face meeting


This document is for discussion at the 22 March 2017 face-to-face meeting of the Web Payments Interest Group. It is a more readable version of the list of discussion topics and use cases.

The goal of discussion will be to identify priority use cases for further development.

Questions? Write Ian Jacobs at <>.


Topics are grouped by these themes:

  1. Management and Distribution — how coupons are managed and made available to users
  2. User Action — how users clip, store, review, and redeem coupons (or pair an offer with a buy action) during a transaction
  3. Settlement — how merchants and coupon distributors settle

1. Management and Distribution

Decentralized Lookup

Third Party Coupon Use, Offline
The user attempts to redeem a coupon not from the merchant. During the transaction, the retailer is unable to check his database for this particular coupon as the system is offline. Note: Merchant decisions at this point may vary depending on available information (e.g., family codes), business preferences, etc.

Distribution to Mobile Devices without App Installation

Elaine scans her email inbox, and comes across a direct marketing campaign notice with an electronic coupon attached.
Merchant Website
While reading “Highly Reliable News” online, Doug sees a link for an offer on light bulbs at the Home Store. The image takes him to the Home Store website, with a link allowing the digital offer for the light bulbs to be downloaded and stored in Doug’s digital wallet.
Point of Purchase
As Liz walks in to Home Store, her mobile phone picks up a blue-tooth beacon which automatically awards her Loyalty points, as well as downloading a coupon for a free cup of Starmac’s coffee. Delighted, she heads straight for the Starmac’s counter to caffeinate before continuing.
Manufacturer Website
While reading “Highly Reliable News” online, Doug sees a link for an offer on a 12-pack of BeerBev. The image clicks through to the BeerBev website, with a link providing access to the offer. Note: Like tobacco offers, alcohol offers may be subject to regulation. Note: Mostly, this use case is a placeholder to capture how manufacturers are different; very similar to the “merchant website” case for now.
Social Media
Annie has been looking to purchase a new camera and has made a primary search on google. After reviewing a few products on various manufacturer sites, she neglects to make a purchase. Later in the day, Annie is reviewing her newsfeed on Facebook when a targeted advert is shown on her page, which offers Annie a 15% discount on any camera within the manufacturer’s range. Annie clicks on the ad, which takes her to the main retailer/manufacturer site and Annie commits to a purchase using the discount.
Signup from SMS Message
Rory is a loyal football fan and has downloaded the BT Sport App which allows him to watch all of his favourite sports ‘on the go’. A third party company named ‘FootyFan’ has recently partnered with BT Sport which offer pre-release and last-minute discounted seats at local football matches. Rory, receives an SMS from BT Sport inviting him to signup to FootyFan by using a unique discount code and a link to their website.
Receive Offer from SMS message
Claire is a loyalty card holder at Walmart and recently visited the store with her bluetooth signal ‘on’. Based on her previous basket history and through beacon technology, claire received an SMS whilst pondering the beauty aisle. The SMS offered claire a 2-4-1 deal on her favourite shampoo which she could either store in her mobile wallet or use at the checkout using the discount code provided.
Receive Offer via Digital Wallet
Joyce owns a local coffee shop. Joyce provides digital loyalty cards to her customers. Harold, a customer, receives on of these digital loyalty cards and places it in his digital wallet. Joyce sends a digital offer to Harold via the messaging component of her digital loyalty card, which is then stored directly into Harold’s wallet after he clicks “Accept Offer”.

Controls on Distribution

Age Restriction
TobaccoInc knows Bill is a smoker who is over the legal age for tobacco products. TobaccoInc sends Bill a digital offer to use on their products. TobaccoInc knows Sally is a smoker but cannot verify her age. TobaccoInc cannot send Sally a digital offer to use on their products.
MyProduct creates a coupon that they want to go viral.

2. User Action

Redemption of Offers Received “Out of App”

At Pump, Without Entering Retail Store
While using the browser in his car to pay for fuel, Jim adds BeerBev to his list of items to purchase without leaving the car, and uses a previously acquired coupon to reduce the cost. Note: some offers might be valid with a “fill-up” on fuel (e.g. 10+ gal), which is a different kind of restriction. While the mechanics of such restrictions are probably out-of-scope, information enabling such restrictions to be applied is essential.
From Digital Wallet
Glenda received a digital offer notification from her favorite sandwich shop at 10am, which she stored in her digital wallet. It is now lunch time and she would like to use the digital offer to purchase lunch. She opens her digital wallet, clicks “Buy” on the recent offer, and is given a redemption code, which is stored in her digital wallet. She walks into the store, shows her code, gets her sandwich, and walks out.

Streamlined Redemption during Standardized Checkout

Easy Digital Offer Storage and Redemption
A consumer has many coupons for a variety of products from many different retailers (potentially dozens or even hundreds). During a purchase a consumer can share their digital wallet with the retailer such that all valid coupons for items being purchased are recognized and easily delivered to the merchant with little effort on behalf of the consumer.
NFC and QR Codes
A consumer completes transaction at retailer store using a mobile wallet on their phone which includes his payment card, retailer loyalty card and synced third party/alliance partner loyalty ID. Assumption: Retailer site either has NFC Tags or QR code reader to complete the transaction with this device.

Multi-tender Payments – Combining Coupons and Money

Online Multi-Tender
Jane is buying a sweater online at BigClothingRetailer. The total bill for her item is $23.50 USD. BigClothingRetailer has a loyalty rewards program by where consumers can earn points which can be redeemed on future purchases. Jane has 200 points which equates to a $2 discount. Jane would like to apply the $2 discount and pay the remaining balance of $21.50 with her credit card.
Instore Multi-Tender
John is buying fuel and a 12-oz BigCola at LocalPetro. The total bill for his purchase is $35.00 USD. BigCola has sent John a digital offer for $0.50 off a 12-oz BigCola. John would like to use the $.50 offer and pay the remaining balance of $34.50 with his credit card.

Controls on Redemption

Based on Payment Method Selection
Todd has a digital coupon for his favorite beverage, and would like to include it in payment for fuel through his mobile browser. However, he selects his NoFoodFuel fleet card (given to drivers at Todd’s company), and that card specifically allows fuel sales only, so his request is rejected.
Based on Previous Use
Jim received an offer for BevBeer via email, which he had stored in his digital wallet and then redeemed at his local supermarket. Now running low, he reloads the coupon from the original email into his digital wallet. When attempts to redeem the offer later using an on-line delivery service, the offer is rejected as having already been used. Note: Ian wonders if we should be thinking about a protocol that enables status updates so that payments can refresh coupons. Linda thinks that providing status data might enable payment apps to improve the user experience in a variety of ways.
Based on Customer Segment/Expired Coupon
A consumer uses a self-service checkout to complete a transaction and attempt to use an expired coupon or an offer not applicable to her. The customer swipes/presents her loyalty card and coupon and the coupon is declined. A busy retail assistant attempts to help the customer and does not review the coupon to confirm it has expired/is N/A to this customer and in a hurry overrides the system to accept this as a ‘generic’ coupon. Note: David points out that this use is similar to the “invalid coupon” use case (e.g., forged coupon). Note: On 13 Feb we discussed coupon validation. While validation may be important, Ian has argued that validation should be out of scope.
Individualized Coupon Issuance
Through purchase history data a merchant knows that a particular consumer was regularly purchasing a specific item but has not done so in a while. In an attempt to kick start the old behavior the merchant sends a digital coupon for the item to the consumers mobile phone. The merchant only wants that coupon to be redeemable by that consumer and rejects it if another person attempts to redeem it. A variant is to allow the coupon to be shared, but only redeemable once. Note: We note that per device is easier than per person. This use case and others point at strong authentication requirements.
‘One per Customer’ Coupon – Discount Code
A consumer uses a discount code he received from a 3rd party site (e.g. and applies it to his basket total before check-out. The merchant wants to limit this discount code use to ‘one per customer’ and to ensure controls requests basic contact information. However, the same consumer on a separate occasion reuses the discount code by simply using different contact information e.g. a second email address. Note: QR code representation of data is a variation.
Tracking after Offline Acceptance
The merchant accepts a third-party coupon while offline but tracks it under a generic discount code.
Age Restriction, In-Person Redemption
David is 20 years old and is planning a house party for his birthday. He’s been searching online to find deals on alcohol and signs up to a manufacturer site which sells alcohol, using a fake age. Following his search online, David identifies a targeted coupon has been sent to his email account (which includes a barcode). David attempts to redeem the coupon at his local retailer using a self service checkout. While the barcode was accepted, David was unable to complete the transaction without a Supervisor’s approval code. Note: Use case attempting to highlight limited verification tools/parameters online regarding age restricted goods. Relates to verifiable claims use cases.
Age Restriction, In-Person Redemption with Merchant Flexibility
(The same) David uses his Fuels retail loyalty app (whilst sat in his vehicle) to purchase Fuel and Alcohol at his local fuel station. Following payment (via the app), he opts for the product to be brought out to his vehicle. It’s a busy time at the fuel station and the forecourt attendant does not ID check David. David receives his purchase and drives off the forecourt. Question: Whilst there is an assumption that the staff will check a customer’s age, in this scenario, is there In-app age verification in place?

3. Settlement

Near Real-Time Funding

Merchant Coupon Reimbursement in Sale
Polly pays for fuel and SoftBev items through her mobile browser in the fueling forecourt. There is an offer for for the SoftBev items in her digital wallet, which gets applied automatically to the payment transaction (based on her selection of a SoftBev product). SoftBev, on seeing the redemption, credits the merchant immediately for the cost of the offer. Note: there is a good bit of choreography necessary to make this use case work.