System and method for creation, distribution and tracking of advertising via electronic networks

Patent No. US10380597 (titled "System and method for creation, distribution and tracking of advertising via electronic networks") on Dec 21, 2006. The application was issued on Aug 13, 2019.

'597 is related to the field of online advertising, specifically addressing the creation, distribution, and tracking of advertisements across electronic networks. The background involves challenges faced by advertisers in creating effective ads and efficiently placing them, as well as the need for publishers to maximize ad revenue while minimizing the effort required to manage advertising.

The underlying idea behind '597 is to create a comprehensive system where advertisers can easily create rich media ads using licensed digital content and then participate in an auction-based system to place those ads on various network locations. This system aims to streamline the process for both advertisers and publishers, providing a 'one-stop shop' for electronic advertising.

The claims of '597 focus on a system comprising a database storing records with commands for retrieving and assembling electronic content files into advertisements, and parameters for presenting these ads on webpages. The system generates code for a billboard module that communicates with a server, selects ads based on keywords, conducts an auction, and provides instructions for displaying the winning ad.

In practice, the invention works by allowing advertisers to create ads using licensed content and then bid on ad spaces within a network. When a user requests a webpage containing a 'billboard module,' the system initiates an auction among relevant ads based on keywords and other parameters. The winning ad is then dynamically assembled and displayed within the module, with usage and display tracked for billing purposes.

This approach differentiates itself from prior solutions by offering a more integrated and automated system. Unlike previous methods that relied on manually placed code or simple text ads, '597 enables the creation and contextual distribution of rich media ads through a centralized platform. The auction mechanism and dynamic ad assembly further optimize ad placement and revenue generation for both advertisers and publishers, while the tracking system ensures accurate billing and ROI measurement.

How does this patent fit in bigger picture?

Technical Landscape

In the mid-2000s when ’597 was filed, digital advertising was typically implemented using static text links or manually embedded image files that required significant labor to update or rotate. At a time when systems commonly relied on search engine keyword bidding to determine the rank of text listings rather than the dynamic assembly of rich media content, hardware and software constraints made the real-time tracking of ad engagement non-trivial without interfering with the user's browsing experience. Engineering practices often required advertisers to pay flat upfront fees for content licensing because systems lacked the integrated architecture to track and bill for digital assets on a per-use basis across distributed network locations.

Prosecution Position

The examiner allowed the application because the claims successfully addressed a technical problem related to the implementation of advertising modules on web pages. Specifically, the examiner noted that the system generates unique code in response to an advertiser's selections within a user interface; this generated code is then manually integrated into a webpage's HTML to trigger the loading of a 'billboard module' when a user views the page. While prior art existed for database-managed ad serving and keyword-based auctions, the examiner determined that the specific mechanism of generating usable code based on advertiser input to enable the functional billboard module was not present in the earlier technical references.

Claims

This patent contains 42 claims, with independent claims numbered 1, 23, and 33. The independent claims are generally directed to systems and methods for delivering advertisements to webpages, involving databases, content servers, and billboard modules. The dependent claims generally elaborate on the features, parameters, and functionalities described in the independent claims.

Key Claim Terms New

Definitions of key terms used in the patent claims.

Term (Source)	Support for Specification	Interpretation
Billboard module (Claim 1, Claim 23, Claim 33)	The present invention provides ad publishers with the ability to automatically accept placement of advertising at their network locations by providing a display space module, or “billboard module” that can be easily embedded at the network location where the ad will be displayed, such as, for example, on the ad publisher's web page(s) or, installed in cellular phone or a variety of other network devices that display advertising. This “billboard module” is associated with categories or keywords and communicates with a central dispatcher server that selects advertising and provides instructions to render the advertising in the module.	A software component comprising code that communicates with computing systems over a network to retrieve and display advertisements on a webpage. It is loaded when the webpage is loaded and designates an area on the webpage for displaying the advertisement.
Conduct an auction (Claim 1, Claim 23, Claim 33)	The system selects the advertisement to display in a designated ad space by conducting an auction based on the bids placed by the advertisers for display of their ad at the location. The auction is conducted immediately upon the request and initiation of the “billboard module” by a network user/ad viewer. If the advertisement is meant to display on a web page, the auction will begin when the web page containing the embedded billboard module is served.	A process of selecting a winning advertisement from a subset of records based on bids placed by advertisers for display of their ad at a specific location, initiated in response to a communication from the billboard module.
Electronic content files (Claim 1, Claim 23, Claim 33)	The digital content is delivered to designated advertising locations on the network and becomes part of an advertising display composed at the time requested by the network user/ad viewer by using a relational database for storing data required for commands that execute retrieval, assembly and dispatching of the licensed digital content files previously stored in one or more servers, as well as messaging, tracking, display, and billing for both use of the licensed content and display of the ad at the designated location on a cost-per-use basis.	Digital media files that are designated by advertiser users, retrieved, assembled, and presented as an advertisement at webpages, according to parameters stored in a database.
First code (Claim 1, Claim 23, Claim 33)	The present system provides publishers with an account where they can enter information including their preferred method of receiving payment, address, and other relevant information. Publishers are also provided the opportunity to select ad size parameters, enter keywords or select categories to associate with their ad space. The system then generates the instructions and or the code necessary to embed a billboard module at the publisher's ad space.	Code generated in response to options selected by an advertiser user in a user interface, designed for placement on a webpage to initiate the loading of a billboard module.

Litigation Cases New

US Latest litigation cases involving this patent.

Case Number	Filing Date	Title
2:25-cv-00934	Sep 4, 2025	RICH MEDIA CLUB LLC v. GANNETT CO., INC
2:25-cv-00932	Sep 4, 2025	RICH MEDIA CLUB LLC v. GUARDIAN MEDIA GROUP PLC
2:25-cv-00933	Sep 4, 2025	RICH MEDIA CLUB LLC v. NEWS GROUP NEWSPAPERS LIMITED

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US10380597

Application Number: US11643245A
Filing Date: Dec 21, 2006
Publication Date: Aug 13, 2019
External Links: Slate, USPTO, Google Patents

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