System and method for a merchant loyalty system

A system for facilitating a merchant reward program, said system comprising:

• a network interface;
• a processor configured to execute a computer program;
• a memory;
• and
• the computer program configured to:
• receive a first financial transaction authorization request comprising first purchase data, wherein said first purchase data comprises a first transaction account code, a first purchase amount, and a first service establishment code;
• associate said first service establishment code with a first merchant proprietor rewards account code;
• associate said first transaction account code with a second merchant proprietor rewards account code;
• calculate a first reward amount and a second reward amount;
• credit a first merchant proprietor rewards account with at least a portion of said first reward amount, wherein said first merchant proprietor rewards account is associated with said first merchant proprietor rewards account code;
• credit a second merchant proprietor rewards account with at least a portion of said second reward amount, wherein said second merchant proprietor rewards account is associated with said second merchant proprietor rewards account code;
• receive a second financial transaction authorization request comprising second purchase data, wherein said second purchase data comprises a second transaction account code, a second purchase amount, and a second service establishment code;
• associate said second service establishment code with said second merchant proprietor rewards account code;
• associate said second transaction account code with said first merchant proprietor rewards account code;
• calculate a third reward amount and a fourth reward amount;
• and,
• credit said second merchant proprietor rewards account with at least a portion of said third reward amount;
• and
• credit said first merchant proprietor rewards account with at least a portion of said fourth reward amount.

A computer-readable storage medium encoded with processing instructions for implementing a method, said processing instructions directing a computer to perform the steps of:

• receiving first financial transaction authorization request comprising first purchase data, wherein said first purchase data comprises a first transaction account code, a first purchase amount, and a first service establishment code;
• associating said first service establishment code with a first merchant proprietor rewards account code;
• associating said first transaction account code with a second merchant proprietor rewards account code;
• calculating a first reward amount and a second reward amount;
• crediting a first merchant proprietor rewards account with at least a portion of said first reward amount, wherein said first merchant proprietor rewards account is associated with said first merchant proprietor rewards account code;
• crediting a second merchant proprietor rewards account with at least a portion of said second reward amount, wherein said second merchant proprietor rewards account is associated with said second merchant proprietor rewards account code;
• receiving a second financial transaction authorization request comprising second purchase data, wherein said second purchase data comprises a second transaction account code, a second purchase amount, and a second service establishment code;
• associating said second service establishment code with said second merchant proprietor rewards account code;
• associating said second transaction account code with said first merchant proprietor rewards account code;
• calculating a third reward amount and a fourth reward amount;
• and,
• crediting said second merchant proprietor rewards account with at least a portion of said third reward amount;
• and
• crediting said first merchant proprietor rewards account with at least a portion of said fourth reward amount.

A method for establishing a merchant reward program, said method comprising the steps of:

• processing, by a computer for establishing a merchant reward program, an application for a merchant proprietor transaction account having an associated merchant proprietor reward account, wherein said application is received from a merchant proprietor;
• assigning, by said computer and in response to said application being approved, a transaction account number to said merchant proprietor and a service establishment number to a service establishment associated with said merchant proprietor;
• and,
• associating, by said computer, said transaction account number with said service establishment number;
• awarding, by said computer, a first reward amount to said merchant proprietor reward account based upon purchase transactions by said merchant proprietor using said transaction account number and a second reward amount to said merchant proprietor reward account based upon transaction requests associated with said service establishment number.