earLogic has introduced its latest innovation, Shopcarte, which provides smart card- based capabilities that are instantly compatible with the vast number of checkout lines already using bar code scanning equipment. Both Visa and American Express have millions of smart cards in the U.S., and issuers are interested in finding ways to better integrate smart card technology with couponing applications for merchant partners.

Shopcarte offers a cost-effective solution to rapidly implement smart card-based coupons, discounts or special offers by delivering full compatibility with virtually every merchant in America that accepts coupons using bar code scanners.

"Shopcarte directly attacks the main issue confronting smart card penetration - POS terminal infrastructure," said Robert Wesley, chief operating officer of WearLogic.

"WearLogic's strategy is very similar to the one used by VeriFone to create the U.S. market for online credit card authentication in the 1980s.

"We see Shopcarte as a bridging technology, one that opens up the tremendous marketing opportunities of electronic couponing and smart card loyalty now, without waiting for an overhaul of the entire point-of-sale infrastructure. Shopcarte is a very realistic first step, both affordable and easy to implement because it stands alone."

This bridging technology may very well break the "chicken and egg" cycle that has been holding back smart cards in the United States. It squarely addresses one of the primary barriers of the high cost of changing the terminals in merchant locations to accept smart cards for loyalty and other applications.

The Merchant Shopcarte device is easy to install, utilizes battery power, does not need a network connection, is easy to program and does not require extensive training. The operation is simple. When a card is inserted into the Merchant Shopcarte device, two special "traffic lights" on the device indicate whether the smart card has been correctly inserted. Once the green light appears, the sales person merely aims the bar code scanner gun at the Shopcarte device, capturing the electronic bar code coupon. The cardholder then uses their card in the standard POS terminal to pay as always.

Shopcarte products can help smart card issuers introduce a broad variety of innovative POS merchant programs such as Merchant Shopcarte Values, where every time a smart card is presented at a specific merchant, the cardholder automatically will receive a discount, an additional product or extra services.

The Specialty Card Shopcarte Values program offers the cardholder instant values from the card issuer at a participating merchant every time a specific type of card (i.e., a co-branded card) is used. Additionally, every time a cardholder shops at a participating merchant with a smart card, he or she could win a wide range of prizes such as cash back, discounts, products, services or a larger grand prize with the Instant Shopcarte Sweepstakes program.

For more information, visit www.wearlogic.com.