Stouffer’s, the longtime maker of frozen dinners, has put a new spin on loyalty.

Valuable prizes are up for auction in exchange for rewards points collected as people buy its products.

The Stouffer’s Dinner Club, the company’s first loyalty program, is promoted on millions of packages containing in-pack codes.

The 12-digit codes, worth 20 points each, can be found in Stouffer’s Classic Entrees, Corner Bistro panini, Large Classics, Corner Bistro Meals and Corner Bistro flatbread. Stouffer’s is offering an incentive to those who sign up at www.Stouffers.com: 100 points.

Then the bidding begins.

The online auction, which launched Aug. 1, features a tiered structure. The top level includes grand rewards, like a red-carpet experience at a Hollywood awards show. Lesser awards include a DVD library or book collection or a Bose Wave Music System. Members, who place blind bids, are notified by e-mail if they’ve won.

The rewards are all crafted around enhancing the dinner experience and vary by month. Some auctions run for two weeks, while others span the entire month. This month’s theme is entertainment. The program runs through Dec. 31, 2008.

“We are trying to offer our most loyal customers something more than just a meal,” says Chad Bittner, marketing associate at Stouffer’s, a Nestlé brand. “It’s giving them something they wouldn’t normally expect.”

An FSI offering bonus points to new registrants dropped last month. Online marketing, in-store messaging, freezer clings and print ads also support the program.

Members earn additional points by completing online surveys and monthly polls. Stouffer’s plans to use the information to better understand consumer preferences and to improve the program, he says.

“This is one of our ways of saying ‘thank you,’” Bittner says.

Session: Evolution of the New Media Player: Retail www.thepromoevent.com

MORE THAN 5,000 personal computers and related products were put up for bid in November on what is claimed to be the first wholesale Internet auctioning service in Japan.

The service, available through Japanese software distributor Softbank (www.softbank.co.jp) was created together with Internet auction systems developer Onsale Inc.

“We’re starting out in the business-to-business sector,” says Onsale spokeswoman Stephanie Elkins. “We’ll do consumer later.”

“We’re just providing the technical savvy,” she adds. “Softbank knows the market.”

Onsale is offering the technology, technical support and expertise related to the management and operation of online auctions, while Softbank is supplying management, personnel and its knowledge of the Japanese market.

The initial auction featured personal computers and related products, including microprocessors, peripherals and networking equipment.

Onsale and Softbank plan to introduce a site for consumers this spring which will offer PC-related products as well as consumer electronics, sporting goods and other merchandise.