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After more than two years of research, development and testing, according to its founders, BCH is now in the midst of refining its system while meeting with agencies, station representatives, stations and advei tising groups.
BCH has completed arrangements with the Bank of America, San Francisco, to handle the data pro< essing for the automated system. According to BCH Executive Vice President Lee Mehlig, the bank will use ERMA (Electronic Recording Method ol Accounting), an [BM high-speed computer perfected during the past \ eai .
"I he new firm is headed by John E. Palmer, president, who is now western sales manager lor Mutual Broadcasting System. Mehlig is currentl\ vice president, general sales manager and co-owner ol K.GMC Englewood (Denver), Colo. Arthui Wyman Sawyer, BCH secretary, is an account executive with Garfield, Hollman .v Conner, advertising agency in San Franc isco.
Late last month a second central billing company foi broadcast was announced in New York by Standard Rate &: Data Service, which has created a subsidiary, Broadcast Billing Co. Inc., "to control, coordinate and justify tv spot billing."
Albert W. Moss, executive vice president of SRDS, heads the new operation as president. Executive vice president of BBC is George W. Schiele, former sales vice president. Broadcast Advertisers Reports Inc., New York, where he was instrumental in developing a television audit system now used by several advertising agencies.
BBC, like BCH, plans to use automated data processing methods to serve both stations and agencies. However, the former company will provide a central billing service for television stations onl\. And it will adapt forms currently in use by agencies and stations before translating the data into its own forms for machine processing.
Unlike BBC, Broadcast Clearing House will initially serve radio stations, expanding later to accommodate television stations. Existing forms will not be used, but will be
34
replaced b\ BCH standardized forms thai are automatic ally ready to be programed for data processing.
A third group— not as yet ofln ialh announced— is reported to be spearheaded by a group ol former Remington Rand systems experts who are working with a New York bank and a company experienced in broadcast advertising. Details of the u proposed central billing plan have not been made public.
01 the three groups, Broadcast Clearing House is the first to have presented thoroughly the details and systems ol its operation to advertising agency executives and representative funis.
Here is how the BCH system would woi k, step-bv-step:
I. A standardized time order form originates with the rep. It's sent to
Continued on page 54
BCH central billing needs only five steps
BROADCAST CLEARING HOUSE
STATION TaODRCIS
kviv 1 SAN FRANCISCO
NAME OF REPRESENTATIVE 1 OFFICE
RADIO AD-SALES SEW YnrtK
CLIENT \
U. S. JI0T0RS CORP.
RROOUCT
CENTAUR
r OMMtNC f MF N T DATE EXPIRATION DATE
8-1-61 8-31-61
12876541 7-24-61
L ITEM
^ HOUR
51 TIME* PER AEEK
01
8:30 AH
DAILY
7
31
30 SEC
BROWN
13.85
02
6 m
M-W-F
3
13
30 SEC
AA
7.25
94. 25
03
12
12:30 FM
DAILY
7 I 31
60 SEC
A
n.50
356.50
1. TIME ORDER is prepared by rep after schedule negotiation and sent to ad agency for confirmation. Agency gives final signature to order and indicates whether automatic make-goods by station are authorized. The form is returned to Broadcast Clearing House to begin automated billing process. Time order gives complete run-down of times, length, class, cost in multiple copies.
BROADCAST CLEARING MOUSE
*• O BOX 9»»». RINCON ANNEX SAN FRANCISCO 20. CALIFORNIA
PRIMA FACIE BILLING
E. V. BAKER HEW YORK
iSV 8-61
CLIENT
U. S. MOTORS CORP.
B,LLP*G NUMBER
P*5E
ANT NECESSARY ADJUSTMENTS TO THIS Bit. LINO WILL AFPKAR ON ADJUSTED SILLING
PRODUCT
CENTAUR
11 ORDER
or times
LENOT OP OROAOCAST
m
Si TIME CLASS
S RATE
^ GROSS CMAROt
KAX SAN FBANCftSCO CALIFO
RNU
"
1
2976438 01
31
M-l ...
9.50
294.50
31
294.50 *
SDAE SA.N FRANC
I3CC CALIFO
LOTA
3286510 01
31
30 SEC
B
4.25
197.25
3286510 02
10
60 SEC
AAA
15.00
150.00
41
347.25 *
KVIV SAN FRANC
[SCO CALIFO!
>>UIA
2876541 01
31
30 SEC
BROWN
13.85
429.35
2. PRIMA FACIE BILL, an estimate of the agency's final bill for client radio campaign, is sent to agency on 20th of broadcast month. Bill lists all stations in campaign, schedule ordered, cost per station, sub-total per city and state and final total. Agency now has central record of all station billing for each campaign. Payment is not made, however, until BCH sends adjusted bill.
U. S. RADIO September 1951
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