The use of code words was to reduce the cost and improve accuracy of cable and telegraph orders. These codes persisted for a long time. One of my favorite old catalogs is a Cleveland twist drill one from 1947.
The charges were by the word, so a High Speed Taper Shank Adjustable Chucking Reamer would become Lowcow. Here are some of their examples from the catalog:
"Do not understand your order 2465; compare with our Catalog and give list numbers" becomes Assailable, Baker, Bard
The buyer's reply:
"List Number 516 wanted for our No. 2465" becomes Ascendent, Loop, Baker, Bard
Dates and quantities were also coded:
"Want list number 608 for our order March third" becomes Ascendent Lowcow, Ashdorf (third was ash, march was dorf)
"Ship by express ten dozen three-sixteenth inch Straight Shank Drills, list number one hundred eight" becomes Ash, Battable, Absorb, Labium (yes, Labium)
There was a specific order format:
1. How to be shipped
2. Quantity
3. Diameter or size
4. List number (basically part number)
In 1950, a 10 word telegraph message was about $.75, while a 3 minute phone call was $1.50. (
History of the U.S. Telegraph Industry )
Other businesses had their own codes. From
Plug pulled on the world'''s last commercial electric telegraph system :
For example, the message "What is the best price delivered here for axle steel? How long does the quotation hold good? Disposed to accept any reasonable offer. Anxiously awaiting your reply. Rodgers." in the private code of the US Steel company would read "QKKMA AFBEH QPXFL QRURH QSWKU Rodgers." I think Cleveland's was better, as the use of actual words build in a bit of error correction.
I couldn't find any data on the cost of international telegrams in the 40s, but I was astounded at the cost shortly after the first international cables were laid:
The cost of early telegrams were only justified by the value of instant communication. In 1860, for example, a ten-word telegram sent from New York to New Orleans cost $2.70 (about $65 in 2012 currency). When the transcontinental telegraph opened, the cost was $7.40 for ten words (about $210), while a ten word transatlantic message to England cost $100 (about $2,600). These prices came down in time, but telegrams largely remained a tool for the corporate, the rich, and for emergencies. Despite the high cost, some 212 million telegrams were sent in the US in 1929, the peak year for such activity.