Skip to comments.The Obama Campaign’s ‘Investments’ (Will they pay off down the road?)
Posted on 08/30/2012 9:43:00 AM PDT by SeekAndFind
I keep hearing defenders and even objective analysts saying that the Obama campaigns financial burn rate isnt that big a problem because the Obama campaign is making long term strategic investments in infrastructure that will pay off down the road (Sound familiar?). Heres Obama campaign press secretary Ben Labolt: Since we knew from the outset that Republican super PACs would likely outspend us on the air, we made a decision to invest early in building the largest grassroots campaign in history so that our supporters could engage in 500 days of persuasion with their networks.
I have three responses to this. First: Well see. Investments can only be verified as wise when they pay off.
Second, Im not sure its even true. If you look at what the Obama campaign is spending on, its not immediately apparent its even spending a lot on all of this infrastructure stuff. Its certainly not true that all of the campaigns deficit spending is the result of anything other than ad-buys.
In July, Obama for America took in $49.1 million and spent $59 million. Of that, Obama spent more than $48 million on advertising (more than double Romneys expenditures). The breakdown: $39 million on conventional ad buys and $8.7 million on online ads; $2.9 million on payroll, $1.2 million on payroll taxes (!), and $900,000 on polling.
While I am sure the Obama campaign has invested spent a lot of money on things that can be described as infrastructure lots of campaigns do. But that doesnt explain the high burn rate. Which gets me to the last point. This explanation is largely spin. It changes the subject from Obamas massive investment in negative ads attacking Mitt Romneys character. Thats an ugly story for the hope-and-change guy not just because it makes him look cynical, sinister, and hypocritical, but also because it underscores Obamas profligacy. (Remember in 2008, Obama said his success running a presidential campaign proved what a good executive he was.) And the fact that they blew all of that money on ads and havent got much to show for it, undermines the claim that this is a brilliant campaign.
Better to explain away all of that spending and all of that nastiness as a wise investment in the grassroots. Its a smart gambit by the Obama campaign, but Im at a loss as to why the political press should fall for it.
He would have gobs of cash and the national debt would be paid in full.
LOL. his campaign is shovel ready