A Campaign is a Business

December 15th, 2008 By: Michael van der Galien | Tags:

Writing for The Next Right, conservative activist Aaron Marks explains that the Obama Campaign was more a business enterprise than a regular, traditional campaign.

He came to this conclusion partially based on an interview with David Plouffe, who was Obama’s campaign manager and the man who made Obama a household name.

“There are business analogies. One is, we’re a startup, we had to go from zero to 60 in a matter of weeks. Our company, if we were successful, would only last two years at the most. … We had over 5,000 employees… And we were an organization about accountability. Down to the entry-level staffer, we measured their job performance based on metrics,” Plouffe said in the much covered interview.

Marks adds:

What specific trends that the most successful modern corporations employ were echoed by the Obama campaign?

“Know your customer.” I’ve probably heard this from my entrepreneurship advisor a thousand times now, but only because it is perhaps the single most important phrase in business. Obama’s campaign really knew its customers – just look at the way it outreached to young voters.

A consistent message and high-impact branding. These two go hand in hand. Take Apple, a highly successful company even despite the recession, for example: they have a simple but highly memorable logo, effective messaging (i.e. “Get a Mac” ads), and a well-designed and innovative website. Barack Obama’s branding and messaging was as good as any corporation.

Job performance measurement and personal accountability. Think quarterly or annual reviews at your place of work. As quoted earlier, Plouffe confirms the importance of this in the Obama campaign: “Down to the entry-level staffer, we measured their job performance based on metrics.

Fiscal accountability. Successful corporations have very specific budgets, and virtually all spending is highly scrutinized. Plouffe notes that, “People on the campaign could not make more than a certain amount—$12,000 a month… If you were a deputy you got paid X, if you were an assistant, you got paid Y… From a fiscal management standpoint, Obama was very clear that he did not want to end up with a debt in the primary or the general, so we just planned accordingly. We didn’t spend beyond our means.” (emphasis added

A willingness to take significant financial risks and depart with the norm to be on the cutting-edge. This sentiment was echoed by the Obama campaign at many levels. Team Obama got the idea of peer production, which is quickly becoming the premiere business model of leading corporations like IBM, Boeing, BMW, and Goldcorp. In addition, as Patrick and Soren point out, Obama invested the campaign’s resources in a very unique way – remember the advertisements the campaign ran on an Xbox 360 racing game?

A corporate infrastructure. Since when does a political campaign have both a Chief Technology Officer (CTO) and a new media director – let alone a Chief [Anything] Officer?

There is a lot American conservatives and centrists can learn from the Obama campaign, as can foreigners – socialists, laborites, centrists, christian democrats and, of course, conservatives and liberals. The Obama campaign may very well have been the best in American history – he took campaigning to an entirely new level. Not learning from it would be ludicrous.

The main lesson to learn from the Obama campaign is, indeed, that a campaign should be run like a business. It should be considered as a temporary business enterprise, lasting maximum a year or two. The goal of the business is not to make a profit but to get the candidate elected. After this victory, the business comes to an end (or the defeat of course).

Campaigns will become increasingly professional in the coming years, conservatives and everyone else should catch up.

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  1. c3
    December 15th, 2008 at 16:42
    Reply | Quote | #1

    My one question regarding the “business model”: Who was the customer? The voter? The potential voter? Or (using the classic business model)The donor? If the latter, while successful it begs a lot of deeper questions.

  2. kate
    December 17th, 2008 at 07:27
    Reply | Quote | #2

    David…… Plouffed?
    Come on, Campaign Manager to Barack Obama? The man who will, without a doubt, be referenced in history books and is the talk of people everywhere in the business and political world just plain forgot this detail?
    The enormity of what has occurred is mind blowing. David Plouffe tentatively calls his book Audacity to Win as a reference to Obama’s The Audacity of Hope. Why would Mr. Plouffe release this to the associated press last week without first having purchased the name in its internet domain form?
    Isn’t this, most certainly a case of you should “practice what you preach?”
    I bought the domain http://www.Audacitytowin.com this is where the debate begins! Was he Plouffed? Or did a small town girl force the “marketing guru” to change his book’s title?

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