Where's the Government Bailout for Advertising???

With the first Chevy Volt rolling off the assembly line today in Hamtramck, Michigan (gateway to Detroit) -- which incidentally, requires a government incentive of $7500 per car to have any possibility of selling -- I have to ask the question, "Where's the government incentive to buy advertising services?"  

I know it sounds silly. Why would the government support a for-profit business, like advertising?  

To which I ask, "Why would they support a for-profit business like automobile manufacturing? Or a for-profit business like banking?" 

I know, the argument goes something like, "if the car companies (and/or banks) go under, so does our economy." Well, what happens when advertising goes under??? How will companies sell more stuff? This is an important point because if they don't sell enough stuff, they go under -- and so does the economy!!!!

Advertising has lost (by several estimates) over 160,000 jobs that will probably never come back. That's 160,000 people not paying taxes, or buying cars, or putting money in banks. And you know what happens when people don't buy cars or put money in banks? That's right, the government bails them out!!

Where was the government when Doner cut hundreds of jobs? When BBDO cut thousands of jobs? When Campbell-Ewald cut hundreds of jobs? When the networks, newspapers and radio stations cut thousands of jobs? I could keep going, but you get the jist.  Advertising agency blended rates have not increased in more than 10 years (and in some markets have even retracted), while at the same time, clients are cutting budgets and squeezing agencies to provide ever more service for the same dollar amount. 

I'm not complaining. I'm just saying, as Sally did in A Charlie Brown Christmas, "All I want is what I've got coming to me. All I want is my fair share!"   I'm not asking for a government bailout, just a government incentive for advertising. Maybe a tax break for advertisers who could then use the money to pay their agencies more, or at least use it to advertise more! 

The Volt and Leaf get government subsidies because, "they help reduce our dependance on foreign oil and (supposedly) cut greenhouse gasses." A government subsidy for advertising would reduce our dependance on word of mouth which would (supposedly) cut CO2 (a greenhouse gas). 

At Atomic Ideas (a Michigan advertising agency and idea factory), we're doing everything we can to stoke the fires of capitalism by supporting advertising in all it's various forms -- from :30 TV spots to Magazine Ads to Billboards to Social Media campaigns. Or as we like to say it, "Atomic Ideas, Saving Advertising, One Tag Line At A Time!" 

 

 

 

 

Comments

[Name Withheld]

Yes! There should be a bail out for every type of business imaginable! If the government can require us to buy healthcare coverage, they can require us to buy houses, cars, and yes...even advertising!!!

[Greg Roy]

Thanks, Mr President, for taking time out of your busy day dealing with world national problems to actually read and comment on my blog. This just proves what I have been saying all along, your priorities are out of whack!

-Greg

[B. Obama]

Dear Greg,

Michelle and I completely agree with you. After all, without advertising and marketing (social media in particular :D), we would not be living in the White House!

Bernacke and I talked on several occasions about a possible bailout of the advertising industry. We even put a team of analysts on it at Langley (the best in the world except for when they get intelligence wrong - although Iraq was not entirely their fault, even though George and his dad think it was).

Anyway, bygones. The problem with the advertising bailout was constant and one we just could not overcome - namely, which 50% of advertising to bail out. There was no obvious answer, so sorry.

Keep up the good work, and good luck getting paid for it!

Barack