Missed the Mark Entirely - Was Supposed to Be for Hardcore Fans....
Not only was this movie just plain awful, but it doesn't even attempt to cater to die-hard gorehound zombie fanatics.
The whole purpose and reasoning why it was paid for by the fans is because it was meant to be exclusively FOR the fans. Any money he made off distribution or whatever he gets to keep. Then he turns this around and really tried to get it off the ground with an MPAA-theatrical release in order to milk more money off the free budget his fans so unselfishly gave him.
This is how I bet it went down... Rob thinks he has some super awesome idea for a horror film about murdering clowns. I bet that in his head, it was much creepier than when he was trying to put it all together on film, and he realized this. And he then tried to switch over to making it appeal to more mainstream, since his fans won't dig it. It's less brutal than his other films, and not even just the unrated ones. The Devil's Rejects that I saw in theaters was far more brutal than this.
I bet Zombie had several complete breakdowns while making this....hence the major delays. I think he knew he was making crap, but he had to finish it. And it definitely shows!