Hubspot Case Study

Hubspot started with a philosophy of ‘don't interrupt the customer and then try to get their attention. Instead know them better and  have a great content which gets them interested about you’

Hubspot created software products that enabled its customers to market their products/services with the use of new age tools like Search Engine Optimization(SEO), Social Media, Blogs, Podcasts and social networking websites like Twitter, Facebook etc. This effectively replaced the traditional marketing strategies used by them.

Hubspot is challenging the Marketing world by implementing new rules through a new age platform. And this is not without achieving results. But in the process they encounter many complications .Biggest of which- is Outbound marketing indispensable? Is the right mix of inbound and outbound marketing the ideal solution?

1. A description of what you believe to be the key marketing issue(s)/challenge(s) facing this organization, and justification in 2-3 sentences

• Lack of scope for Strategic marketing because of diverse customer base
• Pricing model - low pricing and same prices for all customers
• High churn rate risk- almost 5% every month
• Need to maintain brand image - Diving into outbound marketing may do irreparable damages to brand image

 2a.The pros and cons of alternative solution 1 to address these marketing issues/challenges.

Identify other high yielding customer personas . Hubspot currently serves only B2B and B2C customers that fit into the ‘Ollie’ and ‘ Mary ‘ personas. This decision makes them neglect 50 % of the rest of their leads.To identify any other target customer segment they need to know what customers they want to attract. This is a contradiction as the content cannot be known before knowing the target segment and vice versa. This leaves them to branch out to outbound marketing for identifying any other target segment.

Pros-

Helps not neglect 50 % of the leads generated , while also focusing on Ollie and Mary

Cons-

May have to resort to outbound marketing

Tarnishes the brand reputation

Environment-

Sociocultural - can cater to wider customer base

Technological- Hubspot already has the required technology to accomplish this

 Economic- B2B segment may have a business model that may affect this

Demographic- will cater to other demographics and not just Ollie and Mary

Competitive-Salesforce helps closing in deals while hubspot focuses on lead generation

 2b.The pros and cons of alternative solution 2 to address these marketing issues/challenges. Status quo or doing nothing is not an option. Be sure to consider ALL relevant environmental variables:

Contract based pricing after the initial trial period and variable pricing. This solution reduces the customers from dropping out and helps in inducing a discipline in the process. This when followed with better support and increased IT may mean long term customer relationship. Also the new pricing to different segments will help boost the hubspot revenue by lower churn rate and better customer service