Hubspot 2.0

HubSpot: Inbound Marketing and Web 2.0

HubSpot is an internet marketing company that provides software and business solutions for its clients to compliment or replace traditional marketing programs. It focuses on inbound marketing, a new strategy that emphasizes developing effective communication to optimize exposure and drive customers to seek out a client’s business or line of products. It sells a service product through software that tracks clients’ online marketing efforts and evaluates the effectiveness of these programs. It also offers consulting to develop online marketing communications as well as provide direction for proper lead generation, follow ups and sales closing.

Inbound marketing has been well received and HubSpot has established an extensive portfolio of clients. Its client list is very diverse in regards to industries, sizes and objectives. They cater to B2B and B2C clients, specifically marketing professionals and small business owners. Through its efforts, the company has not only generated a robust client list, but has also earned considerable profits. Despite success, the company’s decision makers now find themselves with a dilemma as they plan the future development of the growing firm.

Currently, HubSpot has divided its market segments into two categories, small business owners, known as the Owner Ollies, and marketing professionals, referred to as the Marketer Mary group. Each is comprised of two distinctly different types of clients requiring HubSpot to propose different approaches to meet the specific needs of each segment. Additionally, each carries different acquisition costs. HubSpot spends approximately $1,000 on Owner Ollies as they are typically an easier sale. The company spends roughly $5,000 to acquire a Marketer Mary. As the company moves forward, it will have to further mature its market segmentation and targeting strategies and decide if its current two customer platform is ideal. The company must also examine if it...