Hubspot Essay

4188 Words Aug 28th, 2012 17 Pages
HubSpot: Inbound Marketing and Web 2.0

Introduction 3
HubSpot Background 4
Inbound vs. Outbound Marketing 4
Product & Pricing 6
Marketplace & Competition 10
Marketing Strategies 14
Customers & Segmentation 16
SWOT Analysis 22
CRM Implications 23
Problem Statement 25
Appendix A – Exhibits 27
References 30


HubSpot founders, Brian Halligan and Dharmesh Shah, were selling more than software—they were selling a philosophy. They believed that Web 2.0 was a game changing technology that could be leveraged to fundamentally change the way marketers attracted customers. At the same time, typical push marketing techniques were becoming ineffective. Greg Stuart, x-CEO of
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In addition, HubSpot dominates the market of small to medium-sized businesses interested in using Web 2.0 and the tools associated with pull marketing. Founders Brian Halligan and Dharmesh Shah have utilized their combined interests in the new technology of the internet, Web 2.0, and created an environment that leveled the playing field for small companies to compete on par with large corporations with regards to Web presence. In 2008 and 2009, HubSpot was recognized and awarded for its powerful strategies in the Web 2.0 field.

After both graduating from MIT, Halligan went to Longworth Ventures, a venture capitalist that specializes in technology start-ups, and realized that many of these start-ups were experiencing similar problems regarding effective use of traditional push-marketing methods in a Web 2.0 world. In the meantime, Shah founded and sold Pyramid Digital Solutions, an award-winning enterprise software company, and also authored, a blog for entrepreneurs. By combining strengths, Halligan’s Venture Capital, and Shah’s Software Expertise, HubSpot was able to raise $5 Million in 2007 and $12 Million less than a year later. The company was setup close to MIT, encouraging other graduates interested in Web 2.0 to fill the office with the right energy.

Inbound Marketing Traditional marketing uses a push strategy. In this methodology

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