What are the main marketing implications of this targeting decision?
I will upload the case study of the company and these are the 3 questions that has to be answered on it but each answer should be at least 1 page. It is not necessary to write an introduction/conclusion. Marketing theory should also be applied where at least 3 references should be included (I will sent you 1 core reading from which you can refer)
1. What are the possible segments that HubSpot could target? Make sure to describe them in as much details as possible.
Hint: In this case, customer lifetime value is easiest calculated as
CLV = (monthly profit)*(customer lifetime in months)-(acquisition cost).
Additional hint: Customer lifetime in months can be approximated by 1/churn rate.
2. Which one(s) should they target and why?
3. What are the main marketing implications of this targeting decision?
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Added on 01.10.2016 19:59
and these are my notes regarding the case study . If you have any question do not hesitate to ask me.
Hubspot focuses on content marketing (inbound marketing over outbound marketing)
Pull marketing rathern than push
Good understanding of SEO in order to distribute native content
Get users of content to build community and add to discussion
Designed to pull in an audience that is strictly interested in that product
Lead generation costs 5-7 times less than outbound sales = allows smaller firms to have a chance against larger players in the respective industry
Hubspot = platform that provides a do-it-yourself template for small businesses to create inbound marketing chanels themselves
Subscription based pricing model = monthly payments = more affordable for small businesses
Main area of competition = consulting firms with customer funnels
Target clients:
73% Owner Ollie = $1000 to acquire lead
Too busy to shop around for other services
Too busy to think about marketing
27% Marketer Marry = $5000 to acquire lead (longer lead-time)
Marketing team
Needs more sophisticated software for data analysis
B2B = less knowledge of web 2.0
B2C = found templates too basic
Issue: clients use a mix of outbound and inbound marketing but Hubspot is committed to only inbound marketing
Instruction files