HubSpot to lay off nearly 660 employees, rebuild product teams around the outcomes customers want
The cuts at marketing and sales software provider HubSpot amount to about 7% of its workforce. CEO Yamini Rangan says AI efficiencies are not the reason for the decision.
What's happening
CEO Yamini Rangan announced the cuts in an Oct. 6 memo to employees; the board had approved the restructuring plan on Oct. 1. HubSpot will organize its product teams around these outcomes: generating demand, winning deals, delighting customers and scaling growth. Each team will own the full customer journey. According to CMSWire, the memo describes how the teams are organized but does not say whether there will be any change in how its product bundles, called Hubs, are sold and priced to customers.
Whose desk it lands on
The executive responsible for marketing and sales software. While the restructuring is underway, will HubSpot's support contacts and service levels stay the same?
Our view
The CX Brief's interpretation, not a claim made by the source.
For now, HubSpot's restructuring changes how the company works internally: teams are being organized around the outcomes customers want, but it is unclear whether the bundles it sells or their pricing will change. What customers notice first may not be the benefit of the new structure but the upheaval of the transition: the company's official filing lists possible disruption to customer relationships among the plan's risks. That is the test for any organization rebuilding its teams around the customer journey: until the new internal structure is reflected in the product being sold and its price, nothing has changed in the customer's eyes.
