News
The Gist
- A first for CRM and TikTok. HubSpot and TikTok have partnered to enhance B2B customer acquisition, marking TikTok's first CRM lead generation collaboration.
- Code? Who needs code? The integration focuses on a "no-code" approach, allowing businesses to deploy ads on TikTok and sync leads directly to HubSpot's Smart CRM.
- Privacy matters. Despite TikTok's recent privacy challenges, the platform's vast user base offers a significant opportunity for businesses to tap into a new audience.
HubSpot, which sells marketing and sales software, and TikTok have announced a new partnership aimed at improving community-based customer acquisition for B2B brands. This collaboration marks the first CRM partnership for TikTok in the realm of lead generation, according to HubSpot officials.
What's behind the partnership? The integration aims to simplify the process of capturing leads from TikTok directly into HubSpot's Smart CRM. This move is in response to the increasing customer acquisition costs faced by SMBs, according to HubSpot research from 2021 to 2022. This revealed that 53% of SMBs in the US experienced a rise in these costs, with over a third reporting an increase of 20% or more.TikTok, known for its engaged user base, offers a solution to the aforementioned challenge, HubSpot officials claim. Over half of TikTok users in the US discover new brands on the platform, and 58% of global users indicate a likelihood to purchase after viewing a lead generation ad, according to HubSpot officials.
As TikTok’s first strategic CRM partnership, how does this collaboration position Cambridge, Mass.-based HubSpot in the market in terms of innovation and staying ahead of customer acquisition challenges?
"As the customer platform for scaling businesses, HubSpot continually innovates on behalf of our customers to ensure that they have access to the technology that will help them grow better," Karen Ng, SVP product at HubSpot, told CMSWire in an interview. "By partnering with TikTok, one of the fastest growing platforms in the world and the best in community building, with HubSpot, the best in customer connection and home to scaling businesses, we’re helping brands tap into an engaged community with an efficiency that was otherwise not possible."
No-Code Integration at Core of HubSpot-TikTok Partnership
These types of partnerships come down to integrations. And in the marketing technology world, integrations make all the difference.
HubSpot is touting a "no-code integration" that allows businesses to:
- Link their TikTok for Business account with HubSpot.
- Launch lead-generating ads on TikTok and synchronize leads to HubSpot's Smart CRM.
- Utilize HubSpot's Marketing Hub for personalized campaigns across various channels such as email, paid ads and SMS.
- Organize and engage qualified leads using the new Sales Hub.
- Employ HubSpot's AI-powered reporting tools to analyze campaign results and optimize strategies.
Ng pointed out that this "makes it simple to deploy lead-generating ads on TikTok," thereby enabling businesses to transform their engaged audience into "high-quality leads."
"The integration facilitates a real-time sync with HubSpot’s Smart CRM, which means leads are pulled directly into the HubSpot platform," she added. "... From there, customers can use HubSpot tools to engage with their leads and move them through the customer journey."
Related Article: HubSpot INBOUND to Reveal New Suite of Generative AI Tools
Measuring Success of TikTok-HubSpot Integration
What kind of AI-powered reporting does HubSpot offer to analyze the results of campaigns run on TikTok? HubSpot customers can use tools like Reporting Assistant and ChatSpot, both of which allow customers to use generative AI to create a report based on simple prompts, according to Ng.
How can businesses utilize HubSpot's reporting to optimize their TikTok campaigns for better lead generation and customer acquisition? "Once businesses have used HubSpot’s TikTok integration to find leads and add them to HubSpot’s Smart CRM," Ng said, "they can use HubSpot’s reporting tools, like campaign journey analytics, to understand the effectiveness of a particular marketing campaign."
What TikTok Says About the Partnership
Lorry Destainville, head of product partnerships at TikTok, said in a statement TikTok enables brands to reach and engage with new audiences and communities they otherwise would not have been connected with before.
"Powered by the new way people discover and connect with businesses," Destainville added, "we are excited to partner with HubSpot to help advertisers capture the engaging TikTok community and turn them into leads. This is just the beginning of a partnership that we believe will help businesses of all sizes find success on the platform.”
Related Article: How TikTok Is Changing the Digital Marketing Game
HubSpot's Eyeing Other Social Media Integrations
The TikTok integration for HubSpot is available now in the US and Canada for customers using TikTok for Business and will be available in additional countries in the coming months, according to HubSpot officials. This integration is available at no additional cost.
What future developments are planned for this partnership to further assist B2B brands in leveraging TikTok for customer acquisition?
"HubSpot and TikTok will continue to partner closely to educate businesses and help them find and engage with high quality leads," Ng said. "TikTok’s lead generation integration for HubSpot marks the start of our strategic partnership."
Are there plans to integrate other social platforms with HubSpot's CRM for enhanced community-based customer acquisition? Yes, Ng said. "As the customer platform," she said, "HubSpot is continually exploring ways to help our customers grow better, including additional partnerships that will help solve customer acquisition challenges."
HubSpot in its latest quarterly earnings in August reported a 25% bump in revenue for the second quarter at $529.1 million. The net loss for the quarter $118.9 million compared to $56.4 million in the same quarter the year before.
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TikTok's Privacy Turbulence in 2023
TikTok has the sixth-largest user base among active social media platforms with 1.08 billion active monthly users, according to Statista. Facebook (2.99 billion) is No. 1, followed by YouTube (2.52 billion), WhatsApp (2.0 billion), Instagram (2.0 billion) and WeChat (1.3 billion).
TikTok, owned by Chinese tech company ByteDance, certainly has grabbed some headlines in the data privacy arena this year. European regulators issued TikTok a $368 million fine last month for failing to protect children’s privacy, a first in terms of violating Europe's data-privacy laws. The fine stemmed from violations dating back to 2020.
TikTok came under fire in front of the US Congress earlier in the year for its data-collection practices. TikTok defended its privacy practices in a privacy series started in June.
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