HubSpot and TikTok recently announced a new integration for B2B brands to run lead generation ads on TikTok and funnel leads directly into HubSpot’s Smart CRM.
This collaboration will create promising lead generation opportunities to streamline and simplify community-based customer acquisition for advertisers.
Leveraging social integration to maximize customer acquisition
The partnership between one of the top CRM platforms and the leading destination for short-form mobile videos appeals to SMBs amid rising customer acquisition costs.
A SimplicityDx study revealed that customer acquisition costs increased by 222% in the last eight years. It’s no surprise that SMBs are heavily impacted by this spike; Ecwid’s research found that nearly 65% reported an increase in 2022.
Additionally, almost a third of SMBs experienced a significant upsurge in acquisition costs, and two-thirds had difficulties meeting ROI ad goals.
TikTok Ads is geared to tackle these challenges. In a 2022 report, TikTok’s research showed that 51% of its U.S. weekly users encounter new brands. The platform’s product discoverability creates a wealth of opportunity for B2B businesses to tap into a highly engaged audience.
For SMBs, the opportunities this integration provides are endless. One small business consultant expressed in a G2 review:
“Now with TikTok being integrated with HubSpot, I am already excited for what the future can hold when using HubSpot for our organization now and in the future.”
TikTok’s business potential and active customer base appeal to marketers, with 56% already intending to increase their spending on TikTok.
This integration will only encourage investments, as companies will be able to leverage HubSpot’s powerful marketing tools to engage customers, automate campaigns, and optimize results using data from TikTok.
This also comes at a time when buyers are looking for an easy integration between their existing products and new ones.
According to G2’s 2023 Software Buyer Behavior Report, 82% of software buyers emphasized the importance of purchasing software that can easily integrate with their existing products. While cost is always important, SMBs ranked the need for ease of integration higher than the cost.
The no-code integration between HubSpot and TikTok for business solves both problems at once—a cost-effective and integration-friendly solution.
Examining buyers' ROI expectations and their implications on lead generation
Customer acquisition and lead generation software are essential for businesses across all company sizes. While rising customer acquisition costs are a salient problem for SMBs, faster ROIs could also be a solution.
When taking a closer look at lead generation software such as lead capture software and viewing the ROI in the last year, SMBs exhibited opposite ROI trends. While small businesses largely showed faster returns, mid-sized companies had greater decreases in ROI each quarter.
However, these ROIs don’t quite align with buyers' expectations.
As costs increase, buyers expect to see accelerated ROIs. In G2’s 2023 Software Buyer Behavior Report, 49% of software buyers plan to increase their software spending in 2024.
These same buyers also expect to realize an ROI within six months, stating it as the most important consideration in their purchasing process.
Currently, the average time for lead capture software buyers to realize an ROI surpasses the 6-month mark. As spending and prices increase, the demand for quicker returns will likely follow this trend.
Forging new lead generation opportunities
The partnership of HubSpot and TikTok will be valuable for B2B marketers because it not only addresses the escalating customer acquisition costs of SMBs but also presents new streams of generating leads for advertisers.
In a time where buyers increasingly prioritize faster returns and cost effectiveness, this solution caters to the demands for effortless integration. Ultimately, it will create opportunities for faster ROIs that will offset customer acquisition costs in the future.
Learn about creating and managing successful customer relationships through this extensive CRM guide.
Edited by Jigmee Bhutia
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