Summary
- HubSpot is one of the best CRM software for enterprises and larger businesses.
- HubSpot has both pros and cons, with pricing being a huge disadvantage for SMBs, freelancers, and startups.
- HubSpot’s new 2024 pricing model can cause a significant increase in costs.
- There are more affordable HubSpot alternatives with similar features.
When it comes to finding the right automation tools to manage your marketing, sales, and customer service, you have too many options — and they all come with their pros and cons.
One such familiar name in this arena is the HubSpot, a platform for CRM (Customer Relationship Management), inbound marketing, sales process, and customer service . In this blog post, we will discuss about about HubSpot’s pros and cons so that you can decide if its the right fit for your business.
Table of Contents
What Is HubSpot Good For? 4 Amazing Advantages of HubSpot
Just to ensure we’re all on the same page, here’s what you need to know about the benefits of using HubSpot.
- All-in-one marketing, sales, support, and content management solution
- Powerful marketing and sales automation
- Integrated CMS
- Scalable software
1. A truly all-in-one solution
It’s truly an all-in-one platform for everything and anything: marketing, sales, service, content, operations, and commerce, all in one place.
It includes free CRM software for your sales and marketing teams, inbound marketing automation software, email marketing, marketing campaign management, social media management, and customer service tools. HubSpot CRM features are some of the best in the industry.
It’s easy to use, and you can even use it as a CMS for content marketing or to build your website.
Read also: What is HubSpot? Definition, Features, Pricing, Who It’s Best for
2. Powerful marketing and sales automation
HubSpot has the distinct advantage of having amazing marketing automation tools and an easy-to-use interface.
HubSpot’s marketing automation streamlines repetitive tasks, including email campaigns, customer journey management, social media marketing, email personalization, and more. HubSpot also offers automated and data-driven insights, which empower businesses to create revenue-generating campaigns.
3. Integrated Content Management System (CMS)
HubSpot’s user-friendly CMS eliminates needing a separate content management tool or third-party agencies. Diverse templates, modules, themes, and designs help businesses attract customers easily.
The integration of HubSpot CMS with HubSpot CRM offers a comprehensive view of customer journeys by including personalized content and promotions based on visitor behavior and interests, resulting in increased engagement.
4. Scalable software for businesses
HubSpot’s scalability offers a safe harbor for businesses that are rapidly growing, as the agile and flexible nature of HubSpot’s solutions means businesses can scale their marketing, sales, and support processes as needed. Businesses can expand their customer base and revenue seamlessly without worrying about infrastructure and other constraints.
Sounds pretty amazing, right? It is until you get to the bad parts.
Check out these deal-breaking HubSpot CRM cons.
8 Drawbacks of the HubSpot Marketing and Sales Platform
While people have their priorities aligned with their business interests, most CRM-related decisions come down to a few basic aspects—pricing, functionality, ease of use, and flexibility of opting in and out.
We’ve kept this blog post crisp and to the point—we’re only talking about the major pain points shared by HubSpot users here.
What are the drawbacks of HubSpot?
- HubSpot gets expensive really quickly
- It has annual contracts-no early termination
- Not very effective when you don’t use it as an all-in-one tool
- HubSpot does not offer A/B testing on lower plans
- You have to pay for additional technical support, and the mandatory HubSpot onboarding service is expensive
- There are a lot of HubSpot alternatives with similar features but better pricing — ideal for small businesses
1. It gets expensive—quickly
Let’s get this one out of the way since it’s often a deal-breaker.
HubSpot runs on a freemium model, giving you free access to its CRM (with 1,000 contacts) and a few extra tools. At first glance, HubSpot’s offerings seem appealing, but the costs add up as businesses quickly outgrow these free tools.
A look at HubSpot’s plans
Before we discuss the pricing, here’s some background: HubSpot has three plans: Starter, Professional, and Enterprise. Each plan is available across five HubSpot hubs: Marketing, Sales, Service, Content, and Operations. They also have a Commerce Hub that has no monthly fee but relies on a consumption-based model.
Now, let’s discuss how much they actually charge.
The HubSpot Starter Customer Platform for individuals and small teams is just $20 a month if you choose the monthly plan. For an annual plan, it goes down to $15 a month. This gives you access to the starter versions of its five hubs.
However, there are a few caveats: this pricing is per seat, meaning per user. For every additional user, you’ll need to pay another $20.
The marketing hub comes with 1,000 contacts, and if you want to increase the number of contacts, they are available for a tiered pricing of:
So, if you opt for 5,000 marketing contacts, the first 1,000 will be included in the $20. You’ll be charged $50/mo per 1,000 for the next 2,000 contacts and $45/mo per 1,000 for the following 2,000 contacts, bringing your total to $190/mo.
This is all excluding tax.
Moreover, even with the higher-tier plans, you’ll also need to pay for add-ons to increase reporting limits, API usage, SMS limits, etc., depending on your business needs.
HubSpot offers very limited features in its free version, so you’ll only be able to use it for the most basic things. Moreover, as your business grows, the prices you will need to pay will also rise quite steeply.
If you want to upgrade to the Professional Customer Platform, the cost jumps significantly to $1,300, which is 65 times more than the Starter plan! Finally, the Enterprise Customer Platform will set you back $4,300, excluding taxes and onboarding fees.
Customizable HubSpot bundles
Good news is, if you don’t want all its features, you can create customized bundles where you choose your desired version of a hub.
So, if you need Professional Markeitng Hub but starter version of everything else, you can do that. BUT, once you choose a professional version of any hub, you’re locked into a yearly plan that includes a whopping $1500 onboarding fees that you usually can’t opt out of!
For example, this is the price breakdown if I choose the professional marketing hub and starter version of other plans.
The onboarding fee doubles if you just choose Marketing Hub Professional alone.
Read also: Hubspot Vs Keap—is HubSpot Really a Better Product?
HubSpot’s 2024 pricing update explained
HubSpot’s already expensive plans have undergone a major change in 2024, increasing the pricing further. While we won’t go into detail, this table shows the new changes:
User requirement | Previous pricing structure | New pricing structure |
Users requiring view-only access to reports, records, and other data | Included in the free plan | Now offered in the free, View-Only seat |
Users requiring edit access to records and reports, email tracking, and other editable tasks | Included in the free plan | Now offered in the paid, Core seat |
Users requiring sales and service-specific features | Dedicated Sales and Service seat | Dedicated Sales and Service seat |
Want a more detailed explanation? Check out this blog post.
Don’t have time to read so much? Watch our video about HubSpot’s many pros and cons:
2. Their contracts aren’t flexible
While we’re on the topic of flexibility, here’s another one that many businesses frown on. Except for the starter plan, you’ll have to commit annually to every plan you select. So, even if you choose to pay monthly, you will still have to agree to an annual contract!
This is a major HubSpot con, especially for small businesses.
There are no early cancellations or refunds. If you don’t use your maximum number of contacts or realize you don’t like a specific tool, it doesn’t matter.
You will continue to be billed (even if it’s on a monthly basis) until you’ve fulfilled the entire contract cost.
While this might be all right for businesses whose strategies and processes fit well with HubSpot’s features, this isn’t practical for businesses that are still in more of a testing period.
If you decide to try out the platform and you realize that it’s not a good fit for your organization, you’ll still have to pay for it until your annual contract with HubSpot CRM ends.
Many (if not most) platforms are completely doing away with contracts.
While we won’t argue that HubSpot is a pretty remarkable marketing automation tool, you better be 100% certain that you’re in love with it before you drop that kind of money.
Read also: Find Your Perfect CRM Match: HubSpot vs ActiveCampaign
3. It’s difficult to use NOT as an all-in-one tool
If you want to experience HubSpot’s full benefits, running everything through its platform is the recommended course of action. This includes building your website using their own CMS.
If you’ve already built your website in another CMS like, say, WordPress, and if you’re quite satisfied with it (which a lot of businesses are), you can imagine the extra work this would entail.
The HubSpot CRM, inbound marketing automation, sales, and service tool is designed to be an all-in-one solution—and in terms of that specifically, it does a good job. However, and this is important, many businesses cannot run on one platform alone.
If you’re only wanting to use a few select features within HubSpot, you’re likely better off going elsewhere. Plain and simple, this isn’t the best way to use HubSpot.
Plus, you won’t be getting as much “bang for your buck.” There are more affordable alternatives.
If your business requires customization, then HubSpot’s lack of flexibility may present a problem for you. It’s quite overwhelmingly an “all or nothing” tool.
4. Email Limitations
HubSpot’s email tool has a few drawbacks that might hold you back. For instance, signature customization is limited compared to other platforms like Outlook. While you can create a team signature, it’s not as flexible, which could feel restrictive if you need more personalized branding.
Another limitation is the lack of a direct email forwarding feature. Unlike traditional email clients, HubSpot doesn’t allow you to forward emails from within the platform. Instead, you have to use external tools like Gmail or Outlook, adding extra steps to your workflow.
On top of that, HubSpot’s formatting options for email design are fairly basic. You don’t get as many fonts or styling choices, so your creativity might feel a bit boxed in.
And if you’re looking for graphic-rich templates, you might be disappointed. HubSpot has a limited selection unless you’re willing to upgrade and even after that, there aren’t many options.
Read also: HubSpot vs Insightly—Pricing, Functionality, Features & More
5. There’s no A/B testing on lower packages
Split testing, or A/B testing, is an effective way to determine the best strategy for improving performance. It’s when you compare two different versions of something to determine which produces better results for your business.
For instance, you can split-test two Facebook ads with different images or two landing pages with different headings to see how each looks and performs and use the results to optimize your future campaigns.
Unfortunately, if you’re on HubSpot, you don’t have access to A/B Testing feature on the Starter plan. You’ll have to purchase their Professional package, which starts at $800 per month (not including the taxes and onboarding fees), to take advantage of this feature.
A/B testing is a must-have feature for any serious marketer. It allows you to optimize every aspect of your campaigns and ensures you’re making data-backed decisions that lead to better performance.
For businesses using HubSpot’s Starter plan, the lack of A/B testing could limit their ability to fine-tune campaigns, forcing them to upgrade to the Professional package just to access this must-have feature.
6. Reporting is limited
Another downside of HubSpot is that its advanced reporting and analytics features are only available on the Professional and Enterprise plans, which start at $800/month (annual contract). This leaves users of the Starter plan with no choice but to upgrade or look for an alternative.
HubSpot provides custom reports for Professional and Enterprise users, but there are limits to the number of reports and dashboards you can create based on your plan.
To increase these limits, HubSpot offers a Reporting Limit Increase Add-On priced at around $200/month. Businesses with extensive reporting needs will need to factor in this additional cost.
7. You have to pay for additional technical support
Besides the expensive onboarding fees (ranging from $1,500 to $7,000 for higher-tier plans), businesses may still need to pay $1,800 to $3,200 for just 5 hours a month of ongoing technical consulting to handle more complex requirements.
8. There are plenty of HubSpot marketing and sales features with cheaper alternatives
So much of this conversation is going to come down to the cost. Like we said in the very beginning, you have so many options. And here’s the bad news for the HubSpot CRM, sales, and marketing automation platforms.
There are more affordable options that will essentially do the same thing.
Let’s be honest: We’re all mindful of our budget. And why wouldn’t we be? Running a business isn’t cheap, and every dollar matters.
Understandably, you want to know that your money is being put to good use.
Here’s the thing. Some of HubSpot’s features have free or cheaper alternatives that are equal in functionality and quality.
Some businesses prefer these other options over HubSpot CRM because it enables them to pick and choose what they like best from various platforms.
As we mentioned earlier, because HubSpot is best utilized as an all-in-one tool, it’s much more difficult to ‘pick and choose’.
It’s simply not in your best interests.
Read also: 8 Surprisingly Awesome HubSpot Alternatives
So, What’s the Best Choice for You?
To be clear, the answer to this question is going to depend on what kind of business you’re operating. You should also consider your needs, goals, and pain points.
We’d be lying if we said that there’s a one-size-fits-all solution. There isn’t. Every tool out there in the market has its share of both pros and cons.
If you’re in need of a tool that will help you manage everything from start to finish, then yes—HubSpot CRM might be something to consider.
However, this isn’t the case for many of us.
If you realize the drawbacks of HubSpot CRM and you’re looking for a HubSpot alternative, here are just a few things that EngageBay is loved for.
1. More affordable pricing options
Pay monthly. Pay yearly and save a little cash. It’s up to you. Either way, you can get access to an awesome CRM along with EngageBay’s marketing automation and helpdesk for just $60 a month.
Important note: This is for the all-in-one package. You can opt for the individual marketing bay, CRM tool, or service tool with live chat. Flexibility is the name of our game, so pick whatever makes the most sense for you.
Here’s how EngageBay pricing compares with HubSpot:
As you can see, the cost of HubSpot shoots up as your contacts increase, while EngageBay offers unlimited contacts for one low price of $110.39/month.
2. Get the split testing options you need
Under the Growth package, you’ll be able to run A/B testing for your email broadcasts and your landing pages.
Find the process that works best for your brand so you can make sure that your money is working hard for you.
We’re here not just to give you access to our platform but also to help you improve your strategy—making EngageBay an excellent marketing tool and HubSpot alternative.
➡️ Check out EngageBay’s reviews from users on G2
3. Grow your email list on your own terms
Even using just the free plan for marketing automation, you can start growing and nurturing your email list.
Email marketing is crucial because it’s got an ROI unparalleled by any other type of marketing.
We know that if you’re a smaller business or new to the game, paying for something like HubSpot CRM when you’re just beginning isn’t a feasible option. Do it with EngageBay for free and get the ball rolling.
4. You call the shots—period
When you use EngageBay, you’ll never be locked into anything.
You can change your plan at any time, including upgrading, downgrading, and deleting it. We have no cancellation fees. After your current billing cycle, you’ll never be billed again.
Plus, you can pay for ‘extras’ as needed. For instance, if you get through your email quota, you can quickly and easily add more. We offer customizations that other CRM platforms don’t, meaning that we’ll work with you to meet your needs.
EngageBay CRM is the best choice for your sales team, support agents, and even marketers.
Features | EngageBay ‘Pro’ | HubSpot ‘Starter’ |
Marketing automation | ✔ | 𐄂 |
Landing pages | ✔ | 𐄂 |
Email & landing page A/B testing | ✔ | 𐄂 |
Multi-user access | ✔ | 𐄂 |
Sales deal pipelines | Unlimited | 2 deal pipelines/account |
Segmentation | 500 dynamic lists | 50 active lists |
Emails | 50,000 emails/month | 50,000 emails/month |
Contacts | Unlimited | 10,000 contacts |
Price (for 10,000 contacts) | $119.99/month | $410/month |
We know you have a lot of options to consider with their own share of pros and cons, and it can be really hard to narrow down the selection.
That’s why we’re inviting you to try EngageBay as the perfect and easy-to-use alternative to HubSpot CRM for free.
Sign up for free today and see what all the buzz is about.
Create my free EngageBay account now
Related reading:
- The best CRM Tools for Small Businesses
- The 14 Best CRM Automation Software in 2024
- 15 Best Marketing Automation Tools for Small Businesses
- Is HubSpot Worth It? In-Depth HubSpot Review for Small Businesses
Frequently Asked Questions (FAQ)
1. What is the advantage of HubSpot?
These are the pros of HubSpot:
- It’s a truly all-in-one marketing, sales, and customer support software. HubSpot calls it the ‘flywheel’. Many consider this one of the best HubSpot CRM pros.
- It also offers a free CRM platform.
- It has one of the best UI among CRM software, which makes it easy for users to use and navigate.
- It acts as a marketing platform, data warehouse, and communications tool at the same time.
- HubSpot Academy is an amazing resource with certifications for marketers, salespeople, and support agents.
That said, HubSpot has drawbacks, too (especially from the POV of small businesses). This blog post and the following question offer an in-depth analysis.
2. What are the limitations of HubSpot?
While HubSpot is a great software, it has a lot of limitations too. Here are a few key limitations for small businesses:
- It is one of the most expensive CRM & marketing automation software—in fact, it gets really expensive so quickly that many businesses have to drop HubSpot for a more affordable alternative.
- HubSpot has compulsory annual contracts. If, for any reason, you decide to drop HubSpot midyear, you still have to pay for the whole year. HubSpot does not offer refunds for early termination.
- HubSpot does not offer A/B testing, marketing automation, and other essential features in its affordable packages. These features come in ‘bundles’ that cost thousands of dollars per month, depending on the number of contacts you have.
- Other CRM software—like EngageBay and ActiveCampaign—offer features similar to HubSpot at a highly affordable price. This means HubSpot is NOT the best platform for small businesses and startups.
3. What updates has HubSpot made to the free tools in 2024?
HubSpot’s free plan now includes only 5x Core seats for free, with unlimited View-Only seats. Users who enjoyed edit access for free will either have to upgrade to a paid Core seat or do away with view-only access.
4. Does HubSpot’s new seat-based pricing structure affect existing customers?
The seat-based pricing structure currently only affects new customers, meaning you won’t be requested to switch to the new plans immediately. However, there’s a good chance that users will have to adopt the new structure during the next renewal.
5. Do you pay per contact with HubSpot?
Yes, HubSpot plans follow a tier-based pricing for marketing contacts. This means you keep paying more as your contacts grow. For example, the HubSpot Marketing Hub starts at $15/month for 1,000 contacts. Then, HubSpot charges as per this tiered pricing shown below:
Compare this with EngageBay’s Pro plan, which offers unlimited contacts for $110.39/month. That’s because EngageBay is designed for small businesses and startups.
6. Is HubSpot free forever in 2024?
HubSpot does offer free tools:
- Free marketing tools: Forms, email marketing, ad management, landing pages, and shared inbox.
- Free sales tools: Live chat, conversational bots, team email, customizable quotes, and more.
- Free customer service tools: Ticketing, email scheduling, live chat, and more.
But is HubSpot really free? Or is there a catch? Here’s our deep dive 🙂
7. How much does HubSpot cost per user per month in 2024?
These are the prices of different HubSpot Hubs:
HubSpot Marketing Hub Pricing | |
HubSpot Marketing Hub Starter—1,000 contacts | $15/mo/seat |
HubSpot Marketing Hub Professional—2,000 contacts | $800/mo (includes 3 seats) |
HubSpot Marketing Hub Enterprise—10,000 contacts | $3,600/mo (includes 5 seats) |
HubSpot Sales Hub Pricing | |
HubSpot Sales Hub Starter | $15/mo/seat |
HubSpot Sales Hub Professional | $90/mo/seat |
HubSpot Sales Hub Enterprise | $150/mo/seat |
HubSpot Service Hub Pricing | |
HubSpot Service Hub Starter | $15/mo/seat |
HubSpot Service Hub Professional | $90/mo/seat |
HubSpot Service Hub Enterprise | $150/mo/seat |
HubSpot Content Hub Pricing | |
HubSpot Content Hub Starter | $15/mo/seat |
HubSpot Content Hub Professional | $450/mo (includes 3 seats) |
HubSpot Content Hub Enterprise | $1,500/mo (includes 5 seats) |
HubSpot Operations Hub Pricing | |
HubSpot Operations Hub Starter | $15/mo/seat |
HubSpot Operations Hub Professional | $720/mo/seat |
HubSpot Operations Hub Enterprise | $2000/mo/seat |
Content updated for freshness and SEO by Swastik Sahu