pot will reduce its workforce by 7% by the end of Q1 //

HubSpot today announced that it will be cutting its workforce in Q1 2023. According to a Securities and Exchange Commission filing, the reductions will be 7%. This would result in the loss of approximately 500 employees among its over 7,000 workers.

These were due to a decline in business and an ” faster deceleration than anticipated after positive growth during the pandemic.

Rapid growth is a trigger for layoffs. The company’s rapid growth is the reason for the layoffs. HubSpot’s workforce grew by more than 40% between 2020 and today.

It announced in 2022 major international expansion with new operations in Spain, the Netherlands, and plans to expand its Canadian presence by 2023.

Why do we care? We need to look at the current cooling in the martech sector and tech in general in light of the startling advances made under severe pandemic conditions. Vendors saw potential for growth as digital marketing and the digital environment grew at an unimaginable rate.

The world is changing. Although we may not see a bubble burst yet, the bubble is experiencing some subtle but predictable deflation.

The post HubSpot will reduce around 7% of its workforce by the end of Q1 was first published on MarTech.