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In this HubSpot tutorial by WebDue, Bob explains how to create an email template in HubSpot. First, navigate to Conversations and select Templates, then click "New Template" and choose "From Scratch." Enter a name and subject for your template, and decide if it should be private or shared with specific users or teams. To organize, select a folder from the dropdown menu. In the email body, use the formatting options to modify text appearance, including font style, size, and alignment. The tutorial also covers how to hyperlink text using the more dropdown menu and insert images by clicking the image icon, allowing for size adjustments.