diff --git a/src/cloud-element-templates/properties/CustomProperties.js b/src/cloud-element-templates/properties/CustomProperties.js
index b26c867..43fd0fd 100644
--- a/src/cloud-element-templates/properties/CustomProperties.js
+++ b/src/cloud-element-templates/properties/CustomProperties.js
@@ -73,6 +73,7 @@ export function CustomProperties(props) {
       element,
       id: `ElementTemplates__CustomProperties-${groupId}`,
       label: group.label,
+      openByDefault: group.openByDefault,
       properties: properties,
       templateId: `${id}-${groupId}`,
       tooltip: PropertyTooltip({ tooltip: group.tooltip })
@@ -98,17 +99,20 @@ function addCustomGroup(groups, props) {
     element,
     id,
     label,
+    openByDefault,
     properties,
     templateId,
     tooltip
   } = props;
 
+  const shouldOpen = typeof openByDefault === 'undefined' ? true : openByDefault;
+
   const customPropertiesGroup = {
     id,
     label,
     component: Group,
     entries: [],
-    shouldOpen: true,
+    shouldOpen,
     tooltip
   };
 
diff --git a/test/spec/cloud-element-templates/properties/CustomProperties.groups.bpmn b/test/spec/cloud-element-templates/properties/CustomProperties.groups.bpmn
index 9185d7a..1e379b5 100644
--- a/test/spec/cloud-element-templates/properties/CustomProperties.groups.bpmn
+++ b/test/spec/cloud-element-templates/properties/CustomProperties.groups.bpmn
@@ -1,5 +1,5 @@
 <?xml version="1.0" encoding="UTF-8"?>
-<bpmn:definitions xmlns:bpmn="http://www.omg.org/spec/BPMN/20100524/MODEL" xmlns:bpmndi="http://www.omg.org/spec/BPMN/20100524/DI" xmlns:dc="http://www.omg.org/spec/DD/20100524/DC" xmlns:zeebe="http://camunda.org/schema/zeebe/1.0" xmlns:modeler="http://camunda.org/schema/modeler/1.0" id="Definitions_165ah7c" targetNamespace="http://bpmn.io/schema/bpmn" exporter="Camunda Modeler" exporterVersion="4.13.0-nightly.20220113" modeler:executionPlatform="Camunda Cloud" modeler:executionPlatformVersion="1.3.0">
+<bpmn:definitions xmlns:bpmn="http://www.omg.org/spec/BPMN/20100524/MODEL" xmlns:bpmndi="http://www.omg.org/spec/BPMN/20100524/DI" xmlns:dc="http://www.omg.org/spec/DD/20100524/DC" xmlns:zeebe="http://camunda.org/schema/zeebe/1.0" xmlns:modeler="http://camunda.org/schema/modeler/1.0" id="Definitions_165ah7c" targetNamespace="http://bpmn.io/schema/bpmn" exporter="Camunda Modeler" exporterVersion="5.16.0" modeler:executionPlatform="Camunda Cloud" modeler:executionPlatformVersion="1.3.0">
   <bpmn:process id="Process_0vvlc66" isExecutable="true">
     <bpmn:serviceTask id="ServiceTask_1" name="groups" zeebe:modelerTemplate="example.com.grouping">
       <bpmn:extensionElements>
@@ -18,6 +18,19 @@
     <bpmn:serviceTask id="ServiceTask_noGroups" name="no groups" zeebe:modelerTemplate="example.com.grouping-noGroups" />
     <bpmn:serviceTask id="ServiceTask_nonExisting" name="non existing group" zeebe:modelerTemplate="example.com.grouping-nonExisting" />
     <bpmn:serviceTask id="ServiceTask_noEntries" name="no entries" zeebe:modelerTemplate="example.com.grouping-noEntries" />
+    <bpmn:serviceTask id="ServiceTask_groupsCollapsed" name="groups - collapsed" zeebe:modelerTemplate="example.com.grouping.collapsed">
+      <bpmn:extensionElements>
+        <zeebe:taskDefinition type="http" />
+        <zeebe:taskHeaders>
+          <zeebe:header key="method" value="get" />
+          <zeebe:header key="url" />
+        </zeebe:taskHeaders>
+        <zeebe:ioMapping>
+          <zeebe:input source="= invoiceDetails" target="body" />
+          <zeebe:output source="= body" target="response" />
+        </zeebe:ioMapping>
+      </bpmn:extensionElements>
+    </bpmn:serviceTask>
   </bpmn:process>
   <bpmndi:BPMNDiagram id="BPMNDiagram_1">
     <bpmndi:BPMNPlane id="BPMNPlane_1" bpmnElement="Process_0vvlc66">
@@ -36,6 +49,10 @@
       <bpmndi:BPMNShape id="ServiceTask_noEntries_di" bpmnElement="ServiceTask_noEntries">
         <dc:Bounds x="270" y="540" width="100" height="80" />
       </bpmndi:BPMNShape>
+      <bpmndi:BPMNShape id="BPMNShape_0nnayge" bpmnElement="ServiceTask_groupsCollapsed">
+        <dc:Bounds x="270" y="650" width="100" height="80" />
+        <bpmndi:BPMNLabel />
+      </bpmndi:BPMNShape>
     </bpmndi:BPMNPlane>
   </bpmndi:BPMNDiagram>
 </bpmn:definitions>
diff --git a/test/spec/cloud-element-templates/properties/CustomProperties.groups.json b/test/spec/cloud-element-templates/properties/CustomProperties.groups.json
index ea3452c..a97b3d8 100644
--- a/test/spec/cloud-element-templates/properties/CustomProperties.groups.json
+++ b/test/spec/cloud-element-templates/properties/CustomProperties.groups.json
@@ -75,6 +75,68 @@
       }
     ]
   },
+  {
+    "$schema": "https://unpkg.com/@camunda/zeebe-element-templates-json-schema/resources/schema.json",
+    "name": "Grouping - Collapsed",
+    "id": "example.com.grouping.collapsed",
+    "appliesTo": [
+      "bpmn:ServiceTask"
+    ],
+    "properties": [
+      {
+        "type": "String",
+        "value": "http",
+        "binding": {
+          "type": "zeebe:taskDefinition:type"
+        }
+      },
+      {
+        "label": "REST Endpoint URL",
+        "group": "collapsed",
+        "type": "String",
+        "binding": {
+          "type": "zeebe:taskHeader",
+          "key": "url"
+        }
+      },
+      {
+        "label": "Request Body",
+        "value": "",
+        "group": "open",
+        "type": "String",
+        "binding": {
+          "type": "zeebe:input",
+          "name": "body"
+        }
+      },
+      {
+        "label": "Result Variable",
+        "group": "unspecified",
+        "value": "response",
+        "type": "String",
+        "binding": {
+          "type": "zeebe:output",
+          "source": "= body"
+        }
+      }
+    ],
+    "groups": [
+      {
+        "id": "collapsed",
+        "label": "Collapsed Group",
+        "openByDefault": false
+      },
+      {
+        "id": "open",
+        "label": "Opened Group",
+        "openByDefault": true
+      },
+      {
+        "id": "unspecified",
+        "label": "Open State Undefined"
+      }
+    ]
+  },
   {
     "$schema": "https://unpkg.com/@camunda/zeebe-element-templates-json-schema/resources/schema.json",
     "name": "no default",
diff --git a/test/spec/cloud-element-templates/properties/CustomProperties.spec.js b/test/spec/cloud-element-templates/properties/CustomProperties.spec.js
index 93730cf..ee3c080 100644
--- a/test/spec/cloud-element-templates/properties/CustomProperties.spec.js
+++ b/test/spec/cloud-element-templates/properties/CustomProperties.spec.js
@@ -1795,22 +1795,22 @@ describe('provider/cloud-element-templates - CustomProperties', function() {
     });
 
 
-    it('should open custom groups', async function() {
+    it('should open custom groups by default', async function() {
 
       // given
-      await expectSelected('ServiceTask_1');
+      await expectSelected('ServiceTask_groupsCollapsed');
 
       // when
       var customGroups = [
-        getGroupById('ElementTemplates__CustomProperties-headers', container),
-        getGroupById('ElementTemplates__CustomProperties-payload', container),
-        getGroupById('ElementTemplates__CustomProperties-mapping', container),
-        getGroupById('ElementTemplates__CustomProperties', container)
+        [ getGroupById('ElementTemplates__CustomProperties-collapsed', container), false ],
+        [ getGroupById('ElementTemplates__CustomProperties-open', container), true ],
+        [ getGroupById('ElementTemplates__CustomProperties-unspecified', container), true ],
+        [ getGroupById('ElementTemplates__CustomProperties', container),true ]
       ];
 
       // then
-      customGroups.forEach(function(group) {
-        expectGroupOpen(group, true);
+      customGroups.forEach(function([ group, open ]) {
+        expectGroupOpen(group, open);
       });
 
     });