Employer branding is the method of promoting company culture and reputation to attract and retain high quality job applicants. In today’s job market, employers are in a constant battle with competitors to snag top talent that will remain with the company long term. There is an increasing amount of evidence linking successful attraction and retention rates to businesses using employer branding strategies. As a result, more companies are becoming aware and involved with branding recruitment, with 61% already implementing it while 25% are planning to in the near future. What’s it all about?
- Improvements In Applicant Quality: Businesses using proper branding strategies have seen a drastic improvement of incoming candidate quality for job positions. Prospective and passive candidates who are familiar with your brand, or can become easily informed, are eager to apply for a company they deem an ideal place to work. According to a 2015 survey, respondents cited brand reputation as one of the top three factors when making career decisions. That same survey also found that experienced candidates are more likely to approach recruiters based on branding perception. Companies who provide transparency in its values, incentives, and relationships with employees will attract candidates with a clear understanding of how they’d fit within a culture and add value to its brand.
- Increase Of Passive Candidates: Companies with ongoing commitment to branding are able to source candidates who are knowingly or unknowingly passive. CareerBuilder led a survey that analyzed 265,000 job postings concluding companies with active branding experienced 3.5% more applicants per job posting than any other company in their industry. In addition, the Corporate Leadership Council surveyed 90 organizations with 28,000 new hires and tenured employees revealing organizations with a managed employer brand could source over 60% of the labor market compared to 40% of companies without it. Strong brands can create a talent community base with a heightened sense of motivation to seek employment with their preferred employer.
- Lower Recruitment Costs & Quicker Time-To-Fill: With job seekers more likely to apply for branded companies and more willing to contact recruiters, this can significantly cut down on recruitment costs and time-to-fill deadlines. Recruiters will spend less time waiting for candidates to apply, less time focusing on posting job advertisements, and more time reviewing a likely large applicant pool with qualified candidates. Not to mention, employer branding often involves social media, providing platforms for recruiters to post job opportunities that can reach a large audience while providing resources for prospects. Plus, it’s free to use. One study revealed that 30% of candidates said they used social media sites like Facebook, Google+, and LinkedIn to learn more about companies and open job positions.
- Less Turnover: Turnover is the rate at which employees leave a company and are replaced. According to CareerBuilder, 35% of workers cited that, in general, they voluntarily left a job because of company management. 67% said they would not, or are not sure, if they would recommend their employer to others while 34% valued their company as a, “poor” or “extremely poor” place to work. These are harsh indications of poor company culture and are typically unknown to a new employee at the time of hire. Companies with branding are almost always guaranteed to live up to their promise, or risk sacrificing reputation. Serious, qualified candidates know that highly reputable companies are the best places to work, and businesses who brag about their company normally provide evidence to back it up. That is not to say that companies who are viewed as not-so-fun places to work can’t improve. It’s important for management to be honest and willing to implement new changes that will improve company culture and perception. Employer branding research can be the starting point towards success.
In a competitive economy, businesses are looking to secure the best new hires by actively managing their image as a positive place to work. Although investment in employer branding is an ongoing process, and new methods are needed to enhance reputation, it will solidify a company’s position within an industry and influence qualified talent to engage you for employment!
*Managing and organizing a large amount of incoming applications is not easy without an applicant tracking system. Request a demo or visit our homepage to learn more about how our software can help streamline your hiring process, assist in your branding strategy, and help you proactively recruit for the best talent in your industry!