The impact of having an employer brand is real-and its effects on recruitment undeniable
Employer branding is how you “market” your company to potential candidates AND internal employees. Companies with strong employer brands enjoy many benefits in terms of bottom-line impact, candidate attraction, and return on investment.
Research from LinkedIn has shown that companies with positive employer brands have new hires that are 40% less likely to leave after the first 6 months. It’s undeniable that the fight for talent is not going anywhere and your branding impacts whether qualified candidates will decide to join your team or your competitors.
What is Employer Branding?
Let’s say a job seeker reaches out and asks an employee at your company, “What’s it like to work there?” the employee isn’t going to respond, “We build some awesome technology.” Instead, they will go into details of people management, company values, and workplace culture. To ensure a good employer brand, you need to tell a compelling story, one that goes deeper to demonstrate that you “walk the talk. “
Does this really matter to my company?
Employer branding is critical to your bottom line. A good employer brand can reduce turnover rates by 28%, and cut your costs-per-hire by half. Additionally, 75% of active job seekers are likely to apply to a job if the employer actively manages its employer brand.
Whether you’ve put effort behind it or not- you have an employer brand. Why not put in the effort to ensure that it’s the right brand message that you can be proud of?
Branding Impact on candidate attraction
Candidates who are actively searching stated their biggest obstacle is not knowing what it’s like to work at an organization. To find out more they research the company’s website and social media channels and are 3X more likely to trust the company’s employees to provide credible information on what’s really like to work there.
Branding Impact on Bottom Line
Recruiting is an investment and as with all investments, there should be a solid return on investment. According to LinkedIn, organizations that held strong employer brands had a
- 28% reduction in their turnover
- 50% cost per hire reduction
- 50% more qualified applicants
- 1-2X faster for hires
Branding impact on Recruiting
Recruiting Concepts had an opportunity to work with a company that had spent months defining their company culture BEFORE they got to the hiring process. Their brand encompassed a variety of elements, including both intangible benefits (e.g., workplace culture, values, community involvement) and tangible benefits (e.g., salary, benefits, physical workspace). Their employer brand was so strong that it made for an easier experience and an opportunity to create excitement when introducing the organization to top talent and during the offer stage. A strong, progressive & unique brand draws the best talent!
Remember that employer branding is an ever-evolving process, due to the needs and desires of employees and candidates changing. Organizations that ensure their employer brand evolves to meet these changing wants and needs can continue to reap the rewards in their recruiting and retention efforts.