Successful businesses are excellent at marketing their product or service. They wouldn’t be successful otherwise. They understand their clients and their needs, how their product addresses these and what sets them apart from the competition. Budget expenditure on marketing will be substantial, and there is likely a team of people dedicated to building and maintaining their brand. Where firms are often less effective is in marketing themselves to potential employees and beyond that; establishing a clear employer brand.
The CIPD defines it as “the way in which organisations differentiate themselves in the labour market, enabling them to recruit, retain and engage the right people”. In the increasingly competitive current candidate-led market, a positive employer is fundamental. It’s an iterative process that requires effort – and therefore expenditure – so its easy to see why some companies are hesitant to dedicate resource. But whilst it doesn’t generate income, it can hit your bottom line. According to LinkedIn, companies with a stronger employer brand than their competitors see, on average, a 43% saving in the cost to hire each candidate. Less expenditure on external advertising, a higher percentage of suitable applicants, reduced time to fill and, according to CareerBuilder, >60% of job seekers would accept a lower salary for a role at a company with favourable online reviews.
There are less tangible benefits too; firms with a strong employer brand will attract and retain the right talent. With perhaps the exception of appointed recruitment firms (oh, the irony), who doesn’t want lower attrition rates? And as arguably your most important asset, everyone wants to recruit the most capable people.
Hopefully this gives you a little insight into the importance of this side of marketing your firm. We’ll delve into what an employer brand is, and how to go about implementing it in future articles.
At Skilling Gate, we’re happy to help our clients improve their employment practices as part of our relationship. If you’re interested in discussing this further, get in touch.
0117 428 6388
07711 622 676
Skilling Gate Group Limited
St Nicholas House
31-34 High Street
Bristol BS1 2AW