Why you should care about employer branding?
The search for the best talent is an ongoing battle for most businesses, with leaders having to up their game and employ new tactics when it comes to attracting and acquiring the best candidates.
Companies need to proactively source, engage and retain the best talent to ensure continued growth and success. And investing in employer branding can be an effective way to achieve this.
CIPD defines employer branding as “A set of attributes and qualities, often intangible, that makes an organisation distinctive, promises a particular kind of employment experience, and appeals to those people who will thrive and perform best in its culture”.
Why employer branding?
Employee branding affects the quality of your talent pool.
With recruiters vying for the same set of talent in a competitive market, what do the candidates base their preferences on?
The digital revolution has placed candidates in a more powerful position – they can access information at the touch of a button and quickly be the judge of a company’s reputation and culture. The best talent is well-informed and carries out thorough research on prospective employers. Research suggests that nearly 70% of candidates are more likely to apply for a job if an employer actively manages their corporate branding. Studies also suggest that 69% of candidates would prefer to reject an offer from a company with a bad reputation, even if they are unemployed. Likewise, 84% would consider an offer from a company which has an excellent reputation.
Are employers investing enough?
Employer branding is an ongoing investment with long-term returns
A Global Recruiting Trends report by LinkedIn highlights that, although employer branding has a significant impact on recruiting, very few companies actually invest in the same. 53% of employers consider investing in their corporate branding only if they don’t have any budget constraints. Furthermore, whilst 80% of leaders recognise the significance of employer branding when it comes to making quality hires, the reality is that most companies invest more in job postings/advertising, with only 8% focusing on their brand.
Winning the war for talent
“Everything a candidate has ever heard, read or witnessed about your company will enter into the decision of whether to work with your company” – Will Stanley, Head of Global Recruiting, Glassdoor.
In an environment where quality talent is limited, companies need to seize every opportunity to give themselves a competitive advantage. Having a strong employer brand can be a very effective business tool – it differentiates you from your competitors and helps you attract the best talent. When communicated correctly, a strong employer brand can drive awareness and consideration among your talent pool – by reflecting your company’s culture, values, and practices.
Strengthening the business case for employer branding, aLinkedIn study shows that companies with an excellent reputation see a 43% decrease in cost per hire and are able to hire the right talent faster.
Furthermore, such companies attract 2.5 times more applicants for their job vacancies. Elaborating on the importance of an employer brand, Rebecca Wilson, Editor at Recruitment International, writes that “a bad reputation can cost companies 10% more per hire, affecting their bottom line over time”. Having difficulty in finding that elusive unicorn talent? A lack of investment in your employer branding could be the reason.
Boosting employee engagement
With low engagement levels among UK professionals, a strong employer brand brings much-needed good news. The strength of your brand can have a significant impact on the engagement level of your employees. Why? If an employee can relate to a company’s values, they are more aware of what the company stands for and the goals they are working towards. This in turn influences their sentiment towards the organisation and, not to mention, positively impacts their performance.
To sum up…
Having a powerful employer brand can help you win the talent war. How are you showcasing your brand to potential employees? At TalentSpa, we care about how candidates view your business and can help you find the right talent so you can seamlessly move ahead into the future.