As a marketing agency for IT and software companies, we strongly believe in employer branding. It shows that you care about your employees and that you’re not just concerned about being profitable, no matter what. If you do it right, it will help you to attract new employees and to retain your current employees. And as you know, with the significant shortage of IT specialists, being able to attract and retain employees is not a luxury. We do see the increasing importance of employer branding in some companies’ marketing strategies. However, for many other companies, employer branding is still something negligible. Let’s do something about that.
Do you still need a little convincing of why employer branding is the new black? We’ve got you covered! In only 5 points, we’ll explain the importance of employer branding.
You’ll attracts new employees more easily
Young graduates, or talented people looking for new challenges, will want to work for a company with a powerful and good reputation. Whether it’s a 5-person company, or a 500-person company. A good employer branding shows them that your company is a good place to work. The Talent Board, a non-profit organisation focused on the elevation and promotion of a quality candidate experience, conducted a ‘candidate experience research’ in EMEA (Europe, Middle East and Africa). 32% of the research participants were active in the technology industry. Results of that study (2014) show that 41% of all candidates researches a company’s culture before applying for the job. Companies with a positive employer culture get twice as many applications than companies with a negative reputation*. So, having a sustained positive reputation will leave a positive mark behind on candidates’ perception. Therefore, it’ll take much less time to fill a vacancy. The opposite is true as well. A study by Corporate Responsibility Magazine revealed that 69% of people would decline a job offer if the employer has a bad reputation. Even if they were unemployed!*
A great employer brand can make up for lower salary
Money is important, but it isn’t everything. There are other benefits that are just as valuable for many employees. While you might not have the budget to be handing out huge salaries and bonus packages, a strong and appealing employer brand can help to win job seekers over. Do you have flexible working hours? Do you let your employers work from home if they’d like to? Do you throw kickass company parties? Or is team building key? Can they get free lunches, or as much free coffee as they like? Let them know! Make sure those benefits are not only communicated on your job adverts, but also throughout the year on your social media channels and website. One of our connections in Sophia Antipolis, South France, openly communicates about only paying the minimum wage. But instead, they offer sun and lifestyle as extra benefits. Jobseekers look for more than a salary when applying for a job. Especially millennials care more about a healthy work-life balance than making big money. They have to see themselves working with you every day. So, if your company is known for all those kinds of benefits, it’ll give you the edge where money won’t be as important anymore.
Hire candidates that better fit your company’s identity
It’s not enough to hire an employee who is right for the job. To guarantee a good working environment, it’s also important that employees fit your company’s identity. By positioning your employer brand, you’ll attract and retain people who “fit”. By being clear about your organisation’s values, goals and culture, you can avoid interviewing people who are not on the same page as your company, and as your current employees.. It’ll make a first shift – which at the end will also save you time, and as we all know: time is money. Speaking about money, take a look at the following benefit of employer branding.
A good employer branding can reduce your costs
If your employer branding is that good, you will receive open solicitations all throughout the year. This means that, when actually having an open position, you won’t need to spend most of your hard-earned money on job advertisement campaigns, trying to attract job seekers. According to LinkedIn, a company with a stronger employer branding than its competitors sees, on average, a 43% decrease in the cost per candidate they hire*.
Employer branding means happy and engaged employees
As I said in the beginning, employer branding also has a positive effect on your current employees. It’s been proven that companies with a strong employer branding have more engaged employees, as they are proud to be working for your company. Greater employee engagement and motivation has been shown to result in greater productivity and higher retention rates. Moreover, increased engagement also helps with building employee loyalty. And the more loyal they are, the less likely they are to switch to a competitor.
But that’s not all. Employees talk, and with the popularity of social media, there’s no way preventing their words being spread in no time. Therefore, you better give them reason to talk positively about your company. In the long run, it’ll help you not only to attract new employees, but also new customers. It’s not inevitable that customers believe what employees of a company have to say. Remember that your employees can either be your organisation’s strongest brand ambassadors, or your biggest critics.
So, now that it’s safe to say that employer branding is the new black, it’s time to discuss how employer branding can be done in your organisation. Contact us to discuss the possibilities.