As an employer, taking advantage of your employer brand is now integral to your hiring process, especially if you want to consistently hire relevant and high-quality candidates.
For organizations that aren’t quite sure why they need employer branding; Link Humans have put together the 10 reasons why employer branding is so important.
Employer branding significantly impacts hiring
Today 72% of recruiting leaders around the world agree that employer brand has a significant impact on hiring, and even more so has a significant impact on your business’s success.
You will see a decrease in cost per hire
According to LinkedIn, companies with stronger employer brands, compared to competitors on average see a 43% decrease in the cost per candidate they hire. This is because, for example, rather than spending all of your money on advertising and marketing campaigns creating awareness for your business, you will reap the rewards of the natural talent attraction traits of an attractive employer brand.
Less money spent on salary and wage
Moving on, if you were to ignore developing your business’s employer brand, you risk paying almost $5,000 in salary premiums per employee hired.
Additionally, if your company has around 10,000 employees. You could see as much as $7.6 million in additional wages. These are mega costs that no company wants to deal with.
Candidates will accept lower pay
Sure salary might be important to candidates and that’s understandable, but it’s not the most important factor. CareerBuilder report that 67% of candidates would essentially accept lower pay if the company they were interested in had very positive reviews online.
So for a business that needs a higher quality of applicant, but may not have the resources to pay them a generous salary, then having a strong employer brand could get you that employee that you desperately need.
Attracting the right talent for you
Interestingly, 88% of millennials believe that being part of the right company culture is very important and 78% of people will look into a company’s reputation as an employer before applying for a job and
So having a strong employer brand that potential candidates can access at any time allows them to assess their potential fit to your company. We like to call it the matchmaking stage for you and potential candidates.
That’s why it’s very important that you build out your employer brand on social media platforms as somewhat of an access point for candidates to get a look into your company, as 79% of job seekers are likely to use social media in their hunt for their next job.
Believe the stats
Finally, a strong employer brand leads to 50% more qualified applicants. Therefore employer branding becomes even more important in highly competitive sectors where specific skill sets are in serious demand. In essence, your wasting far less time shuffling through unqualified candidates and getting the candidates that fit your criteria.
All in all, what we are trying to say is that employer branding is statistically proven to make a real difference in how your business attracts talent. If you haven’t given employer branding a thought, then you’re already way behind the pack. If you want to learn even more about employer branding, check out our latest eBook: The 12 Essentials of Employer Branding.
Check out the full infographic below: