How to Strategically Optimize Your Recruitment Budget

We're rapidly approaching budget season so it’s time again to assess the performance of your organization’s current spend and recruiter tools while looking ahead to next year’s hiring goals and wish list items. These activities are pivotal in understanding the strategic direction of your recruitment marketing plan for the new year.  

Understanding the Current Labor Market Conditions 

Let’s start by quickly addressing the current labor market conditions, post-COVID. The Bureau of Labor Statistics is reporting that the labor force participation rate has returned to its pre-pandemic level and that there are 0.6 job openings per unemployed worker so employers are still competing in a hugely competitive market.  

The good news - the labor market is no longer tightening.  

The bad news - employers are still having to fight for highly skilled talent which means putting their best foot forward with their employer brand and recruitment marketing strategy.  

Leveraging Data to Improve Recruitment Performance

First, actively review the performance of any tools that are provided to your talent acquisition teams. We recommend taking the time to evaluate the metrics of all media and technology platforms, assessing the return of each by calculating the cost per applicant and cost per hire, and potentially overlaying in the turnover rate to determine the quality of hire.  

Making Informed Technology Decisions

Once you have the raw metrics, progress this story by speaking with your recruiting team to understand their favorite sourcing platforms for their positions and markets. Every recruiter has their favorites for sourcing job seekers so don’t purchase access for each member of your team on every platform, especially when seats can be reassigned for hiring initiatives that might come up throughout the year.  

Next, evaluate technology tools and foundational pieces that help improve the candidate’s and recruiter’s experience. Ask questions like: 

• How can we improve recruiter efficiency? Should we implement candidate scheduling tools?  
• How is our media looking against our investment? Are we seeing cost-effective results? 
• Can we reduce the number of steps an applicant has to take to submit their resume? Would a chatbot improve engagement on our website?
• Are we effectively communicating our employee value proposition on our career website and on social media? Should we invest in a social strategy? 

Pay for Performance: Invest in What Works for You

The answers to the above questions will drive considerations and decisions for the upcoming budget. Research solutions, set up demos, and ask for a test drive of the platform. Don’t feel like you must commit to multiyear agreements if you don’t know how it will be adopted within your environment. 

Please keep in mind - just because you spent money on a platform in the past and they are offering a great deal to continue the partnership, it does not mean you need to keep the contract. Pay only for what works for you! 

If you need any help, ask an expert. Wicresoft conducts complimentary audits that assess the candidate experience as well as your media performance to provide you with clear direction on how to proceed with your recruitment marketing budget.