Candidate Experience matters, it can directly hit your bottom line.
It has never been easier for individuals to have a voice. Social media, blogging and review sites are now widely used across all industries. Whole businesses have been built upon great reviews, while others have almost been ruined by poor experiences being shared. While this has now become commonplace in consumer markets, changing buying behaviours forever, the recruitment industry is only just starting to fully understand how this can affect the candidate space. The cost of a poor customer experience is often very clear and tangible – loss of sales – but a poor candidate experience is often harder to quantify. However, if you dig a little a worrying picture starts to surface.
Let’s take a look at the ways poor Candidate Experience affects your business.
People will talk about it
Sharing experiences has become the norm. Taking to sites like Tripadvisor for travel, Feefo for products and Glassdoor for workplace reviews has become commonplace. More importantly, people actively search for reviews in the workplace, ensuring you company culture is a good fit.
Loss of revenue
Remember that in the case of inhouse recruitment, candidates could be your customers and in staffing, they are your biggest source of referrals. 42% of people would not buy a companies product if they recieved a bad candidate experience, so a bad candidate experience can be a costly mistake.
Unhappy candidates will not reapply
We all know that just because someone isn’t a fit for one role, it doesn’t mean they can’t be suitable elsewhere. However, it stands to reason, if you have a bad candidate experience you are less likely to re-apply for another role with that company. In fact according to Carrer Builder, 42% would not seek employment again at a company after a bad candidate experience.
Hiring is costly and that increases the longer it takes
The cost of hiring can be looked at in a number of ways: posting on job boards, staff time to search, agency support, lost time of not having someone in the role, etc. So ensuring the shortest time to hire is important for both businesses and agencies alike. A good candidate reputation can help reduce this greatly. If potential candidates avoid the company, then it reduces the talent pool available to you.
Increase the quality of who you recruit
As the time to hire increases, so does the pressure to fill roles. Should this be the case, inevitably the pressure will lead to rushed hires and the wrong candidates being placed in a role. The cost of a wrong hire could be huge to a business (cost or training, less productive, less productive team, wages and ultimately re-hiring). So much so Calco estimate it could be up to £132,000.
The Candidate Experience is something that is often hard to equate because so many of the costs are not easy to calculate, but it clear that they are very real.
The candidate experience can be directly related to business success, much like customer experience and staff experience. Successful businesses will take all three of these areas seriously and in part two of this blog we will explore how you can do this to good effect.