Your company has a reputation among the workforce and your employees, whether you’ve put work into crafting it or not. Establishing an employer brand that you and your staff are proud of should be a priority for every company, big or small, because it will set you apart from your competitors.
What is Employer Branding?
Your employer brand is essentially how your company is perceived by others, including your current employees. A lot of this comes down to how you’re marketing your company, but it must be reinforced internally to be effective. According to Glassdoor research, 86% of job seekers research company reviews and ratings to decide whether or not they will apply for a job, so if you’ve got a multitude of disgruntled employee reviews, the majority of prospective applicants will pass on your open role.
That’s why it’s important to fine-tune your employer brand and dedicate time and resources to making sure you’re creating a reputation that will attract new employees. Here are the five key benefits of creating a strong employer brand.
1. Attract top talent
When job seekers begin their search, they may key in to their search engine, “top companies to work for” or “best companies hiring near me”. We’ll state the obvious: people want to work for a company with a good reputation that treats employees well, so put some serious effort into making sure you are a great company to work for, and spreading the word to the workforce.
In fact, a recent Hireology study found that 84% of job seekers are even willing to forego higher pay if you can offer critical non-monetary benefits like great culture, growth opportunities, flexibility, and more. And your employer branding is how you make these perks known — especially at a time when younger folks who are accustomed to using Google searches and social media research to better understand employers before applying.
Among encouraging employee reviews on websites like Glassdoor and showcasing testimonials on your career site and social media profiles, you can also participate in a Best Places To Work Program. There’s plenty of benefits to joining this program, as well as any that are specific to your industry.
Looking for extra support attracting and hiring top talent in today’s tough climate? Hireology is built to help you build a great employer brand and connect with top applicants.
2. Decrease time and cost per hire
With a strong employer brand, your talent pipeline will likely be pretty backed up, which is great news for your hiring manager and your bottom line. With an influx of talent, you’ll be able to vet candidates early, even if you don’t have an open role to fill. That means as soon as a role opens up, you’ll have a surplus of qualified candidates to begin interviewing, rather than starting the process from attracting new applicants. And when it comes time to make an offer, if a candidate is deciding between more than one company, you’ll have a leg up on the competition because of your impeccable brand.
Additionally, companies with good reputations likely have a great work environment, and current employees will refer new candidates to your open positions. Employee referrals have the highest ROI, according to CareerBuilder, and HR technologist says employee referrals come in 55% faster than those sourced from career sites.
3. Boost employee morale
Because your employer brand is based on how well you treat your employees and how your employees interact with your customers, a wonderful employee experience will of course boost employee morale.
There’s pride that comes from working for a great company, but there’s also a lot of weight in employees knowing that they are seriously taken care of by their employer. Developing employee career paths, investing in continued training and support, and offering competitive compensation and benefits are all great ways to make sure your employee brand is encouraging morale, and will in turn result in your employees serving your customers better.
4. Increase retention
Just as your employer brand has a huge impact on employee morale, your retention rates are greatly dependent on your reputation as well. Make your company a place where employees love to come, and you’ll see a dramatic improvement in turnover.
It all comes full-circle, as low turnover is a great sign of a strong employer brand. And perhaps the most tangible benefit to low turnover is an increase in your bottom line — LinkedIn research shows that companies that fail to invest in their reputation lose an average of $5,000 per employee. That adds up quickly as we continue to navigate the Great Resignation — so making the investment in your employer brand is well worth it in the long run.
5. Build credibility with customers
Your employer brand can greatly affect your business because top talent will serve your customers better. Having the best team in place makes a difference in customer satisfaction, so if you’re not able to attract quality employees, you can expect a subpar customer experience.
If you can guarantee that every customer will have a positive experience, regardless of which employee is serving them, you’ll build trust among your customer base. According to Zeno’s 2020 Strength of Purpose Study, 80% of consumers will buy from and recommend companies they trust. Building your company’s credibility with customers depends most heavily on your employees, so make sure your company is supporting your most important asset.
Interested in learning how you stack up against your peers when it comes to employer branding efforts? Read our 2022 Future of Hiring report today. The report is based on a survey of companies just like yours and offers insights into what leading organizations are doing to stand out in the eyes of job seekers today.
So what is employer branding? It’s all the tactics and work you effectively marketing what makes your company a great place to work. Hireology works hard to help you establish and execute on your employee brand. If you’d like to hear from businesses like yours on their experiences working with Hireology, check out our library of customer stories today.