Recruitment Advertising Agencies: Save Time and Money
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<h2>Key Takeaways</h2>
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<li>Recruitment advertising agencies are a good way of reducing your recruitment costs.</li>
<li>There are good and bad recruitment advertising agencies, so you need to choose wisely.</li>
<li>Look for an agency with clear, simple pricing and with fees that aren’t related to job salaries or the number of hires per advert.</li>
<li>Make sure that the recruiter offers good advert coverage and that the duration stated applies to all job sites simultaneously.</li>
<li>Ensure that the agency doesn’t send out dummy CVs, that they offer an easy-to-use online tool for tracking applicants and that application filtering is included.</li>
<li>Check out potential suppliers by looking at testimonials and speaking to their current clients.</li>
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Recruitment advertising agencies, also known as flat fee recruiters or fixed price recruiters, provide a valuable service by writing job adverts, advertising them across multiple job sites, and sending CVs for you to shortlist and interview. Harnessing the buyer power of many employers, recruitment advertising agencies get your advert onto job sites more cheaply than you could on your own. These agencies have transformed the recruitment industry by offering dramatically lower fees, no long-term commitments, and scalability. They can be a great way of reducing the amount of time and money you need to spend finding new staff.
How to Choose a Recruitment Advertising Agency
Here are my recommendations for choosing a recruitment advertising agency – along with a few warnings:
1. Search for simple, transparent pricing
- I recommend providers who charge the same fee whatever the job’s salary.
- Understand the pricing structures; cost-per-advert versus cost-per-hire. It’s better to go with a cost-per-advert price in which you pay a fee for your advert regardless of how many people you hire. (Even though it doesn’t increase their costs, some recruiters charge a fee for each hire when you recruit more than one person from a single advert.)
- Choose a supplier with clear, simple pricing. Some try to pull you in with a low headline fee, then charge for additional extras which are actually essential, such as writing job adverts, advertising on additional job sites, etc.
- Some offer to include your logo on your advert for an extra charge. Don’t bother with this – this only tends to attract more applicants for very well-known brands.
- Be careful of arrangements of “no fee until the job is filled”. These often involve much higher charges down the line – and sometimes exclusivity.
2. Compare job site coverage
- There are so many job sites that it would be impossible for any recruitment advertising agency to advertise on them all. But do make sure that the agency is going to place your advert on enough sites for it to have good coverage. And check that they’re advertising where they say they do!
- If you have a preferred site, ask if they can include it – they’re likely to be able to negotiate a better deal than you could on your own.
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3. Ensure sufficient advert campaign duration
- A good campaign should have your advert listed on all of the job sites they’re offering for a minimum of 28 days.
- Avoid agencies that spread the advert across different sites for shorter periods. Some offer 28-day “campaigns” that involve placing your advert on different sites for seven days each over that time, rather than a full 28 days on each site.
4. Avoid dummy applicants
- Recruiters sometimes send applicants to multiple employers, which means that some of your CVs may be from people who never applied for your job, while some of those who applied to you are also being funnelled to competitors. Check that the recruiter doesn’t engage in this practice.
5. Ensure that managing applicants is straightforward
- The recruitment advertising agency may have an online tool known as an Applicant Tracking System (ATS) for you to manage your applicants, and access to this should come as part of your package.
- You want a tracking system that’s easy to use – some are really complicated and hard to master or just badly designed – so ask to see how it works before committing.
- If you have your own ATS, see if the recruiter can integrate with it.
6. Is application filtering included?
This service saves you time by removing obviously unsuitable applicants. Although you should be able to see every CV, there are four main types of filtering, each with pros and cons:
- Automated/algorithm filtering. These assess CVs for relevance and calculate the commuting distance to identify local applicants. You must still be able to look at every CV, as algorithms make mistakes.
- Hand filtering. Despite the human element, remember that those carrying this out won’t necessarily have expertise in your industry and might lack the knowledge needed to do it well. Therefore, it’s essential to make sure you’re dealing with someone experienced, and that they aren’t rushing the task.
- Yes/no screening questions. If the applicant doesn’t give the desired answer, they’re automatically rejected, though applicants can often guess the answer you want.
- Automated telephone screening. Records applicants’ answers to questions over the phone (although few applicants answer the questions).
I don’t recommend application filtering because no one knows your job, company, and industry better than you! Furthermore, your job could have flexible requirements, develop into something entirely different, or you may have another job coming up, so an applicant may be a better fit for a different job within your organisation. Lastly, while you may want to remove the irrelevant candidates, it does help to see those at the margins so you understand if your expectations are realistic.
7. Do your due diligence
There are many recruitment advertising agencies and unfortunately there are a few sharks out there, so make sure to verify reviews, testimonials and case studies; see if you can talk directly to other employers who have used their service.
- Don’t be fooled by recruiters displaying logos of big brands on their websites. They might only have worked for a brand once and this shouldn’t be taken as evidence of a great service.
- Research the company and its directors to ensure credibility.
Questions to Ask
Here’s a summary of questions to help find the best recruitment advertising agency, in order of importance:
- Can you find the recruitment advertising agency advertising on the job sites they say they advertise on?
- Are the adverts running for 28 days (or longer) on each job site, or do they only offer seven day adverts as part of a 28 day campaign?
- Are your applicants shared with anyone else, and do you receive anyone else’s applicants?
- Do they charge for a cost-per-advert or cost-per-hire?
- Is there a straightforward pricing policy, or are there many additional extras that increase the cost?
- Are case studies and real testimonials provided, or do they hide behind many big brands and unverifiable names?
- Is a simple ATS included? If so, can unlimited users access it at no additional charge?
- Are the adverts anonymous, or must you include a company logo or name?
- What applicant filtering do they offer, and how much hassle will that save you?
- Do they require exclusivity on the vacancy?
- Do they offer a guarantee, and is it a money-back guarantee?
Advantages of Using a Recruitment Advertising Agency
- Cost-effectiveness: Recruitment advertising agencies charge a fixed price for their services, often significantly lower than the fees charged by traditional recruiters or multiple job sites.
- Simplified budgeting: Costs are predictable and not varied based on the position’s salary.
- Bulk discounts: Employers looking to fill multiple positions may benefit from discounts, making large-scale recruitment drives more economical.
- Risk reduction: The low upfront cost reduces financial risk if no one is hired.
- Industry-wide recruitment: Because they advertise across a wide range of job sites, recruitment advertising agencies are equipped to handle recruitment across most industries, sectors and levels of seniority.
- Application filtering: Many provide application filtering or screening to save employers from sifting through completely irrelevant CVs.
- Customer support: Good recruitment advertising agencies offer solid customer support to guide employers through recruitment.
- Time-saving: The recruiter handles the administrative burden of writing the job adverts, posting them on many websites and saving the employer time.
- Access to specialised boards: They can often negotiate access to specialist job sites if required (although I normally recommend trying the sites they include in a standard package first before going to any more expense).
- Quick turnaround: They attract applications quickly, allowing for a faster recruitment process. This speed is invaluable for urgent job vacancies.
- Additional services: Employers can use additional recruitment services like CV database searches, shortlisting, or interview arrangement services.
- Confidentiality: You can choose to hire without your logo or brand if the role is confidential.
- Non-exclusive arrangements: Generally, employers are not locked into exclusive arrangements with recruitment advertising agencies, allowing them to explore other channels if desired.
- No long-term commitment: Using a recruitment advertising agency doesn’t usually require a long-term contractual commitment, offering businesses flexibility.
- Scalability: Employers can advertise one or multiple job vacancies without a substantial increase in cost.
Disadvantages of Using a Recruitment Advertising Agency
- Lack of personalisation: Recruitment advertising agencies will not provide the personalised service and in-depth candidate assessment that recruitment agencies and headhunters offer.
- No guarantee of success: They rarely offer a guarantee of a successful placement; if you don’t hire, the cost is not refunded.
- Quantity over quality: There might be a focus on the number of applicants rather than the quality, which can lead to a large number of applications to sort through.
- Hidden costs: Some recruitment advertising agencies may have additional costs for essential services, which aren’t always apparent upfront.
- Time investment: Employers may need to invest more time in shortlisting applicants.
- Lack of post-hire support: Unlike traditional recruiters, recruitment advertising agencies typically do not provide post-placement support if the candidate does not work out.
- Will not source passive applicants: Therefore, may not be suitable for very senior or specialist jobs, or those in challenging locations.
Additional Resources
- Recruiting Book; The Secrets of Great Recruitment: How to Recruit Great Employee.
- Downloadable PDF guide; Insider Secrets: Select the Best Recruitment Advertising Agency.
- Downloadable PDF checklist; Checklist for Choosing a Recruitment Advertising Agency.
- Article; Recruitment Advertising Agencies: Everything Employes Need to Know.