Impact of Employer Branding on Talent Acquisition.

Source: India Employer Forum

Introduction.

Attracting the Best and the Brightest is vital for a company’s survival and development since Human capital is a valuable resource that contributes to the organization’s success (Xie, Bagozzi & Meland, 2015). 

In the current context, job applications are undertaken with the same detailed research as any other purchasing decisions (e.g. buying a pair of shoes: we look at the reviews, we compare the quality, prices, and comfortability). We know that the ability to attract and retain top talent is essential for any organization's success. This is where an investment and focus on the employer brand is critical.  In this blog, we will dive deep into the importance of employer branding and how it can impact the success of the organization. 

Understanding Employer Brand and Employer Branding.

Employer Brand: 

As for Willian Tincup, employer brand is “your company’s identity, it’s your unique scent.” In other words, it’s the organization’s reputation as an employer (Cooke, 2022). 

Employer Branding: 

Employer Branding on the other hand is the practice of managing the business reputation as an employer among the internal staff and job seekers, this is also called as “employer of choice”. Employer of choice status brings many advantages to the company (Daley, 2024). It lowers marketing costs as they become more attractive to customers and buyers. Employee performance increases, as both the employer and the employee are more engaged and less stressed.

Importance of Employer Branding:

According to research done by “Jobvite’s 2020, job seeker nation report” 75% of job seekers consider a company’s employer brand before applying (Cleavinger, 2023). A big reason that employer branding is so important today is every candidate active or passive mainly focuses on the identity of the company (O'Donoghu, 2021). A good employer branding strategy can help attract better talent, cut down on hiring costs, and reduce employee turnover. Employer branding isn’t just about the reputation a company has by ‘doing a good job’ but it focuses on what makes it the “employer of choice” while maintaining its Employer Value Proposition (EVP) (culture, values, work-life balance, vision, career growth, and leadership) has a really great impact on the company’s Return On Investment (ROI). 

Understanding the Impact of Employer Branding on Talent Acquisition.

The employer brand can influence people when deciding whether to apply for a position at your company in the first place, (Weerasinghe, & Weerawardena, 2018). The employer brand is greatly influenced by current employees, referrals, word of mouth, and any existing relationships that your company has. A positive employer brand will boost recruiting, employee engagement, and retention (Hull, 2023).

1. Attracting Top Talent.

Strong employer brands serve as a magnet, when the organizational brand conveys its’ positive image it’s only a matter of time before attracting quality applicants (experienced or not, having the right attitude is the most important aspect of a quality candidate) who share the organization's values and long-term goals. 

2. Employee Retention.

A strong brand not only helps in attracting but also fosters employee loyalty which results in retention. When they are appreciated and recognized within the company they become brand ambassadors, promoting positivity through the most powerful weapon, - word-of-mouth. 

3. Reduce overall cost. 

With experience we know that hiring new talents is costly, it’s not just money, but the time spent on conducting the interviews and training the member. But with a strong brand, the organization can spend less on advertising, or outsourcing agencies, but because of the goodwill, the candidates will come looking for you. Also because of the existing loyalty of the employees the turnover rate will decrease, which will result in cost reductions associated with recruitment. 

4. Gaining Competitive Advantage. 

In the battle of winning against candidates with the right attitudes, the brand provides the advantage of securing top talent. You are more likely to stand out when the candidates look more favorably because of the brand. 

5. Return On Investment.

The more you spend on developing your brand image, it results in building your workforce that can drive innovation and growth and secure the future of the organization. 

Conclusion. 

Employer Branding is no longer considered a word but a strategic implementation for an organization’s current and future success as it has the power to attract and retain top talent. Companies can enhance their significance by developing a strong employer value proposition, and goodwill, which will acquire a competitive advantage in the market. 

Reference.  

Xie, C., Bagozzi, R. P., & Meland, K. V. (2015). The impact of reputation and identity congruence on employer brand attractiveness. Marketing Intelligence and Planning, 33(2) pp 124-146.

Available on: https://shorturl.at/vwDN1 (Online)

Accessed on: 04.04.2024.

 

Weerawardane, S. and Weerasinghe, T., 2018. The connection of employer branding to recruitment: a critique. Kelaniya J. Hum. Resour. Manag, 13, p.21.

Available on: https://shorturl.at/ejDE8 (PDF)

Accessed on: 04.04.2024.

Hull, N., 2023. Branding. Attracting Top Talent to Your Organisation, 18 July.

Available on:  https://www.claremontconsulting.com/the-power-of-employer-branding-attracting-top-talent-to-your-organisation

Accessed on: 04.04.2024.

 The Importance of Employer Branding in Recruitment (2023) Linkedin. (Online)

Available on: https://www.linkedin.com/pulse/importance-employer-branding-recruitment-fabhr-nmh3f/

Accessed on: 04.04.2024.

Cleavinger, A., 2023. The Power of Employer Branding in Attracting Top Talent, 26 September. (Online)

Available on: https://www.linkedin.com/pulse/power-employer-branding-attracting-top-talent-aaron/

Accessed on: 04.04.2024.

 

The impact of employer branding on the recruitment process (2021) Buildout Recruitment (Online)

Available on: https://www.buildoutrecruitment.co.uk/news/news/the-impact-of-employer-branding-on-the-recruitment-process

Accessed on: 04.04.2024.

 

Cooke, K., 2022. Employer Branding: Definition, Process, Strategy, Measurement, and Resources, 5 July. (online)

Available on: https://beamery.com/resources/blogs/employer-branding-definition-process-strategy-and-resources

Accessed on: 04.04.2024.

 

Daley, S., 2024. Employer Branding, 25 May. (Online)

Available on: https://builtin.com/employer-branding

Accessed on: 04.04.2024.