Why employer branding is important for recruitment
Estimated Read Time: 6 minutes
Sir Richard Branson claimed, “clients do not come first, employees come first. If you take care of your employees, they will take care of the clients”.
This statement carries great significance in the era of the employee experience.
Clinton Marks, Director at Robert Half says, “as modern-day consumers, we expect enriching, personalised journeys from shopping to streaming. Employees are now looking to their employers for the same kind of meaningful workplace experience.”
In today’s competitive job market, attracting and retaining top talent continues to be a challenge for organisations. Employers are recognising the importance of building a strong employer brand to sharpen their competitive edge.
Why is employer brand important? An effective employer brand showcases your organisation's values, culture and reputation, helping you to stand out as an employer of choice.
This blog will explore the ins and outs of employer branding – what it is, why it’s important and, how you can craft a positive brand to raise your talent management game.
Employer Branding defined
Don’t be fooled into thinking employer brand is the product of a big budget and a marketing agency.
If you employ people you have an employer brand.
Employer branding surpasses traditional marketing strategies, encompassing an organisation’s reputation, values and culture as perceived by potential candidates.
While you can try your best to shape the narrative of your brand, it’s largely defined by your talent touch points – past, present and prospective employees. Their experiences with your organisation and what they express about it, plays a pivotal part in shaping your image and reputation as an attractive employer.
It’s sink or swim when it comes to employer brand, with 25% of Australian employers saying they cannot compete with more attractive brands/brand names*.
Clinton says, “we are witnessing a major war for talent. Now more than ever, employers have been forced to take a good, hard look at their brand or watch talented professionals flock to the competition”.
The Competitive Edge
In today’s competitive market, people work for cultures, not companies. Therefore, their perception of your organisation is paramount.
If you’ve found yourself questioning ‘why is employer brand important?’, know that 92% of people would consider changing jobs if offered a role with a company with an excellent reputation. The possibility of losing talent is a sobering reality that is widely acknowledged within organisations. As LinkedIn reports, 72% of recruiting leaders worldwide agreed that employer brand has a significant impact on hiring.
While employer branding is a recruitment essential, it’s a strategic investment that can also sharpen an organisation’s competitive edge and drive business success through:
Attracting top talent
A strong employee brand speaks the language of the right people with the right values.
In a saturated job market, differentiation is key to becoming an employer of choice. A business that invests in employer brand demonstrates strong commitment to its employees while creating appeal amongst candidates with the right expertise.
Related: What are the benefits of hiring retired employees?
Boosting employee satisfaction
A positive employer brand does more than just attract talent – it helps to retain it!
Cultivating a strong work environment with shared values, open communication and positive culture is crucial to inspiring employee loyalty. An enriching employer brand is invaluable in boosting employee satisfaction and engagement (and in turn, retention). When employees take pride in their organisation, they are more likely to stay, saving you the expense of rehiring and retraining.
Furthermore, effective employer branding should incite excitement amongst your current and prospective workforce. If they are happy, they become your “influencers”, advocating to others and referring them to you, making recruitment easier.
Forming a talent pipeline
Employer branding is important as it helps companies to build a talent pipeline – aka a steady flow of qualified candidates. A favourable corporate reputation and enriching candidate experiences help to establish a wider pool of potential applicants. If candidates have a favourable impression of your organisation and aren’t initially hired, they may reapply or refer others to your company. This engagement strengthens the pipeline of talented candidates interested in joining your team.
Improving recruitment efficiency
A strong employer brand can recruit for you by streamlining the recruitment process, attracting those who are most aligned to your company. By connecting with these candidates, you’ll be set to experience improved hiring outcomes, reducing the time and resources spent sourcing and screening the wrong people.
Fuelling business success
Employer brand is important as it directly correlates with a company’s wider success. While a strong employer brand can attract top talent, it also drives customer perception.
Positive recruitment and employment experiences drive candidates and employees to become loyal customers and brand advocates, further sharpening your brand image within the marketplace.
The ’How to’ Guide of Employer Branding
The Harvard Business Review has shown that companies are over paying on salaries by 10% if they don’t have a strong brand.
Those same companies face slower recruitment rates vs their well branded counterparts who are 3x more likely to make a quality hire
With so much at stake, it’s clear why employer brand is so important. And, it’s critical to invest time and resources into getting it right.
Let’s explore the roadmap to a well-rounded employer brand:
1. Define your Employee Value Proposition (EVP)
When you attract great talent, you need to keep them engaged.
An employee value proposition refers to your talent offer - the unique set of benefits and rewards that your employees receive in exchange for their skills, knowledge, and experience. Consider it your proposition of ‘why you should work for us’.
A strong employer brand can help to attract great talent, but it’s the employee value proposition that makes them stay. This could include: flexible work arrangements, parental leave policies or career growth initiatives. Ensure your EVP aligns with your business objectives and target candidates.
Related: How to create a compelling employee value position to attract top talent
2. Conduct Research
Building a compelling and authentic employer brand starts with people. Focus your research on internal and external stakeholders including current employees and candidates. Gather insights about their perception of your organisation, its culture and its position within the market. This research will be instrumental in identifying your strengths and weaknesses to help shape your branding strategy.
3. Craft your Brand Story
Your employer brand should serve as a compelling narrative that highlights what makes your organisation unique and rewarding. Leverage your best advocates (aka your employees), to deliver real-life testimonials that strengthen the authenticity of your brand while personalising it for potential candidates.
4. Streamline brand messaging
Use consistent messaging that ensures your employee value proposition is clear across all touchpoints, including: career pages, job descriptions, social media platforms and internal communications. Always ensure your messaging aligns with your organisational culture and values.
5. Enhance candidate experience
Be sure to prioritise the candidate experience at every step of the recruitment process. From interviews to onboarding, a positive experience is instrumental in helping the candidate feel valued and supported. Focus on ongoing communication, feedback and meaningful interactions – a positive candidate experience can leave a lasting impression that helps to shape a strong employer brand.
Related: What does a good onboarding process look like?
6. Leverage your employee ‘influencers’
Your employees are you best advocates, their advocacy legitimises your brand story. Encourage them to share their experiences on social media and review sites to help attract like-minded talent. Be sure to highlight their success stories to solidify your engaging work environment.
7. Review and Reassess
Building an employer brand is not a finite process – it’s constantly evolving. Be sure to measure the success of your performance and make necessary tweaks based on feedback and market trends. Keep abreast of candidate preferences so you can pivot your strategies and messaging where required.
In today’s competitive landscape of talent acquisition, employer branding is a critical piece of the recruitment puzzle. Not only does a strong employer brand help to attract top talent, it helps to retain it. Employer brand is important in showcasing your organisation’s values, culture and reputation to connect with well suited candidates. With a solid understanding of employer branding, you can sharpen your competitive edge while strategically building a brand that resonates with top talent.
If you’re still looking for your next ideal candidate in Australia, our experienced team of talent specialists can help.
If you’re seeking advice on any workplace issues within your business, our experienced team of management specialists can help.
Find out how much you should be paying your staff in Robert Half’s Salary Guide
*The study is developed by Robert Half and was conducted online in November 2022 by an independent research company, surveying 300 hiring managers, including 100 CFOs and 100 CIOs, from companies across Australia. This survey is part of the international workplace survey, a questionnaire about job trends, talent management, and trends in the workplace.