What is the employer brand?
The employer brand is a magnet that creates magnetic fields to attract top talent, which is crucial for the success of any business and can be a vital source of competitive advantage. It’s an emotional reflection of what employees, current and future candidates expect and think about a company.
Every successful business strategy now includes the employer brand as a subset of the Employee Value Proposition (EVP). This is an example of how an employer builds a value proposition for their employees. The Employee Value Proposition (EVP) is a set of benefits that an employee receives in exchange for their skills, abilities and experience.
A Google search for âemployer brandâ in 2004 would have yielded 3000 results (1). That number has grown too much above 2 million today. The employer brand is becoming more and more strategic in the current professional ecosystem.
It offers the organization’s ability to prove its worth to its candidates. It is a ploy to attract, engage and retain the best talent in the organization.
( Read also: Trademark Image 101)
Here are the vital benefits of building a strong employer brand
The employer brand is essential for organizations to preserve the value they place on their employees. It involves everything to present the company as a desirable employer. Branding manages and shapes an employer’s reputation.
Research reports show that employer brand has a major impact on hiring, according to 72% (2) of global hiring leaders. It also indicates that a proactive employer branding strategy is used by 55% of global hiring executives (). Companies with strong employer brands recorded a 20% increase in turnover and a 12% increase in staff growth (3).
A strong employer brand enables the acquisition of the best talents
Statistics show that 94% (4) of job seekers prefer to apply for a position with a company that actively holds a strong employer brand in the business world.
New generation professionals choose to work for a company that reflects their values ââand goals. Preferred by the recruiter, “employee referral programs” are often fueled by an employer’s brand where existing employees feel a connection to the company’s vision.
Employee poaching (talent poaching) or job poaching is an employer’s nightmare. Businesses today face not only employee acquisition issues, but retention issues as well as competitors raise wages to poach the best talent in the market.
The Employee Value Proposition (EVP) offering a strong employer brand is valued as a strategic framework to fight against competitive attractions. Employees of companies with a distinctive brand image themselves refuse tempting offers from the competitor and continue their association with the same employer.
If employees have a positive employer brand, have job security, professional development opportunities, the chance to work in a better team, and an organization that current or past employees speak positively, they will continue their services even without a salary increase. salary.
People want to work for a company that has a good reputation and treats its employees well, so employers need to make a concerted effort to make sure they are a great place to work.
Impeccable employer brand Mitigate time and cost per hire to stabilize return on investment
Time and money are irreversible resources, and if they are not used wisely, they can lead to losses. The average cost of hiring in the recruiting industry is around $ 4,000 and the average time to complete a hiring process is 40 days.
The time it takes to hire has a negative impact on the cost of hiring. Companies with a strong employer brand can see a 28% increase in retention and a 50% (5) reduction in cost per hire.
Studies indicate that the cost per hire for first openings determines the hiring strategy for the future. Employer Branding helps remove bottlenecks for a better recruiting and recruiting experience. As a result, a recruiting process supported by an exceptional employer brand demonstrates a lower cost per hire and avoids depleting recruiting budgets. According to Gartner, accelerating recruitment could lead to a 32% reduction in costs.
Companies with a strong employer brand enjoy several benefits, including a stronger image, cheaper marketing spend, and increased profitability. Employee referrals approved by an employer brand have the highest ROI, and the HR technologist says employee referrals are 55% faster (6) than referrals from job boards.
The perfect employer brand attracts quality candidates while increasing employee satisfaction and loyalty.
The employer brand contributes to the development of a solid talent pool with qualified and diverse prospects, allowing recruiters to find the best candidates for each new job at all times. The constant flow of applications from exceptional individuals builds up a database of people who may not fit a specific function at the moment, but who may be considered for future openings.
Having such a talent pool is an asset in itself for an employer. This talent hub guarantees uninterrupted productivity and constant progress.
An effective employer brand increases employee morale
When you’re a celebrity, everyone wants to be associated with you. The same can be said of the company. Employees pride themselves on being articulated with an organized and disciplined system that presents a defined vision, mission and spectrum of growth when they join a valued organization.
Employee morale is strong not only because they are well paid, but also because of the corporate culture. Employee morale is boosted by the way they are treated and the way their contribution to the business purpose is valued and recognized.
Inflated employee morale leads to increased production. The productivity of employees increases when they trust the purpose of the company and imagine themselves advancing in their career within the company. It leads to a lower absenteeism rate and a higher retention rate.
Motivated employees provide superior customer service and are more creative and imaginative in the workplace.
A consistent employer brand image increases retention
A positive company culture and an impressive employer brand allows for higher employee retention, which implies that the company experiences increased employee retention, which means less attrition.
Overall, this translates into a decrease in investment in the cost of hiring. The employer can have a more skilled workforce by having fewer transactions with employees.
Employee morale is directly proportional to the reputation of the employer, and employee retention rates are also proportional to the reputation of the employer. Give employees a reason to love going to work and you will see a big drop in turnover.
Impressive employer brand Developing integrity with clients
Because the well-defined employer brand encourages association and employees feel the link with the company’s objective. The employee imbues himself with the employer in such a way that he strives to serve his clients in the best possible way. These employees support their business by exhibiting excellent work ethics.
The company with a high turnover rate attracts the attention of customers. Customers who wish to support companies with a positive corporate culture may be concerned. Customers have the opportunity to get to know employees when organizations keep their staff on staff. Customers can feel brand loyalty by working with a preferred employee, which can help businesses. Developing bonding and relationships with customers is essential to getting repeat business.
Employers with a strong brand can easily outsmart the fierce battle for talent acquisition. Companies will be able to recruit great employees at no additional cost if they invest early in building their employer brand.
The employer brand is important to employers in order to preserve the value they place on their workforce. It is the process of managing and shaping your employer’s reputation.
A good employer brand is becoming more and more crucial as new generation prospects become more interested in what it’s like to work in a company. Employees assess what they will accomplish in addition to their daily expenses. A well-planned strategy When a great EVP is integrated into all aspects of a business, it can help retain the best employees and acquire the best outside talent.
Employees want to be able to experience the organization for what it claims to be: authentic and transparent. This is when these employees turn into brand ambassadors for their organization, attracting top talent through talent promotion and word of mouth, making work more important and more rewarding.