When it comes to employer branding, it's not always easy to see the direct impact of your efforts. Sure, you may have a great website, social media presence, and employee testimonials, but how do you know if it's actually helping you attract and retain top talent? That's where measuring the ROI of your employer branding efforts comes in.
One of the first things you should do is establish a baseline. This means figuring out where you're currently at in terms of job applications, time to fill open positions, quality of candidates, cost per hire, and employee retention rate. Once you have that information, you can track your progress over time and see if your employer branding efforts are making a difference.
For example, let's say you're currently receiving 100 job applications a month, and it takes you an average of 60 days to fill an open position. After implementing your employer branding strategy, you start receiving 150 job applications a month, and it takes you an average of 45 days to fill an open position. That's a 50% increase in job applications and a 25% decrease in time to fill open positions. That's a pretty good indication that your employer branding efforts are working!
Another important metric to track is cost per hire. This is the amount of money you spend to fill an open position, including advertising, recruiting, and hiring costs. According to data from the Society for Human Resource Management, the average cost per hire is about $4,129. If you can reduce this number, it means your employer branding efforts are helping you attract top talent more efficiently.
Employee retention rate is also crucial to track. This is the percentage of employees who stay with your company for a certain period of time. High employee turnover can be costly, and it's often a sign that something is wrong within the company. If your employee retention rate improves after implementing your employer branding strategy, it's a good indication that you're creating a positive employee experience and a strong sense of company culture.
In addition to tracking quantitative data, it's also important to gather qualitative data. This can include surveys and interviews with candidates, employees, and managers. Ask them about their experience with your company's brand, and what they think sets your company apart from others. This will give you a more complete picture of the impact of your employer branding efforts.
In addition to the metrics mentioned earlier, it's also important to measure the impact of your employer branding efforts on your company's reputation management. This includes tracking ratings on websites like Glassdoor, which give a clear picture of what current and former employees think about your company. If your ratings improve over time, it's a good indication that your employer branding efforts are creating a positive image of your company.
Employer brand awareness is another key metric to track. This refers to the number of people who are aware of your company's brand and what it stands for. You can measure this by conducting surveys or focus groups, or by tracking website traffic and social media engagement. The goal is to increase brand awareness over time, as this will help you attract and retain top talent.
Reach is another important metric to measure. This refers to the number of people who are exposed to your employer brand through various channels, including your website, social media, job postings, and other marketing materials. If your reach is increasing, it's a good indication that your employer branding efforts are having an impact and reaching a wider audience.
Finally, it's important to track the source of influence for your employer brand. This refers to the channels that are driving the most traffic, applications, and conversions. For example, if your company's LinkedIn page is driving the majority of job applications, you'll want to focus your efforts there and invest more resources in that channel. This information can help you make informed decisions about where to allocate your resources and optimize your employer branding efforts.
At the end of the day, measuring the ROI of your employer branding efforts is about understanding the impact of your efforts and making data-driven decisions. By tracking key metrics, and collecting qualitative data, you'll be able to see the true impact of your employer's branding efforts and make adjustments accordingly.