The essence of Employer Branding
“If the reputation of a company’s products and services is its face, the talent brand is its heart and soul.”
Can you guess the name of the following brand logo?
Almost everyone can. Millions of people see this logo on their computer screens every single day. Google is recognized as one of the most iconic brands in the world.
Did you know that Google offers free food to its employees and has a VERY cool workplace? I would love to work there at least once.
A brand is not only about what it offers to its customers but also its employees. Of course, it is not just about a cool workplace or good food but also about the collaborative environment and people with a futuristic mindset. Its reputation for innovation gives a considerable appeal to its candidates.
This is nothing but the employer branding of google.
Employer brand has evolved from what many believed to be just a marketing buzzword to an essential element of an organization’s strategy.
In the 20th century, most organizations and people would associate the term ‘brand only with products and services. It’s now used far more widely and for almost everything, including workplace, skills, and content. When the term (brand) is used as a suffix, it represents a distinct identity, thought, and personality attached to it.
Similarly, when you think of employer branding, the organization for which it is being used carries a unique identity and is an employer of choice. It sets the organization apart from the rest.
Did you know 69% of candidates would reject an offer from a company with a bad employer brand, even if they were unemployed.
Your employer brand is your organization’s reputation as an employer. In simpler terms, it’s what job seekers and employees think of you. It’s what they tell their friends and family when you aren’t around. Though it may not be tangible, your employer brand is an asset that requires constant cultivation.
Start working on your employer branding if you haven’t already because:
1. It leads to a decrease in cost per hire
According to LinkedIn, a company with a stronger employer brand than its competitors on average sees a 43% decrease in the cost per candidate they hire.
Why? Because by simply investing in your employer brand, you don’t have to spend all of your hard-earned profit on advertising and marketing campaigns creating awareness about your company.
Rather with a consistently looked after employer brand, you will reap the rewards in the currency called talent attraction and retention.
2. It results in engaged & enthusiastic employees
When your employees talk positively about your company, it creates an interesting public image.
Only 49% of employees would recommend their employer to a friend.
Companies with a strong employer brand have more engaged employees. Employees will have a higher level of motivation as they are proud to be working for a company with a strong employer image. Therefore, having a strong employer image will improve the perception of your company in the public eye and create a sense of belongingness in employees.
3. It results in positive Financial Results
The reason companies focus on building a strong employer brand is not just restricted to lowering costs and increasing employee satisfaction; it also extends to improving a company's financial performance.
There is a strong relationship between employee engagement and the performance of a company. An increase in employee engagement translates into additional revenue and increased profit margins for the companies.
4. It helps in attracting and retaining the right talent
A staggering 78% of people will look into a company’s reputation as an employer before applying for a job, and 88% of millennials believe that being part of the right company culture is very important.
So having a strong employer brand that potential candidates can access at any time, especially online, allows them to see their potential fit for your company. So it works both ways; it’s essentially the matchmaking stage for you and potential candidates.
5. Employer Branding is Important for Recognition
Graduates and top talents wish to work for companies with a powerful and good reputation.
95% of candidates identify a company’s reputation as a key consideration when exploring new career opportunities.
Having a strong employer brand allows your company to get recognition and increases your brand awareness. Graduates and top talents wish to work for companies with a powerful and good reputation. They often follow social norms and ask around for suggestions.
So, it’s quite beneficial to undertake employer branding for a business. But remember to walk before you run. Employer branding isn’t easy, and there’s no sense in rushing the process. Your company needs to set a time to focus on this. It’s essential to understand why it matters and how a strategy can benefit your company in the long term.
Like anything else, it is a team effort. But more than anything, employer branding aims at bringing in good people and making them stay.
To achieve this, your company could use a tool like PerspectAI to understand the True Potential of the talent using new-age game-based assessments.