Recruitment Challenges in the Context of Commoditisation

What is the commoditisation of recruitment processes? What workable strategies are there for recruiters under huge commercial pressure?

Recruitment Excellence is not just an expression. It’s a systematic process that leads to building trust and expertise. Recruiters have to spot new business opportunities as well as retain current clients effectively. The balance of those, or the preference for one over the other, determines the business direction. However, with the development of technology, recruitment activity has been commoditised. Openings and candidates are in abundance, but selling is a real challenge.

Previously it was nearly impossible to source a perfect candidate without the help of a recruitment consultant. Recruitment agencies were solving the sourcing challenge for employers, minimising their time and money costs. However, the technological revolution broke the communication gap between employers and employees. Employer branding became a popular tool to attract candidates. In-house recruiters used social networks like LinkedIn, promoting brands and posting jobs without the help of a third party. As a result, the value of outsourced recruitment went down dramatically.

This use of technology raised the bar for speed and effectiveness, and pushed many agencies out of the market. Those who stayed in the business had to invent new business models. Differentiation has become a struggle. Recruiters still have to spot opportunities and fill positions as fast as possible, but now they also have to build trust through market awareness in the niche they are recruiting for.

Positioning an agency as a thought leader in its niche can be a workable strategy when under commercial pressure. Being aware of the latest market spikes, recruiters can plan business effectively, investing into new desks or expanding desks they already have. What is more, market insight can impress candidates who will be returning to a trusted recruiter. Finally, employers naturally want to keep market experts at the top of their PSL.

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The data used in this article comes from and is owned by Vacancysoft LLP.

Author: Valeriia Muzhchyna
Digital Marketing Executive