As recruitment budgets become more and more stretched with recruiters needing to hire more with the same or less budget it becomes essential to ensure that you are hiring with a recruitment partner that has a pricing structure that suits your needs.
That means one that offers value, where the least amount of wasted time or resource is being paid for. After all the purpose of hiring a recruitment partner is the savings offered vs employing another full-time member of staff to your HR team.
But what is the difference between the pricing structures and what is right for you? I’ve outlined below 3 pricing structures and the benefit of each.
Pick ’n’ Mix
A pricing model which means you only pay for what you use. This means the ultimate in flexibility. Recruiters buy credits that can be used on recruiter time or advertising on job boards until the right candidate is found. Even if 2 candidates are found you still only pay for the time spent.
This is a great solution for high volume recruitment or to help with spikes in Recruitment demand and can really make savings to your recruitment budget as it eliminates the need to use traditional contingency agencies and high associated fees.
Contingency
Agencies using contingency based pricing models work well for sourcing roles with very specific skills and hard to find candidates who can’t necessarily be found using online databases and attraction tools. Typically spending between 10-25% of final salary it is very expensive but when done well can save you lots of time and find candidates other methods simply can’t produce. It’s all about working with an excellent contingency agency recruiter with access to those truly exclusive relationship-based candidates.
Fixed Fee
Fixed Fee has been around for a while now and relies on you purchasing a campaign or fixed price advert. The fixed fee agency then works on your vacancy and provides a specified service for that fee. This method can work well for very simple to fill vacancies and deliver very low cost per hires but beware. It can also be very time consuming for the company recruiting as activities such as screening and ATS are often not included. Its also not easy to change the service if the desired result isn’t being achieved so it’s very inflexible and fixed as the name suggests in its application.
At staff-finda we created the ‘Pick ’n’ Mix pricing structure as a solution to a market that we feel needs a fresh approach. So, if you would like to find a better way to recruit and get better value from your recruitment budget then get in touch for a chat mike@finda.uk.
If you would like to speak to the Finda team about this topic or something else, please get in touch.
