You need to stay vigilant and fiscally responsible as you conduct your ongoing job advertising campaigns. There are only so many dollars to go around, so you have to use them wisely, especially in today’s competitive, candidate-driven market. So, what happens if you see the price of your job slots on one or more platforms hike up, without delivering desired results in the process? Is it time for a radical change?
Optimize Your ROI
Take a careful look at your current spend, and divide it by your total number of applications. Do you have some jobs getting a lot of application hits, while others get few to none? If so, you’ve found where your budget inefficiency lies. Your cost per app will tell you if your slots are spot on or if you should consider cost per click.
For example, if you are spending $1,000 for 10 slots and get 100 total applications, the cost per application is $10. That’s a common metric when looking at cost-per-click models but it’s not as straightforward with job slots. Knowing your application cost is vital to determine if ROI is still positive for your investment.
What’s the Difference?
Job slots represent the number of jobs you can have on a job board at any given time. For instance, if you’re on a plan with three slots, you can only post three active jobs. But you can swap jobs in and out by closing and posting as needed.
- With a job slot format, you pay for the presence of your postings. Your cost is the same, regardless of whether you receive one application or ten thousand and one. The advantage of job slots is that your costs are guaranteed. The potential is there for lots of applications at a low cost. However, if the opposite occurs, your cost per application skyrockets. You’re basically stuck in a 12-month contract, regardless of the results.
When you opt for pay per click, you pay for the applications you receive, so your budget can stay flexible. For instance, if you have a seasonal rush followed by a decline once your busy time is over, you can adjust your spending accordingly. Also, there are a lot of automation benefits to pay per click, versus the job board method.
- The downside to cost per click is the same thing as its upside: there is no set budget. This can be challenging for some employers. There’s no easy way to have a long-term spending plan in place. There may be a lot of “posting and praying” that candidates not only find your jobs, but click on them and actually apply. That’s not to say you give the job boards an open checkbook. If you have a $1,000 budget, it’s vital to know how to manage that with a smart strategy and not just posting and praying.
The Bottom Line is … The Bottom Line.
How do you know if whatever you’re doing when it comes to job board spend is working? The answer depends on your specific goals. Do you want to get as many applications as possible? If so, your focus is on lowering the cost of each one. Always consider your conversion rate, so you avoid wasted clicks. Hand in hand with this, how many quality candidates are going into your database as a result of your spending strategy and execution? Always keep budget control on your side. Don’t let job boards dictate where your dollars go, your terms, or your long-term flexibility.
Do you need a better strategic approach to manage your job board spend? Find out by scheduling a free, 30-minute recruitment marketing focus call with Haley Marketing today. After the call, we’ll provide a complimentary review, evaluate your challenges, and share relevant best practices.