Importance of Employer Branding
Branding is a must for any business. A clear brand message impacts how people perceive a brand, which can help drive new business and increase awareness, or not. A reputable employer brand helps an organization’s stability by contributing to better recruitment practices and reducing hiring and marketing costs.
Branding retains employees
Being a part of the right company culture will make an employee proud of where they work and more likely to stay. A strong employer brand provides just that, leading to less turnover and employees who become brand ambassadors. The more employees talk positively about a company, the stronger the brand becomes, and the more appealing working there or doing business with that company is. On the other side, if employees speak negatively about an organization, the brand weakens, making employment and potential partnerships less appealing.
Branding attracts new hires
If you do a simple google search for a company, you most likely will come across reviews, open jobs, and discussions revolving around it. All of this information can be found on different websites, including social media platforms, so it’s no surprise that 79% of job applicants use social media in their job search.
Think about that.
You have an open position you are actively recruiting. Before you even get the opportunity to connect with a potential candidate, they already have a complete picture of what it’s like working for your company. All thanks to the strength, or lack thereof, of your employer brand.
Branding generates new customers
Just like prospective new hires, potential customers do their research on a company, as well, with access to digital reviews, career sites, and social media. Put yourself in the shoes of a consumer. If a company has unhappy employees, a potential customer might wonder how they would be treated considering a negative employee environment. The same goes for positive employer branding. How many reviews do you look at before making a purchase online? Better yet, do you filter reviews to show 4+ star-products only? An employer brand that is anything less than strong might remove any visibility a company could have. If a consumer can’t even see a product, how can they buy it?
Branding creates trust
A strong brand will have no problem earning referral business because there is a positive impression of the company amid consumers. Imagine being told by a colleague, friend, or someone you trust about a certain product or brand they use or believe in. It would pique your interest enough to check out what they loosely recommended. Because of the familiarity and assumed dependability, you would be more likely to buy that product or do business with that brand. If a company’s in a position where referral business isn’t a viable growth plan yet, a professional presence and properly-executed branding strategy will help the company build trust with potential clients, consumers, and current customers. A strong brand gives off the impression that your company is a thought-leader, making the general public feel as though they can trust the products or services you offer.
So whether a company wants to retain employees, attract new hires, generate new business, or build trust among consumers, the strength of employer branding is at the heart, and purse strings, of it all.