Why Everyone Is Talking About Employer Branding

A company cannot grow if no one is willing to work there.

I work for a quickly growing technology startup in Washington state, and as one of the first five people to ever join our Talent Team, I have watched us struggle to attract the talent we need to accomplish our goals because of our employer brand. In fact, before our Talent Acquisition Manager reached out to me about the role I am in, I had never even heard of this company or what they do.

Whether you work in the tech space or not does not matter; if no one has heard of your company, if your Glassdoor makes people wonder if you are a legit company or a scam, or worse, if your employee reviews say everyone hates working there, you will suffer from candidates dropping out of your hiring process and declining your offers.

The days of people grinding and hustling from 9-5 at jobs they hate just to pay the bills is behind us. Millennials and all generations after them demand more- we want purpose, we want to work for a company that takes care of their employees, and we want to feel like our leadership cares about us as human beings. The way to convince people who don’t even work for you yet that you are one of those companies is with your employer brand.

Technically speaking, employer branding refers to the reputation and perception of an organization as an employer. It encompasses the values, culture, and overall image that a company projects to potential candidates. Having a strong employer brand has numerous benefits for an organization, including-

1. Attracting Top Talent

A strong employer brand helps organizations stand out from their competitors and attract high-quality candidates.

According to Sartain and Schumann (2016), a compelling employer brand can create an emotional connection between employees and the organization, making it an attractive destination for talented individuals seeking new opportunities. Candidates are more likely to apply for positions and engage with organizations that have a positive employer brand, and employees who work for an organization with a positive employer brand will bring in referrals, thus helping a growing organization.

If your company has a strong employer brand, the people you need to hire will be attracted to you, leading them to apply for jobs with your organization. A positive candidate experience will further reinforce their positive perception of the company as a great place to work. Without any positive employer branding, however, you will have to work harder to source talent and convince candidates to work for you because they may not even know you exist, or have ever considered your organization as an employer.

2. Retaining Employees

Employer branding is not just about attracting new talent; it also plays a crucial role in retaining existing employees.

When employees feel proud to be associated with their organization and believe in its values and culture, they are more likely to stay committed and engaged. If your company, for example, has a strong brand that emphasizes work-life balance and a supportive work environment, this will create a sense of loyalty among employees, making them feel valued and appreciated. As a result, employees experience higher job satisfaction and have a lower likelihood of looking for other opportunities. They are more likely to stay long-term, thus reducing turnover.

3. Enhancing Employee Engagement

A well-defined employer brand helps create a sense of purpose and belonging among employees.

Backhaus and Tikoo (2004) say that when employees align with the organization's values and feel connected to its mission, they are more likely to be engaged and motivated in their work.

Engaged employees are more likely to have increased productivity, enhanced job satisfaction, higher retention rates, increases in their ability to be innovative and creative, and have a positive outlook of the company’s culture. All of this leads to direct impact on the success of the organization.

4. Building a Positive Company Culture

Employer branding is closely tied to company culture. I would even go so far as to say you cannot have one be positive without the other; the truth of a company culture will always out (usually in the form of bad employer reviews).

A strong employer brand communicates the values, beliefs, and behaviors that define the organization's culture. Candidates who resonate with the company's culture are more likely to thrive and succeed within the organization, while a positive company culture attracts like-minded individuals who can contribute to a collaborative and supportive work environment.

A positive company culture, in turn, has a myriad of benefits itself; it is crucial for employee morale, retention (seeing a trend here?), attraction of top talent, collaboration, productivity, and employee well-being.

5. Improving Candidate Experience

Employer branding also plays a significant role in shaping the candidate experience.

Berthon, Ewing, and Hah (2005) suggest that a positive employer brand creates a favorable impression of the organization throughout the recruitment process. Candidates who have a positive experience are more likely to speak highly of the organization, even if they are not selected for the position. This positive word-of-mouth can attract more candidates in the future and enhance the organization's reputation as an employer of choice.

6. Gaining a Competitive Advantage

In a competitive job market, employer branding can give organizations a competitive edge.

Cable and Graham (2000) found that candidates are more likely to choose a company with a strong employer brand when they have multiple job offers. A compelling employer brand can differentiate an organization from its competitors and position it as an employer of choice.

Employer branding is a critical component of the recruitment process, and investing in employer branding not only strengthens the organization's reputation but also contributes to long-term success. By effectively communicating their values and culture, organizations can create a compelling employer brand that attracts the right talent and fosters a thriving workforce.

Tawny AnchondoComment