A Guide to

Employer Branding

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INTRODUCTION
The term employer branding is used to describe how a business or organisation Employer Employer Employer
markets itself and highlights what it has to offer potential and existing employees. Brand Image Attraction
Associations
The marketing industry has developed numerous techniques to attract, communicate
and maintain the loyalty of their customers to their consumer brand. Now
companies are finding ways to achieve these same aims for their current and Employer
Branding Organisation
future staff. The key areas that make up an employer brand is a comprehensive
Identity Employer
recruitment and employee engagement strategy, a focused corporate message Employer
Productivity
and the long term vision of the company, such as policy, values and behaviour Brand
Loyalty
that employers and employees expect from each other.1 This helps in the long Organisation
term retention of the candidates that they recruit. Culture
Figure 1: A framework on how employer branding should work6

Effective employer branding is the combination of ‘market research, advisory

services, communications, and marketing’2 to achieve a trustworthy and
desirable brand position. It means constantly measuring performance and
adjusting activities and strategies to continuously improve performance. Employer
branding is there to improve business growth and to help achieve strategic business
goals in the long term, this is done through talent acquisition and retention of staff.
Employer branding is extremely important to HR representatives as one of the
roles of a HR department is to carry out and manage the recruitment process.
Employer branding is a tool that can be used to attract applicants to the
company. Therefore the role of developing, communicating and maintaining
an employer brand is often assigned to the HR department.3 Employer branding
will help HR departments to gain an insight into their employees, through
employee attitude surveys and focus groups. This information should help them
to inform their HR strategy, how internal communications are handled, and the
HR department’s ability to design effective people management initiatives.
The rationale behind employer branding is essentially to improve the growth of a
business. Employer branding does this by attracting high quality candidates who
have the skills, experience and knowledge that suit the needs of a business.4
Highly skilled and motivated employees are becoming a scarce resource for
many companies, especially with a growing willingness amongst job seekers to
change jobs with an upward trend of over 20% of employees under the age of 30
saying that they would prefer to have a lower-paying job with a brand that they
believe in.5 Therefore it is even more important nowadays for companies to retain
and attract the best employees.
Figure 1 shows a framework devised by Professor Kristin Backhaus Dr Surinder
Tikoo, which shows how an employer brand should work. It shows that brand
association and employer image is vital to attracting candidates and that employer
branding can impact on organisation identity and culture, which helps to improve
employee loyalty, and consequently their productiveness. This framework highlights
the key benefits of an employer brand and shows areas that need to be
addressed when creating such a brand.
1
Build your employer brand: A strategic approach to recruitment and retention, Ranstad, 2014, pg. 2,
available at: http://online.wsj.com/news/articles/SB123740504559375085 [accessed 11 August 2014]
2
C. Van Mossevelde, What Is Employer Branding? Universum, 2014, available at:
http://universumglobal.com/2014/03/what-is-employer-branding/ [accessed 11 August 2014]
3
J. Jonze and H. Öster, EMPLOYER BRANDING IN HUMAN RESOURCES MANAGEMENT, Stockholm,
Stockholm Business School, 2013, pg. 7, available at: http://www.diva-
portal.org/smash/get/diva2:603822/FULLTEXT02.pdf [accessed 11 August 2014]
4
L. Moroko and M.Uncles, Employer Branding, Wall Street Journal, 2009, available at:
http://online.wsj.com/news/articles/SB123740504559375085 [accessed 11 August 2014]
5
Employer branding – hit or miss? Boost the value of your brand by clearly positioning your company on
the job market, Interbrand, pg. 3, available at: http://www.interbrand.com/Libraries/Articles/Interbrand-
EmployerBranding-EN.sflb.ashx [accessed 11 August 2014]
6
K. Backhaus, S. Tikoo, "Conceptualizing and researching employer branding", Career Development
International, 2004, Vol. 9 Iss: 5, pp.501 - 517

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RECRUITMENT
Recruitment is currently a vital aspect of employer branding due to a
serious skills shortage in the UK labour force. This shortage is the result
of a number of contributing factors including; the rapid growth of
emerging economic powers, an ageing UK population, 1 and graduates
who are increasingly unprepared and untrained for the workforce.
This situation means that companies are under increasing pressure to
attract and retain top talent. Developing employer branding not only
enables companies to attract the best employees for their organisation,
it can also help to retain top talent and skilled workers.
When a company undertakes employer branding the "product" is the employment experience
it has to offer, and the "customers" of this “product” are current and prospective staff. By
highlighting the unique reasons why the company is a good place to work, it is hoped that
skilled potential employees will be attracted to apply for positions. This is the cornerstone
of employer branding; it allows you to attract top talent who have the right skills and cultural
fit for your organisation.
A company’s recruitment process is an important part of employer branding; every step of
the recruitment method will shape the candidates impression of the company and will
influence them on their final decision to accept or decline a job offer. It is therefore essential
that the application process accurately reflects your brand in a positive way in order to
attract skilled candidates.
It is important that the job application process is designed in a way that will attract not only
skilled candidates, but also candidates who are suited to the company’s outlook, ethos and
general organisation. The ability to attract the ‘right’ candidates for a particular company
will be reliant on the careful design and management of the application and recruitment process.
Understanding the motivation and skill set of a company’s desired prospective employees
is paramount when executing successful employer branding and ultimately, successful
recruitment processes. Where a company choses to advertise a job is very important because
candidates with different skill sets will be drawn to a specific recruitment websites. It is
therefore necessary to understand the candidates who are applying to be able to target
them successfully. Careful thought should be put into the method used to respond to a candidate
to invite them for interview, be it by letter, email or more modern methods such as social media.
C. Van Mossevelde, Employer Branding: Five Reasons why it Matters & Five Steps to Action, Employer Brand
1
News, 2010, available at: http://www.employerbrandingtoday.com/uk/2010/03/25/employer-
branding-five-reasons-why-it-matters-five-steps-to-action/ [accessed 14 August 2014]
P2
The interview process is of high importance. The questions asked
and the tasks set during this process can signify a company’s
demand for highly skilled workers who are able to cope in high pressure
environments.
The way in which a company either accepts or rejects prospective
candidates is an additional reflection of the company’s brand. A
simple template email can come across as impersonal, shaping how
the applicant views the organization as a whole.
Finally, the communications conducted between a company and a
new employee before their start date can have a very significant
effect on the new recruit’s view of the organisation. A lack of
sufficient information or contact that is conducted in an unfriendly manner is likely to give
a negative impression before the employee has even started working in their new job.
All job seekers hear the advice of tailoring their CV to suit the company needs; companies
now need to tailor their value proposition to attract the right candidates for their
organisation. When recruiting, it is necessary to take into account different values,
ambitions and needs that candidates may have, depending on the industry and the role
that is being advertised. For example, sales executives will place more value on salary
than an academic applying to teach at a university.
The millennial workforce as Figure 2 shows is a big driver of the employer brand. The
graph shows the growing desire of millennials to work for an employer that has a good
reputation and image. There has been a drop in the number of undergraduates that say
that remuneration is the main driver behind the attractiveness of an employer. Job
characteristics are still important, as are the people and culture.
30%
25%
20%
2008 2009 2010 2011 2012 2013
• Employer reputation and image People and Culture
• Job characteristics • Rammeration and advancement opportunities
Figure 2: Shows undergraduate students drivers of employer attractiveness2
M. Bailey, What Millennials Want, Universum, 2014, available at: http://universumglobal.com/2014/07/what-
2
millennials-want/ [accessed 15 August 2014]
EMPLOYEE ENGAGEMENT
Current employee engagement in the brand can be overlooked, as
employer branding is often focused primarily on candidates. However,
this approach misses the potential that employer branding has in terms
of retaining current talent. Employer branding is about ‘getting the best
out of your talent and keeping them wanting to work for you.1 Employee
engagement in the brand requires entrenching it into the company
culture and organisation. The employer brand is only as good as the
employee experience; if the reality of working for the company is not
the same as the brand, the organisation can find themselves losing
talented employees and potential candidates.

Employee loyalty and a “job for life” culture are increasingly scarce in
the modern labour force. Over a quarter of the workforce aged 16-34
have said that they want to change jobs between eight and twelve times
during their working lives, with only one in ten employees nationally
expecting to stay in one job or at one company for their whole career.2
This increasingly mobile workforce, with higher expectations of their
employers is forcing employers to focus their efforts on engaging and
retaining their skilled employees.

Generating an engaged workforce requires creating opportunities for

employees to engage with their colleagues, managers and the wider
organisation in general. Creating a workplace where employees are
motivated and take pride and care in their work is also very important in
employee engagement; committed employees are more loyal, productive
and will act as fans and ambassadors of the company, further generating
interest from the right candidates for future jobs.

Employee engagement is primarily about employee retention. The ways

Employee Engagement & Employer Branding, CSA Recruitment, 2012, available at:
to keep employees engaged, happy, and taking care and pride in their
1

http://www.csarecruitment.com/employee-engagement/ [accessed 12 August 2014]

work will lead to increased productivity. Implementing effective leadership
which values employees, offers them promotional and training
opportunities and acknowledges success with rewards, helps improve
employee engagement throughout a company.
2
D. Woods, No such thing as a 'job for life' for young people - and HR staff - according to Hyphen, HR Magazine,
2001, available at: http://www.hrmagazine.co.uk/hro/news/1020164/no-job-life-
youn-people-hr-staff-hyphen#sthash.PRiRVhYg.dpuf [accessed 14 August 2014]

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SOCIAL MEDIA
A crucial part of the candidate attraction process is having a positive brand experience
when potential employees research the company online. To attract the best candidates, a
visible and interactive online presence is vital, as people want to work for an organisation
that they have heard of and trust. Having an online presence is essential nowadays as it
allows companies to engage with potential and current employees. Figure 2 shows that 76%
of companies in 2014 communicate their employer brand through social media, which
emphasises how important it is in today’s world.1

There are many different social media options available for companies to engage with
potential candidates, some are much more industry specific than others. The main social
media tools that companies use across the board are LinkedIn, Facebook, twitter, YouTube,
blog sites and their own company website.

LinkedIn is a business oriented social networking service and is seen as being at forefront of
Facebook is an online social network service that has the ability to share photos of staff
social media use in a B2B context. It has been one of the fastest growing professional
and company events. It also allows a more human communication through posting on a
networks over the past few years, especially with the younger generation. LinkedIn allows
company’s wall and having more than 140 characters to communicate with, unlike
companies to showcase themselves through articles, video and employee testimonials.
Twitter. Over half of jobseekers will ‘Like’ a company on Facebook hoping that they will
LinkedIn also allows you to customise your brand message, offers a talent brand index, and
find a job from the company’s newsfeed.3 Facebook is a fantastic way to promote a
very importantly it allows you to advertise and receive applications for job vacancies.
company and get people to follow your page, however, many people will be wary of
using Facebook for recruitment as the platform is often seen as a more personal social
media network.

Social Media 76% Twitter is an online social network and a microblogging service that is used by over two
Career website 64% Social Media 5 Year Trend
Training & development programmes 43% thirds of FTSE 100 companies. Twitter allows a company to reach a huge amount of
Internal Newsletters 40% people and it can be used to target specific audiences by tweeting people or companies
Employee referral programme 39%
Online job Board 38% and by using hashtags. Encouraging a cross section of a company to tweet builds a
Company brochures
Career fairs
37%
34%
76 more rounded perspective of the company as more people are likely to tweet about a
Employee video testimonials 33% variety of subjects such as sector and career news.4
On campus activities 32%
Graduate programme 32% 44
Induction process 31%
Performance appraisal 22%
percentage
Company events 22%
Blogs 22% 14 1
D. Smooke, The State of Employer Branding Strategy, Smart Recruiters, 2014, available at:
Mobile career site 22% http://www.smartrecruiters.com/blog/the-state-of-employer-branding-strategy/ [accessed 12 August 2014]1
2009 2011 2014
Sponsorship 19%
Alumni events 16%
2
D. Smooke, The State of Employer Branding Strategy, Smart Recruiters, 2014
External newsletters 16%
3
C. Gutsell, How to use social media to strengthen your employer brand in 2012, CK Group, 2012, available at:
Mobile app 11% http://ckagroup.co.uk/social-media-and-staff-retention/how-
Newspaper job ads 11% to-use-social-media-to-strengthen-your-employer-brand-in-2012/ [accessed 12 August 2014]
Trade shows 10%
I don't know 4% Figure 3: Shows employer brand communications2 4
Social media and Employer Branding, Employer Brand News, 2013, available at:
http://www.employerbrandnews.com/social-media-and-employer-branding/ [accessed 12 August 2014]

©Employer Brand International 2014 Employer Branding Global Trends Study

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CAREERS WEBSITE HOW TO DEVELOP AN EMPLOYER BRAND
A company’s career website is a vital cog in a company’s employer brand. This is Figure three shows the four main steps that need to be taken to create an employer brand.
where a company can really differentiate itself from its competitors and sell the
company to a prospective candidate. For small and medium sized businesses a
good careers page has added significance as it is a very cost effective way of

1.
developing employer branding.
Discovery
If the company’s career page has attracted a candidate to look at possible job
vacancies within the company and then potentially apply for a job, the career
page has worked. If it has not, then the message portrayed by the career page
may need to be altered. It is vital that the careers page of your company is
consistent with the employer brand message; if the message that attracted the 2. Analysis, Interpretation and Creation
candidate to apply in the first place changes, it can easily deter these potential
employees.

A good employer brand can help to create a great career website as it can supply
useful material for the careers page. Employee testimonials are also useful and 3. Implementation and Communication
can help inform potential candidates about what it is like to work at that company
on a normal day. Increasing ways that the company can communicate with
applicants through technology such as live chat on the careers page, can give a
more personal approach to the application process. These kinds of tools and
showcasing how employees can produce their own material through company
4. Measurement, Optimisation and Maintenece
blogs all help to build a hugely positive image of the company, with very little time and
money spent. Figure 4: The 4 main stages in developing an employer brand

Discovery
The first stage to building an employer brand requires extensive research, in order to
understand how the employer brand is perceived by various stakeholders. It is key when
designing the employer brand to think who you are looking to attract, what these people
want and most importantly, looking at what your competitors are doing. 1 This will help you
to gain an idea of what needs to be done and an insight into how to target the candidates
you want.

This stage is of vital importance because if it goes wrong, no matter how good the brand
ends up being, it will still attract candidates who lack the required skills at the recruitment
stage. Another negative impact of failing to develop the employer brand effectively is that
you risk hiring people who do not want to work for your company because they do not
identify or fit in with the company’s culture. These people will not be engaged and may
leave, causing a high turnover of staff.

1
Build your employer brand: A strategic approach to recruitment and retention, Ranstad, 2014, pg. 4

P5
Analysis, Interpretation and Creation To measure the effectiveness of an employer brand it is necessary to look at the flow
and number of applications received, the cost per hire ratio for each hire and also the
quality of candidates that apply. As for some companies employer branding is needed
The next stage requires further research, but this time into building a clear and simple
to attract the best talent to fill highly skilled positions. Figure five shows that to build an
understanding of what the company’s values, culture, and aims are. For prospective candidates
effective picture of how successful an employer brand is recruitment, retention, and
it is also necessary to know what you, as a company, can offer them and in turn what you
productivity rates all need to be measured in terms of performance. Also, measuring
require of candidates. This is very important, as to create an effective employer brand that
future, potential, current and previous employees and other stakeholders is vital to gain
attracts the correct candidates, it is necessary to know the reasons why people want to
views on the brand and what people think of it through surveys and other measures.
work for you. It is imperative to create a distinctive and, if possible, unique brand to differentiate
yourself from your competitors.
Employer Branding Activity

At this stage it also worth looking at what is already being said about your company on
social media and the internet. By looking at sites such as Glass Door, Social Mention and
Google Alerts you can find out what current and even former employees are saying about Brand Awareness Performance Measures
the company. This can all help in the formulation of the employer brand which finds the
correct tone, voice and authenticity.1 Furture Potential Current Previous Recruitment Retertion Productivity
employees employees employees employees

Implementation and Communication Other stake holders

(media, supplies, government, investors, competitors)

After that the next step is the implementation of the brand in the organisation for the first Brand Awareness surveys segmented by the Performance of Direct Productivity
time. It is best to release it internally at first to get feedback from staff and to make sure the different target groups recruting tools employee managment
message is on target. If it is released publically, first there are risks that during an interview (e.g. clicks on
job-ads,
retention
indicators (e.g.
indicators
depending on
candidates will see the brand is different to the reality and that could decrease their willingness to applications by turnover) and industry and
channel) and indirect function /
work there. Figure 5: A measurement tool for
recruitment indicators (e.g. department
employer branding activities3 (e.g. time to employee (e.g. error rates
hire, quality of satifaction) or sales
The communication aspect should also be kept internal at first to gain current employees applications) and motivation) figures)
opinions and insights. It is also beneficial to make sure they understand the brand by
offering orientation and training programmes. Later, the external communication should be
conducted through recruitment advertising, social media, the company web site, jobs fairs There are many ways to measure the effectiveness of your employer brand. Google
and other recruitment events to build awareness and promote the company. Analytics is a useful online tracking tool as is Applicant Tracking Systems. These tools
will allow you to measure the strength of your recruitment pipeline and the quality of
the candidates that your brand attracts. Another simple and free way of measuring is to
Measurement, Optimisation and Maintenance take qualitative feedback at the interview stage for prospective candidates. The success
of a consistent employer brand cannot be measured overnight, which means that the
Lastly, there is a need to consistently monitor and check the progress of the company implementation of a tracking process is needed from the outset to measure how
brand. It is important to keep the momentum going by making sure that the message stays effectiveness.
on track and adapts to any significant changes that occur. There are a number of ways to
measure the success of an employee brand. Analysing staff turnover and retention rates is 1
Social media and Employer Branding, Employer Brand News, 2013
often a good indicator as to how the brand is performing; if employees are staying at a 2
Build your employer brand: A strategic approach to recruitment and retention, Ranstad, 2014, pg. 5
company it shows that they are content and believe in the brand. Another way of measuring 3
K. Buttenberg, Employer Branding: Objectives, Channels and Performance Indicators, academia.edu, pg. 6,
the success of the brand is to carry out employer satisfaction surveys, to understand what available at:http://www.academia.edu/1751011/EMPLOYER_BRANDING_OBJECTIVES_
is working well and what is not.2 CHANNELS_AND_PERFORMANCE_INDICATORS [accessed 15 August 2014]
,

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BENEFITS
An effective employer brand will help organisations to compete more effectively in
the labour market and will build employee loyalty through effective recruitment, “if employees stay company
engagement and retention practices.
knowledge will grow,
productivity will also increase
Those with effective employer brands will ‘reduce their time-to-fill and cost-per-hire’1
and companies that only have a consumer brand will have hiring costs that are twice
that of a company which possesses an effective consumer and employer brand.
Reducing the cost-per-hire is also about increasing the number of referrals from and there will be a very low
employees. If employees are happy and invested in the company they work for they
will sell it to people they know, and will become a force of attraction themselves. cost in turnover or for
An effective employer brand that employees can identify with will result in a lower
turnover of staff and a more loyal, engaged workforce. A lack of staff turnover will
recruitment purposes.”
also be a big help in the employer brand, proving that employees like to work for the
company. If there is a high turnover of staff prospective candidates may feel uneasy
about working there, as a high staff turnover leads to concerns over why this is
happening. The benefits of employee retention are that there is a low turnover cost,
company knowledge will not be lost, and losing staff members can disrupt the day
to day running of a business. However, if employees stay company knowledge will
grow, productivity will also increase and there will be a very low cost in turnover or
for recruitment purposes.

An effective employer brand can improve the productivity of staff, recruit highly
skilled individuals that contribute to the growth of the company, as well as improving
your customer brand. Companies that treat their employees well and are seen as
reputable; this can have a positive impact on their sales. The opposite has been seen
when some large and worldwide companies were seen as taking advantage of their
employees. These companies received a negative backlash from consumers that
impacted their growth.

1
C. Peyron, The war for survival starts with the Fight for Brainpower, Universum, 2012, available at:
http://universumglobal.com/2012/10/the-war-for-survival-starts-with-the-fight-for-brainpower/ [accessed 12
August 2014]
,

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THE RISKS OF EMPLOYER BRANDING
Despite the potential benefits of employer branding there are some substantial risks
involved in creating a brand. One of the big problems that companies who are investing in
employer branding are facing is that they are not attracting better candidates, just a higher
number of average applicants. In a CEB report it found that 78% of companies that used
formal employer branding had attracted more, but not better candidates. As the number of
applications for open positions rose by 33%, but only
28% of applicants in the larger number are high-
quality contenders. Therefore companies need to
build a brand that attracts the best candidates only,
whilst simultaneously dissuading other applicants.
This would help improve the quality of applicants by
54% and quality of hire by 9%. 1
Attracting more, and not better candidates can put a
company at risk of missing out on talent, and can lead
to rival companies taking them, which can in the end
negatively affect the company’s growth. 60% of CEOs
are worried about attracting and retaining the right
people. This war for talent shows that there is a need
for companies and employers to reassess how they
engage with employees and candidates. If the branding
is not spot on then the chances are the best talent will
go elsewhere.
Another issue that HR departments who are involved
in employer branding face is building an inauthentic
brand image. A company’s brand image needs to be
representative of the company and its industry. For
example, a tech start-up will have and need an entirely
different employer brand from an established
insurance agency; having a fake employer brand, will
attract candidates that are ill suited to the company. 2
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Another risk is that companies do not fully engage with social media and sometimes rely on
older forms of communication such as e-mail. Steps to improve a company’s social media
brand and appeal is to put a human face to it. Companies should hire someone to manage
social media, promote social media communications and train their staff to use It. It is also
helpful to create a clear social media policy which defines how employees should use social
media whilst working for an organisation. For example, social media bloggers and twitter
users should state that they are expressing their personal view.
The brand message needs to be consistent and fit in
with the employer brand, while also fitting in with the
industry of the company. An inconsistent brand can
lead to potential candidates being unimpressed and
even mean that they will reconsider working for that
company. Hence, an inconsistent brand message
means that the company is failing to deliver its best
possible impression to potential candidates. Inconsistent
branding can be a waste of valuable time and money
as it will not target the desired calibre of candidates.
Current employees may feel overloaded with
inconsistent and irrelevant information from a variety
of sources, leading to frustration and a lack of trust.
1
Employer branding attracting 'more, not better' candidates, London, HR Grapevine, 2014, available at:
http://www.hrgrapevine.com/markets/hr/article/2014-07-28-
employer-branding-attracting-more-not-better-candidates#.U-iJkfldXDZ [accessed 11 August 2014]
2
S Rizvi, Truly Social Employer Branding, Employer Banding Today, 2012, available at:
http://www.employerbrandingtoday.com/blog/2012/10/29/social-employer-branding/ [accessed 13 August
2014]
CONCLUSION
Employer branding is becoming a mainstay for companies of all sizes in the UK. Skills
gaps are increasing, which means the need to attract the best and brightest is more
important than ever before. Employer branding also has a vital a role to play in
employee retention; attracting top talent is one battle but keeping them is another.
If an employee is engaged and happy at work then they will be more efficient and
productive. These are the core aims of an employer brand which can help to improve
the growth and success of a company. Hiring and retaining highly skilled individuals
is crucial to the continued success of any company.

In the current climate social media plays a huge role in the employer brand, both for
recruitment purposes and employee engagement. There are many different forms
of social media but LinkedIn, Facebook and Twitter are the most used and they are
the principle tools of engagement with current and potential employees. If they are
used correctly they can deliver good quality candidates, and allow staff to be more
engaged and active within the company.

The building of an employer brand is crucial to its success in its core aims, as if it is
done wrong talented candidates and employees will slip through the net. It is therefore
vital to identify early on the company culture and principles and define who you
want to attract. This shows the importance of employer branding and getting it
right, as competition for highly skilled candidates is up, employees willingness to
stay in a job for life are down, and what workers want from work is not just about
money, for many their main priority is working for a brand that they believe in and
want to be part of.

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