The definition of branding in a general sense is how a person feels about a company or entity. Feeling being the operative word as brands invoke emotion, whether it leads to an action or thought. From a consumer perspective, organisations that have powerful brands can increase sales and achieve market leadership far quicker than others.
Where does Employer Branding fit into this?
Employer branding refers to how a person or group feels about an organisation when it comes to working or potentially working for them. It is used to differentiate one company from another, even in business to business relationships.
Employer branding has many instances. One, how people that currently work for the organisation feel about the organisation and how they are treated at work. Current employees can be the best ambassadors or the biggest detractors when it comes to employer brand and essentially workplace culture. Poor culture correlates to a likelihood that the Employer Brand will not be good. In theory, a company’s values and the organisation’s promise to their employees, should be represented in employer brand discussions. Some of the best and most innovative companies in the world can attest to this.
Another instance is how potential candidates feel about the organisation. Is it a desirable place to work or engage with? Organisations desire to attract the best talent, but if the employer brand isn’t considered high in the marketplace, then they will struggle to get highly talented professionals to even apply for work. Organisations with the strong employer brand have little issues in attracting staff when it comes to job vacancies. Some organisations such as Google attract hundreds of thousands of applications per year.
There are studies currently being done that is looking at how Employer Brand correlates with company performance. From a HR perspective, the brand influences metrics such as source of hire, quality of hire, time to hire and interview to hire ratios. Brand can also impact non acceptance rates and also the number of candidates that leave the business within 6 months of starting.
You will see more Chief HR Officers become Chief Employee Experience Officers and or Culture Officers and hire Brand Strategist to work in their team to improve and elevate employer brand in the marketplace.