
Conversion Rates II
(April 24, 2003) --
One of our favorite job board owners responded to yesterday's note on VCR
(Visitor Conversion Rate):
the term "abandonment rate"
better describes what happens when a job board delivers jobseekers to the
typical applicant tracking system or corporate employment page. We have even
had employers insist that we not link directly to the corresponding job
posting on a corporate employment site! They wanted to make the candidate
search the hard way.
Clearly, the state of the art in Corporate
Employment Websites leaves a great deal to be desired. The Visitor Conversion
Rate (VCR) is impacted by a huge range of factors. They begin to come
under control when you start to measure them. Measurement illuminates the
problem. Analysis drives the experiments. Measurement illuminates the
improvement.
Our model of a generic
website process assumes that registration is required before searching jobs.
This is not the optimal configuration of an employment website. It is, however,
the norm. Registration can deliver a stream of benefits to employer and
prospective employee alike. The employer gets to begin building a talent
community (best case) or a mailing list (worst case). The prospective employee
gets privileges associated with registration (job agents, reuse of data).
Once visitors have
registered (VCR) the question is "What percentage of registered
visitors become applicants?"
Registered User Conversion
Rate (RCR) is the percentage of registered users who complete the process
of applying for a job.
If this number is
significantly below 100%, there is something terribly wrong. People register
because they want to apply.
In some very advanced
websites, the registration process is described in a compelling way. The
combination of employment brand strength (the desirability of employment at a
certain company) and a clear message about the benefits of registration can lead
to high numbers of registered users who do not apply for a job. In that
situation, you would have a low RCR.
Low RCR scores demand
action. People who have registered without applying have made an investment of
time and energy. They are entitled to a return on that investment. If no return
is delivered, the website will generate strong employment
brand erosion. Low RCR scores signal trouble in paradise. In the
ideal case, prospective candidates are only asked for a time investment if there
is a reasonable chance for a return.
One answer is to move the
registration process to a point that follows some initial level of
qualification. A more complex approach involves real development of the talent
community. The ongoing investment and energy required to create a 'real' talent
community is often beyond the investment capacity of an HR Department.
There are other solutions to
the problem of low RCR scores. Routine measurement and analysis of the RCR
score creates an environment that allows them to be imagined and created.
Tomorrow: Applicant
Conversion Rate
John
Sumser