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What Is Recruiting?

(August 19, 2005) Recruiting Is Advertising. It's really that simple .... and that complex. The skills of the traditional Staffing industry, refined with sophisticated data-mining techniques and communicated interactively through the web boil down to the next generation of advertising.

In the rush to proclaim a revolutionary market, prices were artificially lowered for the first wave of Web Recruiting. Low prices created an odd set of expectations in the marketplace. Even today, we are undergoing a revitalized Resume Database giveaway trend.

We think there should be a plaque handed out to all web entrepreneurs that says: "It's easier to lower prices than it is to raise them."

Really, how could this process be less expensive? It has lower "friction", for certain. The distance between the candidate and the opportunity is being squeezed, every second of every day. But, the cost of tailored communications, as everyone knows, is higher than the cost of bulk communications. The cost of having a relationship hasn't changed. The cost of acquiring one is going up rapidly. The available number of relationships to be had is in decline.

While Recruiting IS Advertising, the conditions for both have changed. Today's Recruiter works in an environment inventory management is everything. That's the exact opposite of historical conditions. The financial fundamentals of Recruiting have changed in profound ways as a result.

John Sumser

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