How To Measure Employer Branding Success?

Five Indian business professionals working together in a bright modern office; two women standing and smiling with a tablet and folder, while three men sit at a desk with laptops, a tablet, and coffee cups, engaged in discussion.
Have you thought about how effective your employer brand really is? With all the effort you're putting into creating a positive work environment and sharing your core values consistently across platforms, are you seeing the impact you'd hoped for? Sometimes, it’s hard to tell without tracking the actual results.

Measuring employer branding success means understanding how well both current employees and potential hires perceive your company. It’s not just about the company’s image, it’s about outcomes. It involves assessing real results like employee retention and how easily the company attracts talent. However, it's more than just filling up the roles as fast as possible, which is generally seen in India’s hiring culture. This approach of quantity over quality leads to poor hiring decisions and a mismatch between candidates and organisational needs. A more effective employer branding strategy focuses more on quality over quantity and assesses whether the company is attracting individuals who not only possess the right skills but also align with its culture and values. When the right talent is brought in, they tend to stay longer and contribute more meaningfully to the organisation’s growth. Tracking these outcomes helps organisations know if their branding efforts are making a positive difference, such as lowering employee turnover or reducing hiring costs.

A strong employer brand can reduce turnover by 28% and cut hiring costs by as much as 50%, according to LinkedIn’s employer branding statistics. Without clear measurement, it’s difficult to see what’s working and where improvements are needed, making it essential to use structured methods to evaluate the impact of employer branding initiatives.

Table of Contents

  • What is Employer Branding?

  • Factors affecting metrics of employer branding success

  • Why is it important to measure employer branding success?

  • Top 10 measures of employer branding outcomes

  • Calculating the ROI of Employer Branding

  • Conclusion



What is Employer Branding?

Employer branding refers to how a company is presented on various platforms like social media, job portals, etc. It encompasses the company's values, culture, work environment, and the overall experience it offers to its workforce. A strong employer brand not only attracts top talent but also increases employee loyalty and engagement.

For instance, companies like Google and Unilever have cultivated reputations as desirable workplaces by promoting innovation and having a relaxed work environment. These organisations consistently rank high on employer review platforms, reflecting their commitment to maintaining a positive work culture.

Factors Affecting Metrics Of Employer Branding Success

Internal factors of employer branding outcomes evaluate how employees experience the company’s culture and values. Metrics like employee retention
and referral rates indicate satisfaction and loyalty, showing if the employer brand genuinely connects with staff. Strong internal branding leads to motivated employees who act as brand ambassadors, crucial for long-term success and reducing employee turnover.

External factors of employer branding outcomes assess the company’s reputation by job seekers and the public. Metrics such as offer acceptance rates and social media engagement reveal the brand’s appeal and reputation outside the organisation. These measures are essential for attracting top talent and maintaining a competitive edge in the market.
 

Why Is It Important To Measure Employer Branding Success?

Five diverse team members in a modern office with plants, sitting and discussing ideas around a wooden table with laptops, a tablet, notebooks, and coffee mugs.
Measuring the success of employer branding initiatives is crucial for several reasons. Firstly, it provides insights into how the company is perceived in the job market, helping to identify areas of strength and opportunities for improvement. Secondly, it allows organisations to assess the effectiveness of their recruitment strategies and employee engagement efforts.

According to a report by the Conference Board, while 78% of organisations invest in employer branding, only 18% effectively communicate the impact of these efforts within their organisations. This gap highlights the need for proper measurement frameworks to understand the return on investment (ROI) from employer branding activities.


Top 10 Metrics Of Employer Branding Outcomes

Two business colleagues smiling and high-fiving at a desk in a modern office with laptops and documents.
Here’s how to measure and calculate the outcomes of employer branding:

1. Employee Satisfaction and Engagement Rate: Regular employee surveys can gauge satisfaction levels and identify factors contributing to employee engagement. High engagement often correlates with increased productivity and reduced turnover. For example, an organisation that introduces flexible working hours and observes a subsequent rise in employee satisfaction scores can attribute this improvement to its employer branding strategy.

2. Offer Acceptance Rate: This measures the percentage of job offers accepted by candidates, calculated by dividing accepted offers by total offers made and multiplying by 100. For example, if 45 out of 50 offers are accepted, the rate is 90%. This metric is important because a high acceptance rate indicates a strong employer brand that attracts and convinces candidates to join. A rate above 85% is generally considered successful, while a lower rate may signal issues with the employer branding campaigns. However, in India, it’s common to see much lower acceptance rates than presented. In fact, in the IT services sector, only about 25% of offers are being accepted today, dropping down from nearly 50% in the pre-pandemic period.

3. Application Conversion Rate: This metric reflects how effectively your career site converts visitors into applicants. It is calculated by dividing applications submitted by total site visitors, then multiplying by 100. For instance, if 500 people apply from 10,000 visitors, the conversion rate is 5%. This measure is crucial as it shows whether your messaging and user experience motivate potential candidates to take the next step. A conversion rate above 5% is healthy, while lower rates indicate unclear communication or poor site usability.

4. Time to Fill: This represents the average number of days taken to fill open positions. For example, filling five roles in 150 days results in 30 days per hire. This metric is important because a shorter time suggests your employer brand attracts suitable candidates efficiently. A benchmark of around 25 to 30 days is considered good for mid-level roles. Prolonged time to fill may highlight a lack of brand awareness or limited interest from candidates.

5. Social Media Engagement Rate: This is calculated by adding the number of likes, shares, and comments, then dividing by the total number of followers, and finally multiplying by 100. For instance, 500 interactions from 10,000 followers equal a 5% engagement rate. This metric indicates how well your employer branding content resonates with your audience online. An engagement rate between 2% and 6% is considered effective, while lower engagement may indicate that your posts are not appealing or aligned with audience interests.

6. Employee Referral Rate: This shows the proportion of hires coming through employee referrals, calculated by dividing the number of referrals hired by the total hires and multiplying by 100. For example, if 10 of 40 hires are referrals, the rate is 25%. This is a key indicator of employee satisfaction and trust in the organisation, as employees typically refer candidates when they believe in the company’s culture and reputation. Rates between 20% to 40% are considered strong, while lower referral numbers may suggest weak internal engagement.

7. Employer Review Ratings: These are the average of scores employees give on platforms like Glassdoor. A rating above 4 signals a positive perception of the employer. These ratings influence external candidate perceptions, often affecting application rates. Maintaining a rating above 4.0 is ideal, while poor reviews may deter quality candidates and reflect underlying workplace issues that need addressing.

8. Cost per Hire: It calculates recruitment expenses divided by the number of hires, such as ₹10,00,000 spent for 20 hires, resulting in ₹50,000 per hire. This measure reflects how cost-effective your recruitment efforts are and the strength of your employer brand. A strong brand reduces dependency on paid advertising and external recruiters, lowering the cost per hire by an average of 43%. 

9. Employee Retention Rate: This shows how well a company keeps its employees over time. It’s calculated by subtracting new hires from the ending headcount, dividing by the starting headcount, and multiplying by 100. For example, retaining 180 out of 200 employees yields a 90% retention rate. High retention reflects strong alignment between employer brand promises and actual employee experience. Rates above 80-85% are excellent, whereas low retention suggests dissatisfaction or misaligned expectations.

10. Employee Net Promoter Score (eNPS): This measures employee loyalty by subtracting the percentage of detractors from promoters. For example, if 60% are promoters and 10% detractors, the eNPS is +50. This score is vital for understanding how likely employees are to recommend your company as a workplace. Scores above +30 are positive and show a healthy work culture, while negative or low scores highlight areas needing improvement in employee engagement and brand perception.

Calculating the ROI of Employer Branding

To assess the financial impact of employer branding, organisations can adopt a structured approach:

Define Objectives

Set specific, measurable goals such as improving the employee retention rate or reducing the time-to-hire of high-quality candidates. Successful employer branding aligns with clear objectives that support the overall business strategy.

Identify Key Metrics

Choose relevant indicators linked to objectives, such as employee engagement scores, cost-per-hire, turnover rates, and candidate quality. These metrics should accurately reflect progress toward employer branding goals.

Gather Data

Collect reliable data from employee surveys, HR information systems, recruitment analytics, and exit interviews to ensure comprehensive measurement.

Analyse Financial Impact

Quantify benefits like cost savings from reduced turnover or shorter hiring cycles, etc. A successful brand shows tangible improvements in these areas.

Calculate ROI

 Use the formula:
ROI = (Net Profit / Total Investment) × 100

Net Profit includes financial gains such as savings on recruitment and training, while Total Investment covers all costs related to employer branding activities.

Continuous Improvement

Regularly review performance and adapt strategies based on feedback and data. A successful employer brand evolves with market trends and employee expectations, maintaining its effectiveness over time.

Conclusion

Measuring how well your employer brand is doing is important to see if your company is attracting and keeping the right people while saving money on hiring. Measuring the success of employer branding involves analysing both internal and external metrics. By tracking key numbers, you can understand how satisfied your employees are and how well your hiring process works. This helps you find out what is working well and what needs improvement. Regularly checking these results shows that your employer brand supports your company’s goals and helps your business grow over time.
 

About The Author: Let'z Talk
Let'z Talk is an employer branding & workplace wellbeing solutions provider that creates caring workplaces. With diverse backgrounds and a shared enthusiasm for employer branding through the lens of wellbeing, our passionate team brings together a wealth of experience and skills to meet the needs of various organisations. Our seasoned experts, workplace coaches, and mental health advisors are always eager to share their knowledge and drive thought-provoking conversations.

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