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5 Reasons Why Employer Branding Is Important

Employer Branding

5 Reasons Why Employer Branding Is Important

Employer branding refers to how your company is being viewed by others – key shareholders, employees, and the public.

Things such as how the company conducts itself in the market to how good the employer is to its employees affect the employer brand. All these issues will lead to a general perception of your company in the eyes of others.

Why is employer branding so important?

1. Strong Social Media Presence

Distinctive employer brand will also attract more top talent as they come across your company’s social media presence.

As technology takes over the world slowly, companies are turning to social media to boost their employer brand. A strong online presence shows that your company is kept up to date and constantly tries to improve itself. Ranging from Instagram to Twitter to the company’s website, the public will be observing the company’s online presence and studying their values and culture.

It will be easier for your company to attract the right talent when it is positioned correctly. That is why companies commonly use platforms such as Facebook and LinkedIn to contact potential employees nowadays. Vice versa, often job applicants like to contact companies through such platforms as it creates a more direct and intimate relationship. Strong employer branding will also attract more top talent as they come across your company’s social media presence. This point itself allows your company to stand out from all other companies, not on social media.

2. Financial Stability

Having a good employer brand will ensure your company’s financial stability as well. Boston Consulting Group conducted a study that showed that companies that invest in employer branding could experience revenue growth of as much as 3.5% and a 2.5% profit margin increase.

3. Engaged & Enthusiastic Employees

When your employees talk positively about your company, it will generate the interest of the public.

Companies with a strong employer brand have more engaged employees. Employees will have a higher level of motivation as they are proud to be working for a company with a strong employer image. Therefore, having a strong employer image will not only improve the perception of your company from the public but also in your company as well.

Having enthusiastic employees is an important factor of growth in the company. When your employees can talk passionately about their work, they will put more effort into their work as well. Employees should be able to converse about the line of business for which they are working. The company should have planned future career prospects for employees and a great organizational culture. Employees that talk positively about your company will generate the interest of the public as they wonder what it is like to be working for your company.

Read also about three great companies that are really doing their employer brand right: Employer Branding Done Right.

4. Improved Recruitment Cycle

Your company’s online presence will create the first impression for the job applicant.

As mentioned in the first point, a company’s online presence is very important, and this affects the recruitment process as well. Job applicants will often research online about your company before applying for a job. Your company’s online presence will create the first impression for the job applicant. When you have a strong online presence and a positive employer brand, people can read good things about your company online. A company that is less promoted or less well-known might not be as appealing as a well-known company to job candidates.

A good employer image will help draw attention to your company and aid your recruitment process. Top talents and graduates want to join your company and existing employees want to stay. Employer branding will help the HR department to have a better turnover rate as well. A company with a better yearly turnover rate is more appealing.

5. Employer Branding is Important for Recognition

Graduates and top talents wish to work for companies with a powerful and good reputation.

Having a strong employer brand allows your company to get recognition and increases your brand awareness. Graduates and top talents wish to work for companies with a powerful and good reputation. Graduates often follow social norms and ask around for suggestions. There are many articles listing the top companies that university graduates would like to work for and these companies have successfully defined their employer brand.

Every company should try to be the first company potential employees will think of. If a company is not popular among the top talents and the community, negative word-of-mouth will spread, and that will affect the company. The ability to attract and retain the best talent in the market is key for any organization. Therefore, companies should always try to be a striking employer that can provide a sense of belonging to their employees.


Learn more about how to enhance your recruitment process and download our visual guide The Biggest Challenges in Recruitment and How to Solve Them. It will give you concrete ideas on how to provide a better candidate experience and how to make sure you catch your ideal candidates. Do you know how to catch candidates who are not actively looking for a career switch or who might get lost in the process due to unconscious bias?