Recruitment agency marketting

[harrybuk]

Hi,

I have started up a recruitment agency, and basically starting from scratch without business connections.

The first major hurdle is to generate new business and find potential clients. I figured I can do this by cold calling and sending out marketting emails and mailshots to many companies.

Can anyone recommend any other ideas on how to reach my target group and to get my company name out there and to be known? I know that some directory websites exist such as allinlondon, though not sure how effective it would be, can anyone recommend which particular directories would be most suitable?

VERY greatful indeed for any advice

 

[hayfj]

Join linkedin.com

1. Join industry groups
2. Join Groups customers will be members of
3. Join Groups candidates will be members of
4. Use Linkedin Answers
5. Tweak your profile to get found in search results
6. Use JOBS option on Linkedin

Create a free item of value such as a 10 ways to get the job you want etc

and upload it to docstoc.com, slideshare.net, scribd.com

Sign up to the various JobSites and monitor how other agencies are promoting themselves

Network at your local chmber of commerce, business club, FSB meetings etc
and network with HR staff from companies you wish to have a relationship
with

as for online directories, whatabout -

dmoz.org
freeindex.co.uk
Google directory
aboutus.org
yahoo
business-scene.com
Yell
BTtradespace

Hope that gets you thinking

Regards


Fraser

 

[10032012]

Hi,

I have started up a recruitment agency, and basically starting from scratch without business connections.

The first major hurdle is to generate new business and find potential clients. I figured I can do this by cold calling and sending out marketting emails and mailshots to many companies.

Can anyone recommend any other ideas on how to reach my target group and to get my company name out there and to be known? I know that some directory websites exist such as allinlondon, though not sure how effective it would be, can anyone recommend which particular directories would be most suitable?

VERY greatful indeed for any advice

What is different between your agency and the hundreds of others out there?

 

[harrybuk]

What is different between your agency and the hundreds of others out there?

My company is basically much cheaper than most high street agencies. Typical rates between 5-10% compared to high street costs of around 15-20%

 

[Homshaw]

Sounds very cheap

Is it enough to make a living?

The recruitment agency next to me works in a specialised area. It does a mailshot to employers with potential employees. It seems to work OK and doesn't cost a lot,

Do you specialise?

 

[Business Friend UK]

5% is a silly price. How will you even cover you advertising budget. Answer: you wont. Not to mention your phone bill which should be hitting 300 calls a day to make any money. Companies don't care about the fee they care about the correct talent introductions. Differentiation on price isn't different. Its just a bad business model

 

[harrybuk]

5% is a silly price. How will you even cover you advertising budget. Answer: you wont. Not to mention your phone bill which should be hitting 300 calls a day to make any money. Companies don't care about the fee they care about the correct talent introductions. Differentiation on price isn't different. Its just a bad business model

I am operating from home and live with parents right now, so rent is 0 for the time being. Phone bill? Easy. free daytime calls with BT to landlines. Mobile calls covered by my mobile contract. Advertising isnt a whole lot and considering 5% from 20k is 1k, thats not a bad profit line if to take into account my low overheads. I will probably raise it when I become more confident

 

[TimS]

A couple of years ago, I had to deal with recruitment agents as a candidate, and what I found was that many would pick up on something in my CV that I did several years previously and was no longer current on.

Putting myself in the managers shoes, I knew full well that the manager would reject my CV based on the fact that that skill was not current or hadn't been used for some time. But, the agents would spend time on the phone, ultimately wasting their time, the clients time and the candidates time.

My point is, if you can find a way to do a better job of weeding out the candidates that are not suitable and present them to your client, then your fee is not an issue and you'll make a much better job of it than many other recruitment agencies out there.

 

[emailblaster]

Email marketing is a really cheap way to get started quickly. You need to generate a really good list of opt-in businesses that you want to build relationships with.

Start with something that is more 'advisory' than 'hard sell', you need to try and establish yourself as a trusted source. Regular mailings with interesting content will quickly start to create a receptive audience for you.

 

[10032012]

My company is basically much cheaper than most high street agencies. Typical rates between 5-10% compared to high street costs of around 15-20%

Have you registered to be an agency? (I think you are required to under law)

Don't be a fool. In the recession some agencies were giving staff to employers at cost - not making a single penny. This is risky and possible if you have the money to subsidise it to build a strong customer base with employers... but if you do not, making small amounts might not be enough.

You need a virtual office or business address... it will cost but make your business more professional. It could invalidate home insurance and get your phone line or internet cut off (the latter is rare).

Do not forget you need to pay tax.

If you are serious about starting up - scrap the low prices... stick to a confident competitive price... (say 1% lower than small agencies) invest the difference directly into marketing... get involved in networking with local employers - offer discounts on a personal basis (i.e. its my business, I can give you a preferential rate...) and leave pricing open on your mailing and email marketing... negotiate on the phone according to how much money you think they can make you in the next 3 years (not likely to give you much business around 2%... if you think they might... give a 10% discount)

High street agencies will cost more because of their (typical) expensive location and are more desirable to employers because the popular location increases brand awareness. This doesn't mean they are better in anyway, just the employer wants jobseekers to register with the agency... if they are down a back alley or at a private residence, no one is likely to register.

 

[Richie N]

5% is still too low, are you offering a free replacement with this? So in reality if you have to replace the candidate you will only get £500 per placement.
You would lose money on this...

 

[Apprentice Guru]

Hi,

I have started up a recruitment agency, and basically starting from scratch without business connections.

The first major hurdle is to generate new business and find potential clients. I figured I can do this by cold calling and sending out marketting emails and mailshots to many companies.

Can anyone recommend any other ideas on how to reach my target group and to get my company name out there and to be known? I know that some directory websites exist such as allinlondon, though not sure how effective it would be, can anyone recommend which particular directories would be most suitable?

VERY greatful indeed for any advice

You need to be able to show that you understand your clients' needs so they can place confidence in you to deliver what's needed.

As long as they see value in your service, you do not need to be the cheapest.

 

[RCM_Connect]

Hi harrybuk,

As previously mentioned a great way to grow awareness for any business (large or small), is by using business-related social networking sites such as LinkedIn; or general social networking sites such a Twitter. However, theses sites can be difficult and time consuming when trying to build up business connections and exposure.

If these sites interest you I could offer you an very affordable service that would help your business grow a presence on the above social networking sites.

Please feel free to PM me to discuss matters further!

 

[Business Friend UK]

Have you registered to be an agency? (I think you are required to under law)

Not true here. HMRC will want to know if you are a "labour supplier", strangely enough this is only if you supply contractors. I have a recruitment business and this process was ANNOYING! got there in the end.

Seriously tho. 5% is too low. this won't even cover your advertising budget. Not only this but people wont work with you at 5%, it seriously looks amateur. companies don't want a cheap service, they want a quality candidate that adds value to their business. Companies that want things cheap IGNORE THEM, cheap clients are bad clients.

 

[10032012]

Not true here. HMRC will want to know if you are a "labour supplier", strangely enough this is only if you supply contractors. I have a recruitment business and this process was ANNOYING! got there in the end.

Seriously tho. 5% is too low. this won't even cover your advertising budget. Not only this but people wont work with you at 5%, it seriously looks amateur. companies don't want a cheap service, they want a quality candidate that adds value to their business. Companies that want things cheap IGNORE THEM, cheap clients are bad clients.

Thanks for the info

One point, on your website:

Business Friend - TA Garage Friend Ltd © 2012

should be something like

© 2012 Garage Friend Ltd t/a Business Friend

(its the trading name/brand/trading style, of the limited company - not vice versa)