Appcast recently published their mid-year update on the state of recruitment advertising.
Here are some of the trends they documented:
1. Despite a high unemployment rate, cost per application (CPA) increased. Depending on the job position, it costs between $10 and $30 in raw advertising expense to get a recruiting prospect to apply. This is a 6.5% increase over the 2019 costs.
2. CPA increased in many of the states hit hardest by COVID-19. There is a surprisingly large variance in advertising costs by state. Many states in the Northeast are experiencing CPAs 30% to 90% higher than 2019 levels.
3. Lower candidate engagement influenced CPA. After initially viewing a job posting, more prospects than normal are dropping out of the recruiting process. Prospects seem less motivated to push the recruiting process to completion.
4. Mobile clicks increased, but many prospects were looking and not applying. If someone clicks on a job posting, the company posting the job pays for the click. Clicks without applies drive up costs.
These trends make it clear that recruitment advertising is very responsive to what’s transpiring in the economic, governmental, and social arenas.
It is easy to underperform and overspend without real-time performance metrics, responsive budget controls, and a willingness to change tactics quickly.
Like any fast-moving, tech-powered environment, it requires focus to win.
