If your job board contract is running out, have these tips and watch-outs in mind.
If there’s one thing job boards love, it’s pinning down their clients to terms and conditions, usually lasting a year, or maybe longer.
The attractive part for clients are the discounts and bulk-buy benefits that come with signing a long-term agreement, and avoiding the premium that comes with flexibility or one-off posting on a job board.
However, it’s no secret that the job boards are always looking to grow their revenue, which is fair enough. The secret is knowing how to navigate your contract, and potentially a renewal, without spending more than you need to.
We’ve put together a quick guide to help you navigate a job board contract renewal, as well as some tips, advice and of course our services when it comes to getting the best deal on your recruitment advertising.
Step 1: Review your current job board usage, reports and data
The starting point before any renewal is to look at your existing job board data. This include the number of jobs you’ve posted, the number of applications you’ve received, the number of hires you’ve made, and any other relevant data.
This allows you to see how much a hire is costing you, and reveal if you’ve over- or under-used your credits / allocation.
It’s also a great opportunity to ask whether the job board and your ads are actually delivering, and will give you discussion points when it comes to the renewal itself.
Step 2: Reach out to your account manager
Really, a good account manager will be in touch with you regularly and will be talking about any contract renewal long before it’s due to happen. But, if you find yourself leading the conversation, speak to your AM about the upcoming renewal and what can be expected.
Let them lead with the expected costs, changes or amendments to what’s currently in place, and hear out any additional sales pitches they may wish to make.
Remember, it’s their job to increase profit on your job board agreement, regardless of current performance, service, or any other factors.
This is your opportunity to bring up the research you undertook in step one, and set out your stall, letting your account manager know you aren’t ready to agree to whatever they suggest just yet!
Step 3: Understand renewal prices, changes to the small print, and cost per hire
Before jumping into the deep end and negotiating on the front foot, listen to the rationale and suggested next steps given by the job board account manager. Although definitely sales-driven, good account managers will actually hand over all the insights, data and hard figures needed to help you make a decision.
However, this is where it pays to question the detailed elements of the service plan, contract and any clauses or agreements that are new or have changed.
For example, your annual agreement may be subject to new exit fees or administration fees that were left out when the initial contract was sold to you. Being aware of these add-ons can help you avoid unexpected costs if you wish to exit the contract or use another / an additional service.
However, the most important thing to check is the expected cost per hire. If it’s costing significantly more money for you to hire an individual candidates, without any rationale or explanation on the increase from the previous year, then this needs to be questioned.
Step 4: Ask for updated figures, benefits and audience insights
Leading on from that last point, it’s also important to check the job board’s performance, visibility and relevancy at this point too. Things can change quickly as technology and hiring habits evolve, so the job board that was a winner 12 or 24 months ago may not be the best place to advertise when your contract is due for renewal.
Ask what the job board is doing differently to target your niche candidates, and ask about uplifts in advertising spend, database growth and what the plan is for the coming year(s). There’s no point renewing a job board contract if candidates no longer use or even trust a specific job board, or a different job board is outperforming them.
Remember to look past the top-line figures your job board salesperson or account manager may provide; ask to see figures on specific job titles or ask about your industry. The best job boards have deep, insightful data that will help you to build your strategy, and show you that your decision to renew is the right one.
Step 5: Watch out for service level changes
One tactic that some job boards use when renegotiating a contract is to remove features or access to certain data if the renegotiated contract isn’t as lucrative as they were expecting. This can also extend to a reduction in communication, leaving you feel abandoned while still being under contract.
Although very unethical and actually very rare, job boards are very aware that their representatives have to deliver equal levels of service to everyone.
If you feel your account manager isn’t as focused as they were after a reduction in your contract value, ask for a different account manager or to review the service. Don’t just put up and shut up – you’re just as important as the next client if you’re paying for a service you aren’t getting.
Step 6: Reach out to a media buying agency
If you aren’t using a media buying agency for your job board contract renewal, it’s time to get one! Media buying agencies who specialise in job board management are invaluable, even after the contract has been signed.
Good media buying executives are experts when it comes to the behind-the-scenes tactics, techniques and technology behind the job baords, and they’ll spot a bad deal and do something about it on your behalf.
They’ll also take on the hard jobs, including checking the numbers, going through previous usage reports and cost for hire, as well as eventually negotiating the best deal possible.
The big benefit is that media agencies will often not charge for their services when it comes to job board management. This is because job boards often have agreements with media agencies to ensure consistent and new business, so the fee for job board management comes from the job board’s margin, rather than the client.
Step 7: Start negotiating
Whether you choose a media agency to negotiate for you, or you’d rather be involved in the process, now is the time to as for more from the job board at a lower or same cost.
The job board’s prerogative at this point is to grow the contract, so they’ll come at you with the best sales techniques out there, from add-ons to increases all the way to hard closes designed to make you feel bad and pay up!
Remember to understand the costs involved (with help from your media buying agency) and realise that the job board does have to make something, and this will help you to ensure a fair deal for everyone. Or, if you’re defensive when it comes to budgets, you can push as hard as you like.
The benefit of using a media agency to do this for you is that it takes all the awkwardness, back and forth and large amounts of time that job boards will demand if they feel they’re being asked for too much. This means you can focus on hiring rather than battling it out for a better deal.
Step 8: Consider other advertising channels
Job boards, although very useful and still definitely worth having, are just one advertising channel when it comes to finding the best candidates for the job.
A contract renewal is a great point to assess whether other advertising channels could be a better option or just a helpful addition. This could include social media, additional spend on a platform like LinkedIn, search engine advertising, or a smaller, niche job board.
New opportunities to advertise can also act as a conversation piece for your existing job board – if they feel they are in danger of losing your business, you may hear a better option from them, or you may hold some additional leverage on the price renewal.
Step 9: Read the contract thoroughly before sign off
This one may seem obvious, but once you (or your media buying agent) are happy with the contract summary, it’s time to dive into the small print. Of course, this is where your media buyer can take away a boring job, and potentially one where your lack of expertise could end up being a problem.
Step 10: Constantly review your plan and results
Just because you’ve agreed to a renewal doesn’t mean things should continue as they are. If your contract price has increased, then your service level, features or hires should increase too. If that doesn’t happen, review why, contact your account manager regularly, or as your media buying agent to review what’s happening.
By setting these expectations, you also help yourself for next year’s renewal, as your account manager will see they can’t just keep increasing the fee without actually delivering anything extra!
Summary
Now that you’ve got a plan and some top tips for your job board contract renewal, you should be able to approach this important job with more confidence. Even though we’ve been tough on job boards in this article, we’re only drawing on past experience – not all job boards will give you the hard sales technique, and some will proactively aim to give you the best value at the best price.
It’s all about understanding how job boards work rather than having an inherent distrust, and a media buying agency can cover this off for you if you don’t have time to learn.
If your contract is up for renewal, or you aren’t getting the best out of your current deal, then reach out to Artfully for more job board advice and even management services at no extra cost.
