Why RefermyJobs Was Created.
- By: Richard Wan
- Wednesday, May 12, 2021
My recruitment career started 12 years ago where I focused on high volume temporary vacancies. I eventually progressed up to director-level headhunting services covering sectors such as engineering, onshore maritime and tourism both within the UK and internationally. My passion was always helping small businesses as they lacked the internal functions to source the right candidates. With their tighter budgets, I had to ensure every hire was correct and I’m proud to say that I have never had to give a client a refund for a placement not working out.
How referrals play a part in recruitment
Recruitment consultants always ask for referrals as this often gives us access to a hidden level of candidates not actively searching but will move for the right job opportunity. Majority of my career was in niche sectors and my major turning point came when I asked for a referral and was introduced to a senior candidate. Perfect, as I was working on a difficult role which met their requirements so it was good timing for all parties concerned.
Within the space of 1 week we completed the entire recruitment cycle and the fee was in the region of £11,000 which shows the true value of a recruiter. Everyone in my team was happy as this was a big step to reaching my quarterly target, however, deep down I had a huge feeling of guilt on various levels:
- Whilst fees were agreed before recruitment commenced and the client was very happy with my service. They were a small family business so budgets were of course tighter compared to a large multinational.
- The original candidate who made the introduction for all of this to happen only earned £250 in high street vouchers.
I’m the first to admit that it takes time and experience to learn how to recruit properly and build a good network (especially in a niche sector) but on some occasions it does come down to timing and a bit of luck.
After this scenario I began working on alternative recruitment solutions and that’s how RefermyJobs was born. Our aim is to eliminate the high risk and cost associated with job advertising. How we do that is you are only invoiced if the successful candidate comes from us. What's better is 80% of all advertising revenue is either donated to charity or given to the person who referred the candidate. Post your job vacancy with RefermyJobs to help us improve local communities.
This sounds too good to be true!
Before I tackle this I want to highlight some stats. Figures obtained from the REC’s UK recruitment industry report indicated that recruitment agencies’ direct contribution to the UK economy reached £42.3 billion in 2019. Coupled with Recruit Holdings (who own Indeed and Glassdoor) reporting their global revenue at $5.61bn for year end 2021.
Pause for a moment and re-read those numbers as that is an incredible amount of money. Throughout my recruitment career, little has changed in the industry and whilst there have been advancements in technology, business models of recruitment agencies and job boards have largely remained the same.
We believe it's time to make job advertising more affordable for all companies and to also redistribute money to help improve local communities and this is our why!
I get asked how our business model is sustainable? As of May 2021, Indeed have 20,000 jobs posted across Scotland and 400,000 jobs UK wide so this shows the demand. The key for us is scalability. RefermyJobs also have multiple revenue streams so this allows us to keep the advertising side lean to benefit as many companies as possible. Our second revenue stream is a subscription based model where companies can receive unlimited advice from an experienced HR and recruitment team, check back late early 2022 for full details.
What level of recruitment experience do you need to use RefermyJobs?
We want to give people a chance to earn money by referring people in their own network. All you need is that little bit of information such as referring a sales job to someone with sales experience. That person will know themselves if it's the right job and whether to apply or not. You do not need to get involved.
Our process is simple and easy to use. Create a referrer profile so our system can keep track of the referral, go to the bottom of a job advert and click “refer a friend”. That is it!
It’s free and easy so sign up now: https://refermyjobs.com/create-a-profile.