There has been a lot of buzz around Yahoo HotJobs’ new pay-per-candidate pricing model. However, we recently learned that Yahoo wasn’t the first of the big three job boards to come up with such a plan.
It seems that Monster quietly released Candidate Spotlight, a performance-based pricing model, on June 20, five days prior to the Yahoo HotJobs‘ release. The most recent edition of Classified Intelligence Report from the AIM Group states that in December 2008, Monster launched the pay-per-candidate model in five test cities, including Boston, New York, San Francisco, Seattle and Cleveland.
The program allows employers to preview up to 20 candidates for free and purchase the profiles they want for $15 per candidate. So how does it work?
If a recruiter chooses the Candidate Spotlight model, Monster sorts through its candidate pool for each listing and then delivers the best applicants to the recruiter’s job folders or e-mail. Recruiters then only pay for resumes that interest them.
Monster analyzes the candidate pool and identifies the most relevant candidates for your open positions based on your job requirements. Candidates are selected based on their experience, job history, matching skills, qualifications and education. Overall, the Monster model claims to turbocharge your job posting, expand your pool of qualified candidates, save time and allow recruiters to only pay for performance.
Monster’s model is slightly different from the Yahoo HotJobs Pay Per Candidate model, which allows recruiters to cap the number of pre-screened candidates they receive per job posting. Recruiters purchase credits for each job posted and their account is only charged when a candidate applies for the job listing or clicks through to the recruiter’s hiring site.
Popularity: 7% [?]
July 10th, 2009 at 2:12 pm
Indeed launched a pay-per-applicant product in 2007 and it has been successfully used by our clients ever since. The beta release was announced in May of that year, here:
http://blog.indeed.com/2007/05/15/indeed-launches-ppa-pay-per-action-pay-per-applicant-beta/
Paul
CEO, Indeed
July 10th, 2009 at 3:51 pm
This is not pay for performance anymore then Yahoo’s is pay for performance. If you read the Monster PDF you will very clearly see -
A) These $15 candidates are not for job postings, they are passive/database matches
B) If you want to see these candidate spotlights, you have to buy a job posting FIRST then they will allow you to purchase additional candidate profiles for $15 each.
I think they should rename this model “pay-to-post” at regular prices then pay more for each additional profile you need because the initial job posting bought didn’t work. Monster, Careerbuilder, Hotjobs etc cannot offer pay for performance pricing because it would mean giving up all their existing revenue and starting over.
July 13th, 2009 at 4:41 pm
We’re certainly the smallest company trying it…we’ve (ZAPOINT.COM) been in the PPCandidate game for about 7 months now, and are too in Beta. We call it ‘cost per introduction’. Unfortunatly, Monster and Yahoo (two dying giants)get all the love.
The idea was a natural progression for this and any other search industry.
Josh
July 14th, 2009 at 10:25 am
With such a densely packed pool of available talent in the marketplace and employers having such easy access to social media sites such as Linked-In, why would an employer need to pay $15 to view a run-of-the-mill candidate who has been spotted more places than Elvis?
July 14th, 2009 at 11:17 pm
This all leads to price erosion. Keep digging boys we will shovel our way out of this hole. 2009 recession changed the game forever there is no going back, revenues are not coming back to pre-recession levels and now all the big boys are undercutting each other racing to the bottom. Like Monster Founder Bill Warren said “The days of the big, expensive job boards are over.” Q2 earnings should be fun for everyone in the industry.
July 16th, 2009 at 1:24 pm
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Follow that Monster / CB.