Measuring Employer Branding ROI

Employer branding investments can deliver significant returns, but measuring ROI requires tracking the right metrics and understanding their business impact.

Why Measure Employer Branding ROI?

Demonstrating the value of employer branding helps:

Justify budget and resources
Optimize strategies and tactics
Align stakeholders around goals
Prove impact on business outcomes

Key Metrics for Employer Branding ROI

Recruitment Efficiency Metrics

Cost Per Hire Track total recruitment costs divided by number of hires. Strong employer branding reduces:

Advertising spend
Agency fees
Recruiter time

Time to Fill Measure days from job posting to offer acceptance. Better employer brands:

Attract more applicants faster
Have higher offer acceptance rates
Reduce interview cycles

Application Volume and Quality Monitor:

Number of applications per posting
Percentage of qualified candidates
Source of high-quality applicants

Talent Attraction Metrics

Career Site Traffic Track:

Unique visitors
Page views
Time on site
Bounce rate

Social Media Engagement Measure:

Followers and growth
Engagement rates
Share of voice
Content performance

Glassdoor and Review Platforms Monitor:

Overall ratings
Review sentiment
Would recommend percentage
CEO approval

Retention Metrics

Employee Turnover Compare:

Voluntary turnover rates
Turnover by tenure
Turnover vs. industry benchmarks

Employee Engagement Track:

Engagement survey scores
eNPS (Employee Net Promoter Score)
Participation rates

Business Impact Metrics

Quality of Hire Measure new hire performance through:

Performance review ratings
Time to productivity
Manager satisfaction scores

Revenue Per Employee Track productivity and contribution:

Revenue generated per employee
Output metrics by role

Calculating Employer Branding ROI

Basic ROI Formula

ROI = (Gain from Investment - Cost of Investment) / Cost of Investment × 100

Example Calculation

Costs (Annual):

Employer branding platform: $50,000
Content creation: $30,000
Advertising: $40,000
Team time: $80,000
Total: $200,000

Savings and Gains:

Reduced agency fees: $150,000
Lower advertising costs: $75,000
Faster time to fill (productivity): $100,000
Reduced turnover: $200,000
Total: $525,000

ROI:

($525,000 - $200,000) / $200,000 × 100 = 162.5%

Building Your Measurement Framework

1. Establish Baselines

Before investing, document current state:

Current cost per hire
Time to fill by role
Turnover rates
Application volumes

2. Set Goals

Define what success looks like:

Target metrics
Timeframes
Improvement percentages

3. Track Progress

Implement regular measurement:

Monthly metric reviews
Quarterly analysis
Annual ROI calculation

4. Attribute Results

Connect employer branding to outcomes:

Source tracking for candidates
Attribution modeling
A/B testing campaigns

Reporting to Stakeholders

Present employer branding ROI effectively:

Lead with business outcomes
Use before/after comparisons
Show cost savings clearly
Include competitive benchmarks
Highlight qualitative wins

Continuous Improvement

Use measurement insights to:

Double down on what works
Stop underperforming activities
Test new approaches
Optimize budget allocation

Common Measurement Challenges

Attribution complexity - Multiple touchpoints influence candidates Long time horizons - Brand building takes time External factors - Market conditions affect results Data availability - Not all metrics are easy to track

Focus on directional trends and continuous improvement rather than perfect measurement.