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  • Would you pay £575 recruitment fee upfront for an ad campaign regardless of outcome?

    I don’t think so! I would not. A new ‘single fee’ recruitment firm promises this ‘benefit’. The “traditional” recruitment model of only paying a fee when the recruiter is successful is apparently flawed. Recruiterblog says the traditional model works because it based on results. Chancers asking for upfront fees regardless of results are asking for trouble. A “traditional” recruitment fee is substantial but it is worth paying because the new employee will be earning a payback on this outgoing very quickly. Those that undercut existing rates in this way go out of business before too long. The best recruiters are innovative but this initiative is doomed.

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    6 comments to Would you pay £575 recruitment fee upfront for an ad campaign regardless of outcome?

    • tsuquandaroo

      ok so we all have seen the websites that make you pay what are the ones that don’t

    • David, as MD of the Net Natives business, I thought it best if I addressed this head on. Rather than a “chancer”, I am an ex-director for one of the UK’s largest recruitment agencies, I have been around long enough (pre job boards) to remember that it used to be job boards that were seen as the bogie men. I set up this business a year ago so that clients did not need to be reliant on recruitment consultants for their hiring needs. The fact that nearly all recruitment company “placements” are found using relevant job board media but yet margins have not decreased, caused me to create a new way of thinking about recruitment.

      We are transparent in what we do, we work on recruitment campaigns on behalf of our clients. When candidates apply, we believe that they apply for the client’s job, NOT for the recruiter who then will “re-sell” that candidate to other clients. We resond to every application, we search all databases and filter all reponses so our clients only see the most relevant candidates. At the end of the canmpaign we provide detailed stats as to how the campaign worked, which boards were successful, etc. And then we notify all candidates about their success, or not. Not bad for £575. Our best success has been a client hiring 10 people from one campaign. We see this as a success NOT as bad business.

      Our clients know that they will find the right person through using the tools that recruiters use, but do not have the resources of time and cost to do so. We are here to provide that service.

      Our stats, testimonials and ongoing referral business speak for themselves, which I would be happy to supply.

      There is obviously room for high quality niche recruiters who know their market and build and re-sell their talent pools (particularly in the contract and temp market), and I am sure that your own traditional recruitment company fits into that bracket. But the need for innovation in an industry that had gotten fat off of the developments in technology and not passed on any of the benefits to their clients was long over due.

      Thanks for raising your concerns, I hope that I have addressed them suitably. If there are any questions, please feel free to contact me directly at steve@netnatives.co.uk.

    • David

      Hi Steve

      Your comments are welcome. This blog is targeted at the games sector which is internet savvy. I am not qualified to comment on other sectors, but in games I think your model will struggle.

    • Mark

      “We are transparent in what we do, we work on recruitment campaigns on behalf of our clients. When candidates apply, we believe that they apply for the client’s job, NOT for the recruiter who then will “re-sell” that candidate to other clients. We resond to every application, we search all databases and filter all reponses so our clients only see the most relevant candidates. At the end of the canmpaign we provide detailed stats as to how the campaign worked, which boards were successful, etc. And then we notify all candidates about their success, or not. Not bad for £575. Our best success has been a client hiring 10 people from one campaign. We see this as a success NOT as bad business.

      Our clients know that they will find the right person through using the tools that recruiters use, but do not have the resources of time and cost to do so. We are here to provide that service.”

      No offence Steve, but I *REALLY* don’t think you understand the games industry. Games studios DON’T find people on places like Monster, or Totaljobs, or Fish4Jobs. The games industry is EXTREMLEY incestuous, and often recruits from who people know – and that includes agents who have been around for a while and built up a large number of personal contacts within the development community. So studios ALREADY find people through the same tools good recruiters use – personal contacts, not a multitude of job boards.

      And you say that you won’t “sell” candidates to mutiple studios, which you says agencies do. At the same time, you talk about “searching” databases – so presumably you will send the same candidates, found on databases, to multiple agencies – how is that different? And if you’re “searching” a database, then you’re presumably looking at people who haven’t actually applied for a job but whose CVs are on the database.

      Seems to me you’re actually just a regular recruitment agency who wants to charge an upfront fee instead of a placement fee.

      I’m interested to see how you do but, like David, I honestly don’t think your business model will work. I suspect people may use you initially, because you’re novel and £575 doesn’t seem like a huge amount, but I sincerely doubt studios will get the kind of results you seem to think they will. Ten programmers from one advert? I can tell you now, that won’t happen. You’re dealing with highly qualified and time poor professionals here, not dental nurses – do you REALLY think a physics programmer is going to be looking for his next job on Fish4Jobs? No, neither do I. 99% of the people who will apply via those websites will be graduates, and the industry is pretty good at getting its own graduates these days with university milkrounds etc.

      PS – No offence to dental nurses – I took that example from your regular website.

    • Mary @ jobs london

      That is a ridiculous amount and scream scam to me. Just recently I read a story where someone lost about $1000 to a fake recruiting agency.

    • Steve Evans

      OK, been a while since I saw this, so think it is time to keep you updated.

      Yes our model works. But, as I discussed before, we will not replace “high quality niche recruiters who know their market and build and re-sell their talent pools”. The Games industry is indeed indicative of this.

      We have provided our radical service to over 100 new clients in the past 3 months alone and our largest source of new business comes from referrals. Please check out any press or testimonials on us.

      But…and here is the big BUT…

      Mark, you are completely right. I diversified into Games, funding, supporting and involving my business with a supposed industry figure head, Richard Sturgess, based on a recommendation from a major Games publisher (who had just hired through us for 575) to expand our successful model into Games. An industry I knew/know nothing about.

      A huge mistake. Richard Sturgess had to leave within 6 weeks of starting (various painful reasons, I will not discuss in an open forum, but happy to shed light should someone need a reference).

      http://www.NetNatives.co.uk continues to deliver staff to the Games industry, but we have stepped back from a specific GamesNatives proposition.

      Our strengths are based on an honest delivery of services to a variety of clients where we know we can add value (we would never take on a role we didn’t think we could fill). For sales, marketing, hr and general office & IT roles, we are now the go to agency. But for hard core gaming developers, we never have, nor would say we could ever replace high quality agencies.

      If anyone needs any more information, the email was provided before. Mary, would love to hear from you to set your mind at rest regarding your concerns over this being a “scam”. Our company information is provided on our website, as are a list of current client campaigns, with full client information and a long list of testimonials.

      Hope this is all OK and I wish you all the very best.