One of the most fundamental reasons to hire a retained recruiter is credibility, for both the recruiter and the client (and by extension, the open position). At a certain level of employment, probably Director and above, candidates understand the difference between a retained headhunter and one who works on a contingency basis. Many of my colleagues are paid on a contingency basis, and I have the utmost respect for them. I prefer the “partnership” that results when the client has some skin in the game. I enjoy the ability to spend time understanding my client, their business and the open position.
It’s become more apparent to me as I work on more senior level searches that premier candidates are interested in the relationship between the recruiter and the client. One of the first ways a candidate can make that determination is by asking flat out, is this a retained search? That happened to me several times last week. It’s difficult to gain a candidate’s trust, when as a contingency recruiter, you can’t (even) tell them the client’s name in preliminary conversations.
Candidates appreciate the fact that a retained search indicates that the client has made a commitment to the recruiter in the form of advance payment (the retainer or engagement fee). The headhunter is then accountable to the client. Retained recruiters tend to have closer relationships with their clients and know their clients’ business and the particular position open better than contingency recruiters. Retained search means the client trusts the recruiter. Candidates like that trusting relationship and tend to be more willing to enter into a serious conversation more quickly. They also tend to respect and trust the headhunter.
Retained headhunters do a thorough job of interviewing potential candidates. Contingency searches tend to be “races”, with all recruiting firms realizing that he who gets a candidate in front of the client first, wins. Out of necessity, speed is a part of the contingency process. It just makes sense that every step of the recruiting process has to be abbreviated, or another contingency recruiter will get another candidate in front of the client first.
The problem is that the additional client time required to get through the basic interviews with a contingency candidate can quickly add up and become extremely expensive. The retained recruiter spends more time “up front” with the candidate and has a deeper understanding of how and why the candidate is exceptional.
I had a client last year who called me in to pick up a search after they had interviewed over a dozen candidates from contingency recruiters, with no success. A dozen! Retained recruiters have a much more methodical, in depth and comprehensive approach to initial and follow-up interviews. I’m very proud of the fact that in the majority of searches I conduct, my client will interview four candidates or less. I have had the first candidate introduced, hired. The reason is because of the retained recruiter’s additional understanding of the open position and also the clients’ business, culture and goals for the future.
Top performers understand the potential value in establishing a relationship with a retained recruiter in their particular specialty. Retained recruiters know of outstanding career opportunities that are often never posted on job boards, or advertised anywhere. A well positioned retained recruiting specialist presents career opportunities . . . those are always very special!