Since the days of newspaper job ads, job postings have relied on a pay per post model. Regardless of how many candidates they received, employers were required to pay a flat rate. Today, the model is different. While many job boards still require employers to pay per post, jobs on Indeed work on a pay for performance model. Employers aren’t charged for putting their posting on Indeed—instead, they can choose to set a budget to attract the right talent and are only charged when candidates click on the posting.
At the heart of deciding how much to spend is the idea that different kinds of jobs require different budgets. Some jobs may require relatively little spend whereas other jobs may need more strategic investments that account for three things:
- How quickly you need to hire
- The experience level of the ideal candidate
- Market forces (such as the number of candidates available and the number of employers looking for similar talent)
So, how much should you budget for a job posting? The optimal amount is the one that results in high quality hires, not a flat rate set by job boards. On Indeed, it’s easy to adjust your campaign to find the budget that fits you best.
How budgets work on Indeed
When you sponsor jobs on Indeed, you have the option to select a “simple” budget. This pay for performance model is the modern alternative to the “set it and forget it” mentality of traditional job boards—it gives your jobs maximum visibility to relevant candidates over a period of time that you choose.
Bid Optimizer is a free tool that adjusts your cost per click (the amount you want to pay for each job seeker click) over the course of the campaign. You choose daily or monthly cycles for your job, and you can pause or close the posting at any time. When the promotion period ends, the cycle starts again at the same budget amount unless you pause or close your job.
With the help of Bid Optimizer, your job posting will navigate peak traffic hours to make sure your job is always visible, especially when people are searching the most. It adjusts your budget at times when traffic is lower so that you’re not overly investing in times of day or days of the week that don’t typically bring in as many candidates.
Most importantly, promoting your job will never cost more than the budget you set. If you pause or close your job during the budget period, you immediately stop paying for clicks, regardless of the amount of money left in your budget. If you set a $20 daily budget and pause your job after spending only $12, then $12 was the cost of your promoted job. It’s that simple.
To start setting budgets and refining your recruitment campaigns to bring in great candidates, contact Indeed Client Services by phone at 1-800-462-5842 or contact us here.