Retail hiring is a significant challenge in today's market. From the rapid expansion of e-commerce to evolving customer demands to fluctuations in interest rates, the retail industry is constantly changing, and talent acquisition teams that support these businesses need an array of tools and resources to overcome the challenge.
In 2022, retail demand resulted in more than 7,800 new store openings. As demand for retail products and services is forecasted to grow again in 2023, retailers must continually evaluate and adjust their recruitment strategies to match their changing needs.
Retail hiring challenges are real, and no retailer – from boutique cosmetics to pet supplies, to auto repair parts or big box stores – is exempt from these hurdles. A recent KornFerry survey of large retailers revealed that 94% said they had difficulty filling open positions.
Not only must retail recruitment professionals compete with other retailers, but also with employers in other sectors that hire hourly employees. Hiring professionals also need to factor in the candidate ghosting phenomenon, with 84% of job seekers saying they’ve ghosted a potential employer in the last 18 months. Many companies have faced issues when hiring for a new store location, only for the talent to never show up.
McKinsey research has found that the attrition rate among retail employees is 70% higher than in other sectors, resulting in an industry turnover rate that often exceeds 60% each year.
Given the challenges of hiring and retaining talent, retailers must adopt modern recruitment strategies that employ innovative solutions for attracting quality candidates.
In the highly competitive world of retail, implementing specific yet adaptable recruitment strategies can help increase a company’s chances of attracting, hiring, and keeping the best candidates for the job.
Here are three key actions that can help retail recruiting professionals overcome hiring challenges and compete for talent more effectively.
Given the ever-changing nature of retail, the recruitment strategies that were once successful may no longer yield the candidate quality and quantity necessary to meet operational goals.
Retail talent acquisition teams should conduct an annual audit of their recruitment practices. This audit can help recruiting staff understand current practices across the organization and can also uncover unknown bottlenecks – so companies can make adjustments in any of the following areas:
Tip: Attracting candidates that fit the open positions in each retail location is critical. Recruitics offers targeted job advertising solutions that present job ads to a defined candidate audience where they live and interact online.
In today's fast-paced and tech-driven world, relying on outdated recruitment processes can put a company at a serious disadvantage. By embracing new and innovative technologies, hiring professionals can streamline their hiring process, attract top talent, and meet hiring goals. When considering implementing new recruitment technology, consider the following:
At any given time, the number of open positions may not align with the talent supply. To elaborate, the supply and demand will be different for every city and market, making each competitive landscape unique. Companies need to create a market-level approach, since labor supply and demand varies by location. Retail companies need to implement different tactics to accommodate the reality of talent in their market.
Sometimes candidate supply outpaces demand. While it’s certainly better than fighting for a limited number of candidates, this scenario requires recruiters to implement strategies that help them operate a fast and efficient application and hiring process.
Tip: Larger retail organizations often need to hire hundreds or thousands of employees nationwide, particularly during peak holiday seasons. Recruitics’ Automated Marketing Platform (AMP) helps employers achieve hiring needs by scaling job ads to match labor supply and hiring demand.
More often than not, there are more open retail positions than there are candidates to fill them. Since retailers can’t serve customers well with half-full shifts, it remains critical to use creative strategies to attract applicants and keep them engaged from the first interaction with the company all the way to hire.
Tip: Remember, every company is unique and needs to tailor their messaging to attract different audiences. Building candidate personas can help retail employers create more targeted and relevant content to attract the top talent, whether that’s a furniture salesperson, a grocery store cashier – or anything in between.
We understand that time is valuable. The Recruitics team can provide strategic support and tailored recruitment marketing solutions based on robust data and advanced analytics to help retail organizations attract talent across a range of diverse labor markets.
If you need help deciding which projects or tactics to focus on first, please reach out to us
Also, stay tuned for our future blog on short-term, mid-term, and long-term road map projects for retail employers.
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