What’s Affecting a Staffing Buyer’s Decision?

176987098Remember the days when starting your company name with “AAAA” was a source of competitive advantage? A hiring manager would open the yellow pages, find your business at the top of the list, and boom – you earned a shot at the order.

Purchasing behavior has certainly become more complex.

True, some of the ways a buyer evaluates your firm have stayed the same. Things like reputation, value and customer service have influenced purchasing decisions for decades – and will continue to do so. In recent years, however, rapid advancements in technology, increasing candidate shortages and more strategic applications of staffing have made the process of selecting an agency more convoluted than ever.

So, how do today’s decision-makers choose their staffing suppliers?

What makes them loyal – and what causes them to search out new partners?

PREMIUM CONTENT: North American Staffing Mergers and Acquisitions 2014

Let’s take a look. Here are four factors that impact a typical staffing buyer’s decision to work with your organization. Some are new; others have influenced buying behavior since our industry started – but all are important to your organization’s success:

  1. Total staffing value. Staffing buyers are becoming increasingly sophisticated. Most middle-market customers consider not just bill rate, but their total staffing ROI. Things like fill rate, time-to-hire, quality of fit and turnover rate play into their decisions, as well as your firm’s ability to increase productivity, reduce risks and control employment expenses.To win more business, focus less on bill rate – and quantify the total value you deliver. Track the performance indicators that matter most to today’s savvy staffing buyer, so you can support claims like “our quality is superior” with solid data.
  2. Trust. Your team probably does a good job at filling job orders. But if that’s all you’re doing for your clients, you’re relegated to the transactional role of a vendor – and you’re only as good as your last placement.To prevent low-cost providers from luring customers away, work to become a partner in your clients’ businesses. Build trust and strengthen relationships by:
    • Identifying the business problems driving the orders. Help clients overcome their biggest challenges, and you’ll move from the role of order-filler to valued partner.
    • Learning more about employers’ short- and long-term business goals. When you understand “the big picture,” you can create solutions that help clients achieve their objectives.
    • Helping customers use staffing more strategically. Instead of merely reacting to their orders, develop comprehensive solutions that enable clients to: proactively manage staffing needs, stay ahead of talent shortages, simplify administration, find better quality talent and cost-effectively manage growth.
    • Providing educational resources to help employers manage common business challenges, such as changing ACA requirements.
    • Above all, honoring commitments. Saying you care about a client’s business success is one thing; demonstrating it each day by doing what you promise is quite another.
  3. Social reputation. According to Forrester Research, 90% of individuals put their trust in what others have to say about your reputation. Furthermore, a 2014 BrightLocal survey shows that 88% of consumers say they trust online reviews as much as personal recommendations!The takeaway? In today’s market, your customers’ opinions greatly influence prospects’ purchasing decisions. Extreme connectivity, widespread adoption of social media, and advancements in mobile technology have made customers more willing and able to instantly share their opinions about your company – and potential buyers are listening.Use this to your advantage. Turn on your “digital ears” and start actively managing your company’s online reputation. Address negative reviews immediately and encourage satisfied customers to leave positive reviews on your listings. In the end, the staffing firms that effectively leverage the power of the social review space will create loyal clients – and win more new business.
  4. Customer experience. From the moment a prospect realizes he has a personnel problem until well after he pays the invoice, every interaction he has with your organization is part of his “customer experience.” To positively influence future purchasing behavior, take advantage of every opportunity to improve your customer service:
    • Understand your customer “touchpoints.” Consider: website, sales and marketing activities, on-site visits, order placing, operational activities, candidate presentation, problem resolution, billing, reporting, on-site coordinator activities and follow-up after a placement is made.
    • Get your clients’ perspectives. Survey customers and obtain candid feedback from your best customers to identify ways to improve your service process.
    • Live up to your service commitments. Yes, I’m making this point again. According to Inavero, client satisfaction is on the decline. If your staffing representatives don’t respond quickly and honor their commitments, loyal customers will not hesitate to consider other providers.

MORE: Staffing sales has changed dramatically

 

Tammi Heaton

Tammi Heaton
Tammi Heaton is COO of PrideStaff. She can be reached at theaton (at) pridestaff (dot) com.

Tammi Heaton

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